Are startup costs an asset?
Startup costs are typically considered intangible assets but are not always treated as traditional assets on the balance sheet. Instead, they must often be expensed as incurred under many accounting standards, such as U.S. Generally Accepted Accounting Principles (GAAP). However, the treatment can vary based on the jurisdiction and specific accounting framework. It’s always advisable to consult with a professional accountant or financial advisor when categorizing and accounting for startup costs.
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