Total Cost of Fixed Asset - IAS 16

If insurance was for transit only, capitalize it. If normal year-round insurance, treat it as indirect expense.

Thanks Deepesh....

Actually, my concern is... it is general practice to capitalise insurance charge for the very first time.... but i want to know what IAS 16 says about it...

It tells you to do exactly what i said in my previous post. So even first time insurance charges should not be capitalized if they are round-the-year charges.