Please discuss:
Do you think that expenditures on human capital should be treated as an asset or an expense? Why or why not? Explain. And what expenses would you include, if any? Is this consistent with the matching principle? If you feel they should be an asset, how would you recommend expensing them, i.e. depreciation/amortization method? Do you feel that allowing companies to capitalize human capital expenses could have a potential negative effect?

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Please discuss:
Do you think that expenditures on human capital should be treated as an asset or an expense? Why or why not? Explain. And what expenses would you include, if any? Is this consistent with the matching principle? If you feel they should be an asset, how would you recommend expensing them, i.e. depreciation/amortization method? Do you feel that allowing companies to capitalize human capital expenses could have a potential negative effect?

Leave a Reply

Your email address will not be published. Required fields are marked *