An organization's financial investments include: Financial investments
Concept of financial investments
This term refers to assets that bring tangible benefits to the company in the future. For example, dividends received on shares purchased, interest on loans issued, etc. Financial investments include:
- Securities issued by government or commercial companies, including debt (bonds, bills);
- contributions to the management company of third-party companies, including subsidiaries and dependent business units;
- loans issued with interest;
- deposits in credit institutions;
- receivables purchased under an assignment agreement;
- contributions of a company-partnership on the basis of an agreement.
The following are not considered financial investments:
- shares of one's own company acquired from shareholders;
- bills issued by the company to the counterparty supplier of goods/services;
- investments in assets used in production or provided for rent.
The main criterion that distinguishes a financial investment is its ability to generate income in the future. Therefore, interest-free loans issued by the company also do not fall under the definition of financial investments.
According to the investment period, they distinguish financial investments short-term (investment for up to 1 year) and long-term (for a period of more than 1 year). To reduce investment risks, companies invest in various financial projects, the totality of which forms an investment portfolio.
Accounting for financial investments
Regulates the accounting of financial investments PBU 19/02. The chart of accounts for combining information about investments made defines account 58, and since investments are classified into categories, it is customary to open sub-accounts for each of them. For example, on the account. 58/1 reflects the acquired shares and shares, and on the account. 58/2 – promissory notes and bonds. However, it should be borne in mind that deposits are accounted for in account 55/3 “Deposit accounts”.
When accounting for investments, it is necessary to maintain strict analytics by type of investment and with the mandatory reflection of the following information:
- name of the issuer;
- designation and details of the security;
- cost;
- quantity;
- date of purchase/disposal;
- storage.
Making investments (i.e. purchasing investments) is recorded in the debit of the account. 58 at the cost of expenses incurred. The credit of account 58 reflects the disposal of investments. Income received from investments is reflected in the company's other income.
What is included in financial investments on the balance sheet
Information about investments in the balance sheet is reflected depending on membership in the categories that determine the investment period. Thus, financial investments on page 1170 of the balance sheet are a reflection of the cost of acquired shares, bills, shares and others valuable papers. In the same line of the section “ Fixed assets» the amounts invested in the joint capital of other companies, investments under concluded agreements on joint activities, the amount of issued interest-bearing loans are also reflected, and the amount of deposits opened in credit institutions is also taken into account. In short, line 1170 records the amounts long-term investments(clauses 2, 3 of PBU 19/02), i.e. those with a maturity period of more than 1 year after the reporting date.
The cost of short-term financial investments, i.e. in the company’s turnover for less than 1 year, is included in financial investments in the balance sheet already in the second section “ Working capital", to line 1240.
When compiling annual reporting the company draws up notes to the balance sheet and income statement, deciphering in detail information about financial investments in tables 3.1 and 3.2, included in the list of standard notes to the balance sheet.
The reporting of domestic enterprises and organizations takes into account various financial investments: issued loans, deposits, etc. They are united by the concept of “attachments”. Financial investments are reflected in the balance sheet and notes to financial statements.
What is included in financial investments on the balance sheet
The concept of “financial investments in the balance sheet” includes:
- various securities with established deadlines and the cost of repayment;
- contributions to the capital of other enterprises and organizations;
- issued loans (except interest-free) and deposits;
- acquired receivables, etc.
Such investments and assets are included in the concept under consideration if they meet the following criteria:
- documentary confirmation;
- whether the relevant investor faces financial risks associated with such investments;
- the likelihood that these investments will subsequently provide an economic effect in the form of benefits in its various forms (dividends, increase in value, etc.) This conclusion follows from paragraphs 2, 3 of PBU 19/02.
Now let's look at what does not apply to long-term financial investments in line 1170 of the balance sheet. This is for example:
- purchased for cancellation or subsequent sale own shares enterprises;
- bills of exchange issued in legal relations of purchase and sale and provision of services;
- investments in property leased for a fee;
- jewelry, paintings, etc., if their acquisition is not related to ordinary activities enterprises;
- fixed assets, inventories and intangible assets.
Where and how financial investments are reflected in accounting
Before entering the balance sheet, current financial investments in accounting are formed in account 58 “Financial investments”. At the same time, deposits are subject to accounting in subaccount 55-3 “Deposit accounts”.
Analytical accounting for securities must reflect information about:
- name of the issuer;
- name and details of the security;
- cost;
- total quantity;
- date of acquisition and disposal;
- storage location.
Balance sheet value long term investment related to financial investments is reflected as of December 31 of the previous year and as of December 31 of the year that expired before this (previous) year.
Wherever the relevant information is generated in accounting, long-term financial investments in the balance sheet are line 1170.
In accounting, assets corresponding to the balance sheet indicator under consideration are taken into account according to initial cost.
The following are taken into account as expenses for financial investments:
- amounts paid under contracts;
- the cost of information and consulting services related to the relevant investments;
- remuneration for intermediaries;
- other costs of financial investments.
To determine the current market value of financial investments, all available sources of relevant information are used. If financial investments are not traded on the securities market and their current market value is not determined, they are accounted for at the reporting date at their original cost.
The initial cost of debt securities, the current market value of which is not determined, may be changed to nominal values during the period of their circulation. This is done evenly depending on the amount of income on such securities.
Disposal of financial investments is subject to accounting when:
- repayment;
- sale;
- gratuitous transfer, etc.
The disposal of the corresponding asset for which the current market value is not determined is accounted for:
- or at original cost;
- or at the average initial cost;
- or using the FIFO method.
Financial investments- this is the placement of free Money organizations at other enterprises through the acquisition of securities, issuance long-term loans, making contributions to authorized capital. There are long-term and short-term financial investments. Short-term assets are those whose circulation or repayment period does not exceed 12 months, while long-term are financial investments with a maturity of more than one year. When accounting for financial investments, you should be guided by the Accounting Regulations “Accounting for Financial Investments” PBU 19/02 (approved by Order of the Ministry of Finance of Russia dated December 10, 2002 N 126n; hereinafter referred to as PBU 19/02).
According to clause 3 of PBU 19/02, financial investments include:
- securities (state, municipal, other organizations), including debt securities in which the date and cost of repayment are determined (bonds, bills);
- contributions to the authorized (share) capital of other organizations (including subsidiaries and dependent business companies);
- loans provided to other organizations;
- deposits in credit institutions;
- contributions of the partner organization under a simple partnership agreement.
To summarize information about the availability and movement of an organization's investments in government securities, shares, bonds and other securities of other organizations, authorized (share) capital of other organizations, as well as loans provided to other organizations, account 58 “Financial investments” is intended.
TO count 58 Sub-accounts can be opened:
- "Units and shares";
- "Debt securities";
- "Loans provided";
- “Deposits under a simple partnership agreement.”
Not considered financial investments of the organization:
- own shares, repurchased joint stock company from shareholders for subsequent resale or cancellation;
- bills of exchange issued by the organization-issuer of the bill to the organization-seller when paying for goods sold, products, work performed, services rendered;
- investments of the organization in real estate and other property that has a tangible form, provided by the organization for a fee for temporary use (temporary possession and use) for the purpose of generating income;
- precious metals, jewelry, works of art and other similar valuables acquired for purposes other than ordinary activities.
It is important to emphasize that the assets having a material form, such as fixed assets, inventories, as well as intangible assets are not financial investments, but when made as a contribution to authorized capital or under a simple partnership agreement they will be taken into account as financial investments.
Requirements for assets to be recognized as financial investments:
- the organization must have documents confirming its right to a financial investment (for loans provided - an agreement; for bills issued by third-party organizations - a bill of exchange; for shares or bonds - the shares themselves, bonds or a certificate for them, an extract from the register; for deposits in banks - an agreement; for contributions to authorized capital - the charter of the company that received this contribution);
- transition to organizing financial risks associated with these investments;
- ability to generate income in the future (interest, dividends, difference between purchased and sales prices).
at original cost, which consists of the amount of actual expenses of the organization for their acquisition, with the exception of value added tax and other refundable taxes (except for cases provided for by law Russian Federation about taxes and fees).
According to clause 9 of PBU 19/02, such expenses include:
- amounts paid in accordance with the contract to the seller;
- amounts paid to organizations and other persons for information and consulting services related to the acquisition of these assets (if such information or consulting services are provided, but the organization does not make a decision on such acquisition, the cost of services is charged to financial results commercial organization as part of other expenses or to increase expenses non-profit organization the reporting period when the decision was made not to purchase financial investments);
- remunerations paid to intermediaries through whom investments were purchased;
- other costs directly related to the acquisition of assets as financial investments.
If additional expenses for the acquisition of securities are insignificant compared to the amount paid to the seller, then they can be taken into account as part of other expenses in the reporting period when the securities were capitalized.
Since PBU 19/02 does not contain a definition of the materiality of costs for the purchase of securities, we can take as a basis general rule, for which an indicator that is less than 5% of a particular amount is not considered significant, but this must be reflected in accounting policy enterprises.
Shares, as one of the types of financial investments, can be acquired by an organization in the following ways:
- for a fee;
- received as a contribution to the authorized capital;
- free of charge;
- in a barter transaction.
A share is an issue-grade security that secures the rights of its owner (shareholder) to receive part of the profit of the joint-stock company in the form of dividends, to participate in the management of the joint-stock company and to part of the property remaining after its liquidation. Typically, a share is a registered security.
When receiving securities for a fee, their value is the sum of all purchase costs. The contractual value of securities can be expressed not only in rubles, but also in foreign currency, which is converted into rubles on the day the costs of their purchase are reflected. Positive exchange differences arising after payment are reflected as part of other income, negative ones - as part of other expenses. They do not affect the initial price of shares.
Recalculation of the value of banknotes at the organization's cash desk, funds in bank accounts (bank deposits), monetary and payment documents, securities (except for shares), funds in settlements, including for borrowed obligations with legal entities and individuals (except for funds received and issued advances and prepayments, deposits), expressed in foreign currency, in rubles must be made on the date of the transaction in foreign currency, as well as on the reporting date.
The initial cost of financial investments made as a contribution to the authorized (share) capital of an organization is recognized as their monetary value, agreed upon by the founders (participants) of the organization, unless otherwise provided by the legislation of the Russian Federation. In some cases, an independent appraiser must be hired to assess the value of financial investments. In limited liability companies, this is necessary if the value of shares contributed to the authorized capital exceeds 20,000 rubles. (v. 15 Federal Law dated 02/08/1998 N 14-FZ “On Limited Liability Companies”).
Accounting loans As one of the types of financial investments, it has its own characteristics. Let's look at some of them.
An organization has the right to issue a loan to another enterprise or individual. This type of transaction is formalized in writing - a loan agreement. The interest that the recipient must pay for the right to use the loan is usually specified in the agreement. If there is no such condition in it, then they are calculated based on the refinancing rate in effect at the time of loan repayment.
If an organization issues interest-free loan, then it is not taken into account as part of financial investments, since one of the criteria for recognizing financial investments is the receipt of income (in the form of interest for using a loan). Lines 230 (long-term receivables) or 240 (short-term receivables) are intended for such loans.
The loan can be issued in both non-cash and cash form. When carrying out an operation to issue or return cash loans cash register equipment does not need to be used, since in this case there is no sale of goods, works or services. When issuing cash loans, you should be guided by Letter of the Bank of Russia dated December 4, 2007 N 190-T, which explains that legal entities and individual entrepreneurs does not have the right to spend cash received in their cash registers for goods sold by them, work performed by them, services provided by them, as well as as insurance premiums for the provision of loans. Cash received at the cash desks of enterprises is subject to delivery to banking institutions for subsequent crediting to the accounts of these enterprises.
Example 1
. The organization issued a loan to its employee in the amount of 500,000 rubles. In order to ensure the repayment of the loan issued, a car pledge agreement was concluded (the value of the property pledged by agreement of the parties is 1,000,000 rubles) and a guarantee agreement, under the terms of which the guarantor undertakes to bear joint liability with the borrower to the lender. The question arises as to what amount should be reflected in off-balance sheet account 008 “Securities for obligations and payments received” for each of the agreements.
This account is intended to summarize information on the availability and movement of guarantees received to ensure the fulfillment of obligations and payments, as well as collateral received for goods transferred to other organizations (individuals).
According to Art. 329 Civil Code of the Russian Federation (Civil Code of the Russian Federation), the fulfillment of obligations may be ensured by a penalty, pledge, retention of the debtor's property, surety, bank guarantee, deposit and other means, provided for by law or a contract.
Analytical accounting by account 008 is maintained for each collateral received.
Since the car is pledged to the organization until the loan agreement is repaid, the contractual value of this car must be reflected in account 008 in the amount of 1,000,000 rubles.
With regard to the agency agreement, the following should be noted. The essence of the legal mechanism for ensuring the fulfillment of obligations is to vest the creditor with, in addition to the basic rights under the secured obligation additional rights, which he can use in case of violation of the debtor's obligation. Establishment Agreement a certain way Ensuring the fulfillment of obligations, as a general rule, gives rise to an additional obligation designed to ensure the fulfillment of the main obligation. In the example under consideration, the guarantee agreement was concluded in order to ensure the repayment of the issued loan in the amount of 500,000 rubles. This means that account 008 should reflect the amount corresponding to the amount obligations under the loan agreement. As a result, in this off-balance sheet account, under the pledge agreement, it is necessary to reflect the contractual value of the pledged car in the amount of 1,000,000 rubles, and under the agency agreement - in the amount of 500,000 rubles.
In other words, all calculations are carried out on balance sheet accounts, and the entries in account 008 are purely control in nature and are written off as the debt is repaid.
Except accounting The company maintains tax records. In accordance with paragraphs. 10 p. 1 art. 251 Tax Code RF (TC RF) when determining tax base
income in the form of funds or other property received under credit or loan agreements (other similar funds or other property, regardless of the method of registration of borrowings, including securities under debt obligations), as well as funds or other property received in repayment these borrowings. That is, income in the form of funds received to repay previously issued loans does not need to be taken into account by the lending organization in income for corporate income tax purposes.
However, it should be taken into account that according to paragraph 6 of Art. 250 of the Tax Code of the Russian Federation, income in the form of interest received under loan agreements, credit, bank account, bank deposit, as well as on securities and other debt obligations, are recognized as non-operating income of the taxpayer (the specifics of determining bank income in the form of interest are established by Article 290 of the Tax Code of the Russian Federation). Thus, income in the form of interest received on loans previously issued to the borrowing organization is recognized as income of the lending organization for corporate profit tax purposes.
As stated above, the loan can be issued in non-cash or cash form, as well as in in kind(for example, goods or materials). First of all, it is necessary to reflect the disposal of this type of loan, since Art. 39 of the Tax Code of the Russian Federation establishes that the sale of goods is the transfer of ownership rights to them by one person to another, i.e. ownership passes from the lending organization to the borrower. In this regard, it is logical to assume that the transfer of things to the borrower into ownership should be subject to income tax and VAT from the lender as a sales transaction. After the loan is repaid, operations are carried out to capitalize the received property. An organization can deduct the amount of “input” VAT in the usual manner.
Under a commodity loan agreement, the lender transfers to the borrower ownership of things defined by generic characteristics, and the borrower undertakes to return to the lender an equal number of other things of the same kind and quality and pay interest. In this case, interest can be expressed both in cash and in kind. In order to avoid claims from regulatory authorities regarding payment for services provided, we recommend that you specify in the contract the procedure for calculating and paying interest, since this follows from Art. Art. 819 and 822 of the Civil Code of the Russian Federation. In the absence of such information, interest on the loan is calculated based on the refinancing rate of the Bank of Russia in effect on the day the debtor repaid the trade loan or the corresponding part thereof.
Example 2
. An organization issued a long-term loan to another organization with goods worth RUB 4,720,000 according to the agreement. (including VAT - 720,000 rubles). The cost of goods is 4,000,000 rubles. The loan was issued at 20% per annum. Interest is accrued for each day the loan is used. Their payment occurs no later than the end of each quarter.
Loan issuance transactions are reflected in the following entries:
Debit 76 "Settlements with various debtors and creditors" Credit 90 "Sales", subaccount 1 "Revenue", - revenue from the sale of goods is reflected - 4,720,000 rubles;
Debit 90, subaccount 2 “Cost of sales”, Credit 68 “Calculations for taxes and fees” - VAT charged - 720,000 rubles;
Debit 90, subaccount 3 “Value added tax”, Credit 41 “Goods” - the cost of goods loaned is written off - 4,000,000 rubles;
Debit 58 Credit 76 - the loan amount is reflected - 4,720,000 rubles;
Debit 76 Credit 91 "Other income and expenses", subaccount 1 "Other income", - interest accrued for January - 80,175 rubles. (4,720,000 x 20%: 365 days x 31 days);
Debit 76 Credit 91, subaccount 1 “Other income” - interest accrued for February - 72,416 rubles. (4,720,000 x 20%: 365 days x 281 days);
Debit 76 Credit 91, subaccount 1 “Other income” - interest accrued for March - 80,175 rubles. (4,720,000 x 20%: 365 days x 31 days);
Debit 51 " Current accounts“Loan 76, - interest for the first quarter is listed - 232,766 rubles (80,175 + 72,416 + 80,175).
Further interest accrual occurs in a similar manner. When repaying a loan, you need to make the following entries:
Debit 19 “Value added tax on purchased valuables” Credit 76, - VAT on returned goods is taken into account - 720,000 rubles;
Debit 41 Credit 76, - returned goods are capitalized - 4,000,000 rubles. (4,720,000 - 720,000);
Debit 68 Credit 19, - accepted for deduction of VAT on returned goods - 720,000 rubles;
Debit 76 Credit 58, - the amount of the repaid loan is written off - 4,720,000 rubles.
The enterprise's funds credited to bank deposits are reflected as part of financial investments.
Bank deposit means funds or securities deposited with a bank for a specified period on behalf of an individual or legal entity, who is charged a certain percentage for this.
Under a bank deposit agreement, one party (the bank) has accepted what has been received from the other party (the depositor) or received for it sum of money(deposit), undertakes to return the deposit amount and pay interest on it under the conditions and in the manner provided for by the agreement(Clause 1 of Article 834 of the Civil Code of the Russian Federation).
The company accrues interest on the deposit on the day when it has the right to receive it, based on the terms of the agreement, i.e. In accounting, interest is calculated regardless of whether the bank transferred the interest to the organization's account or not.
In practice, a situation is possible when an organization deposited funds on a bank deposit in November 2010. According to the agreement, the accrual and payment of income (interest) will be made at the end of the deposit period in 2011.
According to paragraph 6 of Art. 271 of the Tax Code of the Russian Federation, under loan agreements and other similar agreements, the validity of which falls on more than one reporting period, income is recognized as received and included in income at the end of the corresponding reporting period. Thus, if a bank deposit agreement is concluded for a period of more than one reporting period, the depositor organization is obliged to accrue interest at the end of each reporting period, regardless of the actual receipt of money and the terms of the deposit agreement (if the organization records income and expenses for tax purposes using the accrual method) . Therefore, taxable income (interest on a bank deposit) will also arise in 2010 based on the amounts to be received, calculated based on the actual number of days the deposit was placed in a given period.
Let us recall that income is recognized in the reporting (tax) period in which it occurred, regardless of the actual receipt of funds, other property (work, services) and (or) property rights(accrual method). For income relating to several reporting (tax) periods, and if the relationship between income and expenses cannot be clearly defined or is established indirectly, income is distributed by the taxpayer independently, taking into account the principle of uniform recognition of income and expenses.
Financial investments reflect the value of bills received by the organization from other persons. Bill of exchange is a security and can be used as a financial instrument to earn interest or discount income.
In accounting, a bill of exchange purchased for a fee is accounted for as part of financial investments at original cost in the amount of actual acquisition costs (clauses 8, 9 of PBU 19/02). Income on bills can be interest or discount. Discount income is the difference between the purchase price of the bill and the amount received upon its redemption (face value).
The bill of exchange must contain the following required details:
- the name “bill” included in the text of the document and expressed in the language in which this document was drawn up;
- a simple and unconditional offer (promise) to pay a certain amount;
- name of the payer (only in the bill of exchange);
- payment term;
- the place where the payment must be made;
- the name of the person to whom or on whose order the payment should be made;
- date and place of drawing up the bill;
- signature of the drawer.
If the text of the bill does not contain the listed details, it loses its bill of exchange force and can be recognized as a different document legal form- promissory note.
The exercise of property rights under a bill of exchange, as well as under any other security, is possible only by presenting it.
Typically, income on a bill is recognized at maturity.
But at the same time, paragraph 22 of PBU 19/02 explains that for debt securities for which the current market value is not calculated, the organization is allowed the difference between the initial value and the nominal value during the period of their circulation evenly according to the amount due on them in accordance with the conditions for the release of income to be attributed to the financial results of a commercial organization (as part of other income or expenses) or a decrease or increase in expenses of a non-profit organization. This procedure for reflecting income is fixed as an element of accounting reporting policy.
Example 3
. The company purchased a bill of exchange for 1,000,000 rubles. Its nominal value is 1,300,000 rubles, the maturity of the bill is 24 months. If accounting policy The organization provides for the reflection of income on bills at the time of their repayment; the following entries are made in accounting:
Debit 91, subaccount 2 “Other expenses”, Credit 58 - bill presented for redemption - 1,000,000 rubles;
Debit 76 Credit 91, subaccount 1 “Other income” - reflects the debt to repay the bill - 1,300,000 rubles;
Debit 91, subaccount 9 "Profit/loss from sales", Credit 99 "Profits and losses", - income (discount) on the bill is reflected - 300,000 rubles. (1,300,000 - 1,000,000);
Debit 51 Credit 76 - funds received to repay the bill - 1,300,000 rubles.
If the accounting policy provides for the reflection of income on bills evenly over the period of their circulation, then the following entries are made:
Debit 58 Credit 51 - financial bill purchased - 1,000,000 rubles;
Debit 76 Credit 91, subaccount 1 “Other income” - accrued income for the 1st month of circulation of the bill - 12,500 rubles. [(1,300,000 - 1,000,000) : 24 months];
Debit 76 Credit 91, subaccount 1 “Other income” - accrued income for the 2nd month of circulation of the bill - 12,500 rubles. [(1,300,000 - 1,000,000) : 24 months];
Debit 76 Credit 91, subaccount 1 “Other income” - accrued income for the 3rd month of circulation of the bill - 12,500 rubles. [(1,300,000 - 1,000,000) : 24 months] etc.
Repayment of a bill of exchange is recorded using the following entries:
Debit 91, subaccount 2 “Other expenses”, Credit 58 - the original cost of the bill was written off - 1,000,000 rubles;
Debit 76 Credit 91, subaccount 1 “Other income” - reflects the cost of the bill presented for redemption - 1,000,000 rubles;
Debit 51 Credit 76 - reflected income received (discount) on the bill - 300,000 rubles.
The transfer of ownership of the bill of exchange is confirmed by an act of acceptance and transfer, which must contain the mandatory details listed in clause 2 of Art. 9 of the Federal Law of November 21, 1996 N 129-FZ “On Accounting”. In addition, it must indicate: details of the bill (series, number, date of issue, type (simple or transferable), par value, payment term, etc.); details of the agreement under which the bill was transferred. It makes sense to attach a copy of the bill to the deed.
To account for financial investments, they are divided into two categories:
- for which the current market value is not determined (in this case, financial investments are indicated in the balance sheet at their original cost);
- by which the current market value is determined, i.e. quoted on the organized securities market.
In the second category, they are reflected in the balance sheet at the market price that was formed at the end of the reporting period. The difference between the initial and current estimates is included in other income or expenses. An organization has the right to adjust the value of securities on a monthly or quarterly basis (clause 20 of PBU 19/02). It is advisable to reflect the selected period in the organization’s accounting policies for accounting purposes.
According to paragraph 3 of Art. 280 of the Tax Code of the Russian Federation, securities are recognized as circulating on the organized securities market only if the following conditions are simultaneously met:
- if they are admitted for circulation by at least one trade organizer who has the right to do so in accordance with national legislation;
- if information about their prices (quotations) is published in the media (including electronic) or can be provided by the trade organizer or other authorized person to any interested party within three years after the date of transactions with securities;
- if a market quotation was calculated for them during the last three months preceding the date of the taxpayer’s transaction with these securities, when this is provided for by law.
Example 4
. In May, the investor company acquired securities for which, in accordance with the established procedure, it is possible to determine their market value, in the amount of 1,000,000 rubles. The organization's accounting policy states that adjustments to such financial investments should be carried out quarterly.
According to officially published data (quotes stock exchange) the cost of these securities was: as of May 31 - 990,000 rubles; as of December 31 - 1,008,000 rubles.
In accounting, the above transactions must be reflected in the following entries:
Debit 60 “Settlements with suppliers and contractors” Credit 51 - payment for securities was made to the seller - 1,000,000 rubles;
Debit 58 Credit 60 - securities were capitalized (in May) - 1,000,000 rubles;
Debit 91, subaccount 2 "Other expenses", Credit 58 - reflects the adjustment (revaluation) of securities as of May 31 - 10,000 rubles. (1,000,000 - 990,000);
Debit 58 Credit 91, subaccount 1 “Other income” - reflects the adjustment (revaluation) of securities as of December 31 - 18,000 rubles. (1,008,000 - 990,000).
Thus, in financial statements at the end of the year, the value of securities will be fixed in the amount of 1,008,000 rubles. (1,000,000 - 10,000 + 18,000).
In the event that the current value of an object of financial investment, previously valued at the current market value, is not determined at the reporting date (for example, these shares are no longer quoted on the stock exchange), this object of financial investment is reflected in the financial statements at the value of its last valuation (Clause 24 PBU 19/02). In the future, no adjustments are made to its value, since it automatically falls into the first category of financial investments.
Simple partnership agreement(joint activity agreement) is increasingly used in the field of entrepreneurial activity. It allows you to combine the activities of several business entities, as well as individuals to engage in one general view activities without forming a legal entity.
The concept, content of a simple partnership agreement, the rights, obligations and responsibilities of the parties under this agreement are defined in Chapter. 55 Civil Code of the Russian Federation. Under this agreement, the partners pool their contributions in order to act together to make a profit or achieve another goal that does not contradict the law.
In the agreement, the partners must indicate what activities they will jointly engage in, since a distinctive feature of a joint activity agreement is that all participants have a common goal for the sake of which the partnership is created. If the purpose is commercial, then only organizations and individual entrepreneurs can participate in the partnership. But individuals who are not registered as PBOYUL cannot become comrades.
The contribution of a comrade is recognized as everything that he contributes to the common cause, including money, other property, professional and other knowledge, skills and abilities, as well as business reputation and business connections (Article 1042 of the Civil Code of the Russian Federation). Thus, the parties have the right to independently assess the professional skills and business connections of a comrade, allowing him, for example, to receive large loan for common goals. Professional and other skills, abilities, etc. quite difficult to document. This makes a simple partnership agreement significantly different from all other contributions.
The partners' contributions are assumed to be equal in value, unless otherwise follows from the simple partnership agreement or actual circumstances. The monetary value of a partner's contribution is made by agreement between the partners.
The initial cost of financial investments contributed to the contribution of a partner organization under a simple partnership agreement is recognized as their monetary value, agreed upon by the partners in the agreement (clause 15 of PBU 19/02).
Financial investments are accepted for accounting by a partner who is entrusted with the responsibility of conducting general affairs.
For example, a simple partnership agreement entrusts the organization with the management of common affairs. As a contribution to the authorized capital of the partnership, she accepts shares traded on the organized securities market, the value of which, according to the agreement, is 1,000,000 rubles.
In the separate accounting of a simple partnership, this operation is reflected by the entry:
Debit 58 Credit 80 “Authorized capital” - shares received as assessed under a simple partnership agreement - 1,000,000 rubles.
PBU 19/02 introduced the concept of " depreciation of financial investments". It applies only to financial investments for which the market value is not determined. Impairment is understood as a sustainable decrease in value below the amount of economic benefits that the organization expects to receive from these financial investments in normal conditions its activities (clause 37 of PBU 19/02).
In order to recognize that investments are depreciating, the following conditions must be simultaneously present:
- at the reporting date and at the previous reporting date, the accounting value is significantly higher than their estimated value;
- during the reporting year, the estimated value of financial investments changed significantly only in the direction of its decrease;
- at the reporting date there is no evidence that a significant increase in the estimated value of these financial investments is possible in the future.
Impairment of financial investments can occur in the following situations:
- the issuing organization of securities owned by the organization or its debtor under the loan agreement has signs of bankruptcy or is declared bankrupt;
- making a significant number of transactions in the securities market with similar securities at a price significantly lower than their book value;
- absence or significant decrease in income from financial investments in the form of interest or dividends with a high probability of a further decrease in these income in the future, etc.
If such trends arise, the organization must carry out a check to determine the existence of conditions for a sustainable decrease in the value of financial investments. If the audit confirms a decrease in value, the organization creates a reserve for the depreciation of financial investments (account 59). commercial organization forms a reserve due to financial results (as part of operating expenses), and a non-profit - due to an increase in expenses.
A check for impairment of financial investments is carried out at least once a year as of December 31 of the reporting year if there are signs of impairment. The organization has the right to carry out this check on the reporting dates of the interim financial statements.
By account credit 59 the creation of reserves is reflected, and the debit shows its use. The balance shows the balance of reserves at the end of the reporting period. This account acts as a regulator to account 58 and serves financial source covering losses due to possible sale unquoted financial investments at a price less than their book value.
The reserve is created on December 31 of each reporting year (or by decision of the organization quarterly on the reporting dates of the interim financial statements), which is reflected by the entry:
Debit 91, subaccount 2 “Other expenses”, Credit 59 - reserves have been created for the depreciation of investments in unquoted financial investments.
A change in the amount of the reserve (adjustment) for the impairment of investments in unquoted financial investments occurs in the event of a further change in their estimated value at the end of the reporting period:
Debit 91, subaccount 2 “Other expenses”, Credit 59 - the amount of the reserve for depreciation of investments in unquoted financial investments has been increased;
Debit 59 Credit 91, subaccount 1 “Other income” - the amount of the reserve for depreciation of investments in unquoted financial investments was reduced.
Example 5. An organization purchased 3,000 shares at a price of 500 rubles. a piece. The accounting policy determines that a decrease in the value of financial investments is considered significant if the difference between the book value and estimated value of securities exceeds 5%.
The following entry is made in accounting:
Debit 58 Credit 60 - securities capitalized - 1,500,000 rubles. (500 rub. x 3000 pcs.).
According to an independent appraiser, the estimated value of the securities is 430 rubles. a piece. The reduction is 14%.
The decrease in value is significant; the organization creates a reserve for the depreciation of shares. The reserve amount will be 210,000 rubles. [(500 rub. - 430 rub.) x 3000 pcs.].
This operation is reflected by the entry:
Debit 91, subaccount 2 “Other expenses”, Credit 59 - a reserve has been created for depreciation of shares - 210,000 rubles.
At the end of the reporting period, shares are accounted for on the balance sheet at their historical cost less a reserve. Their cost will be 1,290,000 rubles. (1,500,000 - 210,000).
The reserve is written off to financial results (as part of operating income) in two cases:
- upon sale or other disposal of financial investments for which the reserve was created;
- if there is no further sustainable significant reduction in the value of these investments.
The reserve is written off at the end of the year or the reporting period in which the disposal of these financial investments occurred:
Debit 59 Credit 91, subaccount 1 “Other income” - the reserve for depreciation of financial investments due to their disposal is written off.
For non-professional participants in the securities market, the amounts of contributions to the reserve for depreciation of investments in securities are not included in expenses when determining the tax base for income tax (clause 10 of Article 270 of the Tax Code of the Russian Federation). The amounts of restored reserves are also not taken into account (clause 25, clause 1, article 251 of the Tax Code of the Russian Federation).
Data on reserves for impairment of financial investments, indicating the type of financial investments, the amount of the reserve created in the reporting year, the amount of the reserve recognized operating income reporting period; reserve amounts used in the reporting year must be set out in explanatory note To balance sheet organization, based on the requirement of materiality.
Over time, financial investments may disappear. Disposal of securities occurs in cases of redemption, sale, gratuitous transfer, transfers in the form of a contribution to the authorized (share) capital of other organizations, transfers on account of a contribution under a simple partnership agreement, etc. (clause 25 of PBU 19/02). The date of disposal of investments is determined at the moment when ownership rights are transferred to the new owner of the financial investments, financial risks related to financial investments (price change risk, debtor insolvency risk, liquidity risk, etc.).
In such situations, they are written off in one of the ways regulated by PBU 19/02:
1) at the original cost of each unit;
2) at the average initial cost;
3) at the original cost of the first acquisition (FIFO).
The first method is usually used in relation to contributions to authorized capital, loans, deposits in banks, accounts receivable acquired on the basis of assignment of the right of claim. For securities (shares, bonds, bills), the second or third method can be used.
The procedure for determining the value of retiring financial investments differs for “quoted” financial investments and “unquoted” ones. If financial investments for which the current market value is calculated are disposed of, then their value is calculated by the organization based on the latest assessment (clause 30 of PBU 19/02).
The choice of one of these methods is allowed for each group (type) of financial investments and must be enshrined in the accounting policy as its element (clause 26 of PBU 19/02).
When using the second method (provided that it is impossible to determine the current market value of securities), the average value of the security is calculated using the formula:
Average cost of a security = (Cost of securities at the beginning of the month + Cost of securities received during the month) / (Number of securities at the beginning of the month + Number of securities received at the end of the month).
Cost of retired securities subject to write-off:
Value of securities disposed of = Average value of security x Number of securities disposed of during the month.
The value of the balance of securities at the end of the month:
Value of remaining securities = Average value of security x Number of securities remaining at the end of the month
The cost of remaining securities = The cost of securities at the beginning of the month + The cost of securities received during the month - The cost of retired securities.
Similar calculations are made at the end of each month. It is allowed to conduct them within a month for each date of disposal of financial investments (moving average initial cost method).
A rolling estimate makes it possible to use it for each date of transactions, which is very convenient for computer processing of information in accounting programs.
It should be borne in mind that the average initial cost of securities is determined in relation to the same type (shares, bonds, bills).
Example 6
. One of the non-core activities of the organization is the purchase and sale of securities. According to the accounting policy, shares are written off at the average initial cost.
At the beginning of the month, there were 100 shares of one issuer on the balance sheet. The price of the share was 900 rubles. a piece. Within a month, the company acquired shares of the same issuer. They were purchased in three batches:
1st batch - 150 pcs. at a price of 1000 rubles/piece;
2nd batch - 130 pcs. at a price of 1100 rubles/piece;
3rd batch - 250 pcs. at a price of 1200 rubles/piece.
Transactions on their acquisition are reflected
Thus:
Debit 58 Credit 60 - 1st batch of shares purchased - 150,000 rubles. (1000 rub. x 150 pcs.);
Debit 58 Credit 60 - 2nd batch of shares purchased - 143,000 rubles. (1100 rub. x 130 pcs.);
Debit 58 Credit 60 - 3rd batch of shares purchased - 300,000 rubles. (RUB 1,200 x 250 pcs.).
In the same month, 500 shares were sold. The average initial share price calculated at the end of the month will be:
(900 rub. x 100 pcs. + 1000 rub. x 150 pcs. + 1100 rub. x 130 pcs. + 1200 rub. x 250 pcs.) / (100 + 150 + 130 + 250) = 1084.13 rub.
The value of shares disposed of during the month is equal to:
1084.13 rub. x 500 = 542,065 rub.
The write-off of securities is recorded as follows:
Debit 91, subaccount 2 "Other expenses", Credit 58 - the cost of shares sold is written off - 542,065 rubles.
At the end of the month the company's number of shares will be:
100 + 150 + 130 + 250 - 500 = 130 pcs.;
share price:
(900 rub. x 100 pcs. + 1000 rub. x 150 pcs. + 1100 rub. x 130 pcs. + 1200 rub. x 250 pcs.) - 542,065 rub. = 140,935 rub.
Valuation of securities using the method FIFO is based on the assumption that securities are sold during the month in the sequence of their receipt (purchase), i.e. the securities that first went on sale must be valued at the original cost of the first ones acquired, taking into account the value of the securities listed at the beginning of the month. When applying this method, the valuation of securities in balance at the end of the month is carried out according to actual cost the latest in terms of acquisition, and the cost of sale (disposal) of securities takes into account the cost of the earlier acquisitions. This means that when using the third method, those securities that are listed in the balances are written off first, then those received by the organization first. If there are not enough of them - those who arrived are second, if there are not enough of them - third, etc.
According to the conditions of the above example, if an enterprise uses the FIFO method, then in this case the following is written off:
- all shares that are listed at the beginning of the month (100 pcs.);
- all shares received in the 1st batch (150 pcs.);
- all shares received in the 2nd batch (130 pcs.);
- part of the shares received in the 3rd batch (120 pieces).
Total 500 shares (100 +150 +130 + 120).
At the end of the month, the company will have 130 shares from the 3rd batch. (250 - 120) at a price of 1200 rubles. a piece.
The cost of the shares being written off will be RUB 527,000. (900 rub. x 100 pcs. + 1000 rub. x 150 pcs. + 1100 rub. x 130 pcs. + 1200 rub. x 120 pcs.).
Their write-off is reflected by the entry:
Debit 91, subaccount 2 “Other expenses”, Credit 58 - the cost of shares sold is written off - 527,000 rubles.
The value of the shares remaining at the end of the month will be equal to 156,000 rubles. (RUB 1,200 x 130 pcs.).
In paragraph 9 of Art. 280 of the Tax Code of the Russian Federation explains that when selling or otherwise disposing of securities, the taxpayer independently, in accordance with the accounting policy adopted for tax purposes, chooses one of the following methods of writing off the cost of disposed securities as expenses:
- at the cost of the first acquisitions (FIFO);
- per unit cost.
These methods apply to securities both traded and non-traded on the organized securities market.
The FIFO method is used for securities that are comparable in type, terms of circulation and type of income, i.e. one market quote (weighted average price of securities) is applicable to them.
Write-off method in tax expenses the cost of disposed securities at unit value is applied if the organization can accurately identify the securities being sold, or they have individually defined characteristics, or the accounting system and terms of the transaction allow the organization to determine which specific securities it holds are being sold, and it can determine the value of these particular securities.
The selected method is fixed in tax accounting policy.
Investing is the placement of money or other assets that are expected to bring financial benefit to their owner. To understand the essence of this economic category, it needs to be classified. The basic classification of investments depends on the method of investment. Thus, real and financial investments are distinguished.
Real investments are investments in real assets enterprises that can be divided into two subgroups: tangible and intangible. In textbooks devoted to the study of economics, real investment may be called capital investments
, since they are able to exaggerate the amount of capital in the future. Financial investments are a combination of monetary investments in securities, deposits and equity participations. Financial investments are investments in long-term financial instruments that in the future will be able to generate additional income
. Also, the purpose of such investments may be to protect them from various financial risks: inflation, crisis, theft. In fact, monetary investments are considered a rather complex category that needs to be considered in detail.
Kinds Financial investments can take different kinds , it all depends on the investment objects. A loan from a bank is a good example financial investments , which, with effective business management and targeted use of borrowed funds, can bring financial benefits to the entrepreneur. For example, an enterprise takes out a loan from a bank to upgrade current equipment, which in the future will help increase the profitability of the business. The borrower repays the loan on time and without difficulty, since his income increases significantly, and at the same time receives a large amount
arrived. Considering the types of financial investments, we can separately highlight operations on the securities market. By investing in various financial instruments, the company takes part in the process of moving capital into national economy . For example, by acting as an investor in another enterprise by purchasing shares, the organization helps optimize the activities of the issuer of these securities. However, financial investment in funds of subsidiaries may be separately considered as a separate type
the entire set of financial investments. By investing in shares of promising enterprises, the investor will receive significant financial benefits. The entrepreneur also has the opportunity to make profitable transactions with foreign exchange contracts. active participants foreign exchange market. Purchasing a currency at a rate that will increase in the future, and its further sale, can be considered a successful example of financial investment.
A less popular type of financial investment is long-term lending. Use borrowed funds over a long period suggests high interest rates, therefore it is unprofitable for many enterprises.
Functions
Economists say that investing in one direction is very risky. An example of such a situation is investing free funds exclusively in bank deposits. In case of bankruptcy of a particular bank or deterioration in activity banking system, there is a growing likelihood that the investor will not only not increase his capital, but will also be left without the funds that were deposited on bank accounts. It is also not recommended to direct funds outside of circulation into shares of one enterprise. If the organization suffers permanent losses in the future, the investor's money will stop working.
Financial investment portfolio
All financial investments made by an economic entity can be combined into a so-called investment portfolio.
Forming a portfolio of financial investments gives the entrepreneur the opportunity to systematize all capital investments by amount, duration and risks. To consider in detail the structure of an organization's investment portfolio, you need to know what forms of financial investment exist.
It is worth considering that when forming a portfolio of monetary investments, an organization can reach foreign markets capital. This allows us to strengthen production ties between enterprises around the world and promote the free movement of capital.
Accounting
Financial investment is a business transaction that requires strict accounting, regulated by PBU 19/02 of December 27, 2002. Investments are subject to requirements according to which they can be taken into account in accounting
- organizations. The main acceptance criteria are:
- The right of an enterprise to invest funds and receive benefits must be documented.
- Operations that involve the transfer of all risks associated with a particular transaction. We are talking about the risks of bankruptcy of the debtor, changes in market conditions, and a decrease in the level of liquidity. Operations that can bring investors economic benefit
in the form of dividend payments, interest on deposits or an increase in the amount of capital. Accounting for financial investments implies the division of all investment operations taking into account their duration. This approach makes it possible to make forecasts regarding the receipt economic effect from completed financial transactions for a specific period of time. Investing free money in financial instruments for a period that does not exceed twelve months is considered. If the investment period exceeds twelve months, we can say that it is long-term. All investment operations
should be taken into account based on the investor’s actual costs for their implementation. When accounting for investments, it is necessary to provide as much detail as possible about each financial transaction
. Usually the name of the organization in whose securities the funds were invested, the number of securities, their nominal and real value are indicated. If we are talking about a deposit account, you need to take into account the name of the bank, the type of deposit, its term and amount, as well as interest payments. When a legal entity has available free financial resources , he has several ways to use them. You can create reserve fund
, you can spend it on purchasing new, more modern equipment or invest it in another enterprise. The last option is called “financial investment in development” or, in other words, “investment”. This will be discussed further.
Investing your money in someone else's business is always risky. Before deciding to take such a step, you need to carefully study the market, the company’s position in it, what its prospects and problems are. If this is a new idea, then, of course, the business plan is reviewed in detail, forecasts and time frames for returning the money are analyzed. Sometimes in this difficult matter you cannot do without the help of specialists who will assess the degree of risk and offer the most profitable options.
In any case, financial investments are the engine of progress. The greater the investment (no matter in what area), the greater the chance to improve, and therefore increase your competitiveness, market position, quality of goods, wages employees and so on down the chain. The most the developed countries With high level life - those to whom other states trust their finances. 
What can be considered a financial investment?
- Securities issued by state or relevant municipal authorities.
- Securities of third-party organizations, which must be marked with a maturity date and cost with interest.
- It can be simple deposits other companies, even subsidiaries.
- Financial investments are loans from one organization to another.
- Bank deposits.
- Contributions to authorized capital partnerships
Conditions for the existence of financial investments
Accounting for financial investments in accounting will be carried out if certain conditions are met. First, it is necessary to provide officially executed and signed documents indicating the receipt of funds and obliging them to return them with interest.
Secondly, any organization providing investments must understand that along with loans it receives financial risks:
- increase in price and depreciation of money;
- debtor's insolvency;
- declaring the borrower company bankrupt, etc.
And the third condition that financial investments must meet: they must bring economic benefits to the organization. It is usually expressed as future income and takes the form of a percentage of the amount invested. 
What cannot be classified as financial investments
Financial investments include various loans, but you need to clearly understand which securities can mislead an accountant and be considered investments, although they are not. The legislation clearly states what cannot be considered financial investments:
- Shares issued by a business for resale or cancellation.
- Payment for goods or services with a partner using a bill of exchange.
- Any investment in development own enterprise. For example, allocating money to upgrade equipment or intangible assets that are the subject of a loan.
- Any precious items, antiques that are not the subject of the main activity.
Types of financial investments
Investments can be classified in different ways. The most popular division into groups is:
- In relation to the established capital, financial investments can either form it or not affect it at all. For example, shares and investment certificates are issued to form or replenish fixed capital, but bonds and savings certificates have nothing to do with it.
- The form of ownership can be public or private.
- The repayment period also matters: long-term ones can be valid for more than one year, short-term ones - only up to 12 months. Examples of this type of financial investment are presented in the figure.
Types of securities
Another important point is to understand what kind of securities may be considered financial investments.
First of all, this is a promotion. It is a security issued by an enterprise for the purpose of forming the authorized capital. The owner of the share has the right to receive dividends, that is, interest on profits, and can participate in general meetings for making management decisions.
The main debt obligation is a bill of exchange. This financial instrument, with the help of which you can manage the debtor, indicating what amount and by what time he must pay the creditor.
Bond. Most often it is issued government agencies. Has an original price that the debtor must recoup by redeeming the bond. In addition, he is obliged to pay a fixed interest for the right to own or use the bond.
Savings certificate - issued credit organizations and indicates the opening of a deposit account.
Accounts for recording financial investments
Accounting for financial investments must be reflected in the accounting accounts. According to regulatory documentation, active account to display cash flows is 58 "Financial investments". To display more specific transactions, sub-accounts are opened:
- 58.1 - "Units and shares."
- 58.2 - "Debt securities".
- 58.3 - “Debt loans” (passive subaccount).
- 58.4 - “Deposits under a partnership agreement.”
Formation of primary cost
When an enterprise receives cash investments, the question arises of how to correctly evaluate them and on what balance to include them. This largely depends on the sources of income. They can be different: acquisition of securities, receipt as an investment in the authorized capital, gratuitous donation, payment order for goods supplied or services provided, etc. The financial investments of the organization and methods for the initial assessment of the primary cost, depending on the source of receipt, are presented in the figure. 
Any financial investment in the form of securities must be accepted by the organization in accordance with the rules and requirements. The document must have the following components:
- name of the company that issued the paper, name, series, document number and other details identifying it;
- face value, amount paid upon purchase, and other expenses that may be associated with the acquisition;
- number of documents;
- date, month and year of purchase, storage location.
Financial investments are extremely important source investments that are the real engine of progress.
