The geographical segment is a certain country or group of the countries in which the company functions or to which the company delivers the production or services. The geographical analysis of segments has to give to the user of accounting information opportunity to define influence of the following factors:
development - practical application of scientific and technical knowledge for production of new or advanced materials, the equipment, production or services, for introduction of new technologies and systems prior to commercial production or industrial production, and also for modernization of already operating systems.
If the sum of not written off expenses does not belong to losses on realization at determination of volumes of realization, it has to be specified in explanations to accounts. Relying on these explanations the management has to make the decision on reflection of these expenses on accounts of accounting.
Depreciation of fixed assets lower than a size of their real cost on accounts of accounting has to be considered in process of identification and is counted until carrying out revaluation in this reporting period.
Concerning expenses on development of the company have to choose either a method of write-off, or a delay method. Any of the chosen methods has to be applied constantly to all expenses on scientific researches and technical development.
As the money made in scientific researches and technical development can be returned only after obtaining the income, the profit indicator received on a method of full write-off more precisely reflects means for charge of dividends.
Use of a method of write-off can lead to distortion of indicators of profit. Thus, the profit got during development and deployment of new goods will be artificially underestimated, and income gained in the course of production, unfairly high. It can make deceptive impression of growth of profitability of production.
This method is more realistic in conditions of production. The companies invest a huge number of money in researches and development for the purpose of obtaining the income in the future, and do not regard these expenses as the overhead costs necessary for the current production.
The economic operations which are beyond usual are those operations which are not included into the category usual while usual are the economic operations reflecting activity of the enterprise in normal commercial conditions unless these operations can significantly affect results of financial statements. Thus, usual operations are operations, are constant, frequent or regularly made in the course of activity of the enterprise.
SFBU 13 accurately defines that in case of a delay method choice, this method has to be applied consistently and strictly to all working drafts. However into practice managers can put a write-off method concerning any project raising doubts in its ability to make profit.
initial research – experimental or theoretical work during which performance new scientific or technical knowledge is acquired. This work does not pursue the aim of achievement of certain results or concrete application of the theoretical knowledge gained during research.
At making decision on interrelation of the parties it is necessary to define essence of communication. It is defined by consideration of all aspects and possible consequences. Thus the aspect capable to have considerable impact in practice admits to the most essential.
MBS 14 includes the additional requirement about disclosure of the intersegment prices. The exceptions provided by SFBU 25 in MBS 14 are not allowed. MBS 14 also considers not net assets, and the used assets. In other cases of MBS 14 coincides with SFBU 2
However, the purpose of any business – receiving percent. The profit/loss on percent represents essential part of activity, therefore, the percent has to be taken into account at calculation of total amount of a profit/loss and the corresponding share of assets/liabilities will make part of the net assets reflected in reports.
space and electronic industry and as about a half of all expenses on research and development made in Great Britain with opinion of these enterprises fell to the share of these branches needed to be considered.