The balance of fixed funds of administrative units shall be converted into paid-in capital of enterprises. The fixed fund of an administrative unit corresponds to the fixed assets, and its balance is actually the book value of the fixed assets, which cannot be included in the accumulated depreciation, but should be included in the "undistributed profit" or "capital reserve" or "paid-in capital". Fixed fund is equivalent to the owner's equity of enterprise accounting.

If it is a public institution restructuring, there is no need to make accounting entries, that is, there is no need to dock accounting entries, and directly re-open accounts with superior documents and evaluation reports, just like establishing accounts for newly established enterprises. The original account books shall be sealed. If there are scrapped fixed assets, they will be directly written off from the evaluation report after approval by the superior, and need not be brought into the accounting books of the restructured enterprises.

The depreciation of previous years cannot be accrued centrally in a fiscal year, which will affect the authenticity of the cost or profit of this year. If it has not been accrued before, asset impairment can be accrued, and depreciation that has not been accrued is also treated in this way, which is also a deduction of fixed assets, but it does not affect the current period.

Debit: Asset impairment loss-fixed assets impairment reserve?

Loan: Fixed assets impairment reserve?

The impairment of fixed assets has a special column on the balance sheet, just fill it there. When it is scrapped in the future, it will be disposed of together.

Fixed assets scrap entry:

Write off assets

Debit: liquidation of fixed assets

Accumulated depreciation (not to mention it)

Impairment of fixed assets

Loans: fixed assets

Cleaning expenses or taxes incurred, etc.

Debit: liquidation of fixed assets

Credit: cash on hand/bank deposit.

Taxes payable-business tax payable

Scrap value and variable price income

Debit: cash on hand/bank deposit.

Loan: liquidation of fixed assets

Carry-over after approval

Debit: non-operating expenses-net loss from disposal of fixed assets

Loan: liquidation of fixed assets

Extended data:

Fixed assets and intangible assets are used to produce products and also have costs. Its value, that is, its cost, needs to be included in the cost of products. It needs to be repaid in installments. This is why fixed assets are depreciated.

However, according to the accrual principle, the amortization period of his cost should not be just one year, but his service life. Therefore, it is necessary to reasonably estimate the cost to be amortized in each period, that is, the annual depreciation and amortization. If it is amortized directly at the time of purchase, the expenses in the current year will be high, the profits will be reduced, and the profits in future years will be overestimated. This is not allowed by accountants.

One of the main characteristics of fixed assets is that they can play a role in several production cycles and keep their original physical form, while their value is gradually transferred to the products produced with the wear and tear of fixed assets. The value of fixed assets transferred to products is the depreciation of fixed assets.

Baidu Encyclopedia-Depreciation of Fixed Assets