Unlike the usual form balance sheet, small businesses can form a balance sheet in a simplified form, the structure of which differs from the usual form. In particular, in the balance sheet formed by small businesses, the asset is not divided into sections, but instead of the section “outside current assets» reflects the indicators “material and intangible fixed assets».

Non-current assets: what are they?

Non-current assets are assets of a business entity that are used for a long time economic process(more than twelve months), bring income to the organization, transfer their value to the cost of the finished product in the form of depreciation in parts.

Property that is classified as tangible non-current assets

Part of the property of an economic entity that is responsible following criteria, refers to tangible non-current assets:

• used in economic activity enterprises;
• long-term use of the property (more than twelve months);
• the business entity receives income from the fact that these assets are used in the business process;
• property has value and physical form;
• property is subject to the process of partial write-off of its value to the cost of the product produced (or work performed, or services provided).

Reflection in the balance sheet of property that relates to tangible non-current assets

Line 1150 reflects tangible non-current assets in the balance sheet compiled in a simplified form by small businesses.

In the balance sheet of an economic entity that belongs to small businesses, the line “Tangible non-current assets” reflects the indicator obtained as the difference between the debit balances of accounts 01 “Fixed assets”, 03 “Income investments in material values"and the credit balance of account 02 "Depreciation of fixed assets".

To the amount received is added the indicator reflected in account 08 “Investments in non-current assets” in relation to expenses for construction in progress.

The indicator obtained as a result of calculations reflects the amount of fixed assets available to a small business entity.

Intangible financial and other non-current assets

In the balance sheet of an economic entity classified as a small business, the asset contains an item under which other non-current assets other than tangible non-current assets are to be reflected. In particular, for this line in the balance sheet of small businesses the following is reflected:

• non-current assets intangible;
• assets classified as financial non-current assets;
• other non-current assets, i.e. those that are not included in the above lines.

What are intangible non-current assets?

As intangible assets, those assets are recognized that meet the conditions for classifying them as non-current, have a certain value, but do not have a physical form.

Trademarks, licenses, cost of software, etc. can be taken into account as intangible assets as part of non-current assets of small businesses.

Financial assets accounted for as non-current

Such assets include financial investments, which are long-term, i.e., carried out for a period of more than twelve months. As part of the financial investments of business entities, they may include: securities, contributions to authorized capitals, loans provided, etc.

As other non-current assets in the balance sheet they reflect

The line “Intangible financial and other non-current assets” in the balance sheet of small businesses reflects:

• results of developments and research;
• investments in Not money, which are incomplete.

What is the difference between non-current and current assets? The answer to this question can be given by any accountant from the height of his professionalism, but we will try to look at the question through the eyes of a simple layman.

To work even in the smallest production, you need to know what the profit is made up of and what the costs are, especially if you are a financially responsible person.

People commit many administrative, disciplinary and even criminal acts out of ignorance of the internal “kitchen” of production (and those who do because of knowledge do so intentionally, but that’s not the point).

Be that as it may, understanding assets is useful for any person, not necessarily an accountant and not necessarily a production employee.

Fixed assets

Non-current assets of an enterprise are fixed assets- everything that is not directly involved in the production process, but without which its progress is impossible. For example, a building in which many production workshops are located. Hands do not grow out of the walls and begin to help the workers, but if there were no building, there would be no production either!

It happens, of course, that some material is produced outdoors, but this is the exception rather than the rule. In all other cases, real estate is the basis of production, its foundation.

Buildings and constructions- This is not the active part of non-current assets. Simply put, they are quite stable and are little subject to reorganization. The maximum that is provided for them is planned repairs, and reconstruction, if production plans require it.

Unlike buildings and structures, non-current assets such as machines, units, equipment, technical accessories and engineering devices, are an active share of non-current assets. The equipment fleet of the growing enterprise is constantly updated, more and more powerful units are supplied from abroad, and old ones are repaired, reconstructed and modernized whenever possible.

It is easier to imagine how these non-current assets take part in the production process, but still, they remain in their original form, without sacrificing their screws and tongues for the sake of the final result. However, both buildings and units experience physical deterioration. This is precisely the strength they put into the product.

Non-current assets are constantly subject to revaluation, since their value decreases due to wear and tear, and the cost of products, accordingly, increases (everything comes from somewhere and goes somewhere: the “law of conservation of value”).

This phenomenon is called depreciation of fixed assets and, as you probably already guessed, it can only apply to non-current assets.

So once again, what applies to non-current assets:

• Buildings, structures, production facilities, workshops, warehouses, etc.;
• Machines, units, power plants, machine tools, transport, equipment fleet as a whole;
• Also non-current assets are long-term, reflected in the enterprise’s credit account;
• This also includes unfinished buildings and structures;
• Animals and perennial plantings;
• As well as other (intangible) assets that represent intellectual value.
  To put it simply, this is knowledge and skills, and in business language this can include various patents and know-how (new items in engineering and technology, the implementation and sale of which the company has the exclusive right to).

This is all that serves a person for several years, right up to “writing off”.

Since non-current assets “live” a long life, it is difficult to call them liquid. In other words , fixed asset turnover, that is, turning them into money, if necessary, leaves much to be desired.

Some assets “lie” on the company’s balance sheet as a dead weight, and sometimes no one is even in a hurry to write them off. Due to such costs caused by the very essence of non-current assets, the company’s balance sheet is maintained in Russian rubles.

If there are no such problems: the equipment fleet has been updated, the newly built buildings sparkle with the brilliance of newness, and there is nothing “lying around” in the warehouses, then most likely the enterprise operates according to standards close to European ones, and it is in its interests that the liquidity of all its assets was high. Then reporting can also be done in currency: depending on which country the company has the best relations with, it can be the euro or the dollar. All you need to do is follow exchange rates and place the greatest emphasis on the liquidity of non-current assets.

Current assets

Their name speaks for itself: they are completely “turned around” in one (maximum two) production cycle.

The simplest example of current assets is this is all the materials, going to the assembly line: their life is short. Production, supply, (storage), processing. Current assets are not involved in any other production cycle. Perhaps they will be used for fertilizer or some other process not related to production.

The volume of current assets on the company's balance sheet is, one might think, impressive. To ensure that the conveyors operate without stopping and the work process is not interrupted, there is always a supply of materials in the warehouses. However, there are also current assets that serve the production process for at least a year.

What are current assets:

• materials are the main current asset;
• of course, cash- the most liquid product;
• funds in accounts receivable (what third-party companies and organizations owe to this);
• goods already produced and stored in warehouses;
• goods already produced and delivered to the customer, but not yet paid for (when he pays for them, it will be in cash);
• Services already provided but not yet paid for.

Non-current assets are shown in the 1st section of the balance sheet, and current assets in the 2nd section of the balance sheet; together they constitute the Balance Sheet Asset.

Current assets are also represented in a number of accounts accounting. This is a very structured system that makes it convenient to track the movement of tangible and intangible assets.

As already mentioned, according to the nature of participation in the production process, assets are divided into non-current and current (current). They play a leading role in asset valuation.

Non-current assets include:

Intangible assets;

Fixed assets;

Construction in progress;

Profitable investments in material assets;

Long-term financial investments;

Other intangible assets.

Ensuring the efficient use of non-current assets requires constant management of them, which is carried out in various forms. The largest part of non-current assets is, as a rule, operating assets, which go through the following main stages of circulation:

1. Transfer of the value of non-current assets to finished products;

2. Accumulation of the amount of wear and tear through the formation of a depreciation fund;

3. Financing from the sinking fund for the restoration or acquisition of non-current operating assets and other sources.

The operational non-current assets management system includes the following sequence of activities carried out by the organization's management:

Analysis current state operating non-current assets, including studying the dynamics of their total volume and composition, degree of suitability, intensity of renewal and efficiency of use;

Optimization of the composition and structure of operating non-current assets to identify reserves for increasing their production use in terms of time and capacity in the context of their individual types;

Creation of conditions that ensure timely renewal of operating non-current assets;

Increasing the efficiency of using the organization's operating non-current assets, reducing their volume and, accordingly, reducing the amount of financing for their reproduction;

Optimization of the structure of sources of financing for operating non-current assets;

Important In the implementation of a non-current assets management system, it is necessary to ensure their timely and effective renewal, for which it is necessary to determine the frequency of renewal, which depends on the duration of their physical and moral wear and tear.

The organization in its practical activities uses various forms of updating operating non-current assets, while in the process of simple reproduction the following are used: Maintenance, major renovation, acquisition of new types of assets, and in the process of expanded reproduction - reconstruction, modernization, etc. The choice of a specific form of renewal should be carried out according to the criterion of efficiency, when the amount of future profit generated as a result of the operation of the asset after renewal should exceed its liquid value.

The process of financing the renewal of certain types of operating non-current assets involves choosing options for their formation, i.e. acquisition of ownership or conclusion of a lease (leasing) agreement. When solving this problem, as a rule, they proceed from an analysis of the advantages and disadvantages of one or another form of attracting assets.

The main criterion for making management decisions from the position of financial management is the comparison of cash flows for various forms of financing asset renewal. In this case, the cost of acquisition is compared due to own funds, due to bank loan and using a leasing agreement.

Current production assets include production inventories (raw materials, supplies, fuel, spare parts, low-value and wearable items), work in progress, deferred expenses.

The main purpose of working capital of production ( inventories and work in progress) – to ensure uninterrupted and rhythmic production process.

Finished products, as well as cash in the cash register, on the current account, accounts receivable and the funds in the calculations constitute the circulating funds of circulation. The need for these working capital is determined by the continuity of the process of circulation of funds of production associations (enterprises).

Essence working capital determined by their economic role, the need to ensure the reproduction process, including both the production process and the circulation process. Unlike fixed assets, which are repeatedly involved in the production process, working capital operates only in one production cycle and, regardless of the method of production consumption, completely transfers its value to the finished product.

The efficiency of an enterprise largely depends on its availability of working capital. The sources of their formation largely determine the efficiency of using working capital. Establishing the optimal ratio between own and borrowed funds, due to the specific features of the circulation of funds in a particular economic entity, is an important task of the company.

The organization of working capital is an important element in the asset management process and includes:

o determination of the composition and structure of working capital;

o establishing the enterprise’s need for working capital and maintaining working capital in an amount that optimizes management current activities;

o determining the ratio between coating sources sufficient to ensure long-term production and efficiency financial activities enterprises

o identifying sources of working capital;

o responsibility for the safety and efficient use of working capital.

Each business entity has at its disposal a certain amount of assets. Analysis of the volume, structure and condition of assets allows us to determine financial stability company and its market value. The term “assets” should be understood as the property of the company, including financial assets and intangible assets. Quite often you hear about the term “total assets”. This term is used to describe common property company used to generate income. All company property can be divided into several categories, which are indicated in different sections of the balance sheet and financial statements. In this article, we propose to consider the question of what non-current assets are and what their purpose is.

Other current assets on the balance sheet are economic resources companies that are not subject to reflection in the main lines of the report of section 2

What are assets

As mentioned above, the assets of an enterprise are the tangible and intangible assets of the company. The term "net assets" means equity, which is the difference between monetary obligations companies and assets. It is important to note that the size of assets has a significant impact on the amount of taxation. There are several special regimes taxation, the choice of which eliminates the influence of assets on the size of the tax base. It should be noted that the company's accountant still needs to keep records of the company's tangible and intangible assets, which are indicated on the balance sheet. This step is necessary in order to be able to switch to general mode paying taxes. All property assets of the company can be divided into two groups: non-current and current assets.

Working capital includes those assets that are used by the company during one production cycle. The costs of purchasing this property are covered through the sale of finished products. The category of current assets includes industrial raw materials, funds stored in a current account, short-term investments and consumables. Non-current assets are those assets that are used by a company for a long period of time. As a rule, the payback period for such assets is more than a year. It is important to note that this property transfers its price only partially into the products sold.

Outside revolving fund company is of great importance in calculating the value of the tax base. This type of property is reflected in the financial statements. Non-current assets of an enterprise are a kind of complex consisting of the following funds:

• financial;
• fixed assets;
• intangible;
• other non-current funds.

Types of non-current assets

First let's look at financial view assets. This type of internal funds includes long term investment, which are divided into several main groups. The first group includes deposit certifications and bonds that have long term repayment. This type of investment is used to distribute free financial resources in various projects to generate income, in percentage to the investment amount.

Securities purchased from LLCs, OJSCs, CJSCs and other organizations. One of the purposes of this acquisition is to gain control over third-party companies. The purchased securities generate profit through dividend payments. Often, entrepreneurs take such a step in order to gain control over the process of supplying industrial raw materials. In addition, the acquisition of LLC shares allows you to establish your own sales system for finished products.

Non-current assets are fixed assets that serve the company for more than a year and are capable of generating income for it.

This article also includes various loans and credits issued by third-party companies. Financial obligations allow you to receive not only income, but also increase the financial well-being of the company by increasing production capacity.

Other non-current assets include the entrepreneur's costs associated with organizing a business. One example of this expense item is the cost of preparing documents submitted to the Federal Tax Service for company registration. Usually, this type expenses are contributed to the company's authorized capital. It is important to note that some funds in this category are not reflected on the balance sheet. Such funds include copyrights and business reputation of the company.

Other non-current assets on the balance sheet are production costs, which are shown in line number 1190. It is important to note that these costs must meet a number of strict criteria. First of all, their circulation period must be more than one year. Secondly, these costs should not be classified under other classifications.

Tangible and non-current assets form the company's fixed assets. This group includes real estate owned by the company, as well as land plots. This article includes production equipment, vehicles, furniture, equipment and other material assets that are used for more than one year. Also included in the category of the company's fixed assets are the company's property assets transferred for long-term lease. It is important to pay attention to the fact that only those objects that have a certain value belong to this category. In addition, their cost must be at least ten thousand rubles.

Items with a value of less than 10,000 rubles are included in the category of “low-value” property. Such assets are accounted for in the balance sheet line as a revolving fund, which has the form material stock. It should also be separately mentioned that when calculating the cost land plots the price is taken into account according to the cadastre or the concluded agreement for their purchase. Calculation of the cost of buildings and construction structures is based on the cost construction work or the purchase price of these objects.

Intangible non-current assets are assets whose value is difficult to determine. This section of the balance sheet should be discussed in more detail due to the width of this group. This line includes:

1. The right to use the land.
2. A license to produce a certain type of product or provide services.
3. Software (If software developed by a third party, the cost of purchasing the software should be taken into account).
4. Trademarks and other patents.

It should also be said that the costs associated with carrying out scientific research, personnel training and the creation of production samples - do not belong to this category. These expenses must be included in the reporting for the time period during which the company incurred the expenses. It is important to note that the registration process similar expenses has many subtleties and nuances. Quite often, regulatory authorities ask questions regarding the price of purchased trademarks and patents.

Assets classified as non-current include assets that are used for a long time in the activities of an economic entity

Patents are clearly fixed time actions during which its protection is carried out. As a rule, this period is equal to twenty years. The cost of a patent is directly proportional to its age. This means that patents registered more than ten years ago have low value compared to new ones. The value of a patent is also affected by its level of fame. Most often, this circumstance is observed in the pharmaceutical sector.

Separately, it is necessary to highlight the protected objects of intellectual property - know-how. Know-how or a production secret has an unlimited validity period and often becomes the object of industrial espionage. As practice shows, know-how is much more reliable than a patent, due to the difficult process of reproducing such products. As an example, let’s look at a situation in which a company has developed its own method for producing polyethylene.

This technology must be patented. However, the product itself, manufactured using the new method, is no different from those products that are manufactured using the generally accepted method. This allows competing manufacturers to use the description of the method for their own purposes. It is important to note that this process cannot be controlled.

The presence of know-how in a patent allows you to withdraw part important information from public access, thanks to this step, competing manufacturers will not be able to reproduce the product, which will increase the price of the patent itself several times.

Determining the value of non-current assets

In a conversation about what non-current assets are, what applies to them and how to determine their value, it is necessary to pay attention Special attention last question. As a rule, the value of these funds changes under the influence of various factors. Among the internal factors, the influence of depreciation costs and reconstruction of facilities should be highlighted. There are much more external factors and not all of them can be taken into account during the analysis. For example, let’s imagine an enterprise that owns land plot. The development of the city's infrastructure can lead to an increase in the value of this asset due to the construction of new roads, metro lines and other facilities nearby.

Non-current assets are used in business activities for a long time, i.e. more than one year

The book price of these funds depreciates due to increasing inflation. In this case, the entrepreneur needs to reassess the cost non-current assets. Revaluation of non-current assets on the balance sheet is a complex procedure where you will need to take into account everything external factors, which may affect the value of the object. It should be noted that carrying out such a procedure can lead to both an increase and a decrease in the value of objects. An example is the cost of computer equipment. Thanks to technical progress New models appear, which leads to a reduction in the cost of obsolete products. This means that the cost of equipment can drop to zero long before the end of the depreciation period.

It is recommended to carry out this process no more than once every twelve months. According to established rules, revaluation of fixed assets is carried out closer to the end of the reporting year. If the value of assets increases, a revaluation note is made in the financial statements. It is important to pay attention to the fact that if this object is sold, the amount received is not reflected in the tax base.

There are three types of lies: bragging, lying and reporting.
Jozef Bulatowicz, Polish writer

Accounting is not the triumph of mathematics over reason,
Accounting is the triumph of reason over mathematics.
NN

For the uninitiated person, financial statements are a set of meaningless numbers. The peculiarities of accounting easily mislead investors who take numbers literally without thinking about where they come from. You can understand the state of the company by analyzing all the main reporting documents, not just for one year, but over time. Only in this case the processes occurring in the company are visible.

Last time we sorted it out. It's time to get to know them better. And today we will look at two main types of assets - non-current and current.

Current and non-current assets

I heard the most understandable explanation of the difference between current assets and non-current assets back in university:

Current assets are spent or consumed in the production process, and non-current assets are used.

For example, when you drink your morning coffee, you consume the drink itself, but you use the mug and spoon. This means that for you coffee is a current asset, and a mug with a spoon is a non-current asset. And if you use disposable paper cups, then they also become current assets.

Problem: my sister is a wedding photographer. She takes photographs of wedding guests, processes the photos on a computer, prints them and designs beautiful wedding photo albums. What are its current and non-current assets?

In actual practice, in order not to complicate accounting, current assets also include things that are used and not spent in the production process, but are very cheap. Stationery, tools, circles for employees - all this little stuff does not fall into the company’s non-current assets. Moreover, by international standards the company has the right to determine the minimum value of assets, and all costs below this value will not fall into the assets column, but into expenses.

IN international practice current assets are called current assets, and non-current assets are called long-term assets.

Current assets

The first current asset is money in any form (Cash & Equivalents): cash, bank account balances. It is logical that reusing them in production is problematic.

Then there are short-term financial investments (Short Term Investments)- they mean short-term loans for a period of less than 12 months.

Receivables are money not yet received for goods sold or services provided. This asset has two features. Firstly, the company does not have this money, although it is listed in its assets. Secondly, the company may not receive this money at all or receive it late. These features leave their mark, for example, on financial planning, as well as on the discrepancy between profit and cash flow companies. The occurrence of accounts receivable is already considered income, because net assets have increased, but at the same time the company may experience difficulties in paying its bills, since the company does not yet have money. We will discuss accounts receivable in a separate article.

Inventory – everything is simple here. What is lying around in warehouses is classified as inventory. Raw materials, semi-finished products, unfinished products, finished goods and so on. The standards do not require disclosure of reserves by type; a company can do this voluntarily. For manufacturing companies and retailers, inventory analysis is one of the most important analytical tools, unfortunately, in most cases inaccessible to private investors.

Prepaid Expenses – prepaid goods and services. For example, in December 2014, a company buys insurance for its cars for the next year. According to accounting rules, this amount cannot be attributed to expenses, because the expense “comes” only next year, so the insurance amount will appear in the balance sheet in this section, and already in 2015 there will be a “virtual” expense - writing off this asset as an expense.

Fixed assets

Non-current assets can be divided into three large groups - intangible assets, tangible assets and financial assets.

Intangible assets (Intangibles) are the intellectual property of a company. Patents, copyrights, franchises, trademarks, rights of use, etc.

An intangible asset such as business reputation or “Goodwill” stands apart. This line in the balance sheet can only appear when the company is sold and means an overpayment for a “good name”. If a company is purchased for $1 million, and market valuation her net assets equals 800 thousand dollars, then the difference of 200 thousand is “Goodwill”. Moreover, in order for “Goodwill” to appear on the balance sheet, it is not necessary to acquire the entire company.

Tangible assets, with reservations, can be equated to fixed assets (Property/Plant/Equipment) - this is everything that is used by the company in the course of its activities. Land, buildings, equipment, machines, machinery, etc.

Depreciation is charged on fixed assets and intangible assets, that is, every year the value of the asset decreases, and the amount of this decrease becomes an expense - the cost of goods. Up until the moment when book value asset will not become zero. Availability of depreciation and different ways its accruals lead to the need to analyze the balance in isolation from other documents financial statements- meaningless. Therefore, we will consider this issue separately.

Financial investments (Long Term Investments) are investments in the classical sense of the word. The company invests money for a period of more than a year and expects investment income. This includes both debt investments (a company lends money, buys bills or bonds) and direct investments (purchase of shares in a company, investments in shares).

There is a difference when accounting for accounts receivable in Russian and international reporting. In the balance sheet according to Russian standards, all receivables are classified as current assets and are already divided into short-term and long-term. In IFRS balance sheets, only short-term receivables (with a maturity of less than a year) are included in current assets, and long-term receivables are included in non-current assets. financial assets. Keep this in mind if you find a big discrepancy in the numbers on one company's balance sheet.