Fixed Asset Accountant Mock Interview

Master 30 Fixed Asset Accountant interview questions covering depreciation, capitalization policies, and reconciliations.

Question 29 of 30

What are some examples of startup costs that should be capitalized when a new business is launching?

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Brian Schuchart

Brian Schuchart is a CPA and Senior Finance Business Partner. His professional experience includes senior management roles with NBC Sports, Virtual Health, and the Children's Hospital of Philadephia.

When a new business is launching, there are a couple startup costs that can be capitalized and expensed over time vs all at once, when incurred like normal expenses. The capitalized startup costs are typically amortized over fifteen years. Some examples of costs that can be capitalized include acquisitions of trademarks and patents.

Brian Schuchart

Brian Schuchart is a CPA and Senior Finance Business Partner. His professional experience includes senior management roles with NBC Sports, Virtual Health, and the Children's Hospital of Philadephia.

"When a business is getting ready to launch, most of the costs incurred during the startup phase should be expensed, including legal fees, branding and licenses. However, some are permitted to be capitalized such as trademarks, copyrights and patents. These items are typically capitalized and then amortized straight-line over fifteen years."

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