Description
Analyse expenditures to verify whether some may be classified as assets in the case where it is likely that the investment will return profit over time.
Alternative labels
perform revenue recognition
implement asset recognition
classify expenditures as assets
Skill type
skill/competence
Skill reusability level
sector-specific
Relationships with occupations
Essential skill
Perform asset recognition is an essential skill of the following occupations:
Business valuer: Business valuers provide valuation assessements of business entities, stock and other securities and intangible assets, in order to assist their clients in strategic decision-making procedures such as mergers and acquisitions, litigation cases, bankruptcy, taxation compliance and general restructuring of the companies.
Asset manager: Asset managers invest the money of a client into financial assets, through vehicles such as investment funds or management of individual clients’ portfolios. This includes the management of the financial assets, within a given investment policy and risk framework, the provision of information, the assessment and monitoring of risks.
Optional skill
Perform asset recognition is optional for these occupations. This means knowing this skill may be an asset for career advancement if you are in one of these occupations.
Financial manager: Financial managers handle all the matters in reference to the finance and investments of a company. They manage financial operations of companies such as the assets, liabilities, equity and cash flow aiming to maintain the financial health of the company and operative viability. Financial managers evaluate the strategic plans of the company in financial terms, maintain transparent financial operations for taxation and auditing bodies, and create the financial statements of the company at the end of the fiscal year.
References
- Perform asset recognition – ESCO
