The use of various methods for assessing the inventory at their disposal. What is more profitable? Estimation of material assets Estimation of the cost of inventory

Currently for purposes accounting the following methods of estimating the cost of commodity- material assets:

at the cost of each unit;
at an average cost;
at the cost of the first acquisition of inventories (FIFO method).

These methods are listed in PBU 5/01 (approved by order of the Ministry of Finance dated June 9, 2001 No. 44n).
For the purposes of tax accounting, an organization may apply the following methods for assessing inventories upon their disposal:

method of valuation by the cost of a unit of reserves;
average cost method
first-in-time acquisitions (FIFO) valuation method;
method of valuation at the cost of the most recent acquisitions (LIFO).

In particular, these methods are applied for taxation purposes in the following cases:

when determining the amount of material costs when writing off raw materials and materials used in the production (manufacturing) of goods (performance of work, provision of services), the methods are fixed in paragraph 8 of Article 254 of the Tax Code of the Russian Federation;
when selling purchased goods, the methods are fixed in paragraph 3 of paragraph 1 of Art. 268 of the Tax Code of the Russian Federation;
when selling or otherwise disposing of securities, the methods are enshrined in clause 9 of Art. 280 of the Tax Code of the Russian Federation.

Note that the difference in the number of methods used to assess the inventory for accounting purposes and for taxation purposes arose relatively recently. The LIFO method has been excluded from the accounting rules for inventory items since January 1, 2008 on the basis of the order of the Ministry of Finance of the Russian Federation dated March 26, 2007 N 26n "On Amendments to Regulatory legal acts for accounting."

This is due to the desire to bring domestic accounting standards closer to international ones. However, for tax purposes, four methods of estimating inventories are still used.
Let us briefly describe each of the methods.

At the cost of each unit inventories used by the organization in a special order are evaluated (precious metals, gems etc.), or stocks that cannot normally be substituted for each other. This method is used in exceptional cases or with a small range of goods and materials. It is characterized by particular labor intensity, provided that it is used in enterprises with a large range.

For example.
The company produces cabinet furniture. Balance at the beginning of the month stained glass is 5 sheets in the amount of 125,000.00 rubles.
Purchased during the month: 3 sheets of stained glass in the amount of 84,000.00 rubles.
Transportation costs are included in the cost and amount to 3000 rubles.
During the month, 2 sheets were used from the balance, 1 sheet from the receipt of stained glass.

Let's determine the actual cost of the balance: 125,000 / 5 = 25,000 rubles per sheet;
Let's determine the actual cost of receipt: (84,000 + 3,000) / 3 = 29,000.00 rubles per sheet;

The cost of raw materials consumed in the production process per month will be: 25,000 * 2 + 29,000 = 79,000 rubles.
As the example shows, when applying this method, there is no need to make additional calculations. If it is possible to determine exactly which materials are used in production, this method has advantages, since materials are written off at their true cost, without deviations.

Average cost calculation is made by dividing the total cost of a group (type) of stocks by their number, consisting of the cost and the amount of the balance at the beginning of the month and the stocks received during the month. This method is the most common, included in standard versions of accounting programs.

For example, an organization is engaged in the production of cabinet furniture. The balance of chipboard at the beginning of the month is 300 sheets in the amount of 600,000.00 rubles.
During the month, the receipt was made in several batches, including:

100 sheets in the amount of 180,000.00 rubles;
50 sheets in the amount of 105,000.00 rubles.

Consumed during the month: 410 sheets of chipboard.

Let's calculate the average cost of one chipboard sheet: (600,000 + 180,000 + 105,000) / (300 + 100 + 50) = 885,000 / 450 = 1,966.67 rubles per sheet.
Let's calculate the cost of chipboard written off for production: 410 * 1,966.67 = 806,334.70 rubles.
The balance of chipboard at the end of the month will be 300 + 150 - 410 = 40 sheets in the amount of 40 * 1,966.67 = 78,666.80 rubles.

P ri FIFO method Inventories that are the first to be put into production (sale) are valued at the cost of the first inventory by the time of acquisition, taking into account the cost of inventory at the beginning of the month. Thus, the write-off sequence when applying this method is as follows: first, the balances at the beginning of the period are written off, then the first batch, then in order. Otherwise, this method can be called pipelined. With rising prices for purchased materials, the cost of purchased products is minimal, while the estimate of reserves and profits is maximum. And when prices fall, on the contrary, stocks and profits are minimized.

When applying the FIFO method when calculating the cost of materials released into production, you can use one of the following methods:
The first method is based on writing off the cost of each batch in order: first, the cost of the balance is written off, if the amount of written-off materials is more than the balance, the first incoming batch is written off, then the second and subsequent ones. The balance of materials is determined by subtracting the cost of materials written off from the total cost of materials received during the month (taking into account the balance at the beginning of the month).

The second method is based on determining the balance of materials at the end of the month at the price of the latest purchases. The cost of materials written off to production is determined by subtracting the value obtained from the total cost of materials received during the month (taking into account the balance at the beginning of the month).
Using the conditions of the previous example, we will calculate using the FIFO method using two options.

Option 1:
Recorded for production:
300 sheets in the amount of 600,000.00 rubles; 100 sheets in the amount of 180,000.00 rubles; 10 sheets for the amount of 21,000.00 rubles. Total: 801,000.00 rubles. The balance at the end of the month is 40 sheets in the amount of 84,000.00 rubles.

Option 2:
The balance of chipboard at the end of the month is 40 sheets (300 + 150 - 410), the entire balance is from the second batch. Accordingly, the value of the balance is: 84,000.00 rubles;
Calculate the cost of decommissioned chipboard: 600,000 + 180,000 + 105,000 - 84,000 = 801,000.00
The average cost of one chipboard sheet written off for production is 801,000 / 410 = 1953.66 rubles per 1 sheet.

With the LIFO method Inventories that are the first to enter production (sale) are valued at the cost of the last ones in the acquisition sequence. The LIFO method is the opposite of the FIFO method. In conditions of rising prices - the minimum estimate of stocks and profits. In the face of falling prices - maximizing the assessment of stocks and profits.

There are two ways to calculate the cost of materials put into production using the LIFO method. The methods are similar to those given above for the FIFO method, with the difference that for the first calculation option the cost of the last received batch is used, then the batches are written off in the reverse order. The value of the earliest batch purchased is used to determine the balance at the end of the period. For brevity, we use the last method of calculation.

The conditions of the example are the same.
The balance of chipboard at the end of the month is transferred from the balance at the beginning of the month, since 410 sheets of chipboard were used for production, of which 50 sheets from the last batch, 100 sheets from the first batch, 260 sheets from the balance at the beginning of the month.
So, the balance will be 40 sheets at a price of 2,000 rubles per sheet, in the amount of 80,000.00 rubles.

Let's determine the cost of chipboard used for production: 600,000 + 180,000 + 105,000 - 80,000 = 805,000.00
The average cost of 1 sheet written off for the production of chipboard is 1963.41 rubles.
Let us make a reservation that in practice two options are used for applying the methods of average estimates of the actual cost of goods and materials when released into production or written off for other purposes:

The first one involves a weighted estimate based on the average monthly actual cost, in this case, the calculation includes the quantity and cost of materials at the beginning of the month and all receipts for the month (reporting period).
The second method is based on determining the actual cost of the material at the time of its issue (rolling estimate), in this case, the calculation of the average estimate is based on the quantity and cost of materials at the beginning of the month and all receipts until the moment of issue.

Thus, the choice of the date on which the valuation of goods and materials is made determines the difference between the weighted and rolling valuation.
The use of a rolling estimate should be economically justified and provided with appropriate computer technology.

Options for calculating the average estimates of the actual cost of materials for the purposes of accounting and tax accounting should be disclosed in the accounting policy of the organization.
Let's compare the results:

Index	Average cost method	FIFO Method	LIFO method
Written off for production (rub.)	806 334,70	801 000,00	805 000,00
Average cost of write-offs in production (rub.)	1 966,67	1953,66	1963,41
Balance at the end of the month (rub.)	78 666,80	84 000,00	80 000,00
Average cost of materials in the balance	1 966,67	2 100,00	2 000,00

In the above example, there is no clear trend towards differences in the values obtained when applying various ways estimates of the inventory, since the conditions of the example provide for fluctuations in the purchase price of materials. So the cost of the balance at the beginning is 2,000.00 rubles, in the reporting period, materials were purchased at a price of 1,800.00 and 2,100.00 rubles.

Under the condition of a steady rise in prices, the most profitable, no doubt, is the LIFO method, since the cost of decommissioned goods and materials increases, and profit, accordingly, decreases. When prices decline, the opposite is true when applying the FIFO method. In order to avoid jumps, accountants, as a rule, choose the method of writing off inventories at average cost for both accounting and tax purposes. This method is time-tested and does not cause difficulties in calculations, and also gives average values for any price changes in the market.

To accept the faithful management decisions in the field of inventory management, there is a need to choose a method for estimating inventories for accounting purposes.
For taxation purposes, one or another method of valuation of materials is used to optimize taxation, in particular, to reduce income tax payments, provided that the method is chosen that provides for the write-off of the maximum of possible expenses to reduce the tax base.

Consequences of applying different methods of inventory valuation for accounting purposes and for taxation purposes.

How, then, to take into account the differences arising from the application of different methods of estimating reserves for accounting purposes and for taxation purposes. In this case, it becomes necessary to apply the requirements of PBU 18/02.

So, the organization uses different methods of valuation of stocks for accounting purposes and for taxation purposes. What are the differences?

In the event that the amount of expenses reflected in accounting exceeds the amount of expenses accepted for taxation, a deductible temporary difference arises, and, as a result, a deferred tax asset (ITA). If the amount of expenses reflected in accounting is less than the amount of expenses accepted for calculating income tax, a taxable temporary difference arises, and, as a result, a deferred tax liability. Consider the occurrence of differences based on our example data.

When calculating by the average cost method, the amount attributable to the cost is 806,334.70 rubles, with the FIFO method - 801,000.00 rubles, with the LIFO method - 805,000.00 rubles.

Applied assessment of IMF for the purposes		Differences arising	SHE/IT
Accounting	Taxation	Differences arising	SHE/IT
By average cost 806 334,70	Using the FIFO method 801 000,00	Deductible temporary difference	SHE IS
By average cost 806 334,70	Using the LIFO Method 805 000,00	Deductible temporary difference	SHE IS
Using the FIFO method 801 000,00	By average cost 806 334,70		IT
Using the FIFO method 801 000,00	Using the LIFO Method 805 000,00	Taxable temporary difference	IT

The best method for estimating inventories for the purposes of tax accounting in organizations using the simplified taxation system is the FIFO method, since the method for estimating inventories at an average cost for the purposes of tax accounting for expenses under the simplified tax system does not allow compliance with the requirements of Art. 346.17 of the Tax Code of the Russian Federation, in terms of control of payment of expenses. At the same time, the organization retains the opportunity to keep records of the inventory "according to the average" in accounting.

Of course, the occurrence of differences between accounting and tax accounting leads to a complication of the accounting process, as a result more errors. However, market conditions, the presence of multiple approaches of users of financial statements (for example, it is beneficial for an organization to show profit in order to pay dividends in a larger amount) and recent changes in legislation increase the number of situations when these differences arise. In addition, if the range of materials (goods) is small and the accountant has the possibility of batch accounting, you should think about whether the weighted average method is convenient and practical from the point of view of taxation.

Are you an accountant, but the director does not appreciate you? Thinks you're just wasting his money and overpaying taxes?

Become a valuable specialist in the eyes of management. Learn to work with accounts receivable.

The Clerk Training Center has a new one.

Training is completely remote, we issue a certificate.

According to PBU 5/01, materials are accepted for accounting at actual cost.

The actual cost of materials purchased for a fee is the amount of the organization's actual costs for the acquisition, excluding value added tax and other refundable taxes (except as provided by the legislation of the Russian Federation).

The actual costs for the purchase of materials can be: amounts paid in accordance with the contract to the supplier (seller); amounts paid to organizations for information and consulting services related to the acquisition of materials; customs duties and other payments; non-refundable taxes paid in connection with the acquisition of a unit of materials; remuneration paid to the intermediary organization through which the materials are purchased; costs for the procurement and delivery of materials to the place of their use, including insurance costs. These costs include, in particular, the costs of procurement and delivery of materials, the costs of maintaining the procurement and storage apparatus of the organization, the costs of transport services for the delivery of inventories to the place of their use, if they are not included in the price of inventories established by the contract, the cost of paying interest on supplier loans (commercial credit), etc. expenses. The structure of these costs of the organization may also include the cost of paying interest on borrowed funds if they are associated with the acquisition of materials and produced before the date of posting them in the warehouses of the organization; other costs directly related to the purchase of materials.

General business and other similar expenses are not included in the actual costs for the purchase of materials, except when they are directly related to the purchase of materials.

The costs of bringing materials to a state in which they are suitable for use for their intended purposes include costs to the organization for revision and improvement. specifications received stocks not related to the production of products, performance of work and provision of services.

The actual cost of materials in their manufacture by the organization is determined based on the actual costs associated with the production of these materials. Accounting and formation of costs for the production of materials is carried out by the organization in the manner established for determining the cost of the relevant types of products. The actual cost of materials contributed as a contribution to the authorized (share) capital of the organization is determined based on their monetary value, agreed by the founders (participants) of the organization, unless otherwise provided by law Russian Federation. The actual cost of materials received by the organization free of charge is determined based on their market value on the date of posting. The actual cost of materials purchased in exchange for other property (other than Money), is determined based on the value of the exchanged property, at which it was reflected in the balance sheet of this organization.

The actual cost of materials, in which they are accepted for accounting, is not subject to change, except for the cases established by the legislation of the Russian Federation and provided for by RAS 5/01.

Materials (except for equipment for installation) for which the price has decreased during the year, or which have become morally obsolete or have partially lost their original quality, are reflected in the balance sheet at the end of the reporting year at the price of a possible sale, if it is lower than the initial cost of procurement (acquisition), with attributing the difference in prices to the financial results of the organization. Materials that do not belong to the organization, but are in its use or disposal in accordance with the terms of the contract, are accepted for accounting on off-balance accounts in the assessment provided for in the contract.

Valuation of materials, the cost of which upon acquisition is determined in foreign currency, is made in rubles by converting foreign currency at the exchange rate of the Central Bank of the Russian Federation, effective on the date the organization accepts materials under the contract for accounting.

In accordance with the second international standard, inventories must be valued at the lower of two values: cost and net realizable value.

The cost of inventory should include all acquisition costs, processing costs and other costs incurred to bring the inventory to its present location and condition.

Inventory acquisition costs include the purchase price, import duties and other taxes (except those reimbursed by the tax authorities), freight forwarding and other expenses directly attributable to the purchase of finished products, materials and services. Trade discounts, chargebacks and other similar items are deducted when determining purchase costs.

Inventory processing costs include costs that are directly attributable to units of output, such as direct labor costs. They also include systematically allocated fixed and variable production overheads that arise from the processing of raw materials into finished products.

Other costs are included in the cost of inventories only to the extent that they have been reduced to bring them to their current location and condition. For example, you can include non-manufacturing overheads or the costs of developing products for specific customers in the cost of inventory.

Net realizable value is the expected value in the normal course of business, less possible costs of work and possible costs of selling. The practice of writing down inventories below cost to net realizable value is consistent with the view that assets should not be carried in excess of the amounts expected to be received from their sale or use. The cost of inventories may not be recoverable if they are damaged, wholly or partly obsolete, their selling price has declined, or the possible costs of completing or executing the sale have increased.

Inventories are usually written down to net realizable value on an item-by-item basis. In some conditions, similar or related items may be grouped together.

In each subsequent period, a new estimate of net realizable value is made. If the circumstances that caused the inventory to be written down below cost cease to exist, the amount of the write-down is changed so that the new accounting amount is the lower of cost and the revised net realizable value.

According to PBU 5/01, 4 methods of their assessment are used in the accounting of inventories when released into production:

at the cost of each unit;

at an average cost;

at the cost of the first in terms of the time of acquisition of materials (FIFO method);

at the cost of the latest acquisition of materials (LIFO method).

Unit cost valuation is used for materials used by organizations on a special basis (precious metals, precious stones, etc.) or for inventories that cannot normally be substituted for each other.

In the Basic Provisions for Accounting for Materials at an Enterprise and Construction Sites, it is noted that at medium and large enterprises, in whose circulation there is a significant amount of material assets, it is advisable to keep current records in the assessment at fixed accounting prices for each item of material. At small enterprises, where the range of materials consumed in production is insignificant, it is better to build current accounting based on the actual cost of procurement or acquisition.

The peculiarities of accounting for material assets in fixed accounting prices are that the movement of all materials (receipt, internal movement, release) is estimated at prices previously developed at the enterprise and fixed in the price list.

Table 2 Typical nomenclature-price tag

stock inventory accounting synthetic

Accounting prices are calculated for the current assessment of the movement of inventories, for each type of inventory items registered in the price tag nomenclature. The actual cost of materials at the reporting date is determined at accounting prices, adjusted for the percentage of deviation of the actual costs of their manufacture and acquisition from the cost of these valuables at accounting prices.

There are several pricing options available:

it is supposed to establish accounting prices at the level of list or contract prices, deviations, in this case, represent the amount of transport and procurement costs;

it is assumed that the accounting price is determined as the average value of the actual procurement cost calculated over a long period, or as the planned procurement cost, established on the basis of list or contract prices with the addition of the planned value of transport and procurement costs. Deviation means saving or overspending of the actual cost of inventory items from their average or planned cost.

The use of fixed accounting prices can significantly reduce processing time primary documents on the movement of material assets, and on the basis of deviations from accounting prices, it is possible to determine the effectiveness of supply operations.

Organizations that maintain current accounting of material assets at the actual cost of procurement and acquisition at the end of the month determine the weighted average cost per unit of each item of material. It is necessary for the evaluation of material assets during vacation for production, repair and economic purposes.

in kind and at cost, the actual amount of materials of this type that was in the turnover of the enterprise (balance at the beginning of the month plus receipts);

the weighted average cost of a unit of material, for which the cost of materials in circulation is divided by their quantity;

the actual cost of materials used for production;

the actual cost of the remaining material at the end of the month.

Such calculations should be made for each type of material assets for which there was a vacation (expense) in the current month.

The use of methods at the cost of the first-time purchases "FIFO" and at the cost of the last-time purchases "LIFO" was introduced relatively recently, so according to the Regulations on Accounting and Reporting in the Russian Federation, enterprises, when forming an accounting policy, can choose them for accounting.

With the FIFO method, the rule is applied: the first batch for income - the first for consumption. This means that no matter which party inventories released into production, first write off the inventory at the cost of the first purchased batch, then at the price of the second batch, in order of priority, until it is received total consumption stocks per month. When the cost rises material resources over time, their write-off at the cost of the first installment may lead to an increase in the tax base for income tax.

With the LIFO method, a different rule applies: the last batch for receipt is the first for expense, inventory is written off first at the cost of the last batch, then at the cost of the previous batch, and so on.

In an inflationary environment, the LIFO write-off is the most preferable for enterprises wishing to reduce their tax base, since the cost of production will be higher.

Since the accounting price may not coincide with the actual cost of acquisition, it becomes necessary to take into account deviations from the actual cost on separate analytical accounts. On a monthly basis, deviations from accounting prices are distributed and written off to the accounts of production costs.

To do this, the accounting department of the organization determines the percentage of deviations of the actual cost of harvested material assets from their value at discount prices (or the percentage of transportation and procurement costs).

For the storage of material values in organizations there is a warehouse. Depending on the types of values for the storage of which warehouses are intended, the latter are divided into specialized and general.

In general warehouses there are material values, the storage of which does not require the creation of special conditions. Specialized warehouses should be adapted for storage specific types values.

All storage facilities must be equipped with fire shields and have sufficient weighing facilities.

Material assets are transferred to responsible storage materially responsible persons with whom an agreement on full material liability is concluded.

The financially responsible person organizes warehouse accounting in the warehouse (in the pantry and other places of storage) and maintains it daily under the constant control of the accounting department in warehouse accounting cards (form No. M-17) for each grade, type and size.

The accounting department issues material accounting cards to financially responsible persons against receipt in the registration journal-registry. Having received them, the financially responsible person fills in the details characterizing the place of storage of materials (rack, cell, etc.), in accordance with the material labels attached to the place of storage.

There are two options for the further organization of accounting by financially responsible persons. In the first option, at the end of each month, on the basis of primary documents and records in the material accounting cards, financially responsible persons draw up a report on the movement of material assets. All primary documents for the month are attached to the report. A separate report is drawn up for each group of material assets. In the second option, the financially responsible person submits primary documents to the accountant of the material department. Upon their acceptance and delivery, a register of acceptance and delivery of documents is drawn up, which indicates the number and numbers of the primary documents to be handed over for each item separately by income and expense.

The accountant of the material department accepts documents from the financially responsible person at the registers directly in the warehouse, checks the correctness of the details of the documents in the material accounting cards and confirms the correctness of the entries with his signature. From that moment on, the card becomes an accounting register.

The financially responsible person transfers the balances from the material accounting cards to the balance sheet on a monthly basis. The statement can be opened in the context of storage locations or financially responsible persons. The accountant of the material department checks the correctness of the reflection of the balances in quantitative terms and values them at accounting prices.

In accordance with international standards accounting system (IAS), which is consistent with the Russian accounting system, assets are assets that:
held for resale in the normal course of business
are in the process of production for further sale; or
exist in the form of materials or supplies that will be consumed in the course of production or the provision of services

According to the above definition, inventories are divided into three categories: raw materials, work in progress and finished goods. Raw materials are unfinished items that will be used in the production process, work in progress refers to goods that are partially completed, and finished goods are finished goods ready for sale.

According to the IAS, inventories recorded in the financial statements are generally classified in accordance with the above categories ("Raw materials", "Work in progress" and " Finished products"). Russian system accounting defines seven categories of inventory items reflected in the balance sheet.

These include:
raw materials and components,
animals for growing and fattening,
low-value and wearing items, taking into account the accumulated wear and tear,
unfinished production,
finished products,
goods for resale,
and goods shipped.

Independent assessment of inventory items ( valuation of goods and materials) is performed in the following situations:
evaluation of goods for the conclusion of a sale and purchase transaction (most popular among manufacturing enterprises and wholesalers);
evaluation of goods for insurance purposes;
valuation for the write-off of property;
assessment of material assets to minimize taxation;
appraisal of goods for obtaining a loan.

Assessment of damage to inventory items

Defects that reduce the consumer properties of things, including their value, are classified according to many criteria:

Defects	signs
By location	Inside Outside
Degree of impact on quality	insignificant, significant, acceptable, critically unacceptable
As a result of the impact of various negative factors	heat, liquid
By stage of occurrence	raw materials, production and non-production, operational
Possibility of elimination	removable, non-removable
According to the conditions of manifestation	overt and covert

When determining damage to goods and materials, appropriate discounts are applied depending on the impact of defects on goods and materials, which are considered as:
Goods and materials suitable for sale - the presentation (packaging, the goods and materials itself), diagnostic results (technical condition), etc. are taken into account;
Inventory not subject to sale due to damage found during the diagnosis of the goods, resulting in a complete loss of the intended operational qualities of the inventory;
Goods and materials conditionally suitable for sale - goods and materials did not pass the diagnostics due to the tightness of the packaging, as well as the ban on opening this product etc.

The amount of damage caused by an insured event to inventory items (raw materials, materials, products legal entities and home or other property individuals, except for real estate), is defined as the difference between the insurance (actual) value and their discounted value, taking into account the loss consumer properties, qualities.
Most often, the need for valuation of goods and materials arises in the event of significant deviations of the selling price from the initial cost of the goods. In accordance with Tax Code Russian Federation when the price changes by more than 20% tax office has the right to check whether market prices correspond to the value of the transaction. Shifts in price may be caused by a new marketing strategy company or market situation, but the most common reasons for a change in the cost of goods are as follows:
entry of the seller into new markets with pricing policy, different from the one he previously adhered to;
one-time wholesale / conclusion of a long-term sales agreement;
sale of discounted goods.

A product may be subject to a markdown due to obsolescence, changes in market conditions, minor damage (including on packaging), incompleteness, etc. When evaluating a discounted product, an independent expert first of all determines the degree of impact of these factors on changes in its market cost.

The valuation of inventory items is used not only in situations of significant changes in the selling price, but also when making transactions between affiliated companies. Large holdings are characterized by the division of market functions between their constituent organizations. Often, the sale of goods is not carried out manufacturing enterprise, and the affiliated company, and the price at which the goods are transferred from the manufacturer to the seller, can become the object of close attention tax authorities. In this case, a report on the market value of inventory items prepared by an independent appraisal company, will be a strong argument in favor of the seller. The certificate of an independent valuation of goods and materials is an official document that confirms the market nature of the transaction and, if necessary, can be used in court.

The objects of assessment are the following inventory items:
movable property;
products;
industrial products;
agricultural products;
productive reserves;
crops;
animals.

Evaluation of goods and materials is carried out using three classical approaches: costly, profitable and comparative. Depending on the purpose of the valuation, the cost of inventory items can be calculated as market, investment, fair (for accounting purposes) and actual (for insurance purposes).

Need help with an inventory valuation? Contact us using . Call now! It is profitable and convenient to work with us! We hope to see you among

Materials are accepted for accounting at actual cost. According to paragraph 30 of the Instruction on the accounting procedure for materials, approved by the Decree of the Ministry of Finance of the Republic of Belarus dated July 17, 2007 No. 114, the actual cost of purchased materials includes:

the cost of materials at purchase prices;

transportation and procurement costs;

the costs of bringing the materials to a state in which they are suitable for use for the intended purposes.

The cost of materials at purchase prices is the amount of payment established by agreement of the parties in the contract.

Procurement costs include bank costs directly related to the process of acquiring and delivering materials, and in particular:

the costs of loading materials into vehicles and their transportation, payable by the buyer in excess of the price of these materials according to the contract;

expenses for the maintenance of the procurement and storage apparatus, including the expenses for the remuneration of employees directly involved in the procurement, acceptance, storage and release of purchased materials;

margins (surcharges), commissions paid to supply and other intermediary organizations;

payment for storage of materials in the places of purchase;

travel expenses for the direct purchase of materials and other expenses.

Transport and procurement costs are taken into account:

or by allocating commodity and transportation costs to a separate personal account "Procurement and acquisition of material assets", opened on the balance sheet account 5600 "Materials";

or by direct inclusion of commodity-transport costs in the actual cost of the material.

The specific method of accounting for commodity and transportation costs is established by the bank independently and is reflected in the accounting policy.

Depending on the acquisition method, materials can be evaluated in the following order (Table 2)

Table 2 - Methods for evaluating materials depending on the source of their receipt

Acquisition source	Material evaluation
1. Under sales contracts, supply contracts	Materials are accounted for at actual cost. The actual cost is the amount of the bank's actual costs for the purchase of materials, excluding value added tax.
2. By manufacturing materials by the bank itself	The actual cost of materials in their manufacture by the bank itself is determined based on the actual costs associated with the production of these materials
3. By receiving by the bank free of charge (including a donation agreement)	The actual cost of materials received under a donation agreement or free of charge, as well as those remaining from the disposal of fixed assets and other property, is determined based on their market value as of the date of acceptance for accounting.
4. By dismantling fixed assets, other property	In the event that the delivery costs are paid by the receiving party, i.e. bank, then the actual cost of materials increases by the amount of expenses incurred

Evaluation of inventory items received free of charge is carried out by the commission at the market value on the date of their posting. The market value is formed on the basis of the price for this or a similar type of inventory items, effective on the date of their posting. Data on the current price on the date of posting inventory items must be documented or confirmed by experts.

Prior to determining the market value of inventory items received free of charge, according to the act of acceptance - transfer of inventory items for safekeeping, they are transferred to the warehouse for storage to the responsible person. Accounting for inventory items before their evaluation is carried out responsible person in quantitative terms.

The posting of inventory items received as a result of a gratuitous transfer is carried out on the basis of an agreement on the provision of gratuitous (sponsorship) assistance, a donation agreement, a consignment note form TTN-1 or a consignment note form TN-2 and an act of acceptance and transfer of inventory values, the act of valuation of inventory items.

Inventory and materials manufactured by bank employees are valued at the cost of their manufacture. The cost of their manufacture includes actually incurred costs associated with the use of raw materials, materials, fuel, energy, labor costs and other costs for their manufacture in the manufacturing process.

Inventory and materials received as a result of the liquidation of fixed assets, objects of construction in progress, dismantling during all types of repairs and reconstruction of buildings and structures, on the basis of the act of valuation of inventory items, are deposited in the warehouse at prices determined taking into account wear and quality, as well as market conditions in accordance with the Decree of the Ministry of Economy of the Republic of Belarus "On approval of the regulation on the procedure for the formation and application of prices and tariffs" dated April 22, 1999 N 43.

Valuation of inventory items, the value of which is expressed in foreign currency, is made in Belarusian rubles by converting foreign currency at the official rate established by the National Bank of the Republic of Belarus on the date of the business transaction. The date of the business transaction is the date of customs clearance, and in its absence, the date of posting to the warehouse.

The costs of procurement and delivery of materials are attributed to the increase in the cost of inventory items, to which these costs are related in proportion to their value.

Assessment of inventory items received free of charge, manufactured by bank employees, unaccounted for, identified during the inventory process, received as a result of the liquidation of fixed assets, construction in progress, dismantling during all types of repairs and reconstruction of buildings and structures, in separate subdivisions carried out by the commission.

Materials are accepted for accounting at actual cost. According to clause 30 of the Instructions for the accounting of materials, approved by resolution of the Ministry of Finance of the Republic of Belarus dated July 17, 2007 No. 114, the actual cost of purchased materials includes:

cost of materials at purchase prices;

transport and procurement costs;

costs of bringing the materials to a state in which they are suitable for use for the intended purposes.

The cost of materials at purchase prices is the amount of payment established by agreement of the parties in the contract.

Procurement costs include bank costs directly related to the process of acquiring and delivering materials, and in particular:

the cost of loading materials into vehicles and their transportation, payable by the buyer in excess of the price of these materials according to the contract;

· the costs of maintaining the procurement and storage apparatus, including the costs of wages for employees directly involved in the procurement, acceptance, storage and release of purchased materials;

· margins (surcharges), commissions paid to supply and other intermediary organizations;

fee for storage of materials in the places of purchase;

travel expenses for the direct purchase of materials and other expenses.

Transport and procurement costs are taken into account:

· or by assigning commodity and transportation costs to a separate personal account "Procurement and acquisition of material assets", opened on the balance sheet account 5600 "Materials";

or by direct inclusion of commodity-transport costs in the actual cost of the material.

The specific method of accounting for commodity and transportation costs is established by the bank independently and is reflected in the accounting policy.

Depending on the acquisition method, materials can be evaluated in the following order (Table 2)

Table 2 - Methods for evaluating materials depending on the source of their receipt

Acquisition source	Material evaluation
1. Under sales contracts, supply contracts	Materials are accounted for at actual cost. The actual cost is the amount of the bank's actual costs for the purchase of materials, excluding value added tax.
2. By manufacturing materials by the bank itself	The actual cost of materials in their manufacture by the bank itself is determined based on the actual costs associated with the production of these materials
3. By receiving by the bank free of charge (including a donation agreement)	The actual cost of materials received under a donation agreement or free of charge, as well as those remaining from the disposal of fixed assets and other property, is determined based on their market value as of the date of acceptance for accounting.
4. By dismantling fixed assets, other property	In the event that the delivery costs are paid by the receiving party, i.e. bank, then the actual cost of materials increases by the amount of expenses incurred

Prior to determining the market value of inventory items received free of charge, according to the act of acceptance - transfer of inventory items for safekeeping, they are transferred to the warehouse for storage to the responsible person. Accounting for inventory items prior to their evaluation is carried out by the responsible person in quantitative terms.

Posting of inventory items received as a result gratuitous transfer, is made on the basis of a contract for the provision of gratuitous (sponsored) assistance, a donation contract, a consignment note form TTN-1 or a consignment note form TN-2 and an act of acceptance and transfer of inventory items, an act of valuation of inventory items.

Valuation of inventory items, the value of which is expressed in foreign currency, is made in Belarusian rubles by converting foreign currency at the official rate established by the National Bank of the Republic of Belarus on the date of the business transaction. The date of the business transaction is the date customs clearance, and in its absence, the date of posting to the warehouse.

The costs of procurement and delivery of materials are attributed to the increase in the cost of inventory items, to which these costs are related in proportion to their value.