Some organizations in the process of economic activity revalue fixed assets, thereby clarifying their replacement cost. It is not necessary to carry out it, but if you want to attract any investments, conduct a financial analysis, or simply have the real value of existing assets, then it is advisable to go through this procedure.
It is necessary
- - inventory cards;
- - balance sheets for account 02.
Instructions
Step 1
First, it should be clarified that the revaluation of fixed assets must be carried out once a year before the reporting period (before January 1). Revaluation must be spelled out in the accounting policy of the organization.
Step 2
Determine which group of fixed assets you will revalue, that is, you can revalue buildings without affecting transport. But if you are evaluating, for example, equipment, then it is necessary to take into account all homogeneous assets, even if they are located in another warehouse and are listed in another department.
Step 3
Issue an order on the revaluation of homogeneous groups of fixed assets, also indicate in this administrative document the date of this procedure, list all items of fixed assets, the date of acquisition and commissioning of property. Also, in this order, indicate the responsible persons who are involved in the property appraisal.
Step 4
After that, you take all the data about the revalued property, for example, inventory cards, information about the accrued depreciation.
Step 5
Then use the direct allocation method to revalue. That is, clarify the market value of these assets, resorting to the help of an independent appraiser, or clarifying the data from the manufacturer, or from the statistics authorities, you can also use special literature.
Step 6
Fill out the revaluation data in a special list of free form. Be sure to indicate in this document the name of the fixed asset, the date of the revaluation, the procedure for calculating the assessed value, new information on these assets, the amount of the decrease (increase) in value.
Step 7
Then, based on the statement, draw up an accounting statement, where you also indicate the procedure for calculating the residual value, further actions (reducing or increasing the value of the property and the depreciation charged on it).
Step 8
After that, reflect the results of the assessment in accounting. If the value of assets has decreased, that is, there has been a markdown, reflect this as follows:
Д84 "Retained earnings (uncovered loss)" or 83 "Additional capital" К01 "Fixed assets" - the initial cost of fixed assets has been reduced;
D02 "Depreciation of fixed assets" K84 "Retained earnings (uncovered loss)" or 83 "Additional capital" - the amount of depreciation deductions has been reduced.
Step 9
In case of an increase in the value of fixed assets (revaluation), reflect this as follows:
D01 "Fixed assets" К83 "Additional capital" or 84 "Retained earnings (uncovered loss)" - the initial cost of fixed assets was increased;
D83 "Additional capital" or 84 "Retained earnings (uncovered loss)" К02 "Depreciation of fixed assets" - the amount of depreciation deductions has been increased.
