Which of the following would not be classified as property, plant, and equipment?
A)Buildings in current use
B)Land purchased for resale
C)Machinery
D)Tools used in production

Question

Quizplus · Accepted Answer

Land purchased for resale does not meet the criteria of being property, plant, and equipment as it is not held for use in operations but for eventual sale. Property, plant, and equipment are tangible assets used in business operations with a useful life of more than one year. Buildings, machinery, and tools all meet these criteria and would be classified as property, plant, and equipment.

Which of the Following Would Not Be Classified as Property