Economic sciences / 7. Account and audit

Alimova D. Zh.

Kostanaysky state university of a name of A. Baytursynov, Kazakhstan

System of regulation of the accounting of fixed assets in the conditions of market economy

Under International Financial Reporting Standards object of fixed assets has to admit quality of an asset, when:

1 . with a high probability it is possible to claim that the company will receive future economic benefits connected with an asset;

2 . prime cost of an asset for the company can be reliably estimated.

When determining that the separate object of fixed assets criteria of recognition is formed have to be applied taking into account concrete circumstances and specifics of financial and economic activity of the company. For example, insignificant at cost small adaptations, stamps, templates and other similar details can be accepted to the account as uniform registration object; spare parts and the equipment for service of fixed assets, as a rule, turn on in structure of material and production stocks and are written off for expenses in process of their use. However large spare parts, the reserve equipment, and also spare parts and the equipment for service of concrete object can be accepted to the account as fixed assets if the company assumes them to use within more than one (annual) period, but no more useful service of the corresponding object of means.

Under certain conditions total amount of expenses for an asset, it is expedient to divide into making parts and to consider each part as separate object of fixed assets. It takes place when components of an asset have different useful service or benefit extraction from use of separate parts occurs according to different schemes, demanding application of various norms and depreciation methods. For example, the plane and its engines should be considered separately as they have different useful services.

The assets concerning ecological safety and environment protection, are accepted to the account as fixed assets if they allow the company to increase future economic benefits from other assets belonging to the company. Thus the balance cost of all group of the corresponding assets shouldn't exceed their total compensated cost.

The group (type) of fixed assets is an association of the assets identical on the contents and nature of their use in the course of activity of the company.

The following can be examples of groups of fixed assets: earth; earth and buildings; equipment; vessels; planes; vehicles; furniture and economic accessories; equipment of administration premises.

Initial recognition of objects of fixed assets is carried out at the actual cost.

Initial cost is the sum of the paid money or their equivalents or fair value of other compensation transferred for it, at the time of acquisition or an asset construction. The structure of initial cost of fixed assets is defined by way of acquisition of object.

The initial cost of the objects acquired for a payment, includes the following elements:

1 . purchased cost, including duties and non-refundable taxes on purchase (minus the provided trade discounts);

2 . factor cost on asset delivery to the destination and its reduction in a working condition (costs of preparation of a platform, costs of delivery and unloading, on installation, cost of professional services of architects, engineers, etc.); The Initial cost of fixed assets of own production is determined by the sum of the expenses made by the company.

Administrative, general running and other similar indirect costs don't join the actual costs of acquisition, creation and production, except cases when they are directly connected with acquisition, creation or production of fixed assets.

When using the alternative approach provided by IFRS (IAS) 23 "Expenses on loans" join in the initial cost of fixed assets expenses on attraction of borrowed funds.

If the object is got at the expense of the received state subsidies, the balance project cost can be reduced by the sum of subsidies according to IFRS (IAS) 20 "The accounting of the state subsidies and disclosure of information on the state help".

The object of fixed assets can be acquired in an exchange or by a partial exchange for object of fixed assets of other type or other asset. The cost of received object is determined by fair value of the received asset which is equivalent to fair value of the given asset, corrected for the sum of the paid or received money or their equivalents. The stated rule is fair in a situation when the exchange is commercial. Thus, the organization determines existence in operation of an exchange of the commercial contents by extent of expected change of the future cash flows as a result of commission of this operation. If the exchange isn't qualified as commercial, the initial cost of the acquired object is estimated at the balance cost of the given asset.

Fair value is the sum for which it is possible to exchange an asset during transaction between well informed, wishing to make such transaction, the parties independent from each other.

In cases of acquisition of fixed assets on the terms of a payment delay for the period exceeding usual credit conditions, its initial cost is accepted to the equal price without a payment delay. The difference between its size and total payments under the contract admits expenses on payment of percent throughout the crediting period if only it isn't capitalized according to the alternative approach provided by IFRS (IAS) 23 "Expenses on loans".

The accounting of fixed assets after initial recognition. The company according to IFRS (IAS) 16 can choose one of two models of the accounting of the subsequent assessment:

1 . account model at initial cost;

2 . account model at the overestimated cost.

It is important to note that IFRS (IAS) 16 are allowed by application of model of the accounting of fixed assets to separate groups of fixed assets.

The account model at initial cost consists in the following: after initial recognition the object of fixed assets is considered at its initial cost minus the saved-up depreciation and the saved-up losses from the depreciation, recognized according to IFRS (IAS) 36 "Depreciation of assets".

The account model at the overestimated cost assumes that after initial recognition the object of fixed assets is considered at the overestimated cost which is its fair value for date of revaluation minus depreciation and losses from revaluation. Thus, alternative approach provides systematic revaluation of objects of fixed assets to fair value.

Literature

1 . Tolpakov Zh.S. Accounting: The textbook for higher education institutions. - Karaganda, JSC Karagandinskaya Poligrafiya, 2004.

2 . Seydakhmetova F.S. Modern accounting: Manual. - Alma-Ata: Economy, 2000.

3 . Shishkova T.V. Kozeltseva E.A. International Financial Reporting Standards: textbook. - Moscow: Eksmo, 2009.