Swans Ltd constructed a building on a property already owned by the football club.Which of the following items should be included in determining the depreciable amount of the building?

Question

Quizplus · Accepted Answer

Architect's fees and interest during construction are directly related to the construction of the building and are therefore considered part of the depreciable cost. Promotional expense and any other expenses unrelated to the construction of the building should not be included in determining the depreciable amount.

Swans Ltd Constructed a Building on a Property Already Owned