Property, Plant, and Equipment LEARNING OBJECTIVE 1 Identify property, plant, and equipment and its related costs. Companies like Hon Hai Precision (TWN), Tata Steel (IND), and Royal Dutch Shell (GBR and NLD) use assets of a durable nature. Such assets are called property, plant, and equipment. Other terms commonly used are plant assets and fixed assets. We use these terms interchangeably. Property, plant, and equipment is defined as tangible assets that are held for use in production or supply of goods and services, for rentals to others, or for administrative purposes; they are expected to be used during more than one period. [1] (See the Authoritative Literature References section near the end of the chapter.) Property, plant, and equipment therefore includes land, building structures (offices, factories, warehouses), and equipment (machinery, furniture, tools). The major characteristics of property, plant, and equipment are as follows. 1. They are acquired for use in operation...