0 1 book value. Book value of fixed assets: what is it

Book value fixed assets is an important indicator of financial statements. Let's consider where it is used and what types of calculations there are.

Attention! Companies are required to pay property tax on their fixed assets. The following will help you correctly determine the amount of tax and successfully report on it:

What are fixed assets?

In accounting, property is considered a fixed asset if its lifespan is beneficial use is more than 12 months. One more important factor is the nature of its use (clauses 4, 5 of PBU 6/01).

OS may include:

• property that will be used in production (managerial) activities or will be leased;
• not intended for further sale;
• generating income in the future.

Such objects, for example, are:

• buildings and constructions;
• vehicles;
• computer technology;
• workers, power machines and similar equipment;
• measuring instruments and devices;
• tools, production and household equipment;
• land;
• environmental management facilities;
• capital investments in land plots, for example, for radical land improvement and in leased fixed assets.

The BukhSoft program will accept fixed assets of any complexity for accounting. Operations and documents comply with all legal requirements. Try it for free:

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In accounting, an object may have all of the above characteristics, and its initial cost may be equal to or less than 40,000 rubles. A specific limit is fixed in the accounting policy for accounting purposes. If the limit is changed by law, the new value is applicable only to objects newly accepted for registration (letter of the Ministry of Finance dated January 10, 2012 No. 07-02-06/3).

In tax accounting, fixed assets are considered to be property or part of it (clause 1 of Article 257 of the Tax Code of the Russian Federation):

• used as a means of labor for the purposes of production, sale of goods, performance of work, provision of services or for business management;
• having an initial cost of more than 100,000 rubles.

Objects with a useful life of more than 12 months are depreciated. But if their cost is 100,000 rubles or less, they are not depreciated. It is written off as material expenses (clause 1 of Article 256, subclause 3 of clause 1 of Article 254 of the Tax Code of the Russian Federation).

What is the book value of fixed assets?

The book value of fixed assets is their residual value. It is calculated by subtracting the amount of depreciation accrued on it from the original cost of the object.

The BukhSoft program automatically sets the useful life of any fixed assets, calculates depreciation on them and makes entries for its accrual. Calculate the depreciation rate for free:

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What is the difference between the book value of property and the market value?

The book value of a property is an indicator that will differ from its market value.

The book value of an object consists of the costs actually incurred by the company or individual entrepreneur for its purchase, construction or production.

When determining market value, factors of competition, supply and demand are taken into account.

Calculation of the book value of fixed assets

We present three types of calculation of this indicator.

1. In general, the value is determined by the formula:

Book value = Initial purchase price (construction, creation) – Depreciation accrued over the period of use

1. For purposes tax accounting apply the formula specified in paragraph 4 of Art. 376 Tax Code of the Russian Federation:

Average annual book value = (Residual value as of 01/01/2019 + Residual value as of 02/01/2019 + Residual value as of 12/31/2019) / (12 + 1),

1. For the purposes of financial analysis, indicators are taken from the balance sheet and the average formula is used:

Average annual book value = (Book value at the beginning of the year + Book value at the end of the year) / 2

Such a concept as the book value of fixed assets (FPE) is directly related to the financial condition of the organization. It denotes the monetary value of all the means of production that the company uses in its work, reflected in the accounting documents. Let's consider what types of financial statements exist, for what purposes they are considered, how depreciation is calculated and how to prepare an accounting statement.

In the course of work, any organization uses means of production - equipment, machinery, real estate, land. These are assets without which the main activities of the organization are impossible and which cannot be spent. That is, raw materials and supplies cannot be classified as fixed assets. The organization's revenue depends on them. Russian legislation limits this category of assets to those property whose useful life is more than 1 year and whose price is above 40 thousand rubles.

Book value - what is it? It is the monetary value of each asset listed on the balance sheet. There are three types of BS - residual or initial, as well as average annual. Their essence is clear from the name: the initial is the one at which the asset was acquired, the residual is the one that takes into account depreciation. The annual average exists as the arithmetic mean between two reported values ​​and is the most objective. Obviously, the initial one is always greater than the residual one. In fact, the residual is equal to the original minus depreciation.

Balance line - 1600.

BS has no relation to the market price of the asset and almost always seriously diverges from it. The fact is that they have different calculation methods. Thus, the initial BS includes not only the price of the equipment, but also the fee for its delivery, installation, customs duty and any other expenses related to it. The residual value does not depend in any way on the market; its value is determined by depreciation - the gradual transfer of the cost of an asset to the products produced with its help.

The book value of assets most objectively reflects the financial condition of the company

Calculation goals

The value of assets on the balance sheet is considered key indicator characterizing the financial condition of the enterprise. He required for correct accounting, as well as for the presentation of statistical data in government bodies, applying for a loan from a bank.

This value shows the total value of the company’s assets, and therefore is often of interest to investors. This is relevant when a company decides to sell shares. The larger the organization's activities, the greater the value of the assets. Another area of ​​using BS is determining the price when selling a used asset. Taking into account depreciation will help you make more intelligent pricing and get a better deal.

Formula for calculating the average annual book value of fixed assets

The most objective indicator is the average annual book value of fixed assets - not the original price and not the residual value as of a specific date, but the average value of the asset for the reporting period. As a rule, within a year. It's quite easy to calculate. This is the arithmetic mean between the residual values ​​at the beginning and end of the year.

Calculation formula: (asset value at the beginning of the year + asset value at the end of the year) / 2.

Let’s assume that a company purchased a machine for 250 thousand rubles at the end of December. The accountant calculated depreciation and found out that at the end of next year the BC will be 188 thousand rubles. What will be the average annual value of the asset? (250,000 + 188,000) / 2 = 219 thousand rubles.

Book value of equipment

The size of fixed production assets (FPF) is of key importance for the picture of the company’s financial condition. It is determined by analogy with the average annual BC: you need to know the value at the beginning and end of the year, not just for one asset, but for all of them together.

Formula: (cost of equipment at the beginning of the year + cost of equipment at the end of the year) / 2.

There is also a more labor-intensive option, which involves adding the BS values ​​for each month and dividing by 13. The result will be more accurate: (OPF as of January 1 + OPF for February... + OPF as of December 31) / 13.

Knowledge of BS equipment will help create an objective picture of the state of the enterprise, and is also used to calculate capital productivity, capital intensity, and capital-labor ratio.

Depreciation calculation

The book value of assets changes under the influence of depreciation - the systematic transfer of equipment costs to the cost of production. This is the main factor that changes BS. There are several methods for calculating depreciation; in most cases, entrepreneurs are free to choose:

• linear;
• write-off based on production volume;
• by years of use;
• by declining balance.

The simplest method is linear. To do this, the price of the asset is divided by its useful life. The second value can be clarified in technical documentation or from government recommendations. Suppose an organization purchases a seaming machine for 500 thousand rubles. Its useful life is indicated in the passport - 24 months. The following amount will be debited from the BS of this machine every month: 500,000 / 24 = 20,833 rubles.

In a similar way, you can calculate the BC of a car (although in this case it is more logical to tie depreciation write-offs to mileage), real estate or a building. The last two categories will have a significantly longer useful life, which can exceed 50 years.

An accounting statement about the book value is prepared in free form

Book value of the enterprise

Knowing the current book value of all assets allows you to calculate the BC of the entire enterprise as a whole. This the value combines the data of all assets on the balance sheet with the exception of products and receivables. It is important to understand that the BC differs significantly from the market one, because it is calculated based on the original cost and depreciation. It does not include the prestige of the company, its marketing achievements, promotion and demand for products in the market.

Sample accounting certificate about book value

A balance sheet statement of the value of a fixed asset item shows the value of the enterprise's assets as of the reporting date. This is not a mandatory document, but is often required by regulatory authorities, banks and potential investors. The accounting certificate does not have a unified form, therefore, it is enough for an accountant to make an extract from the balance sheet, where to indicate the BS of the means of production of interest or the entire enterprise as a whole. A sample is shown in the image above.

Conclusion

The book value of assets is reflected in the accounting documentation of the enterprise and indicates the value of the means of production at a specific point in time. Interested in government agencies and potential investors. It is calculated taking into account depreciation and almost always differs significantly from the market value of the property due to a different calculation method. If necessary, confirmed by an accounting certificate.

Real estate in the balance sheet of an enterprise Real estate is assessed to determine its value before selling or buying, leasing and in many other cases. Depending on the direction of the enterprise’s activities, objects can be accounted for according to their original cost minus depreciation, or at the current market price. Investment property is reflected at the end of the reporting period at fair value, which was determined by an international appraisal company. Sometimes it is not always possible to compare enterprise objects with the market, which leads to a more in-depth analysis. The book value in this case is determined taking into account the profitability of the property. Residual value of intangible assets Intangible assets are property that does not have a tangible form.

How to calculate book value (residual value)

The use of this approach also most fully reflects the actual value of the valuation object. The disadvantage is that depreciation is determined based on the subjective opinion of the expert, so the data may be distorted if the expert does not have significant experience in his activities. After calculation by each approach separately, a weighted average value of the cost of the object is derived and, based on these data, the object is taken onto the balance sheet .

It is based on the obtained figure that depreciation charges are calculated. The question often arises of how to calculate the book value of assets without resorting to complex formulas.

Attention

Similar problems very often arise during the division of a business, when former co-founders begin to divide capital. There is a simpler solution to the issue. Calculate the value of assets (separately) using a comparative approach.

Book value

Book value of fixed assets - features Book value almost never coincides with the value of the property dictated by the market, since the mechanisms for determining it vary greatly. In contrast to the market, where the competition factor is of great importance, the book value of property is formed by adding up all the actual costs incurred by the company for the construction, acquisition or manufacture of property assets.
How is the average annual book value of fixed assets calculated? Keeping in mind that the book value of fixed assets is their residual value, we can derive the formula: BSos = PSos – Am, where: BSos is the book value of fixed assets; PSos - initial purchase price; Am - depreciation charges accrued over the period of operation. Depending on the goals, there are 2 formulas for the average annual book value of fixed assets.

The book value of fixed assets is...

Info

To carry out financial analysis, data from the enterprise's balance sheet is used. In this case, to calculate the average annual cost (BSos (sg)), the average statistical formula is used: BSos (sg) = (BSos (ng) + BSos (kg)) / 2, where: BSos (ng) - book value at the beginning of the year; BSos(kg) - book value at the end of the year.

For tax purposes, you should adhere to the formula presented in paragraph 4 of Art. 376 Tax Code. Based on the contents of paragraph. 2 of this paragraph, the formula for determining the average annual book value BSos (sg) of property for 2015 is presented in the following form: BSos (sg) = (OSos as of 01/01/2015 + OSos as of 02/01/2015 + … + OSos as of 12/01/2015 + OSos as of 12/31/2015) / (12 + 1), where: OSos as of... is the residual value of fixed assets as of the specified date.

Book value: definition and features

So, you need the book value of assets, how to calculate it correctly? The algorithm is as follows: to determine the most accurate figure, it is necessary to resort to three approaches to determining it:

1. The market approach most favored by all appraisers should reflect the value of the property that is being sold on the market at the time of the determination date. The calculations are based on several analogue objects that are closest to the one being assessed based on qualitative and technical specifications. Then the appraiser makes the necessary adjustments and receives the market price of the property, calculated using the comparative approach. The disadvantage of this method is that often market prices are too high and do not actually reflect the real price of the property (especially during a financial crisis).

Rules for determining the book value of fixed assets

This is necessary to ensure that accounting data does not lose its reliability and relevance. OSes tend to become morally and physically obsolete, which is why their cost also changes.

If, after revaluation of property, it is discovered that the price of the asset has decreased or increased, the residual value is recalculated as follows:

1. Determine the replacement cost of the object as of the valuation date.
2. If the value of the property has decreased, a markdown is made. The balance sheet shows the calculated amount minus depreciation.
3. If the cost of fixed assets increases, an additional valuation is made by recalculating depreciation. Changes are made to the balance.

The results of property revaluation are attributed to additional capital, i.e., it either increases or decreases.

What is book value and how to calculate it

Otherwise, no valuation of the asset is required. At a price determined by the appraiser, the property included in the authorized capital is accepted for inclusion on the balance sheet of the enterprise. If new equipment is purchased, the carrying amount will be reflected at the acquisition price for the current reporting period. When purchasing larger objects, such as industrial premises, retail space or land, it is necessary to conduct a preliminary assessment of the assets in order to subsequently place them on the balance sheet of the enterprise. In short, the book value of fixed assets is the expression of each unit of asset in a specific monetary amount.

By the way, according to the rules accounting this amount should be expressed only in ruble equivalent. How to do the calculations Determining the book value of assets is not such a difficult task.

How to determine the book value of a building

Important

This approach applies to both real estate and large equipment.

• The definition using the income approach most accurately reflects the likely value of the property. To do this, the cash flows that will flow over several years from leasing the asset being valued are calculated.

Then the resulting figure is discounted (reduced to value terms in the present tense). The resulting cumulative result is final.

The third approach is to determine the replacement cost as of the valuation date. The most labor-intensive and therefore not very popular approach among appraisers. To make the calculation, it is necessary to determine the price of reproduction of a similar object, calculate the wear rate (physical, moral) and derive the calculated indicator adjusted for a certain wear and tear.

How to find out the book value of a building

If the property is new, then it is reflected in the balance sheet in value terms of its actual acquisition. Further, depending on the accounting policy of the enterprise, this property begins to depreciate monthly, quarterly or annually, that is, wear out. Therefore, the accountant begins to calculate depreciation from the original cost. The amount of depreciation is calculated in monetary terms and is the income of the enterprise, therefore, income tax is paid on depreciation charges.

Calculating the value of assets that are purchased on the secondary market or calculating the price of large real estate objects occurs differently. You can, of course, take the purchase price of the property as a starting point, but this will not be entirely correct.

It is no secret that most properties are sold at slightly changed prices (for example, in order to reduce the income tax that will be charged to the seller).

How to find the book value of a building

That is why, before calculating, it is best to conduct a preliminary assessment for the subsequent placement of assets on the balance sheet. By the way, it is hardly advisable to underestimate the price of fixed assets, since it is precisely this that serves as a “safety cushion” in the event of creditor claims. Determining the book value of large assets In order to determine the true market value of large assets, at which, in fact, they should be reflected on the balance sheet, it is best to resort to the services of a professional appraiser. How to determine how large the acquired asset is is very simple. If the value of the property is 20 percent or more of the total balance sheet, this property is classified as large assets.

To evaluate long-term assets (fixed assets, shares, etc.) different methods. The same object can be characterized by several numerical values ​​of its value.

The key concept in accounting is book value. With its help, the financial position of the enterprise is described and assessed. In the article we will consider the features of determining this indicator and its characteristics. Book value of fixed assets Form No. 1 is the most important document necessary for analyzing the economic activities of an enterprise.

It is he who gives an idea of ​​the assets and liabilities of the subject. Assets comprise the enterprise's funds - current and fixed assets.

Accounting for the latter is sometimes difficult: they are used repeatedly and for a long time, which affects their cost, which still needs to be calculated. To simplify this procedure, the concept of book value was introduced.

Enterprise property value

General value of enterprise property equal to the total balance sheet asset minus the total for Section III of the balance sheet “Losses”. The value of non-current assets (fixed capital) is equal to the total of section I of the balance sheet asset, and the value of current assets is equal to the total of section II of the asset “Current assets”.

An increase in the share of non-current assets in the property of an enterprise indicates the capitalization of profits and successful directions of the investment policy of the enterprise. With a large share of long-term financial investments, and even more so with its increase over the year, the effectiveness of investing in other enterprises is studied. To do this, the percentage of return on invested capital is compared. The percentage of return on capital invested in other enterprises should be higher than on funds invested in one’s own production.

Enterprise property value

- These are non-current and current assets at the disposal of the enterprise. An asset on the balance sheet of an enterprise allows you to evaluate the property of the enterprise and its investment activities as of the reporting date.
The total value of the enterprise’s property is equal to the total assets of the balance sheet minus the total of Section III of the balance sheet “Losses”. The value of non-current assets (fixed capital) is equal to the total of section I of the balance sheet asset, and the value of current assets is equal to the total of section II of the asset “Current assets”.
Based on the indicators of the enterprise’s property (non-current and current assets), the dynamics of changes in the value of all property and its components for a year or other analyzed period is studied and an assessment is made of the influence of certain types of property on the increase or decrease in the value of all property, i.e. a “horizontal analysis” is carried out property. It should be borne in mind that in horizontal analysis, changes in indicators are influenced by the results of property revaluation and inflation.
A higher growth rate of current (mobile) assets compared to non-current assets determines the tendency to accelerate the turnover of the entire aggregate of the enterprise's assets.
An increase in the share of non-current assets in the property of an enterprise indicates the capitalization of profits and successful directions of the investment policy of the enterprise.

With a large share of long-term financial investments, and even more so with its increase over the year, the effectiveness of investing in other enterprises is studied. To do this, the percentage of return on invested capital is compared. The percentage of return on capital invested in other enterprises should be higher than on funds invested in one’s own production.
With an increase in the share of fixed assets in the property of an enterprise, depreciation of fixed assets and the share of fixed costs increase.
A significant increase in the share of current assets may indicate a change in the type of activity of the enterprise - from production to trade intermediary. A decrease in the share of accounts receivable is a positive trend in the activities of the enterprise.

The book value of assets is.

the value of the enterprise's property. In financial statements book value of assets isbalance line 1600. Read more about it in this article.

Book value of assets: where to look in the balance sheet (line) and how to calculate

The book value of assets is the sum of all assets of the enterprise in monetary terms, reflected in the balance sheet (BB). The company's assets include:

• non-current assets - line 1100 BB;
• current assets - line 1200 BB.

Book value of assets — This the amount of non-current and current assets reflected in line 1600 BB.

Fixed assets and intangible assets are classified as non-current and are indicated in the BB at their residual value, that is, at the purchase price minus accumulated depreciation and taking into account revaluation, if it was carried out at the enterprise.

Working capital is the assets that participate in the activities of the enterprise and are consumed within 1 year or 1 full cycle. Current assets include such assets as:

• materials/supplies;
• accounts receivable;
• cash;

Based on the goals, the enterprise can calculate book value of assets as the value of all property of the enterprise or its constituent elements (fixed assets, intangible assets, etc.). How to calculate the book value of assets enterprises, we will consider below.

Read also: Sample statement to the police about theft of property

So, as already noted, book value of assets is reflected on line 1600 BB and represents the sum of the non-current and current assets of the enterprise. That is book value of assets — This the value of all property of the enterprise according to the balance sheet as of the last reporting date. It is calculated like this:

Line 1100 BB + Line 1200 BB.

Note!Book value of assets and book value of net assets are different concepts. Book value of assets — This the totality of all assets of a business, while net assets are the assets minus the liabilities of a business.

You can read more about net assets in the article “How is the accounting value of net assets calculated?” .

An enterprise can, upon request, provide information about the state of its assets to credit and insurance organizations and some counterparties when making transactions. For this purpose, the company draws up a certificate of book value of assets. which includes the calculation above.

A sample of such a certificate and the procedure for filling it out can be found in the article “Certificate of book value of assets - sample” .

Why is the book value of assets calculated?

First of all, for the purpose of financial analysis, which is the most important tool for assessing the financial condition of an enterprise. In particular, book value of assets used in the calculation:

How return on assets is calculated can be read in the article “Determining return on assets (balance sheet formula)” .

How the asset turnover ratio is calculated can be read in the article “Asset turnover ratio - calculation formula” .

If an enterprise calculates profitability and asset turnover ratios for self-analysis, then the indicator book value of assets in some cases must be calculated by law.

Book value of assets — This the most important indicator that determines the size of the transaction performed by the enterprise.

Thus, some transactions of an organization for the sale of assets are recognized as large ones in accordance with paragraph 1 of Art. 46 Federal Law No. 14-FZ dated 02/08/1998 (for LLC) and clause 1 of Art. 78 Federal Law No. 208-FZ dated December 26, 1995 (for joint-stock companies). To determine the size of the transaction, it is necessary to calculate book value of assets and the cost of the property being sold. If the cost of the property being sold is more than 25% of book value of assets organization, the transaction is considered major. In this case, a decision of the meeting of shareholders or founders is required to carry out the transaction. If book value of assets determined incorrectly or not calculated at all, the transaction may be declared invalid.

Book value of assets — This the value of the enterprise's property according to accounting data. Information about it is contained in line 1600 of the balance sheet. Book value of assets —This an important indicator used to analyze the performance of an enterprise.

The book value of assets is balance sheet line 1600. Balance sheet

From the formula already included in the balance sheet it follows:

The final indicators for line 1100, which combines positions that demonstrate the presence of fixed assets (line 1150) and intangible assets (line 1110), at the beginning of the reporting year amounted to 568,054 rubles. (54 + 568,000), and at the end of the year - 653,042 rubles. (42 + 653,000);

The values ​​on line 1200 amounted to 6,131 rubles at the beginning of the year. (3,955 + 325 + 1,851), at the end of the period - 8,888 rubles. (5,452 + 451 + 2,985);

The results of the 1st and 2nd sections are combined into the total balance sheet asset, i.e. as of December 31. In 2015, the book value of assets (this is balance sheet line 1600) amounted to 661,930 rubles. (653,042 + 8,888), and at the end of 2014 it was 574,185 rubles. i.e. 658,054 + 6,131.

Analyst's findings

When comparing the obtained absolute values, the economist is given the opportunity to analyze the state of assets, see trends towards an increase or decrease in the total availability of property, and, by category, assess the actual situation with the company’s assets on a certain date.

Thus, using the presented balance sheet, the economist calculates changes in the values ​​of each line, comparing the indicators at the beginning and end of the year. In the example given, the cost is:

Intangible assets decreased by 12 thousand rubles;

OS increased by 85,000 rubles;

Inventory inventories increased by 1,497 rubles;

Accounts receivable increased by 126 thousand rubles;

Cash flow increased by RUB 1,134.

Based on these data, one can judge a very confident increase in the value of the company’s property in 2015: an increase in fixed assets indicates the acquisition of some fixed asset, a decrease in intangible assets was the result of writing off accrued depreciation, since in Section 1 the book value of assets is the residual value.

For all groups of working capital, there is also an increase in line-by-line values, which indicates an expansion of production and a noticeable increase in sales activities, and the availability of inventories increased by 37.9%, and Money- by 61%. This means that sales growth is faster than inventory growth. Consequently, the company is pursuing a competent policy to search for markets and increase product sales.

Read also: Obligations to transfer property for use

Analysis of accounts receivable on the balance sheet

The status of accounts receivable is analyzed separately. The absolute value of this indicator increased by 126 thousand rubles. the growth rate by the beginning of the year was 38.7%. However, we cannot confidently speak about the undoubted growth of this indicator. Considering the growth of inventories at almost the same pace (37.9%), and the increase in the cash component by 61%, we can judge the stability of this value and the absence of an increase in debts, because in the total value of assets the share of debtors' debt remained at the level of the beginning of the year - 0. 06%:

325 / 574 185 * 100% = 0.056% at the beginning of the year,

451 / 661,930 * 100% = 0.068% at the end of the year.

Such a calculation is necessary because accounts receivable, being an asset, still diverts funds from production turnover and requires mandatory control of the dynamics of changes, i.e. timely collection of debts. In our example, the absence of its increase against the background of a general increase in assets is a very positive sign of the financial health of the organization. The total book value of assets (this is balance sheet line 1600) increased over the year by 87,745 rubles. or by 15.3%.

Finally

For a more detailed analysis of indicators, the economist uses many calculated coefficients. In this article, we tried to talk not only about how to fill out a balance sheet and calculate the amount of assets on it, but also tried to see the analytical picture behind the dry numbers of the line-by-line values ​​of this accounting form.

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Book value

Book value is the value at which an element of assets is recorded on the balance sheet.

The book value of an asset is equal to its original cost minus accumulated depreciation.

The initial cost is defined as the sum of all costs for the acquisition or manufacture (construction) of an object, including delivery and installation costs and excluding the amount of refundable taxes.

Book value of fixed assets

In accounting, the book value of a fixed asset is the residual value of the fixed asset, which is defined as the difference between the original cost and the amount of accrued depreciation.

When accounting for fixed assets at a revalued cost (revaluation), the book value of fixed assets is equal to the difference between its current (replacement) cost and the amount of accrued depreciation.

Book value of assets in the company's balance sheet

Book value of assets is the sum of all the company's assets that are reflected in the balance sheet.

The book value of assets is the sum of non-current and current assets.

Fixed assets and intangible assets are classified as non-current assets and are indicated in the balance sheet at their residual value, that is, at the purchase price minus accumulated depreciation and taking into account revaluation, if it was carried out at the enterprise.

Current assets are assets that participate in the activities of the enterprise and are consumed within one year or one full cycle.

Current assets include assets such as:

VAT on acquired values, which indirectly, but also, is the property of the enterprise;

short-term financial investments.

For what purposes is the book value of assets calculated?

First of all, for the purpose of financial analysis, which is the most important tool for assessing the financial condition of an enterprise.

The book value of assets is an important indicator used to analyze the performance of an enterprise.

In particular, the book value of assets is used when calculating:

return on assets, which shows how much profit the company receives from each ruble invested in property;

asset turnover ratio, which determines the efficiency of their use.

If an enterprise calculates profitability and asset turnover ratios for its own financial analysis, then the indicator of the book value of assets in some cases must be calculated by law.

Thus, the book value of assets is the most important indicator that determines the size of the transaction performed by the enterprise.

Thus, some transactions of an organization for the sale of assets are considered large if the cost of the property being sold is more than 25% of the book value of the organization’s assets.

Therefore, to determine the size of the transaction, it is necessary to calculate the book value of assets and then determine the value of the property being sold.

In this case, a decision of the meeting of shareholders or founders is required to carry out the transaction.

If the book value of assets is determined incorrectly or not calculated at all, the transaction may be considered invalid.

This is necessary to ensure that accounting data does not lose its reliability and relevance. OSes tend to become morally and physically obsolete, which is why their cost also changes. If, after revaluation of property, it is discovered that the price of the asset has decreased or increased, the residual value is recalculated as follows:

1. Determine the replacement cost of the object as of the valuation date.
2. If the value of the property has decreased, a markdown is made. The balance sheet shows the calculated amount minus depreciation.
3. If the cost of fixed assets increases, an additional valuation is made by recalculating depreciation. Changes are made to the balance.

The results of property revaluation are attributed to additional capital, i.e., it either increases or decreases.

5. determination of the cost of a building, structure, residential premises

Real estate in the balance sheet of an enterprise Real estate is assessed to determine its value before selling or buying, leasing and in many other cases. Depending on the direction of the enterprise’s activities, objects can be accounted for according to their original cost minus depreciation, or at the current market price. Investment property is reflected at the end of the reporting period at fair value, which was determined by an international appraisal company.

Sometimes it is not always possible to compare enterprise objects with the market, which leads to a more in-depth analysis. The book value in this case is determined taking into account the profitability of the property. Residual value of intangible assets Intangible assets are property that does not have a tangible form.

Book value

ORDER of the Ministry of Land Construction of the Russian Federation dated 04-08-98 37 (as amended on 04-09-2000) ON APPROVAL OF INSTRUCTIONS ON CARRYING OUT ACCOUNTING OF THE HOUSING STOCK IN... Relevant in 2018 5.1. Determination of the cost of a building or structure is carried out by the BTI separately for statistical accounting purposes (full book value and residual book value) and for taxation individuals(actual inventory value). The technical passports of the BTI indicate the full book value and residual (including depreciation) book value of the building, structure, used for their statistical accounting, as well as the actual inventory value for tax purposes for individuals.

5.2.

Book and cadastral value of the building in calculation

Attention

Book value of fixed assets - features Book value almost never coincides with the value of the property dictated by the market, since the mechanisms for determining it vary greatly. In contrast to the market, where the competition factor is of great importance, the book value of property is formed by adding up all the actual costs incurred by the company for the construction, acquisition or manufacture of property assets. How is the average annual book value of fixed assets calculated? Keeping in mind that the book value of fixed assets is their residual value, we can derive the formula: BSos = PSos – Am, where: BSos is the book value of fixed assets; PSos - initial purchase price; Am - depreciation charges accrued over the period of operation.

Depending on the goals, there are 2 formulas for the average annual book value of fixed assets.

Book value: definition and features

The value depends on the following factors:

• building location;
• economic development of the area;
• date of construction and degree of wear;
• market price of similar objects;
• soil quality and purpose of the site;
• features of engineering communications.

The exact calculation algorithm is complex and can be made using a general formula or another method (the decision is made by municipal authorities). What does it affect? The value determines the owner’s capabilities when performing real estate transactions and his obligations to the tax service. When doing business, the indicator influences the development of the business; the entrepreneur takes into account his costs and plans further actions.
The higher the assessment, the higher the tax, but the owner’s opportunities are wider - when selling or exchanging, you can count on a good amount and consider profitable options.

The book value of fixed assets is...

If it is necessary to calculate the residual value of one of the asset objects, perform actions similar to those described above: determine the initial or replacement cost (in case of revaluation) and subtract the depreciation amount from it. Depending on the purpose, the value can be calculated both for an individual object and for a group of them. The concept of book value of assets is also widely used.

Its indicator best characterizes the financial well-being of an enterprise, which is of interest to third parties (investors, lenders). The book value of assets is the totality of all funds, which is calculated as the sum of lines 1100 and 1200 of Form No. 1 of the financial statements. Certificate of residual value of assets As mentioned above, the indicator of asset value is very informative.

Any company interested in this can request data.

Book value of the building in 1973

Various methods are used to evaluate long-term assets (OS, shares, etc.). The same object can be characterized by several numerical values ​​of its value. The key concept in accounting is book value.

With its help, the financial position of the enterprise is described and assessed. In the article we will consider the features of determining this indicator and its characteristics. Book value of fixed assets Form No. 1 is the most important document necessary for analyzing the economic activities of an enterprise.

It is he who gives an idea of ​​the assets and liabilities of the subject. Assets comprise the enterprise's funds - current and fixed assets. Accounting for the latter is sometimes difficult: they are used repeatedly and for a long time, which affects their cost, which still needs to be calculated.

To simplify this procedure, the concept of book value was introduced.
Quote (NALINA @ 27.9.2011, 7:47) In general, in meaning, this should be the residual value, since it takes into account the real condition of the object at the moment in terms of the degree of wear. The residual value has nothing to do with the real condition of the object. Today you buy a building - tomorrow depreciation begins = the residual value has decreased.
But in reality the object did not deteriorate in any way during this time. In addition, depreciation is a mechanism that has nothing to do with the condition of the object. When calculating it, the real state of the object is not taken into account in any way. It is used solely for tax purposes.

Calculating depreciation is also optional.

Where can I find out the book value of a building?

Important

The situation is similar with rent - it is determined by the cadastral value. Challenging and reducing the cost The basis for revising the indicator is the use of inaccurate data about the building. A challenge can occur at the initiative of an administrative plaintiff or an applicant (legal entity or individual).

To resolve the issue you will need the following documents:

• certificate of cost;
• certified copy of the legal document;
• market price reports;
• expert opinion;
• other papers (if necessary).

Legal entities first apply to the commission, and if the application is rejected, they can go to court. Based on the results of the examination and detailed consideration of the issue, a verdict is issued. How to find out the cadastral value on the Rosreestr website? The Rosreestr portal contains information about real estate in the Russian Federation, including information on the valuation of objects.

Regardless of the chosen method of drawing up the certificate, it is necessary that it indicates the residual value of the enterprise’s funds at the beginning and end of the reporting year. Book value of a share In economic analysis, in addition to the indicator of the enterprise's funds, the value of net assets is also used. To calculate it, the sum of lines 1400 and 1500 is subtracted from the value of line 1600 of the balance sheet. Thus, net assets show the amount of the enterprise’s funds formed from its own capital and not encumbered with liabilities. When calculating the book value of a security, we talk about the shareholder's share in the capital of the enterprise. The indicator is defined as the ratio of net assets to the number of issued ordinary shares. At the same time, the residual value valuable papers often does not coincide with their market valuation. It should be taken into account that own shares purchased from shareholders are not taken into account.

Where to see the book value of a building

Quote: Message from vsv-boss Find the purchase and sale agreement for this premises and the transfer and acceptance certificate and read these documents Well, quickly calculate depreciation. It is not difficult. Linear method. If the calculation is 30 years (more precisely, you need to look in the classifier), then it is calculated as follows: divide the cost of the building by 360 months and get a monthly depreciation amount. Let's say you owned this building for 3 years or 36 months.

The price of the building (including VAT, since under the simplified tax system depreciation is written off through depreciation) 36 million rubles. So we calculate depreciation = 36 million rubles/360 months. x 36 months = 3.6 million rubles. Consequently, over three years, depreciation amounted to 3.6 million rubles.

Quote: Message from Calisto: What should a document with information about the book value of a premises look like for appraisers? I think in the form of a certificate. But they may also require OS-6 (OS object inventory card).