Decommission costs for fixed assets,e.g. ,a power plant,must be recognized over what period of time?
A)when the plant is built.
B)over the life of the plant.
C)when the plant is decommissioned.
D)Either B or C is acceptable.

Question

Quizplus · Accepted Answer

Decommission costs should be recognized over the life of the plant as part of the asset's depreciation expense, in accordance with accounting standards like IFRS and GAAP.

Decommission Costs for Fixed Assets,e