The balances of the major classes of plant assets and accumulated depreciation by major classes should be disclosed in the statement of financial position or notes.

Question

Quizplus · Accepted Answer

This is required by generally accepted accounting principles (GAAP) for financial reporting. It helps users of financial statements to understand the nature and extent of a company's investments in plant assets and the amount of depreciation recorded for those assets.

The Balances of the Major Classes of Plant Assets and Accumulated