In a generalized form, the subject of accounting represents the economic activity of the organization, taking into account resources and results. Each individual enterprise can be considered its subject. The subject of accounting and its objects are provided by two groups. The first can be attributed to those who are responsible for ensuring the organization of economic activity. It includes property and liabilities of the enterprise. The subject of accounting also contains objects that make up business transactions that entail changes in the functioning capital and sources of its occurrence. The funds of each organization can also be considered from two sides. On the first, the composition of the property and types included by active capital, and on the other, the sources that contributed to its emergence and formation.
Studying the subject of accounting, we can conclude that the property of the enterprise is divided into two main types. This is active and passive capital, which also have two main subgroups. The first type includes fixed assets, combining long-term financial investments, unfinished construction and fixed assets. They also include profitable investment in various material values. In addition, the capital of the property includes current assets that combine tangible assets, short-term financial investments and receivables. Passive capital divides its own and borrowed property. The second group includes long-term and short-term liabilities. You should consider in more detail the subject of accounting and objects classified according to the composition and functions that they perform. The composition of long-term assets:
1. Fixed assets used for more than one year. They wear out over time. These include equipment, buildings, work machines and other vehicles.
2. Intangible assets are not valuable objects, but they have a valuation. This may be the right to own certain intellectual property or goodwill.
3. Construction in progress includes the costs of the construction or acquisition of capital assets.
4. Investing in material assets: rental, rental, leasing.
5. Long-term financial investments may be loans or securities with a term of validity of more than one year.
Short-term assets include:
1. Material circulating assets: products that have not passed all stages of processing, and other products, such as fuel and raw materials.
2. Accounts receivable from customers or buyers for the work performed or the goods provided.
3. Short-term material investments - term deposits or loans against promissory notes for a period of less than a year.
4. Cash available to the company.
After studying this material, it is recommended that you familiarize yourself with what accounting statements are.