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Homework answers / question archive / When would payments made to employees be considered to be an asset?
When would payments made to employees be considered to be an asset?
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.