For the accounting treatment of corporate demolition and resettlement properties, accountants usually set up accounts such as "non-operating expenses", "fixed asset liquidation" and "non-operating income". How to make specific accounting entries?

Accounting entries for enterprise demolition and resettlement of real estate

1. Equipment relocation expenses

Debit: Non-operating expenses - demolition and relocation expenses

Credit: cash on hand, etc.

2. Scraping of buildings

Debit: liquidation of fixed assets

Accumulated depreciation

Credit: fixed assets

3. Transfer the liquidation of fixed assets to non-operating expenses

Debit: non-operating expenses

Credit: liquidation of fixed assets

4 , transfer land

Debit: other receivables - land compensation

Credit: intangible assets - land

Collect compensation

Debit: bank deposits

Credit: other receivables - land compensation

Non-operating income - demolition compensation

What is non-operating income?

Non-operating income is an integral part of a company's financial results, and mainly refers to various profits that are not directly related to the company's daily operating activities. Non-operating income mainly includes: profit and loss from business mergers, gains from liquidation, accounts payable that cannot be paid due to creditors, government subsidies, additional refunds for education fees, fine income, donation gains, etc. In order to comprehensively reflect and supervise the non-operating income of the enterprise, the enterprise should set up a "non-operating income" account. The credit side of this account registers the amount of non-operating income generated by the enterprise, and the debit side registers the amount transferred to the "profit for the year" account at the end of the period. After the transfer, the account has no balance at the end of the period.

What are intangible assets?

Intangible assets refer to assets that do not have a physical form but can bring economic benefits. Social intangible assets usually include patent rights, non-patented technologies, trademark rights, copyrights, franchises, land use rights, etc.; natural intangible assets include natural resources such as natural gas that do not have physical physical forms.

What are non-operating expenses?

Non-operating expenses refer to various non-operating expenses except main business costs and other business expenses. Such as fines, donations, extraordinary losses, etc.