Analytical accounting for account 58. Accounting for financial investments
Accounting account 58 is the active “Financial Investments” account. On synthetic account 58, accounting of the organization's investments is organized. By using typical postings and practical examples, we will study the specifics of using account 58 and the features of reflecting accounting transactions financial investments.
Debit turnover on account 58 “Financial investments” occurs when an organization invests its free assets:
- IN authorized capitals or securities;
- Debt securities, bills, bonds;
- Provides a loan to a non-employee of an organization or legal entity, etc.
Credit turnover on account 58 “Financial investments” occurs in the following cases:
- Sales valuable papers or shares in the authorized capital;
- Leaving society;
- Free transfer;
- Transfer of securities in the form of a contribution to the authorized capital of other organizations;
- Redemption (redemption) of securities;
- Repay loans.
The diagram shows the sub-accounts opened to the account by type of financial investment:
Analytical accounting for account 58 “Financial investments” must ensure the disclosure of certain information, which is presented in the diagram:
Examples of accounting for financial investments in account 58 with postings
Example 1
Let's consider an example of paying for a share in the authorized capital by transferring a previously used fixed asset. If the market price is determined including VAT.
The table shows the source data of the example:
Dt | CT | Sum,
rub. |
Wiring Description | Document |
58-1 | 76 | 569000 | Cost of financial investment including VAT | LLC establishment agreement, |
02 | 01 | 73810 | Accrued depreciation on equipment written off | Certificate of acceptance and transfer of OS |
76 | 01 | 597190 | The residual value of the equipment was written off (671,000-73,810) | Certificate of acceptance and transfer of OS |
19 | 68 | 107512 | The restored amount of VAT is indicated as a separate line in the Certificate of Acceptance and Transfer of Assets; When transferring property to the authorized capital of the Tax Code of the Russian Federation, it does not provide for the obligation for the transferring party to draw up an invoice for the amount of restored VAT |
|
76 | 19 | 107512 | The amount of restored VAT is included in calculations for the transfer of property, since the market price is determined taking into account VAT | Accounting certificate calculation |
91 | 76 | 135702 | Other expense is recognized as the difference between residual value OS + recovered VAT and the cost of OS, established by an independent appraiser (671000-73810+107512)-569000=135 702 |
Accounting certificate calculation |
Example 2
Let's consider an example of paying for a share in the authorized capital by transferring a previously used fixed asset. If the market price is determined without VAT.
Let’s assume that the organization, the sole founder of an LLC, paid for its share in the authorized capital of the LLC with used equipment. The market price of the equipment was carried out by an independent appraiser and approved by the LLC participants.
The table shows data for the example:
The following transactions were generated for account 58:
Dt | CT | Sum,
rub. |
Wiring Description | Document |
58-1 | 76 | 482204 | The value of the financial investment was determined by an independent appraiser excluding VAT | LLC establishment agreement, The decision of the participants to evaluate the non-monetary contribution, Certificate of state registration of LLC |
02 | 01 | 73810 | Accrued depreciation written off | Certificate of acceptance and transfer of OS |
76 | 01 | 597190 | The residual value of the equipment is written off (671000-73810) | Certificate of acceptance and transfer of OS |
19 | 68 | 107512 | VAT has been restored in proportion to the residual value of the equipment ((671000-73810)*18%) | Accounting certificate calculation; The restored VAT amount is indicated as a separate line in the Certificate of Acceptance and Transfer of Assets When transferring property to the authorized capital, the Tax Code of the Russian Federation does not provide for the obligation for the transferring party to draw up an invoice for the amount of the restored VAT. |
58 | 19 | 107512 | The restored VAT is charged to the increase in the initial cost of the financial investment, since market price determined excluding VAT | Accounting certificate calculation |
91 | 76 | 114986 | Other expenses are recognized in the form of the difference between the residual value of fixed assets and the cost of fixed assets established by an independent appraiser (671000-73810)-482204=114986 |
Accounting certificate calculation |
Example 3
Let's look at the postings to account 58 when selling shares.
Let’s assume that an organization has investments in registered uncertificated shares of Adrenaline Bank in the amount of 2,200,000 rubles on account 58-1. in the amount of 600,000 pieces with a denomination of 1 ruble. The organization sold these shares for the amount of RUB 3,100,000.
The organization's accounting should reflect the following entries in account 58 when selling shares.
Financial investments"
58.1 - "Units and shares";
58.2 - “Debt securities”;
58.3 - “Loans provided”;
58.4 - “Deposits under a simple partnership agreement”, etc.
SHARE - a share of the capital of a company that gives the right to participate in general meetings shareholders to receive dividends and part of the company’s property upon its liquidation. P. is expressed in a specific document - a certificate, to which coupons for receiving dividends are attached.
SHARES are securities issued by a joint-stock company, the owners of which are granted all property and personal rights associated with the ownership of a share: a) the right to receive dividends, depending on the size of the corporation’s profit; b) the right to participate in the management of the corporation by voting at meetings; c) the right to receive part of the property after the liquidation of the corporation. Rights are exercised in an amount proportional to the size of the shares.
D 58 K 51 – the emergence of a financial investment object is reflected (when transferring or paying for this object from a current account);
D 58 K 76 – the occurrence of debt to counterparties is reflected (if payment for financial investment objects will be made after obtaining ownership rights to them, for example, in the case of securities).
D 91 K 58– reflects the negative difference between the purchase and par value (or between the par and purchase value) of the acquired debt securities.
On account 58, investments are accounted for actual cost(in the amount of costs incurred for their acquisition).
Financial investments are the second most liquid after Money at the cash desk and on current accounts.
Account 59 “Reserves for the impairment of financial investments” is intended to summarize information on the availability and movement of reserves for the impairment of the organization’s financial investments.
The reserve is formed from financial results (as part of operating expenses), which is reflected accounting entry by the debit of account 91 “Other income and expenses” and the credit of account 59 “Provisions for depreciation of financial investments”. A similar entry is made when increasing reserves in the event of a further decrease in the estimated value of financial investments.
The reserve is reduced (used) in the following cases: if the estimated value of the relevant assets in reporting period increased if their value is no longer subject to a sustained significant decline, as well as upon disposal of these assets. In this case, an entry is made in the debit of account 59 “Provisions for impairment of financial investments” in correspondence with the credit of account 91 “Other income and expenses”.
Financial investments for which an impairment reserve has been created are reflected in the financial statements at book value minus the reserve amount. IN balance sheet-net when reflected in the asset, the difference between 58 and 59 accounts is reflected. Those. There is no account in the liabilities side of balance 59!
Reserve for depreciation of financial investments” (passive, contractual to account 58).
If we have a large number of shares of one company, and its shares have sharply decreased in price, we cannot reflect these changes in account 58, because this will lead to misstatement of the financial statements.
The reserve for impairment of financial investments is created by the following entry:
D 91.2 K 59
D 59 K 91.2 – reserve amount restored
As soon as financial investments are disposed of, the corresponding reserve amounts are written off to other income of the enterprise (91.1).
Regulatory regulation of the accounting of bills of exchange is carried out by the “Regulations on promissory notes and bills of exchange” dated August 7, 1937.
When purchasing bills of exchange, they are accounted for at actual cost on account 58, disposal is reflected through account 91.
D 60 K 91– we pay the supplier with a bill of exchange.
If we purchased a bill with a face value of 1000 rubles, and with a discount it was transferred to us for actually 900 rubles, then we will reflect in the accounting the purchase price - 900 rubles.
Upon disposal of this bill, we will make the following entries:
D 60, 76 K 91.1 1000
D91.2 K 58 900
A credit balance of 100 rubles is formed, and income tax is paid on it.
If we provide a loan, we make the following entries:
D 58 K 51
If our main activity is the purchase and sale of financial investments, then income and expenses are charged to account 90, otherwise - to account 91.
When transferring shares, bills, i.e. When they are disposed of and sold, the following entry is made:
D 90.1, 91.2 K 58
Wiring cannot be done: D 60 K 58
D 76 K 91.1– interest accrued on loans is reflected;
If the loan is provided to an employee, then interest will be accrued to account 73.
D 73 K 91.1
If we have been accrued dividends on the objects of any financial investments, then we will reflect their receipt by posting:
D 51 K 91.1
58.4 - “Deposits under a simple partnership agreement”(joint activity of enterprises, which is carried out on the books of one of the enterprises);
When depositing assets, account 58 is used.
Under the simple partnership agreement, funds were deposited from the current account:
D 58 K 51
The following materials were included under the simple partnership agreement:
D 58 K 10
And if we bring them in at a higher price, then the transfer of materials will have to be reflected this way.
58 “Financial investments” is used by legal entities to display information about the organization’s invested funds in securities (shares, bonds, etc.), shares in the authorized capital of other companies (including interdependent ones), as well as summarizing information about loans provided.
Account 58 in accounting is a collective account that reflects data on the enterprise's invested assets in securities (public and private), authorized capital of other companies, and the provision of loans to individuals and legal entities (with the exception of company employees).
In addition to account 58, sub-accounts are opened:
58.1 - information is summarized on purchased shares of the joint-stock company, shares in the authorized capital of other companies
58.2 - information about investments in public or private debt securities (bonds, etc.) is displayed;
Account 58 - active. The debit displays financial investments in securities in correspondence with the corresponding accounts for recording valuables transferred as investments (for example, money from accounts 50,51,52). Repayment or sale is carried out in accounting according to Kt58 in correspondence with the account. 91 (90).
Investments in securities, the current value of which is determined, are subject to monthly or quarterly revaluation in order to include assets in the annual financial statements. The adjustment amount is applied to the company’s financial results (91.01, 91.02)
For debt securities that are not traded on the market, the difference between the original price and the nominal price is applied to the financial results of the organization’s activities evenly over the period of their circulation and receipt of income.
58.3 - mutual settlements are displayed for the presented legal and individuals borrowed amounts. An exception is loans issued to employees of the enterprise.
Information about the loans provided is entered in Dt58 (in case of partial or full repayment, the amount is taken into account in Kt58).
58.4 - information about the presence of a share in the common property of a simple partnership is taken into account.
Analytical monitoring of financial investments is carried out by objects of deposits (the company's counterparties - issuers, organizations whose share in the authorized capital belongs to the company and borrowers), as well as separately by type of investment.
Attention!
Investments in interdependent companies are shown separately on account 58
Regulatory regulation
Using account 58 to record information on investing funds legal entities in securities, authorized capitals of third-party enterprises, provision of loans is carried out in accordance with the Chart of Accounts (Order of the Ministry of Finance dated October 31, 2000 No. 94), PBU 19/02 and other legislative documents.
Common business transactions, accounting entries
- Display of completed financial investments
Dt58.01,58.02 Kt50 - in cash;
Dt58.01,58.02 Kt51 - through a current account
Dt58.01,58.02 Kt52 - through a foreign currency account
Dt58.01,58.02 Kt76 - acquisition of shares and bonds from various creditors
- Providing borrowed money(except for company employees)
- Free receipt of shares and bonds
- Repayment of loans provided
- Disposal of shares, bonds
Dt90.02 Kt58.01,58.02 - for those organizations whose main activity is the sale of securities
Dt91.02 Kt58.01,58.02 - for other companies
- Cost adjustment
Dt58 Kt91 - revaluation, increase in book value
Dt91.02 Kt58 - markdown, reduction in book value
Victor Stepanov, 2017-03-17
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Reference materials on the topic
Sub-accounts can be opened for account 58 “Financial investments”:
58-1 “Units and shares”;
58-2 “Debt securities”;
58-3 “Loans provided”;
58-4 “Deposits under a simple partnership agreement”, etc.
Subaccount 58-1 “Units and shares” takes into account the presence and movement of investments in shares joint stock companies, authorized (share) capitals of other organizations, etc.
Subaccount 58-2 “Debt securities” takes into account the presence and movement of investments in government and private debt securities (bonds, etc.).
Financial investments made by the organization are reflected in the debit of account 58 “Financial investments” and the credit of accounts that record the values to be transferred on account of these investments.
For example, the acquisition by an organization of securities of other organizations for a fee is carried out in the debit of account 58 “Financial investments” and the credit of account 51 “ Current accounts" or 52 "Currency accounts".
For debt securities for which the current market value is not determined, the organization is allowed the difference between original cost and nominal value during their circulation period evenly, as income is due on them in accordance with the terms of issue, be attributed to financial results commercial organization or a decrease or increase in expenses of a nonprofit organization.
Subaccount 58-3 “Loans provided” takes into account the movement of monetary and other loans provided by the organization to legal entities and individuals (except for employees of the organization). Loans provided by the organization to legal entities and individuals (except for employees of the organization) secured by bills of exchange are accounted for separately in this subaccount.
On subaccount 58-4 “Deposits under a simple partnership agreement,” the partner organization takes into account the presence and movement of deposits in common property under a simple partnership agreement.
Analytical accounting for account 58 “Financial investments” is carried out by types of financial investments and objects in which these investments are made (organizations that sell securities; other organizations in which the organization is a participant; borrower organizations, etc.). The construction of analytical accounting should provide the ability to obtain data on short-term and long-term assets. At the same time, accounting for financial investments within a group of interrelated organizations, about the activities of which a consolidated report is compiled financial statements, is maintained on account 58 “Financial investments” separately.
Account 58 “Financial investments” corresponds with the accounts:
Account 58 “Financial investments”
Account 58 “Financial Investments” is intended to summarize information on the presence 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 granted to other organizations.
Sub-accounts can be opened for account 58 “Financial investments”:
- 58.1 “Units and shares”— the presence and movement of investments in shares of joint-stock companies, authorized (share) capitals of other organizations, etc. are taken into account.
- 58.2 “Debt securities”— the presence and movement of investments in government and private debt securities (bonds, etc.) are taken into account.
Financial investments made by the organization are reflected in the debit of account 58 “Financial investments” and the credit of accounts that record the values to be transferred on account of these investments. For example, the acquisition by an organization of securities of other organizations for a fee is carried out in the debit of account 58 “Financial investments” and the credit of account 51 “Currency accounts” or 52 “Currency accounts”.
For debt securities for which the current market value is not determined, the organization is allowed to attribute the difference between the initial value and the nominal value during the period of their circulation evenly, as income is due on them in accordance with the terms of issue, to the financial results of the commercial organization or a decrease or increase in expenses of a non-profit organization.
When writing off the amount in excess of the purchase price of bonds and other debt securities acquired by the organization over their nominal value, entries are made in the debit of the account (for the amount of income due on the securities) and in the credit of accounts 58 “Financial investments” (for part of the difference between the purchased and nominal cost) and 91 “Other income and expenses” (for the difference between the amounts allocated to accounts 76 “Settlements with different debtors and creditors" and 58 "Financial investments").
When additionally accruing the amount of excess of the nominal value of bonds and other debt securities acquired by the organization over their purchase price, entries are made in the debit of accounts 76 “Settlements with various debtors and creditors” (for the amount of income due on securities) and 58 “Financial investments” ( for part of the difference between the purchase and nominal value) and to the credit of account 91 “Other income and expenses” (for total amount, attributed to accounts 76 “Settlements with various debtors and creditors” and 58 “Financial investments”).
Redemption (redemption) and sale of securities accounted for on account 58 “Financial investments” are reflected in the debit of account 91 “Other income and expenses” and the credit of account 58 “Financial investments” (except for organizations that reflect these transactions on account 90 “Sales”) "). - 58.3 “Loans provided”— the movement of monetary and other loans provided by the organization to legal entities and individuals (except for employees of the organization) is taken into account.
Loans provided by the organization to legal entities and individuals (except for employees of the organization) secured by bills of exchange are accounted for separately in this subaccount.
Loans provided are reflected in the debit of account 58 “Financial investments” in correspondence with account 51 “Current accounts” or other relevant accounts. The loan repayment is reflected in the debit of account 51 “Current accounts” or other relevant accounts and the credit of account 58 “Financial investments”. - 58.4 “Deposits under a simple partnership agreement”— the partner organization takes into account the presence and movement of contributions to the common property under the simple partnership agreement.
The provision of a deposit is reflected in the debit of account 58 “Financial investments” in correspondence with account 51 “Current accounts” and other relevant accounts for accounting for allocated property.
Upon termination of a simple partnership agreement, the return of property is reflected in the credit of account 58 “Financial investments” in correspondence with the property accounts. - and etc.
Analytical accounting Account 58 “Financial Investments” is maintained by type of financial investment and the objects in which these investments were made (organizations that sell securities; other organizations in which the organization is a participant; borrowing organizations, etc.). The construction of analytical accounting should provide the ability to obtain data on short-term and long-term assets. At the same time, accounting for financial investments within a group of interrelated organizations, about the activities of which consolidated financial statements are prepared, is kept separately in account 58 “Financial investments”.
Account 58 “Financial Investments” corresponds with the following accounts of the Plan:
by debit
- 50 "Cashier"
- 51 “Current accounts”
- 52 “Currency accounts”
- 75 “Settlements with founders”
- 76 “Settlements with various debtors and creditors”
- 80 “Authorized capital”
- 91 “Other income and expenses”
- 98 “Deferred income”
on loan
- 51 “Current accounts”
- 52 “Currency accounts”
- 76 “Settlements with various debtors and creditors”
- 80 “Authorized capital”
- 90 "Sales"
- 91 “Other income and expenses”
- 99 "Profits and losses"
Subaccount 58-3 “Loans provided” takes into account the movement of monetary and other loans provided by the organization to legal entities and individuals (except for employees of the organization). Granted loans secured by bills of exchange are accounted for separately in this subaccount.
For lenders, issued loans are financial investments. Relations under loan agreements are regulated by paragraph 1 of Chapter 42 Civil Code and PBU 15/2008 “Accounting for expenses on loans and credits”.
Expenses associated with loans and credits received are:
̵ interest due to the lender (creditor);
̵ amounts paid for information and consulting services;
̵ amounts paid for the examination of the loan agreement ( loan agreement);
̵ other expenses directly related to obtaining loans (credits).
Loan expenses are reflected in accounting monthly separately from the principal amount of the obligation as part of other expenses, with the exception of that part of them that is subject to inclusion in the cost investment asset(account 08 "Investments in non-current assets").
Accounting with the lender
58.3/51 – a cash loan was provided;
58.3/90.1 – a loan was provided in goods;
58.3/91.1 – a loan was provided with other property;
90.3,91.3/68 – VAT charged;
D 008 – guarantees or collateral were received to secure the loan agreement;
76.3/91.1 – interest accrued for using the loan;
51/58.3 – loan issued in cash is returned;
10.41/60 – materials and goods issued under the loan agreement were capitalized from the borrower;
19/60 – VAT is recorded;
60/58.3 – offset of obligations (loan closure);
51/76.3 – payment of interest for the use of borrowed funds;
K 008 – return of a previously received guarantee or collateral under a loan agreement.
Accounting with the borrower
51/66.67 – a cash loan was received;
10.41/60 – materials and goods received under the loan agreement were capitalized from the lender;
19/60 – VAT is recorded;
60/66.67 – novation of the obligation is reflected (loan issued);
91.2/66.67 – interest accrued for using the loan;
66.67/51 – interest paid for using the loan;
D 009 – guarantees or collateral were issued to secure the loan agreement;
66.67/51 – repayment of a loan received in cash;
62/90.1 – return of goods received under a loan agreement;
62/91.1 – return of materials received under the loan agreement;
90.3,91.3/68 – VAT charged;
90.2/41 – the cost of goods is written off;
91.2/10 – cost of materials written off;
66.67/62 – offset, closing of a loan agreement;
K 009 – return of previously issued guarantees or collateral under a loan agreement.
Accounting for interest on funds raised to create an investment asset
The cost of an investment asset includes interest payable to the lender directly related to the creation of the investment asset. Investment assets include unfinished construction projects that will be accepted for completion. accounting borrower and (or) customer (investor, buyer) as fixed assets (including land), intangible assets or other non-current assets.
Conditions for including interest in the value of an investment asset:
̵ costs of creating an investment asset and associated borrowing costs are subject to recognition in accounting;
̵ work has begun to create an investment asset.
Interest payable to the lender related to the creation of an investment asset is reduced by the amount of income from the temporary use of funds received from loans as long-term and (or) short-term financial investments.
When the creation of an investment asset is suspended for a period of more than three months, interest payable to the lender ceases to be included in the cost of the investment asset from the first day of the month following the month of suspension of the acquisition, construction and (or) production of such an asset.
During the specified period, interest payable to the lender is included in other expenses of the organization.
When the creation of an investment asset is resumed, the interest payable to the lender is included in the cost of the investment asset from the first day of the month following the month of resumption of acquisition, construction and (or) production of such an asset.
The period during which additional approval of technical and (or) organizational issues that arose in the process of its creation is not considered a period of suspension of the creation of an investment asset.
Interest payable to the lender ceases to be included in the cost of the investment asset from the first day of the month following the month of termination of the creation of the investment asset, or the beginning of its operation, incl. partial.
91.2/66.67 – interest accrued for the use of borrowed funds not related to the creation of an investment asset;
08/66.67 – interest accrued for the use of borrowed funds associated with the creation of an investment asset;
Characteristics of an accounting account 58
Account 58 in accounting is represented by balance sheet lines 1170 and 1240 “Financial investments” and reflects the implementation of various actions with changes in the size of the controlled company’s contribution to securities (hereinafter referred to as securities), shares and bonds of other enterprises, fixed capital of organizations, the cost of loans issued to other entities.
Analytical accounting for this account is structured in such a way as to provide access to information about short-term and long-term deposits. If investments are accounted for within several interrelated companies, the functioning of which is maintained by consolidated financial statements, then entries to account 58 are made separately.
Deposits in interest-bearing bonds and other types of securities, as well as loans issued to other organizations are reflected in account 58 if their repayment period is no more than 1 year. Investments in securities for which there is no deadline redemption are also displayed on account 58, provided that these deposits were made without the purpose of generating income on them for more than 1 year.
The actual expenses for the purchase of assets as financial investments are considered:
- funds that are paid in accordance with the agreement to the seller;
- funds paid by enterprises for information and consulting services related to the intention to make financial investments;
- commission that is paid to the intermediary when carrying out a transaction for the acquisition of assets as investments, etc.
Is count 58 active or passive?
The answer to the question, active or passive account 58, is clear. Attachments financial resources are assets of the company. To include an investment in the asset line, an entity must meet the following criteria:
- Transactions with documentation confirming the right to invest assets and receive income from them in the form of cash must be executed in accordance with all requirements.
- The enterprise must be prepared to accept some risks.
- The company must be able to obtain economic benefits.
Thus, investments reflect the participation of a particular organization in financial transactions another business entity economic activity. Before investments are included in the balance sheet, they must be reflected in account 58.
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Legislative basis for the balance sheet line “Financial investments”
All financial actions carried out by the organization are regulated by relevant legislative acts states on accounting. The balance sheet line “Financial investments” is regulated by the following regulatory documents:
- Regulations on accounting audit PBU 19/02 based on order of the Ministry of Finance of the Russian Federation dated December 10, 2002 No. 126 (amended in 2010);
- Law “On Accounting” dated December 6, 2011 No. 402-FZ;
- Civil Code of the Russian Federation;
- Tax Code of the Russian Federation.
In order to invest finances in full and on legally, the enterprise must comply with all standard requirements established by legislative level. The legal regulation of this topic includes several stages. The decrees of the President of Russia are considered the highest, and the documents of the organization itself are considered the lowest, according to the industry direction and the amount of economic benefit received.
Examples of postings to account 58
When reflecting investment entries on account 58, it is necessary to take into account all production factors and conditions of the organization’s industry, as well as the cost of securities in fact and at par.
You can carry out operations when purchasing shares as follows:
- Dt 58-1 Kt 76 (purchase of c/w);
- Dt 91-2 Kt 76 (accounting for the amount of the commission fee in other costs);
- Dt 76 Kt 51 (accounting for the value of shares, including intermediary commission).
When revaluing securities, the following action must be taken: Dt 51-1 Kt 91-1 (bringing the value of shares in accordance with their market value).
The sale of securities is formalized as follows:
- Dt 58-1 Kt 76 (share value in rubles in accordance with the contract);
- Dt 91 Kt 58-1 (writing off the cost of c/w on the balance sheet);
- Dt 62 Kt 91 (negotiable value of shares);
- Dt 91 Kt 99 (profit from sales is reflected).
Subaccounts of account 58
Account 58 - Financial investments - provides for the opening of several sub-accounts:
- 58-1 “Units and shares”. Here, accounting is kept of the presence and movement of deposits in securities of joint-stock companies, authorized (share) capitals of third-party enterprises, etc.
- 58-2 “Debt securities”. Includes accounting for investments in government securities and private companies (for example, bonds).
- 58-3 “Loans provided.” Takes into account the movement of various types of loans issued by the enterprise to legal entities and citizens (except for its employees). If an organization has issued loans to these categories of persons that are secured by bills of exchange, separate accounting is maintained for them. The issuance of a loan is reflected in the debit of account 58 in correspondence with account 51 “Current accounts” or other suitable accounts. When repaying the loan, it is necessary to make the following entry: Dt 51 Kt 58.
- 58-4 “Contributions under a simple partnership agreement”, etc. This takes into account investments in common property under a simple partnership agreement.
The implementation of the deposit is reflected in the debit of account 58 in correspondence with account 51 and other accounts for accounting for allocated property. Upon termination of a simple partnership agreement, the property is returned to the credit of account 58 in correspondence with the property accounting accounts.
***
The characteristics of account 58 reflect its position in the enterprise’s balance sheet and types business transactions which are carried out with its help. Financial investments are reflected in lines 1170 and 1250. They correspond to the account in question, which is an active synthetic one. According to current legislation long-term and short-term investments finances must be accounted for separately. To this accounting account Several subaccounts can be opened.
The main entries in account 58 in accounting are the acquisition, revaluation and sale by the enterprise of securities of other organizations, the state, and the provision of loans. In order to fully carry out investment operations, the company must fully comply with the requirements of current legislation.
Account 58 “Financial Investments” is intended to summarize information on 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 granted to other organizations.
Sub-accounts can be opened for account 58 “Financial investments”:
- 58.1 "Units and shares"- the presence and movement of investments in shares of joint-stock companies, authorized (share) capitals of other organizations, etc. are taken into account.
- 58.2 "Debt securities"- the presence and movement of investments in government and private debt securities (bonds, etc.) are taken into account.
Financial investments made by the organization are reflected in the debit of account 58 “Financial investments” and the credit of accounts that record the values to be transferred on account of these investments. For example, the acquisition by an organization of securities of other organizations for a fee is carried out in the debit of account 58 “Financial investments” and the credit of the account “Currency accounts” or “Currency accounts”.
For debt securities for which the current market value is not determined, the organization is allowed to attribute the difference between the initial value and the nominal value during the period of their circulation evenly, as income is due on them in accordance with the terms of issue, to the financial results of the commercial organization or a decrease or increase in expenses of a non-profit organization.
When writing off the amount in excess of the purchase price of bonds and other debt securities acquired by the organization over their nominal value, entries are made in the debit of the account “Settlements with various debtors and creditors” (for the amount of income receivable on the securities) and in the credit of account 58 “Financial investments” (for part of the difference between the purchase and nominal value) and “Other income and expenses” (for the difference between the amounts allocated to the accounts “Settlements with various debtors and creditors” and “Financial investments”).
When additionally accruing the amount of excess of the nominal value of bonds and other debt securities acquired by the organization over their purchase price, entries are made in the debit of accounts “Settlements with various debtors and creditors” (for the amount of income due to be received on securities) and 58 “Financial investments” (for part of the difference between the purchase and nominal value) and a credit to the “Other income and expenses” account (for the total amount allocated to the accounts “Settlements with various debtors and creditors” and 58 “Financial investments”).
Redemption (redemption) and sale of securities accounted for on account 58 "Financial investments" are reflected in the debit of the "Other income and expenses" account and the credit of account 58 "Financial investments" (except for organizations that reflect these transactions on the "Sales" account) . - 58.3 "Loans provided"- the movement of monetary and other loans provided by the organization to legal entities and individuals (except for employees of the organization) is taken into account. Loans provided by the organization to legal entities and individuals (except for employees of the organization) secured by bills of exchange are accounted for separately in this subaccount.
Loans provided are reflected in the debit of account 58 “Financial investments” in correspondence with the account “Current accounts” or other relevant accounts. The repayment of the loan is reflected in the debit of the "Current accounts" account or other relevant accounts and the credit of account 58 "Financial investments". - 58.4 "Deposits under a simple partnership agreement"- the partner organization takes into account the presence and movement of contributions to the common property under the simple partnership agreement.
The provision of a deposit is reflected in the debit of account 58 “Financial investments” in correspondence with the account “Current accounts” and other relevant accounts for accounting for allocated property.
Upon termination of a simple partnership agreement, the return of property is reflected in the credit of account 58 “Financial investments” in correspondence with the property accounts. - and etc.
Analytical accounting account 58 “Financial investments” is maintained by type of financial investment and the objects in which these investments were made (organizations that sell securities; other organizations in which the organization is a participant; borrowing organizations, etc.). The construction of analytical accounting should provide the ability to obtain data on short-term and long-term assets. At the same time, accounting for financial investments within a group of interrelated organizations, about the activities of which consolidated financial statements are prepared, is kept separately in account 58 “Financial investments”.