№ 7/2018

№ 7/2018

Fìnansi Ukr. 2018 (7): 118–128

ACCOUNTING AND AUDIT

LEVITSKA Svitlana ¹

¹National University of Water and Environmental Engineering
OrcID ID : https://orcid.org/0000-0001-7803-5586

evaluation of stocks of budget institutions under modernization of accounting

The article is devoted to the accounting of stocks for budget institutions
resulted from the implementation of the National Public Sector Accounting Standards. The purpose of the research is determining and substantiating the features of the metho­dology for stock valuation during the period of their accounting on the example of state higher education institutions. It is proposed to clarify certain provisions of normative regulation of accounting procedures in determining the fair value and net realizable value of inventories. The article investigates the discrepancy between the conditions of the recognizing the fair value of inventories, taking into account the financing of the activities of higher education institutions. There is a clear statement of procurement regulation for budget institutions (including higher education institutions). Procurements are based on their value (in most cases, the smallest offered by the suppliers), the reputation of the supplier, and acceptable terms of delivery. As a result, the non-active market is not foreseen for the stock of higher education institutions (that is planned for purchasing). Given the above, the organization of carrying out calculations of the balance of reserves of budgetary institutions on the reporting date is specified. Specific provisions of regulatory accounting procedures in determining the fair value and net realizable value of
inventories are clarified. The features of calculation of these indicators according to the principles of international accounting standards for the public sector are disclosed. The problem issues of documenting transactions of the book value for stocks in the cases of their receipt without payment to the supplier and the revaluation of their balances on the reporting date are identified. The author proposes certain procedures for determining the fair value or/and the net realizable value of inventories, using data on the market value of analogues to ensure the reliability of the valuation, which contributes to the principles of rational and targeted use of budget funds spent on the purchase of material resources of budgetary institutions.

Keywords:budgetary institutions, stocks, fair value, net realizable value, revaluation, accounting

JEL: M41

Levitska S. . evaluation of stocks of budget institutions under modernization of accounting / S. Levitska // Фінанси України. - 2018. - № 7. - C. 118-128.

Article original in Ukrainian (pp. 118 - 128)

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