Cha的p8Long-lived Assets(财务报表分析,加州大学MBA).pptVIP

Short-lived and Long-lived Assets Short-lived assets a) On Jan. 1, buy insurance coverage for the year, and use it up by Dec. 31. In this case, the asset only lives within a year and the expenditure on the insurance coverage becomes expense right away. b) Inventory lives between the day of purchase and the day of being sold. The expenditure on inventory becomes expense when inventory is sold. Short-lived and Long-lived Assets Long-lived assets Production equipments are used for many years, they long live. The expenditure on equipments becomes expenses gradually（缓慢地）year after year. If th