In the Explanatory Dictionary of the Russian Language, S.I. Ozhegov defines equipment as a set of mechanisms, machines, devices, instruments necessary for work and production.
There are also other definitions that explain what equipment is. For example: equipment is machines and tools designed to influence an object of labor in order to change its shape, properties, condition or position. Sometimes, when using the word “equipment,” they mean not objects, but a process (from the verb “equip”) Example: complete the kitchen equipment.
Source number 1 - MDS 81.35-2004
When determining the cost of equipment, furniture and inventory as part of estimates and estimates, MDS 81.35-2004 gives us only recommendations for dividing equipment by purpose: for production needs, for industrial buildings, for public and administrative buildings.
There is a list of costs that must be included in the cost of equipment:
acquisition of technological equipment, tools and production equipment for the initial equipment of industrial buildings and structures (if the above is not included in the equipment supply);
supervision of installation, carried out by representatives of equipment manufacturers or, on their behalf, by specialized organizations licensed to perform supervision of installation of equipment, monitoring compliance with requirements and special conditions during installation work;
on-site finishing of large metallurgical, coal, mining and other equipment, carried out in the technological chain together with other equipment or due to the economic impracticality of constructing expensive and rarely reused stands and testing stations at manufacturing plants;
additional production (rework and larger assembly) under construction conditions of equipment, usually large and heavy, shipped to the construction site by the manufacturer in the form of individual components and parts (with the exception of additional production carried out as part of installation work);
pre-installation inspection of equipment due to violation of the warranty period or the conditions of its storage at the customer’s warehouse, organized and paid for by the customer from the reserve of funds for unforeseen work and costs;
design of equipment individually manufactured according to special technical conditions, for which there are no standards and industry norms;
production of special equipment in an individual design, necessary for the installation of large-sized, heavy or technically complex equipment during the execution of work.
35 MDS does not provide an exact definition of what is considered equipment, although Appendix No. 5 contains a list of what MAY relate to equipment. But the entire list of equipment used in construction is much wider.
Car battery accounting
Incentive and water pressure tanks for sprinkler and deluge automatic fire extinguishing systems.
Their employees recover all battery cells that can be recycled and used in subsequent battery production. If an organization does not recycle used batteries, but simply throws them in a landfill, it harms the environment.
And most importantly, how to write off a battery in accounting? See also the article - Accounting for batteries in budgetary institutions. Accounting for batteries in accounting begins with understanding what batteries are for a car. The material was prepared on the basis of individual written consultation provided as part of the Legal Consulting service.
Source No. 2 - MDS 81.37-2004
Before the cancellation of MDS 81.37-2004 “GUIDELINES FOR THE APPLICATION OF FEDERAL UNIT PRICES FOR INSTALLATION OF EQUIPMENT” (CANCELED from July 1, 2017. Order of the Ministry of Construction of Russia dated June 30, 2021 No. 946/pr), the separation of materials and equipment was regulated by:
clause 2.7.3
Estimated prices for materials accepted according to the Federal Collection of Estimated Prices for Materials, Products and Structures have a seven-digit code .
If there are no material resources specified by the project in the nomenclature of the Federal Collection, their cost should be determined on the basis of calculations, taking into account documented costs for containers, packaging, transportation and procurement and storage costs, markups of supply, marketing and intermediary companies.
and 2.7.5
Materials and products for industrial and technical purposes that are not included in unit prices and are not included in the lists of unaccounted materials as part of technical parts , introductory instructions or appendices to FERM collections should be classified as equipment .
After the cancellation of this MDS, these items were not included in the current Methodological Recommendations on the application of federal unit prices for construction, special construction, repair and construction, installation of equipment and commissioning works (pr. 81/pr dated February 9, 2021).
Battery fixed asset ☎ or inventory
This battery can withstand a large number of discharges and charges, is resistant to low temperatures and has a high permissible discharge current. One of its main advantages is low price and long service life. The disadvantages of this type are that it quickly self-discharges and has a low energy density.
How to establish the useful life of a fixed asset in accounting. How to specify in the accounting policy the service life of batteries used in diesel power plants.
In turn, the current market value is determined based on the amount of funds that can be received as a result of the sale of these assets on the date of acceptance for accounting. See Consultations for users of 1C accounting automation systems According to the Instructions for Budget Accounting (approved by order of the Ministry of Finance of Russia dated February 10, 2006
Source No. 3 - MDS 12-15.2003
MDS 12-15.2003 METHODOLOGICAL INSTRUCTIONS for drawing up a segregation sheet for customer supplies.
Intended for use by OJSC Gazprom (the document is valid, although there is MDS 82-1.2005 - the same recommendations with a targeted nature). The pricing reform has taught the estimator to be prepared for anything and it is difficult to surprise an experienced estimator, but still, I will leave the possibility that the criteria below for assigning the type of cost of a resource to equipment or material for Gazprom may differ from those used for the rest of the construction industry. Here is an excerpt from the document:
2 CRITERIA FOR ASSIGNING COMMODITY AND MATERIAL VALUABLES (TMV) TO MATERIALS OR EQUIPMENT
2.1 Materials should include production inventories, which are a set of natural material elements of production used as objects of labor in the production and non-production spheres of activity of a construction enterprise. They are entirely consumed in each production cycle and fully transfer their cost to the cost of construction and installation work performed ...
2.2 Equipment used directly during construction and installation work and creating conditions for their implementation should include fixed assets, which are a set of tangible objects and values operating in an unchanged form over a long period of time .
These definitions appear in student courses on economic theory, which is not a bad thing: you will communicate with the accounting department in the same language. I recommend keeping this document for yourself - it is valid, and despite its targeted nature, it can serve as one of the arguments when dividing material resources into equipment and materials.
Typical battery accounting transactions
I would like to draw the attention of estimators of design organizations to another question: for example, when installing a heat meter, which consists of a flow meter, thermal converters and a “head” (electronic unit), each position is assessed separately. The design organization shows individual pieces in the estimate as equipment, and individual pieces as materials.
Therefore, the cancellation of a car battery must be approached in compliance with all the rules and regulations established by the legislative framework of the Russian Federation. Such batteries appeared later, and they are more promising. Now they are widely used for various household appliances, but even more advanced types are used for phones and laptops.
Source No. 4 - Order of the Ministry of Construction of the Russian Federation No. 78/pr dated February 8, 2018.
Despite the fact that the order is called “On approval of Methodological Recommendations for the development of state elemental estimate standards for installation of equipment and commissioning work,” it contains Appendix 6 “LIST OF MATERIALS AND PRODUCTS NOT SUBJECT TO INCLUSION IN ELEMENTAL ESTIMATE STANDARDS FOR INSTALLATION AND ACCOUNTED AS EQUIPMENT".
There are 62 items on this list, some of which I personally have questions about:
23-26. Oils for oil pumping stations, transformers, turbines - I agree that when installing equipment, oil is an integral part and comes complete with the equipment, but here it should be noted that at the moment the Ministry of Construction of the Russian Federation is moving towards the fact that someday there will be only one in Russia normative base. At the moment, there is an industry-wide base for equipment repairs, being developed by the Ministry of Energy, I think someday it will be harmonized (merged) (as they are doing now with OERrr) with the FSNB/GSN-2017, and then the question will arise - prices for preventive repairs are provided there, including oil changes - will it need to be regarded as equipment or material? Personally, I would classify this as consumables necessary for the operation of the equipment. We recommend watching the video on our YouTube channel about the process of harmonization of TSN-2001 and FSNB-2001.
26-28. Materials loaded into chemical production equipment, Filtering materials for chemical water treatment equipment, Material resources for filling steam turbine and gas turbine units - the name indicates that these are materials. I can't even imagine mercury being EQUIPMENT. Although there was something similar in the movie Terminator 2
