Idle equipment will generally need to be reclassified as a current asset.

Question

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Idle equipment is equipment that is not currently being used, and is therefore not generating income for the company. It is typically classified as a long-term asset, rather than a current asset, because it is not expected to be used or sold within the next year. However, if the company plans to start using the idle equipment again in the near future, it may be reclassified as a current asset.

Idle Equipment Will Generally Need to Be Reclassified as a Current