Coal India Advisor Interview Questions and Answers

The life cycle of an asset refers to the stages it goes through from acquisition to disposal.

• Acquisition: The asset is obtained and put into use.

• Utilization: The asset is used for its intended purpose.

• Maintenance: Regular maintenance and repairs are performed to ensure optimal performance.

• Depreciation: The asset loses value over time due to wear and tear.

• Disposal: The asset is either sold, scrapped, or otherwise dispos...read more

Depreciation is for tangible assets like buildings and machinery, while amortization is for intangible assets like patents and copyrights.

• Depreciation is the allocation of the cost of tangible assets over their useful life.

• Amortization is the allocation of the cost of intangible assets over their useful life.

• Depreciation is typically used for assets like buildings, machinery, and vehicles.

• Amortization is typically used...read more

Asset under construction refers to assets that are being constructed or developed but are not yet completed and ready for use.

• Assets under construction are not yet in use and are still being developed or built.

• These assets are typically recorded as a separate category on the balance sheet until they are completed and ready for use.

• Examples include buildings, machinery, and infrastructure projects that are still in the

Asset revaluation is the process of adjusting the value of assets on a company's balance sheet to reflect their current market value.

• Asset revaluation is typically done to ensure that the assets are not carried on the balance sheet at a value that is significantly different from their current market value.

• Revaluation can result in an increase or decrease in the value of assets, which can impact the company's financial ...read more