1. Describe the identification of non-monetary asset exchange?
Identification of non-monetary asset exchange
Non-monetary asset exchange means that the parties to the transaction mainly use non-monetary assets such as inventories, fixed assets, intangible assets and long-term equity investments. exchange. The exchange involves no or only a small amount of monetary assets (i.e. premium). Among them, monetary assets refer to the monetary funds held by the enterprise and the assets that will be collected in fixed or determinable amounts, including cash, bank deposits, accounts receivable, notes receivable, and bond investments. Non-monetary assets refer to assets other than monetary assets.
To determine that an exchange involving a small amount of monetary assets is an exchange of non-monetary assets, the ratio of the premium to the entire asset exchange amount is usually less than 25 as a reference. The monetary assets paid account for the fair value of the assets exchanged ( If the proportion of the sum of the fair value of the assets exchanged and the monetary assets paid) is less than 25 (excluding 25), it is deemed to be a non-monetary asset exchange; if it is higher than 25 (including 25), it is deemed to be in currency. acquire non-monetary assets.
Judgment that the exchange of non-monetary assets has commercial substance
The exchange of non-monetary assets that meets one of the following conditions has commercial substance:
(1) Exchange The future cash flow of the assets received is significantly different from that of the assets exchanged in terms of risk, time and amount
(2) The present value of the estimated future cash flows of the assets received and the assets exchanged are different, and the difference is different from the present value of the assets exchanged. The fair value of the assets received is significant compared with the fair value of the assets exchanged out
When determining whether the exchange of non-monetary assets has commercial substance, the enterprise should pay attention to whether there is a related party relationship between the parties to the transaction. The existence of related party relationships may result in non-monetary asset exchanges that do not have commercial substance.
Please refer to the application guide of "Accounting Standards for Business Enterprises No. 7 - Exchange of Non-monetary Assets" for detailed explanation.
casc.gov./wjk/200611/P020061115659104784307.pdf Short answer question: Identification of non-monetary asset exchange
To identify non-monetary asset exchange, first make a qualitative judgment and then quantify it Computational judgment. The so-called qualitative judgment is to look at the nature of the exchange assets when there is no premium. If there are monetary assets participating in the exchange, they will be excluded first; common monetary assets include cash, bank deposits, accounts receivable, notes receivable, Held-to-maturity investments.
In the case of non-monetary asset exchanges and premiums, in terms of quantitative calculation, the criterion is that the premium/entire asset exchange amount is less than 25, excluding premium issues equal to non-monetary asset exchanges
1. Exchange lathe A with a fair value of 1 million yuan for lathe B, and at the same time receive a premium of 200 thousand yuan
Explain that the fair value of lathe A exchanged is 1 million yuan, and the fair price of lathe B is 1 million yuan. It is 800,000 yuan. The premium will only be received if the fair price of lathe B is smaller. Then the entire asset exchange amount is 1 million yuan. 200,000/1 million = 20, which is less than 25, and it is a non-monetary exchange.
2. Exchange electronic equipment with a fair value of 70W yuan for a car, and pay a premium of 30W yuan at the same time
Explain that the price of the car is 1 million, the electronic equipment is 700,000, and the amount of money left is small. The premium will be paid only when the amount of money coming in is large. The total asset amount is 1 million. 300,000/1 million = 30, which is greater than 25 and does not belong to non-monetary exchange.
In fact, non-monetary exchange is just like if you take If you buy an old thing and exchange it for something at a flea market, if your thing is of high value, you will definitely have to charge a premium. If your thing is of low value, you will have to pay a premium. Anyway, you have to equalize that amount. The entire asset exchange amount is that The largest value, as in the first example above, the largest item is lathe A, is 1 million, so 1 million is the exchange amount of the entire asset. In the second example, the largest item is a car, is 1 million, so 100 Ten thousand is the exchange amount of the entire asset. Anyway, you have to take the maximum value, regardless of whether it is exchanged out or in. The maximum value is the exchange value of the entire asset. The premium does not matter whether it is received. It is still paid. Anyway, divide the maximum number by complement, and compare the result with 25 to determine whether it is a non-monetary exchange. A question about the exchange of non-monetary assets
The proportion of monetary assets paid The proportion of the fair value of the assets exchanged (or the sum of the fair value of the assets exchanged and the monetary assets paid) = 180 000/1200 000 = 15lt; 25
This exchange is a non-monetary transaction involving premium Sexual asset exchange I, that is, exchange gains and losses are recognized at fair value.
Company A’s accounting treatment:
① The entry value of the assets exchanged = the fair value of the assets exchanged - the relevant taxes payable on the premium received
=1200 000-180 000=1020 000 yuan
② The profit and loss to be recognized for this exchange = the fair value of the assets exchanged - the book value of the assets exchanged = 1200 000-960 000 = 240 000
③Entry: Debit: Fixed assets 1 020 000
Bank deposits 180 000
Loan: Investment real estate 960 000
Investment income 240 000
Accounting treatment of Company B:
①. Entry value of assets exchanged = fair value of assets exchanged out Relevant taxes payable for premium paid
=1020 000 180 000 = 1200 000 yuan
② The profit and loss to be recognized for this exchange = the fair value of the assets exchanged - the book value of the assets exchanged = 1020 000-900 000 =120 000
③ Entry: Debit: fixed assets liquidation 900 000
Credit: fixed assets 900 000
Debit: investment real estate 1 200 000
Loan: Fixed assets liquidation 900 000
Bank deposit 180 000
Non-operating income 120 000 An exercise in non-monetary asset exchange
Account processing of Company B:
Debit: investment real estate 9,000
Loan: available-for-sale financial assets 7,000
Bank deposit 1,000
Investment income 1000
At the same time:
Debit: capital reserve - change in fair value 1000
Credit: investment income 1000
So the two investment income accounts affect the total profit. The calculation process of the answer is as follows:
The fair value at the time of disposal is 8,000 - the book value is 7,000 = 1,000 and is included in the investment income
In addition to the previously recognized change in fair value of 10 million, there is no need to transfer it. investment income.
Textbook topics on non-monetary asset exchange
1. The fixed assets exchanged are equivalent to the purchase of fixed assets, and of course the buyer does not need to pay value-added tax. The exchanging party is equivalent to the selling party, and the selling party has to pay VAT, but only output items are calculated, and input items do not need to be calculated.
2. The output tax of 680,000 is obtained by directly multiplying the fair value (taxable value) by the tax rate of 17.
3. If a premium is involved, if it is measured at fair value:
The party who pays the premium will exchange for the fair value of the asset, plus the premium and related expenses payable. Taxes are regarded as the entry value of the transferred assets, and the difference between the fair value of the transferred assets and their book value is included in the current profit and loss. The formula is: entry value of assets exchanged = fair value of assets exchanged, premium, and relevant taxes payable.
The party that receives the premium shall use the fair value of the assets exchanged, minus the premium and relevant taxes payable, as the entry value of the assets exchanged, and the fair value of the assets exchanged shall be the difference between the book value and the fair value of the assets exchanged. The difference is included in the current profit and loss. The formula is: Booking value of assets exchanged = Fair value of assets exchanged - Relevant taxes payable on premium.
In this question, the accounting treatment of the two companies is contradictory to the calculation of VAT. Ask a question about the exchange of non-monetary assets:
Factories and office buildings are real estate, and business tax is applicable.
First of all, let’s make it clear that monetary assets are money.
For example, if I trade you a corn for a sausage, the corn is worth 1 yuan and the sausage is worth 5 yuan. In order to facilitate this transaction, I have to pay you another 4 yuan to seal the deal.
Here,
I am the one paying the premium
The monetary asset as the premium is 4 yuan
Exchange The assets bought in are sausages
The consideration given up in exchange for the assets is the total price, that is, my corn plus 4 yuan
Then the original sentence can be translated as
In the case where I need to add money, for me, the four dollars I paid constitute part of the total price I paid to get the sausage. A difficult problem in the exchange of non-monetary assets is urgent
1 Commercial in nature
Company A:
Fixed assets transferred to liquidation
Borrow: Fixed assets liquidation 196,000
Accumulated depreciation 24000
Credit: fixed assets 220000
Freight - this freight is incurred when the fixed asset is shipped out for exchange
Debit: fixed assets liquidation 5000
Credit: bank deposit 5000
Exchange
Debit: fixed assets 250000
Loan: bank deposit 20000
Liquidation of fixed assets 201,000
Non-operating income--Gains from exchange of non-current assets 29,000
Company B
Transferred to liquidation of fixed assets
Debit: Fixed assets liquidation 185,000
Accumulated depreciation 95,000
Credit: Fixed assets 280,000
Freight charges
Debit: Fixed assets Clean up 4200
Credit: bank deposit 4200
Exchange
Borrow: bank deposit 20000
Fixed assets 230000
Loan: Fixed assets liquidation 189,200
Non-operating income--gains from exchange of non-current assets 60,800 A question on non-monetary asset exchange
Let me try it:
If taxes and fees are not considered, the difference between the fair value and the book value of the car exchanged by Company B will be recognized as profit or loss, and the fair value of the asset exchanged will be regarded as the cost of the asset exchanged:
Dr. Fixed assets Cleanup 9
Accumulated depreciation 11
Cr. Fixed assets - Volkswagen 20
Dr. Fixed assets - Machinery and equipment 9
Cr . Fixed assets liquidation 9
Here, because the book value of the car exchanged by Company B = 20-11 = 9, which is exactly equal to the fair value 9, there is no non-operating income and expenses.