Physical Obsolesces
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Physical obsolesces mean loss or decline in value of the property by usage and passage of time. In simple words, physical obsolesces are those damages to the property that are visible and can be identifiable. To know more about it, click on the link given below: https://efinancemanagement.com/financial-accounting/physical-obsolesces
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Physical Obsolesces
- 2. 1. Meaning 2. Types of Obsolesces 3. Types of Physical Obsolesces 4. Method of Determination 5. Reference Content
- 3. Physical obsolesces mean loss or decline in value of the property by usage and passage of time. In simple words, physical obsolesces are those damages to the property that are visible and can be identifiable. And this can be controlled by regular maintenance, proper planning, and the right choice of material and construction method. Meaning
- 4. Types of obsolesces are: 1. Functional Obsolesces: It occurs when a property loses its value due to its design, architecture, style, inadequate or outdated amenities, size, etc. 2. Economic Obsolesces: It happens when the price of the property deteriorates due to external factors. Types of Obsolesces
- 5. Physical obsolesces can be classified in two categories: Curable obsolesces Non curable obsolesces 1. Short lived 2. Long lived Types of Physical Obsolesces
- 6. Method of determining physical obsolesces are: 1. Market extraction method/Sales comparison method 2. Age-Life method 3. Breakdown method/Observed condition method Method of Determination
- 7. Reference To know more about it, click on the link given below: https://efinancemanagement.com/financial-accounting/physical-obsolesces