The recorded cost of an asset should include both the net invoice price and all transportation and installation costs.

Question

Quizplus · Accepted Answer

The recorded cost of an asset should include not only the net invoice price of the asset but also all additional costs incurred to get it to the desired location and installed. This is known as capitalized cost or cost of acquisition, and it is used to determine the asset's value and depreciation over its useful life.

The Recorded Cost of an Asset Should Include Both the Net