When would payments made to employees be considered to be an asset?

Finance Sep 25, 2020

Expert Solution

Lets understand by an Example :

Suppose that when salary is paid to an employee and wages are paid now itself due to any reason or employee loan paid to employee they shall treated as asset at the end of the period in which such payments were made

The accounting treatment for the employee benefits must be recognized in the balance sheet of the enterprise.

If the Fair Value of the plan assets is higher than the liability, then it gives rises to the Net Assets.

Archived Solution

Unlocked Solution

You have full access to this solution. To save a copy with all formatting and attachments, use the button below.

Already a member? Sign In

Important Note: This solution is from our archive and has been purchased by others. Submitting it as-is may trigger plagiarism detection. Use it for reference only.

For ready-to-submit work, please order a fresh solution below.

Or get 100% fresh solution

Get Custom Quote