Depreciation & Amortization - Administrative Assets
Code: 5260
👁 Views: 52
Account Information
| Financial Statement | Income Statement |
| Normal Balance | Debit |
Definition
Master account for depreciation, consumption, and amortization of assets used in administration (e.g., furniture, devices, software, administrative vehicles, admin buildings). Does not include project or production assets.
📐 IFRS vs US GAAP Accounting Treatment
IFRS
IAS 16 / IAS 38
PPE / Intangibles
US GAAP
ASC 360 / ASC 350
PPE / Intangibles
❓ Frequently Asked Questions
Q: What is depreciation and amortization of administrative assets?
A: A master account for accumulating depreciation, consumption, and amortization expenses of assets used in administration, such as furniture, devices, software, administrative vehicles, and admin buildings.
Q: Does this account include depreciation of production or project assets?
A: No, this account is for administrative assets only. Production asset depreciation goes to manufacturing cost, and project asset depreciation goes to construction cost.