Fixed assets refer to:
1. Machinery, machinery, transportation tools, and other production-related equipment, tools, and appliances with a service life of more than one year;
< p>2. Items with a unit value of more than 2,000 yuan and a service life of more than 2 years that are not major equipment for production and operation. (The new accounting standards in 2007 have removed the restrictions on the recognized value of fixed assets. As long as the company deems it possible and has a service life greater than one accounting year, it can be recognized as a fixed asset and depreciation will be accrued according to a certain depreciation method).Extended information:
The fixed assets built by the enterprise by itself include self-operated construction and outsourcing Constructed two ways.
(1) The various materials prepared by the enterprise for the project under construction shall be regarded as the actual cost according to the actual purchase price paid, non-deductible value-added tax, transportation fees, insurance premiums and other related taxes and fees. , and conduct detailed accounting according to the types of various special materials.
If the remaining project materials after the completion of the project are transferred to the enterprise's inventory materials, they will be transferred to the enterprise's inventory materials according to their actual cost or planned cost. If there is deductible VAT input tax, the actual cost or planned cost after deducting the VAT input tax should be converted into the enterprise's inventory materials.
(2) The cost of a project under construction shall be determined based on the actual expenditures incurred and accounted for separately.
First, an enterprise's self-operated projects should be measured according to direct materials, direct labor, direct mechanical construction costs, etc.; enterprises that use outsourcing projects should be measured according to the project price payable, etc. For equipment installation projects, the project cost is determined based on the value of the installed equipment, project installation costs, project trial operation, etc. expenses incurred.
Second, the net expenditure incurred for joint load testing before the project reaches the intended usable state shall be included in the project cost. For products that are produced during the load joint test run of an enterprise's construction-in-progress project before it reaches the intended usable state and can be sold externally, the costs incurred are included in the cost of the construction-in-progress, and when they are sold or converted into inventory goods, The project costs are deducted based on actual sales revenue or estimated selling price.
Third, if a single or unit project of a project under construction is scrapped or damaged, the net loss after deducting the value of the remaining materials and compensation from the faulty party or insurance company, etc., and the project has not reached the intended usable state, Included in the cost of continued construction; if the project has reached the intended usable state and is in the preparatory period, it will be included in administrative expenses; if it is not in the preparatory period, it will be included in non-operating expenses.
If the project is scrapped or damaged due to abnormal reasons, or the project under construction is completely scrapped or damaged, the net loss shall be directly included in the non-operating expenses of the current period.
Fourth, if the built fixed assets have reached the intended usable state, but the final accounts for completion have not yet been processed, the fixed assets shall be settled according to the project budget, cost or project from the date of reaching the intended usable state.The actual costs, etc., are transferred to fixed assets according to the estimated value, and depreciation of fixed assets is accrued in accordance with the relevant provisions on depreciation of fixed assets. Adjustments will be made after completion of final accounting procedures.
References:
Baidu Encyclopedia - Fixed Assets