An accounting rule related to a balance sheet entry for anticipated retirement costs once the end of useful life of an asset is reached. The costs must be accounted for using fair market value at the time of retirement, whether through a sale or disposal.
Related information about asset retirement obligation:
- Asset retirement obligation - Wikipedia, the free encyclopedia
Asset Retirement Obligations (AROs) provide for costs related to future disposal of assets. In the United States, ARO accounting is specified by SFAS 143, which ...
- Accounting for Asset Retirement Obligations
143's stated objective is to “establish accounting standards for recognition and measurement of a liability for an asset retirement obligation and an associated ...
- Asset Retirement Obligation Definition | Investopedia
An accounting rule established by Financial Accounting Standards Board Rule No. 143 in June 2001 that requires public companies to recognize the fair value ...
- Asset Retirement Obligations reporting | ez13.com
Asset retirement obligation. 2,407.66. (Initial booking). Accretion expense ( 2,407.66 * 8%). 192.61. Asset retirement obligation. 192.61. (Annual ARO accretion) ...
- Asset Retirement Obligation - AccountingTools
How to account for asset retirement obligations | Example.
- Summary of Statement No. 143 - Financial Accounting Standards ...
This Statement requires that the fair value of a liability for an asset retirement obligation be recognized in the period in which it is incurred if a reasonable ...
- What Is an Asset Retirement Obligation? | eHow.com
What Is an Asset Retirement Obligation?. Asset retirement obligations (AROs) are technical accounting measures used to determine the liability on assets that ...
- SFAS No. 143: Accounting for Asset Retirement Obligations
an asset retirement obligation ... A business must recognize an asset retirement obligation for a long-lived asset at the point an obligating event takes ...