Office renovation Project
Received an invoice for office reconfiguration project. The invoice includes charges for labor to dismantle, move and reinstall as well as furniture items, project management charges and freight. Should all these charges be posted to fixed assets and depreciated or only the furniture items. Where should we book the labor and project management charges if they don't go to fixed assets?
If it's new construction or an improvement to property, then all costs, including labor and project management fees should be capitalized and depreciated.