How to do the accounting entries for the purchase of fixed assets

a) Purchase of fixed assets that do not need to be installed:

Borrow: Fixed assets.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, etc.

2) Purchase of fixed assets that need to be installed, etc.:

Accounting is done through the "Construction in Progress" account.

Borrow: Construction in progress.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, salaries payable to employees, etc.

Borrow: Fixed assets.

Credit: Construction in progress.

3) The purchase of fixed assets in installments has the nature of financing

Purchase Fixed Assets that Don't Need to InstallPurchase Fixed Assets That Need to Be Installed.

Debit: Fixed assets (present value of the purchase price).

Unrecognized financing charges (unpaid interest).

Tax Payable – VAT payable (input tax).

Credit: Long-term payables (unpaid principal and interest).

Amortization of bank deposits after they reach their intended usable state:

Borrow: Finance Expenses.

Credit: Financing charges are not recognized.

Purchased fixed assets.

No installation is required.

Borrow: Fixed assets.

Tax Payable - VAT Payable.

Credit: Bank deposits.

Installation required. When you purchase the installed fixed assets.

Borrow: Construction in progress.

Tax Payable - VAT Payable.

Credit: Bank deposits.

When paying the setup fee.

Borrow: Construction in progress.

Credit: Bank deposits.

After installation, it has reached a ready state of use.

Borrow: Fixed assets.

Credit: Construction in progress.

Pay attention to the global online school and ask how to do the accounting entries for the purchase of fixed assets.

The fixed assets purchased by the enterprise shall be included in the fixed assets account.

1. The accounting entries at the time of purchase and installation are as follows:

Borrow: Construction in progress.

Credit: Bank deposits.

2. The accounting entries when paying the installation fee are as follows:

Borrow: Construction in progress.

Credit: Bank deposits.

3. When the equipment is installed and delivered, the accounting entries for the fixed asset cost are as follows:

Borrow: Fixed assets.

Credit: Construction in progress.

The installation fee for the purchase of fixed assets that need to be installed shall be made as follows: construction in progress - xx project - installation fee, tax payable - value-added tax payable - input tax, credit: accounts payable, etc.

The recorded value of the purchased fixed assets to be installed includes the purchase price, relevant taxes and fees (including: customs duties, deed tax, cultivated land occupation tax, vehicle acquisition tax, etc.), transportation costs, loading and unloading costs, installation costs and professional service fees attributable to the assets incurred before the fixed assets reach the intended state of use.

a) Purchase of fixed assets that do not need to be installed:

Borrow: Fixed assets.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, etc.

2) Purchase of fixed assets that need to be installed, etc.:

Accounting is done through the "Construction in Progress" account.

Borrow: Construction in progress.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, salaries payable to employees, etc.

Borrow: Fixed assets.

Credit: Construction in progress.

3) The purchase of fixed assets in installments has the nature of financing

Purchase Fixed Assets that Don't Need to InstallPurchase Fixed Assets That Need to Be Installed.

Debit: Fixed assets (present value of the purchase price).

Unrecognized financing charges (unpaid interest).

Tax Payable – VAT payable (input tax).

Credit: Long-term payables (unpaid principal and interest).

Amortization of bank deposits after they reach their intended usable state:

Borrow: Finance Expenses.

Credit: Financing charges are not recognized.

How should the accounting entries be prepared when an enterprise purchases fixed assets? Accountants must not make mistakes to clear the traces, and those who don't know much about it will take a look.

Accounting entries for fixed assets are obtained.

Acquisition of fixed assets that do not need to be installed (directly credited to fixed assets).

Borrow: Fixed assets.

Credit: Bank deposits.

When an enterprise purchases fixed assets, it shall be recorded as the original value of the fixed assets, debited to the account of "fixed assets" and credited to the accounts of "bank deposits" according to the actual purchase price, value-added tax and other relevant taxes and fees, as well as other expenses directly attributable to the assets before the fixed assets reach the intended state of use.

Purchase of fixed assets that need to be installed (first accounted for through the "Construction in Progress" account).

Borrow: Construction in progress.

Credit: bank deposits, salaries payable to employees.

Borrow: Fixed assets.

Credit: Construction in progress.

The fixed assets purchased by the enterprise include the purchase price actually paid, relevant taxes and fees, transportation costs, loading and unloading costs, installation fees and professional service fees attributable to the assets incurred before the fixed assets reach the intended state of use (of which the training expenses of internal employees are included in the current profit or loss).

Fixed assets refer to buildings, buildings, machines, machinery, means of transportation and other equipment, appliances and tools related to production and operation that have been used for more than one year. A fixed asset is a tangible asset that has the following characteristics:

1.Held for the purpose of providing services, renting, or management of biological rock products.

2.Useful life of more than one fiscal year.

3.If the unit value is relatively high, and the items that do not belong to the main equipment of production and operation, the unit value is more than 2,000 yuan, and the service life is more than 2 years, it should also be regarded as fixed assets.

The accounting entry practices are:

Borrow: fixed assets 75,000 + transportation and miscellaneous expenses 1,250 + insurance premiums 250 = 76,500;

Credit: Bank deposit 76500.

Accounting entries for the purchase of fixed assets.

Borrow: Fixed assets --- printers.

Tax Payable – VAT payable (input tax).

Credit: cash on hand 4300 service life.

10 years for trains, ships, machines, machinery and other production equipment;

5 years for electronic equipment, means of transport other than trains and ships, as well as utensils, tools, furniture, etc. related to production and operation.

The depreciation of fixed assets increased in the current month is not mentioned in the current month, and depreciation is accrued from the next month.

1) Accounting treatment of depreciation:

Borrow: administrative expenses, manufacturing expenses, selling expenses.

Credit: Accumulated depreciation.

2) Calculation method of depreciation: average life method, workload method, double declining balance method, sum of years method.

a) Purchase of fixed assets that do not need to be installed:

Borrow: Fixed assets.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, etc.

2) Purchase of fixed assets that need to be installed, etc.:

Accounting is done through the "Construction in Progress" account.

Borrow: Construction in progress.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, salaries payable to employees, etc.

Borrow: Fixed assets.

Credit: Construction in progress.

3) The purchase of fixed assets in installments has the nature of financing

Purchase Fixed Assets that Don't Need to InstallPurchase Fixed Assets That Need to Be Installed.

Debit: Fixed assets (present value of the purchase price).

Unrecognized financing charges (unpaid interest).

Tax Payable – VAT payable (input tax).

Credit: Long-term payables (unpaid principal and interest).

Amortization of bank deposits after they reach their intended usable state:

Borrow: Finance Expenses.

Credit: Financing charges are not recognized.

When an enterprise purchases fixed assets, it shall be recorded and debited as the original value of the fixed assets according to the actual purchase price, value-added tax input tax and other relevant taxes and fees, as well as other expenses directly attributable to the fixed assets before the fixed assets reach the intended usable state"Fixed assets"Accounts, credits"Bank deposits"and other subjects.

Accounting entries for the purchase of fixed assets.

Borrow: Fixed assets.

Tax Payable - VAT Payable.

Credit: Bank Deposits Cash on hand.

In the "Accounting System for Public Institutions", for the purchase of fixed assets, they should be debited according to the funds **"Dedicated**"or"Business expenses""Operating expenses"Accounts, credits"Bank deposits"and other subjects. At the same time, debits"Fixed assets"Accounts, credits"Fixed**"Subjects.

What is the depreciation period of a fixed asset.

Article 60 Unless otherwise stipulated by the competent departments of finance and taxation of the State Council, the minimum period for calculating depreciation of fixed assets is as follows:

1) 20 years for houses and buildings;

ii) 10 years for aircraft, trains, ships, machines, machinery and other production equipment;

3. 7a64e4b893e5b19e31333365666330) utensils, tools, furniture, etc. related to production and business activities, for 5 years;

4) 4 years for means of transport other than airplanes, trains, and ships;

e) electronic equipment, for 3 years.

The residual value rate is generally 5%.(5% for domestic enterprises and returning businesses, 10% for foreign-funded enterprises) The residual value rate is the residual value rate of fixed assets. The salvage value is the value of a fixed asset when it is scrapped.

For example, if the recorded value of a fixed asset is 10,000 yuan and the residual value rate is 5%, then the residual value of the fixed asset when it is scrapped is 500 yuan.

What are the accounting entries for the acquisition of fixed assets? The purchase of fixed assets such as machinery and equipment by the enterprise, according to the cost of the purchase of fixed assets and the taxes paid, etc., are included in the fixed assets of the enterprise, and the depreciation of fixed assets will be calculated from the next month, and the depreciation will be included in the cost and expense accounts of various departments.