are loose tools come under current assets ?
Answers were Sorted based on User's Feedback
Answer / h.r. sreepada bhagi
Tools of substantial value & used for more than a year can
be capitalised under "Tools, Jigs & Fixtures". This is
treated as Fixed Asset & depreciation needs to be charged to
P&L A/c. If the cost of tool is very small & long life is
not ensured, it should be charged off to P&L A/.c as
consumable stores or loose tools.
In any case tools do not come under "Current Assets" except
when they are held for sale (It will be shown as Stock in
Trade under Current Assets).
Is This Answer Correct ? | 75 Yes | 28 No |
Answer / shinki
yes, loose tools are always come under current asset
Is This Answer Correct ? | 100 Yes | 58 No |
Answer / mr. accounting expert
Loose Tools comes under the Assets side of the Balance Sheet. If there has to be Depreciation marked for Loose Tools, it has to be entered under Debit side of Profit/Loss a/c. It is a fixed asset, and depreciation is charged on it every year. Therefore, it is NOT a current asset. It is a FIXED ASSET.
Is This Answer Correct ? | 29 Yes | 6 No |
Answer / smrutipriya meher
Loose tools come under current assets.
Is This Answer Correct ? | 34 Yes | 20 No |
No. loose tools are treated as fixed assets
Is This Answer Correct ? | 54 Yes | 52 No |
Answer / naveen raj
Loose tool is not a current asset bcoz they r used for more than one year and depriciation is charged on them
Is This Answer Correct ? | 10 Yes | 8 No |
Answer / himanshu
loose tools comes under fixed assets being generally tools used in production department such as screw driver ,tester etc life is more than 12 months or even number of years hence they are not current asset.therefore loose tools not comes under inventory and comes under fixed assets.
Is This Answer Correct ? | 1 Yes | 1 No |
Answer / payal malhotra
Loose tools should be taken as under current assets as it comes under inventory
Is This Answer Correct ? | 3 Yes | 4 No |
What are the types of Invoice Matching in AP
we deposited securoty to a party and now due to us interest amount then party deduct TDS on interest but we not recive cash or in bank he credited our account in his books so what will be the journal entries in our's books.
Explain what is liabilities and what all does include in current liabilities?
In which side Investment is comes In Balence shhet ?
Do you possess any knowledge about accounting standards?
what is difference between capital reserve n reserve capital?
what do u mean by profit prior to incorporation
what is bond wash transaction ,when we have to use it, and what is the procedure please help me with examle
why the net profit arises on the debit side of profit and loss account wen the nominal acount rule states debit all expenses and losses and credit all incomes and gains
how to pass journal entry when cash received in the form of gold or other form?
Explain financial accounting. What are its characteristic features?
what is journal entry of reserve for doutful debts.