1, fixed assets refers to the enterprise for the production of products, the provision of services, leasing or business management and held, the use of more than 12 months, the value of non-monetary assets up to a certain standard, including houses, buildings, machinery, machinery, means of transportation, and other equipment, appliances, tools and other equipment related to production and business activities. Fixed assets are the means of labor of the enterprise, but also the main assets on which the enterprise depends for production and operation.
2, the product production process used to change or influence the labor object of labor, is the physical form of fixed capital. Fixed assets in the production process can play a role for a long time, long-term to maintain the original physical form, but its value with the enterprise production and operation activities and gradually transferred to the product cost, and constitute a component of the value of the product. According to the principle of importance, an enterprise divides labor materials into fixed assets and low-value consumables according to their useful life and original value. Labor materials with larger original value and longer service life are accounted for as fixed assets, while labor materials with smaller original value and shorter service life are accounted for as low-value consumables. In China's accounting system, fixed assets usually refer to houses, buildings, machines, machinery, transportation tools and other equipment, apparatus and tools related to production and operation with a service life of more than one year.
3, the value of fixed assets is based on its own degree of wear and tear gradually transferred to the new product, its wear and tear is divided into tangible wear and intangible wear and tear of the two cases; tangible wear and tear is also known as material wear and tear, is the use of equipment or fixed assets in the production process or as a result of the impact of the forces of nature caused by the use of the value of the value of the value of and loss of value.
Legal Basis
Enterprise Accounting Standards
Article 12 Assets, refers to the resources formed by past transactions and events and owned or controlled by the enterprise, which are expected to bring economic benefits to the enterprise. Article 13 The assets of an enterprise shall be divided into current assets, long-term investments, fixed assets, intangible assets and other assets according to their liquidity.