Accounting financial accounting. Accounting for costs of maintenance and restoration of fixed assets (the most important)

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Accounting financial accounting. Accounting for costs of maintenance and restoration of fixed assets (the most important)

Lecture notes, cheat sheets

Directory / Lecture notes, cheat sheets

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34. ACCOUNTING FOR THE MAINTENANCE AND RECOVERY OF FIXED ASSETS

Restoration of fixed assets is carried out through repair (current, medium and capital), completion, additional equipment, reconstruction and modernization.

Repair of fixed assets can be carried out by economic and contract methods. At economic way the organization carries out repairs on its own and the repair costs are reflected in the accounting of this organization. The regulatory documents on accounting and reporting offer a choice of one of several ways of attributing the costs of overhaul to the cost of products, works, services.

The first method assumes that the organization has a repair and construction group, the costs of which are collected on account 23 in correspondence with the credit of accounts 10, 70, 69, etc. In the future, these costs are written off as production costs or sales costs, or are preliminarily grouped on account 25 "General production costs" : D-t 20 "Main production", 25 "General production costs", 44 "Sales costs"; Kt 23 "Auxiliary production".

second method involves the formation of a repair fund (reserve), which is created monthly with the transfer of funds to account 96 "Reserves for future expenses", sub-account "Reserve of expenses for the repair of fixed assets". The formation of a reserve is reflected in the entry: Dr. 20 "Main production", 25 "General production expenses", 44 "Sales expenses", etc.; Kt 96 "Reserves for future expenses", sub-account "Reserve of expenses for the repair of fixed assets".

The actual expenses for the repair of fixed assets are written off at the expense of the created reserve: Dt 96 "Reserves for future expenses", sub-account "Reserve for expenses for the repair of fixed assets"; Kt 10 "Materials", 70 "Calculations with personnel for wages", 69 "Calculations for social insurance and security" and other accounts of calculations and costs.

Upon completion of the repair work, an entry is made for the excessively accrued amounts of the reserve: Dt 96 "Reserves for future expenses", sub-account "Reserve for the repair of fixed assets"; Kt 91 "Other income and expenses", sub-account "Other income".

The third method involves the attribution of actual expenses for the repair of fixed assets to the debit of account 97 "Deferred expenses", from which expenses are written off evenly during the reporting period to the accounts of production costs or sales expenses. In order to allocate expenses for the repair of fixed assets as part of deferred expenses, it is advisable to open an appropriate subaccount to account 97.

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