Fixed Asset

I guess it has to treated as an expense .. As it is gonna be used in this year only...it should be charged to P&L.....data card doesnt last for more than a year ....

I think its the usage, which determines an item to be fixed asset or the revenue expense...

I think, in ur case, its a FIXED ASSET, as its held for the business purpose...

Nywz, let other members too comment on the same...

Its a capital expenditure and should be depreciated 100% during the year.

data card is nothing but a storage device which can be used for a long period of time.

So it is Capital Expenditure.

bt generally luking to the amount,we dnt capitalize sch rs.2500.Even if u create an Asset, there would be nothing wrong.

data card is not required to be capitalised as it does nt come in the defintion of fixed assets ( computer) it has to charged as expense

 When benefit of the expenditure spread over a period of years then it should be capitalised.

As per this ever calculator should be capitalised. Data card should be capitalised. 

Its cost is less than Rs.5000, you can provide 100% depreciation. But it should be in your fixed asset register.

ya, it should be capitalised

It will come under the definition of Fixed asset as its intended use spread over a number of years and it should be capitalised

Accounting assumption of substance of over form.even though we buy data card,calculator etc etc,they r all negligible to the capex incurred in our business.i guess it depends on a org 2 org basis

correction substance over form

We have alredey fire alarm systems Rs.80 Lac.its is 10 year old.Know we going to update in this of cost of 15 Lac.(some change in address panel & smoke deducter).

My quation is this amount 15 lac charges in revenue exp or capital exp And why?

Thanks

Vishnu Aggarwal

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We have alredey fire alarm systems Rs.80 Lac.its is 10 year old.Know we going to update in this of cost of 15 Lac.(some change in address panel & smoke deducter).
My quation is this amount 15 lac charges in revenue exp or capital exp And why?
Thanks
Vishnu Aggarwal
 it is simply a repair & maintenance .......so it shud b chargd to P&l not capitalised. look their is a simple logic always compare the repairable asset after repair with the original one. if their is increase in efficiency of asset it will be capitalised otherwise it will treated as revenue.
 thanks sir...

But its total Use less last 4-5 year and should be increes in efficeency and proper working after finished work.know we can treat as a capitalised it?

Vishnu