STATEMENT OF FINANCIAL POSITION (non-current assets).pptx

statement of financial position

1. NON-CURRENT ASSETS GROUP 2

2. CLASSIFICATION OF NON- CURRENT LONG-TERM INVESTMENTS are assets held by a business for the growth of wealth through putting assets in different baskets where it can either a. earn (ex. Interest, dividends, royalties or rentals); or b. appreciate in amount (ex. Land, stock shares)

3. If these investments are intended to be held for a long period of time they are classified as long-term investments

4. Investment properties are properties acquired by the business to earn a return on investment through buying and selling and/or rent income (Chen 2019). INVESTMENT PROPERTIES

5. Are assets used by an agricultural business in the production of goods or services. Ex. Cows and carabaos are assets of a milk factory. Chickens are assets for a poultry farm having eggs as its prime produce BIOLOGICAL ASSETS

6. PROPERTY, PLANT, AND EQUIPMENT Are tangible assets of the enterprise used in the production or operation which are expected to be used for more than one period. PPE includes:

7. PROPERTY, PLANT, AND EQUIPMENT is a piece of a lot or a real estate owned by the business on which the building is constructed LAND

8. is a structure that is used by the business as its office, store, or factory for its operations BUILDING PROPERTY, PLANT, AND EQUIPMENT

9. Are needed by the business to run its operations. Used by the business whether in the store, office, or production areas. These accounts usually fall under the title of Office Equipment, Store Equipment, Transportation/Delivery Equipment or Machinery and Equipment. EQUIPMENT ITEMS or MACHINERY PROPERTY, PLANT, AND EQUIPMENT

10. Are larger items of movable equipment that are used to furnish an office. This is a commonly used fixed asset that is categorized as a long-term asset on an organization's balance sheet. FURNITURE AND FIXTURES PROPERTY, PLANT, AND EQUIPMENT

11. INTANGIBLE ASSETS Are identifiable, nonmonetary assets without physical substance but are held for use by the business in the:

12. INTANGIBLE ASSETS Are identifiable, nonmonetary assets without physical substance but are held for use by the business in the: • Production or supply of goods/services; • For rental to others; or • Administrative purposes.

13. SUMMARY Non-Current Assets – Are long term investments or resources that are used for more than a year. 1. Long-Term Investments – Assets held to grow wealth over time. 2. Investment Properties – Are properties acquired to earn returns on investments. 3. Biological Investments – Assets used by an agricultural business in the production of goods and services.

14. SUMMARY 4. Property, Plant, and Equipment (PPE) – Are tangible assets used in operations for more than one time. a. Land – a lot on which the building is constructed b. Building – a structure used by a business for their operations c. Equipment – items or machinery used by a business to run their operation d. Furniture and Fixtures – equipment that are used to decorate or furnish an office

15. SUMMARY 5. Intangible Assets – assets without physical substance but are essential to a business