Accounting 101: When to Capitalize or Expense

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Consolidated vendor invoices can be very convenient, but managing them can be more difficult than it first seems. The Finance department may want to track different activities so that certain costs can be capitalized. Learn about IT asset capitalization to better understand what Finance is asking.

Capitalizing and Expensing

When making purchases or investing in new projects, companies must follow accounting rules to decide whether items will be capitalized or expensed.

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Search Code: 5923
Published: February 3, 2009
Last Revised: February 3, 2009

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