Are fixed assets the same as plant assets?

Definition of Fixed Assets and Plant Assets

My experience indicates that people use the term fixed assets to mean the same as plant assets. As a result, I define both fixed assets and plant assets to be noncurrent, long-lived, tangible assets used in a business. They are reported in the Property, Plant and Equipment section of the balance sheet.

The fixed/plant assets are depreciated over their estimated useful lives (except for land which is not depreciated).

Examples of Fixed Assets and Plant Assets

The following are examples of the non-current, tangible assets known as fixed assets and plant assets which are used within a business and are classified as property, plant and equipment:

  • Land and land improvements
  • Buildings and equipment
  • Furniture and fixtures
  • Vehicles

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