Dear All,
My company is engaged in construction services. We have concrete mixing machines which require hose and concrete spraying gun at the end of hose.
We have many of such machinery, hoses, spraying guns etc. As our projects are in different location, we issue such macinery and when the project is completed, all these machinery/equipments are returned.
The hoses can be used with equipments other than the above concrete mixing equipments using joints, coupling etc.
If such hoses are damaged, we buy new hose, joints, coupling etc.
What must be the accounting treatments for damaged hoses?
Whether new hoses must be capitalized or simply account as repairs ?
CAclubindia
