Any enterprise works for its own benefit. It cannot profit from anything, therefore it has certain economic resources. Such resources are necessary for investments, purchases, sales and other manipulations, from which financial benefits are expected in the future. Economic resources in science they got the name assets. They need to be taken into account, to monitor their turnover, to compare indicators and so on. There are several types of them, we will talk about them below.
What are organization assets?
These are all rights to the property that an enterprise has (fixed assets, stocks, financial contributions, monetary requirements for legal entities and individuals). The concept of tangible assets or assets in general is used to denote any kind of property. This economic concept contains 4 types:
- material (property, raw materials, buildings, land and others);
- financial;
- long-term;
- intangible.
How are they taken into account?
Intangible assets are accounted for on the basis of working capital and non-current assets. Working capital endowed with the property, which involves their constant use in the production process or other activities of the enterprise. Non-current are reflected in accounting documents, even if they have already been removed from the economic management of the enterprise (turnover). Tangible assets are accounted for by specially trained people - accountants. They see where the funds were spent, on what and what profit the company received from this.
Tangible production assets
Industrial economic resources can be own, leased and in free use. Tangible assets acquired on rights financial leasing They are not defined as their own, but as controlled by this company.
Intangible assets of an enterprise
This type of asset includes goodwill, that is, the business reputation of the company, objects of intellectual labor (intellectual property - IP). IP owner has exclusive right (PI) on the object of intellectual labor:
- IP of the owner of the patent on the innovation object, sample (industrial), utility model;
- IP and AP (copyright) for software and databases (databases);
- SP on trademark, sign services, name of the place where the goods came from;
- IP holder of the patent for the achievement of selection.
How is asset accounting carried out at the enterprise?
Depending on the types of activities, there are different types of accounting. Also, financial analysis depends on the tax system applied to the enterprise. In small firms, the director himself often keeps records, there are frequent cases of seeking help from specialists working in the incoming mode.
Recently, outsourcing services have become popular. Specialists of this orientation clearly and efficiently monitor various changes in the legislation and, therefore, are aware of all innovative introductions. This means that such a specialist will be able to provide high-quality and qualified support in accounting for production assets or taking into account the material assets of other resources of the enterprise.
Outsourcing services are not neglected by large companies as well, since an employee who works in a regular mode is not always able to attend all continuing education courses or related seminars.
When the work is in the hands of professionals, the manager can be sure of order in his company regarding documentation. This means that he can effectively plan his day and respond to weaknesses in time.
Cost accounting for the search for various natural resources
IPA, or material exploratory assets are needed to carry out exploratory work and processes for assessing the resources of nature (places of mineral deposits and others). Spent on the search for funds are material in nature (expression):
- various systems of structures (pipelines);
- special equipment (drilling rig, pump, tank, and so on);
- transport.
In accounting, material search assets have a separate line (balance sheet) where they are kept. There is still a separate account for non-current assets (their investments). The company determines the types of costs for the search. The remaining tangible and intangible assets are accounted for by the type of ordinary activity. Non-negotiable relate to a separate subsoil block for which there is a license, and hereinafter referred to as “search assets”.
Search costs are attributed to the creation (acquisition) of an object and are referred to as IPA, and all others are intangible search economic resources:
- the right to carry out prospecting, evaluate and conduct exploration of deposits;
- topography;
- exploration results for drilling and sampling;
- various other geological information about the bowels;
- assessment of the commercial feasibility of a production project.
Means of tangible and intangible nature related to search are accounted for in various subaccounts. The accounting unit that takes into account the tangible and intangible assets of the search areas is determined taking into account fixed assets and intangible resources, respectively.
Valuation of tangible assets
When evaluating tangible economic assets, apply the methodology for calculating net worth (book value). It is the simplest, but has its drawbacks. There are other methods.
To obtain a net value that takes into account tangible production assets, all short-term and long-term liabilities of the company are taken from the currency value on the balance sheet. So, the value of the company's equity is included. This is the value of the net asset value.
The main drawback in this calculation is the lack of reflection of the potential profit that can be obtained from assets. In the presence of a high inflation rate, the result of this methodology quickly ceases to be real. In addition, when evaluating fixed assets using this method, the initial cost of tangible assets becomes less by the amount of depreciation. Such an analysis of the value of funds in the balance sheet, which is accounted for and called residual, significantly differs from market value.
Another drawback is found when tangible assets are accounted for using this method - the book value includes assets with a high valuation. This is due to repeated reassessment. At this liquidity it turns out small, because the assets are difficult to sell or their sale is impossible. Such economic resources do not have a market value, although they are included in the carrying amount of the firm.
