Long-Lived Assets Demystified for the CFA Level 1 Exam

Hey, all you aspiring finance gurus! Are you ready to explore the intriguing world of long-lived assets? Fear not, we’ve got you covered with this comprehensive overview of the key topics you need for the CFA Level 1 Exam. Let’s dive in and get the lowdown on long-lived assets!

PRE: Capitalisation of Long-Lived Assets

Get ready to dive into the deep end of long-lived assets, where capitalisation and expensing reign supreme! Learn the ins and outs of these two approaches and how they affect financial statements and ratios. Prepare to become a master of the capitalisation universe!

► Capitalise on your long-lived asset knowledge here.

PRE: Depreciation of PP&E

Jump into the wild world of depreciation with this lesson on tangible assets and various methods to depreciate them! Learn about straight-line, accelerated, and units-of-production methods, and discover how they impact financial statements. By the end, you’ll be a depreciation daredevil!

► Depreciate like a pro, right here.

Amortisation of Intangibles

Embark on an adventure through the captivating world of amortization! Learn all about intangible assets, their classifications, and the process of allocating their cost over useful lives. Hone your amortization expertise by mastering the methods and unraveling the accounting treatments for these intangible treasures.

► Discover the magic of amortization here.

Impairments, Revaluation and Derecognition

Hop on board the asset value train as we navigate the world of impairment, revaluation, and derecognition methods! Learn the ins and outs of IFRS and US GAAP treatments, and discover how these transactions can make or break financial statements and ratios. All aboard for financial statement success!

► Embark on the asset value adventure here.

Using Long-Term Asset Disclosures in Analysis

Get equipped to analyze long-lived assets with precision, using disclosures on PP&E and intangible assets under IFRS and US GAAP. Discover how to use this information for evaluating operational performance and investment potential.

► Explore further here.