NAC361.452. Cost approach indicator of value.

The cost approach consists of:

     1. Determining the gross book cost for financial reporting purposes of all taxable operating property, including, without limitation, airframes, engines, propellers, radio equipment, miscellaneous flight equipment, spare parts and assemblies, leased aircraft, improvements to leased equipment, construction work in progress, ground property and equipment, land, expendable parts, materials and supplies, and leased property; and

     2. Deducting from the gross book cost the accrued book depreciation recorded for financial reporting purposes, which may include, without limitation, physical, functional and economic obsolescence. Additional obsolescence must be deducted when adequately quantified.

     [Tax Comm’n, Property Tax Reg. part No. 15D, eff. 10-30-79]—(NAC A 9-30-88; R026-99, 1-27-2000)