How to make entries for an enterprise s investment in foreign units with fixed assets

To invest in foreign units with fixed assets, first determine whether the investment is a long-term equity investment, and whether it belongs to the type of long-term equity investment (according to the standard, it should be accounted for by the cost method or the equity method).

If accounted for by the cost method:

Borrow: Long-term equity investment.

Credit: Disposal of Fixed Assets (at Fair Value).

Transfer the fixed asset to the fixed asset disposal.

Borrow: Disposal of fixed assets.

Borrow: Accumulated depreciation.

Borrow: Provision for impairment of fixed assets.

Credit: Fixed Assets.

The difference between the carrying amount of fixed assets** and the fair value is recorded in non-operating income.

Borrowing or Crediting: Disposal of fixed assets.

Borrowing or Crediting: Non-operating income (expense).

Upon approval, the owner XX shall repay the preceding amount due to other units with capital.

The capital will be reduced first, and it will be approved first.

Borrow: paid-up capital (share capital).

Borrow: Capital Reserve - Capital Premium (Equity Premium).

Credit: Other Payables - * Shareholders.

When repaying the arrears of shareholders ***.

Debit: Other payables - * Shareholders.

Credit: Bank deposits.

Remember that at this time, you can ask the *** shareholder to issue proof of entrusted payment to prevent the shareholder from not admitting the account in the future.

1.The enterprise invests in foreign units with fixed assets, and the entries are as follows:

Borrow: Long-term equity investment (capital reserve).

Credit: Fixed Assets.

2.Accounting entries for foreign investment in fixed assets:

1) Transfer of fixed assets to liquidation: borrow: disposal of fixed assets, accumulated depreciation, provision for impairment of fixed assets, credit: fixed assets;

2) Foreign investment in fixed assets, borrowing: long-term equity investment, credit: liquidation of fixed assets, credit: tax payable - VAT payable - output tax;

3) Carry-forward disposal loss, borrow: asset disposal profit or loss, credit: fixed asset disposal, liquidation gain: borrow: fixed asset disposal, credit: asset disposal profit or loss.

Extended Information:1Fixed assets refer to non-monetary assets held by enterprises for the production of products, provision of labor services, leasing or operation and management, which have been used for more than 12 months and have reached a certain standard in value, including houses, buildings, machines, machinery, means of transportation and other equipment, appliances and tools related to production and business activities.

The latest provisions of the fixed assets standard have abolished the restriction on the value of assets above 2,000 yuan, which is mainly due to the adaptation to the changes in the current accounting standards, so as to facilitate the unification of enterprise accounting and taxation, and also to take into account the original standard for identifying fixed assets with a value of more than 2,000 yuan, which needs to be adjusted accordingly according to changes in practice. Therefore, there is currently no value restriction on the definition of fixed assets.

2.Depreciation of fixed assets: The depreciation of fixed assets is the depreciation of fixed assets due to the loss of value caused by the use of fixed assets in the process of production and operation, and the difference between the original value and the residual value is apportioned over its useful life.

Determining the depreciation range of a fixed asset is a prerequisite for accruing depreciation. A monetary estimate of the value of the capital expended during the period examined. Also known as capital consumption allowance in the national income account.

Depreciation of fixed assets refers to the systematic apportionment of the accrued depreciation amount according to the determined method during the useful life of the fixed assets. Useful life refers to the expected life of a fixed asset, or the quantity of goods or services that the fixed asset can produce. Accrued depreciation refers to the amount of the original price of a fixed asset for which depreciation is accrued after deducting its estimated net residual value.

For fixed assets for which provision for impairment has been made, the cumulative amount of provision for impairment of fixed assets shall also be deducted.

1.Transfer fixed assets to fixed asset disposal: borrow: fixed asset disposal, accumulated depreciation, asset impairment provision, credit: fixed assets.

2.Disposal Expenses Incurred: Borrow: Fixed Assets Disposal, Credit: Bank Deposits, Cash in Hand.

3.Foreign Investment in Fixed Assets: Borrow: Long-term Equity Investment (Appraisal Value Confirmed by Both Parties) at the Time of Foreign Investment), Credit: Disposal of Fixed Assets.

4.When carrying forward the net profit or loss of fixed assets: debit: fixed assets disposal, credit: non-operating income or: borrow: non-operating expenses, credit: fixed assets disposal.

When the company is first registered, it is also possible if the shareholders are ready to invest fixed assets in the company as paid-in capital. However, the premise that the fixed asset can become the fixed asset of the company is that the value of the fixed asset must be assessed by a qualified relevant appraisal agency, and then the shareholder will transfer the asset to the enterprise.

Accounting of an enterprise's foreign investment in fixed assets: When a public institution invests in fixed assets, it shall be debited according to the appraised price or the value determined by the contract or agreement"Outbound investment"Accounts, credits"Career**-Investment**"At the same time, the account is debited according to the original book price of the fixed asset"Fixed**"Accounts, credits"Fixed assets"Subjects.

Further information: Investment in fixed assets is the economic activity of building and purchasing fixed assets, that is, the reproduction of fixed assets. The process of reproduction of fixed assets includes activities such as renewal of fixed assets (partial and full renewal), reconstruction, expansion, and new construction.

The new financial accounting system for enterprises stipulates that the major repair of the partial renewal of fixed assets is a part of the daily production activities, and the major repair expenses incurred are directly included in the cost.

1. The first time of fixed assets is longer.

Once the fixed asset investment decision is made, it will affect the enterprise for a long time, and the general fixed asset investment will take several years or even more than ten years to recover.

2. The liquidity of fixed asset investment is poor.

The physical form of fixed asset investment is mainly fixed assets such as plant and machinery and equipment, which are not easy to change use, difficult and have poor liquidity.

3. The amount of funds occupied by fixed asset investment is relatively stable.

Once the investment in fixed assets is completed, the amount of capital occupied remains relatively stable, unlike the investment in current assets, which fluctuates as frequently.

4. The physical form and value form of fixed asset investment can be separated.

After the investment in fixed assets is completed and put into use, with the wear and tear of the fixed assets, part of the value of the fixed assets will be separated from its physical form and converted into monetary reserves, while the rest will still exist in the physical form. Over the course of its useful life, the value of fixed assets retained in their physical form decreases year by year, while the value of the assets converted into monetary reserves in their physical form increases year by year. It is not until the fixed asset is scrapped that its value is fully compensated and the physical object is renewed.

Enterprises invest in fixed assets, accounting entries:

Borrow: Long-term equity investment (capital reserve).

Credit: Fixed Assets.

1. Fixed assets are transferred to liquidation

Borrow: Liquidation of fixed assets, accumulated depreciation, provision for impairment of fixed assets, Credit: fixed assets, 2. Foreign investment in fixed assets, Borrow: long-term equity investment, Credit: Liquidation of fixed assets, Credit: Taxes payable.

VAT payable - output tax.

3. Carry forward the loss of liquidation, borrow: profit and loss on asset disposal, credit: fixed assets are clear, and the income from liquidation is cleared

Borrow: Liquidation of fixed assets, Credit: Gains and losses on disposal of assets.

Foreign investment in fixed assets should be regarded as disposal.

Borrow: Disposal of fixed assets.

Accumulated depreciation. Provision for impairment of fixed assets.

Loan code: fixed assets - original rough limb travel value.

Borrow: Equity investment in the long rock bench period.

Credit: Disposal of fixed assets.

If the depreciation of the fixed asset has not been accrued, then the entry can be as follows: (if there is depreciation, the depreciation must be transferred).

Borrow: Disposal of fixed assets.

Credit: Fixed Assets.

Borrow: long-term equity investment - a certain company.

Credit: Disposal of fixed assets.

If the fixed assets have not been depreciated, then the entries can be made as follows: (if there is depreciation, the depreciation must be transferred out).

1. Borrow: fixed assets disposal 18,000 Credit: fixed assets 18,000 bump rocks.

2. Borrow: long-term equity investment - 18,000 for a certain company Loan: 18,000 for fixed asset disposal

The other types of entries are as follows:1. The foreign investment in fixed assets needs to be evaluated by the intermediary agency, and the accounting entries of the investment in fixed assets are as follows under the condition that both parties agree to it

Borrow: Disposal of fixed assets.

Accumulated depreciation. Credit: Fixed Assets.

2. When there are cleaning expenses or sales income:

Borrow: Disposal of fixed assets.

Credit: Yinxiao Huai Bank Deposit or Cash.

Borrow: Long-term equity investment (at the appraisal price confirmed by both parties in the case of foreign investment) or bank deposits.

or Cash. Credit: Disposal of fixed assets.

3. When there is profit and loss:

Borrow: Disposal of fixed assets.

Credit: Non-operating income.

Borrow: Non-operating expenses.

Credit: Disposal of fixed assets.

Summary. Invest in foreign countries with inventory. When the investor invests in the foreign capital with inventory, it shall debit the "long-term equity investment" account at the agreed price, credit the "raw materials" and "finished products" accounts with its original book value, and debit or credit the "capital reserve" account with the difference between the agreed price and the actual cost.

If the inventory is costed according to the plan, the cost variance that should be borne by the inventory must also be allocated through the Material Cost Variance account.

Outbound investment in intangible assets. If the investor invests in intangible assets (such as land use rights, etc.) that have not been recorded, the "long-term equity investment" account shall be debited and the "capital reserve" account shall be credited according to the value recognized after asset appraisal.

How to make accounting entries for an enterprise to invest 18,000 yuan in fixed assets?

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I'm glad to answer you out. If the fixed asset has not been depreciated, then it can be recorded as follows: (if there is depreciation, the depreciation must be transferred out) borrowed

Fixed assets are cleared and inspected, credit: fixed assets. Borrow:

Long-term equity investment - a certain company, loan: fixed assets liquidation.

Invest in foreign countries with inventory. When the investor invests in the foreign capital with inventory, it shall debit the "long-term equity investment" account at the agreed price, credit the "raw materials" and "finished products" accounts with its original book value, and debit or credit the "capital reserve" account with the difference between the agreed price and the actual cost. If the inventory is costed according to the plan, the cost variance that should be borne by the inventory must also be allocated through the Material Cost Variance account.

Invest abroad with intangible capital to resist stupid and delayed production. If the investor invests in intangible assets that have not been recorded in the accounts (such as land use, changli quan, etc.), the "long-term equity investment" account shall be debited and the "capital reserve" account shall be credited according to the value recognized after asset appraisal.

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