I. This account accounts for the actual costs incurred by the hospital for the construction, alteration, expansion and repair of fixed assets and the installation of equipment for the construction and installation works.
Second, this account should be in accordance with the specific project, etc. for detailed accounting.
Three, the main accounting treatment of construction in progress is as follows:
(a) construction works
1. Fixed assets to be transferred to the alteration, expansion or large-scale repair, etc., should be based on the book value of fixed assets, debit this account, according to the depreciation has been provided, debit the "Accumulated Depreciation" account, according to the original cost of fixed assets, credit the "Accumulated Depreciation" account. The original cost of fixed assets, credited to the "fixed assets" account.
2. When settling the project price with the construction company according to the project price settlement bill, debit this account and credit "Bank Deposit" according to the project price to be paid by the hospital.
When using financial subsidies to pay construction companies, according to the amount of payment, debit the "financial project subsidy expenditure" account, credit "financial subsidy income", "zero-balance account with the amount of money "At the same time, debit this account and credit the account "Funds to be offset--Financial Funds to be offset".
3. In the process of alteration, expansion, large-scale repair income received, according to the amount received, debit "bank deposits" and other subjects, credit account.
4. Hospitals for the construction of special loans borrowed interest, belonging to the construction period, the cost of construction in progress, debit this account, credit "long-term borrowing" account.
5. When the project is completed and delivered to the use of the actual costs incurred in accordance with the construction works, debit the "fixed assets" account, credit account.
(B) equipment installation
1. Purchase or finance lease equipment to be installed, debit this account, credit "bank deposits", "accounts payable", "long-term accounts payable
When using financial subsidies to purchase equipment to be installed, according to the amount of payment, debit "financial project subsidies for expenditure" and other subjects, credit "financial subsidies for income", "zero-balance account with the amount of money "At the same time, this account is debited and credited to "Funds to be offset--Financial Funds to be offset".
2. Installation costs incurred, debit this account, credit "bank deposits" and other accounts.
The use of financial subsidies to pay for the installation costs, according to the amount paid, debit "financial project subsidies for expenditure" and other subjects, credit "financial subsidies for income", "zero-balance account credit "At the same time, this account is debited and credited to "Funds to be offset--Financial Funds to be offset".
3. When the equipment is installed and delivered for use, debit the "Fixed Assets" account and credit the account.
4, the closing debit balance of this account, reflecting the hospital has not yet completed the actual cost of construction in progress