If the plant and machinery is mobile its value can be
determined after taking into account cost of relocation. Some plant and
equipment can be so remote that the cost of bringing them to a potential
buyer is more than what they are worth. This
applies particularly to large and heavy plant and equipment often found in old mining sites.
plant and equipment is normally sold with the premises in which it is
located. This would apply to highly specialised buildings for example,
the manufacture of one unique items. The sale of such a building would
necessarily, include the
plant and equipment. Some plant and equipment cannot be removed at a
reasonable cost to make its sale economical.
The removal of a
large baker’s oven may result in expensive damage to
the building. The underground petrol tanks of a service station are
often filled with sand rather than incur the expense of removing them after the service station has become uneconom.
obsolete the value is scrap value only but in some cases this is quite
high. If the item can be dismantled it's parts are cheaper
and easier to transport and may have value as replacement parts for
operating plant and machinery.