Poltica activofijo

Fixed Assets Policy and Procedures

The following sample outlines a set of policies and procedures for establishing the standards and procedures for ensuring that Company accounts for capital assets and depreciation are in compliance with management’s objectives and generally accepted accounting principles.

Prepared By: ______________
Approved By: ______________
Revision Date:______________
Effective Date: ______________

PURPOSE:
This policy establishes the standards and procedures for ensuring that Company accounts for capital assets and depreciation are in compliance with management’s objectives and generally accepted accounting principles (“GAAP”).

SCOPE:
This policy applies to all non-merchandise company assets and personnel involved in procuring, tracking,accounting for, or in possession of company assets.

POLICY:
It is the Company’s policy to capitalize the cost of computer equipment, furniture and leasehold improvements exceeding $1,000 (including tax, freight, installation, etc.) that meet certain guidelines. Normal repairs and maintenance costs are expensed as incurred.

DEFINITIONS:
• Capital assets - Property, hardware, software,furniture and equipment acquired for use in the course of the Company’s business. Capital assets are expected to have useful lives in excess of one year. Computer software purchased for internal use is considered a capital asset. Computer software internally developed for internal use or for re-sale is not addressed in this policy statement.
• Leasehold improvements - Modifications or attachmentsto a leased facility that are an integral part of the structure. Leasehold improvements include internal building configurations such as walls, electrical work, carpeting, as well as facility-related equipment such as heating and air conditioning equipment.
• Installed cost - Amounts expensed to acquire a Fixed Asset and place it into service. The installed cost is the basis used in the fixedassets records for valuation of the asset acquired.
• Repairs and maintenance - Expenditures made to maintain an existing asset in usable condition without extending the asset's useful life or significantly increasing its capacity.
• Freight - Expenditures made to transport the asset to the asset's resident location.
• Sales tax - State and local sales tax applied to the purchase value ofan acquired asset.

PROCEDURES:

1. Acquisition and Capitalization
• Capital asset additions are purchased within the established approval authority policies of the Company.

• The invoiced cost net of any vendor discounts, plus sales tax, freight, and all other significant costs necessary to prepare an asset for use is capitalized. Other capitalizable costs include initial inspectionand testing, installation costs and similar expenses only if material in amount. Expenditures that do not meet the minimum dollar threshold of $600 requirement are expensed. The cost of maintenance contracts on equipment and software are expensed when paid.

• All capitalized assets are depreciated using the straight-line method over their estimated useful lives as follows:

|Asset category|Estimated useful life |
|Computers and related equipment |3 years |
|Purchased software |3 years|
|Non-computer office equipment (Phones, copiers, calculators, |5 years |
|typewriters, etc.) | |
|Furniture and Fixtures |5 years...