What are the main characteristics of fixed assets?

Fixed assets can play a long-term role in the production process and maintain the original physical form for a long time, but their value is gradually transferred to the cost of products with the production and operation activities of the enterprise, and constitutes an integral part of the product value. According to the important principle, an enterprise divides the labor materials into fixed assets and low-value consumables according to their useful life and original value. For the labor materials with large original value and long service life, they shall be accounted for according to fixed assets; For labor materials with small original value and short service life, they are accounted for according to low-value consumables.

In China's accounting system, fixed assets usually refer to buildings, buildings, machines, machinery, means of transportation, and other equipment, appliances and tools related to production and operation that have a service life of more than one year.

Fixed assets refer to tangible assets that have the following characteristics at the same time.

1. Held for the purpose of providing labor services for the production of goods for leasing or business management.

2. The service life is more than one fiscal year.

Fixed assets can only be recognized if they meet the following conditions at the same time:

1. The economic benefits related to the fixed assets are likely to flow into the enterprise.

2. The cost of the fixed asset can be reliably measured.

If each component of a fixed asset has a different useful life or provides economic benefits to the enterprise in different ways, and different depreciation rates or depreciation methods are applied, each component shall be recognized as a single fixed asset separately.

Fixed assets have three characteristics, and the main realizations are: 1Fixed assets are held for the production of goods, the provision of services, leasing or management.

2.Fixed assets have a useful life of more than one fiscal year. 3.

The unit value is above the prescribed standard.

The characteristics of fixed assets are generally relatively large, the service life is relatively long, and they can participate in the production process repeatedly for a long time.

1. Main characteristics of fixed assets:

1.The value of fixed assets is generally relatively large, the use time is relatively long, and they can participate in the production process for a long time and repeatedly.

2.Although wear occurs in the production process, it does not change its physical form, but gradually transfers its value to the product according to its degree of wear, and its value is transferred to the product after the value transfer.

The monetary performance of fixed funds as fixed assets also has the following characteristics:

1.The cycle period of fixed funds is relatively long, and it does not depend on the production cycle of the product, but on the service life of the fixed assets.

2.The value compensation and physical renewal of fixed funds are carried out separately, the former is gradually completed with the depreciation of fixed assets, and the latter is realized by using the depreciation ** accumulated in ordinary times when the fixed assets cannot be used or are not suitable for use.

3.When acquiring and building fixed assets, a considerable amount of monetary funds need to be paid, and this investment is a one-time transaction, but the investment is carried out through the depreciation of fixed assets in installments.

2. Accounting and disposal of fixed assets

Disposal of fixed assets, including the transfer, scrapping and damage of fixed assets, foreign investment, exchange of non-monetary assets, debt restructuring, etc.

1. If the fixed assets meet one of the following conditions, they shall be derecognized:

1) The fixed asset is in the state of disposal;

2) The fixed asset is not expected to generate economic benefits through use or disposal.

2. Handling of disposal of fixed assets.

1) The estimated net residual value of fixed assets held by an enterprise for sale shall be adjusted.

2) If an enterprise transfers, scraps or damages fixed assets, the amount of disposal income after deducting the book value and relevant taxes and fees shall be included in the current profit or loss. The book value of a fixed asset is the amount of the cost of the fixed asset after deducting accumulated depreciation and accumulated impairment provisions.

3) If the enterprise includes the subsequent expenditure of fixed assets in the cost of fixed assets, it shall de-recognize the book value of the replaced part.