what is treatment for expenses for electrification expenses like cable, metal clad etc. at the time of factory construction. Is it capitalized to cost of factory building or expensed off to P/L
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Electrification expenses at the time factory construction is capitalized to cost of or expensed off
Replies (4)
Electrification charges are expensed off to P/L
Yes it is capitalised as it falls under costs of site preparation and electricity charges will be expensed.
It will be capitalized as such expense is part of the construction of factory.
I’m getting April notifications now :)
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