Government Finance Statistics Manual 2014

226 Government Finance Statistics Manual 2014

Figure 8.1 Illustrating the Treatment of Costs of Ownership Transfer on Nonproduced Assets

Other change in volume of

assets, equal to value of

transactions and

consumption of fixed

capital on costs of

ownership transfer on

nonproduced assets

other than land

(51133)

Holding gains and

losses (revaluations)

and other changes

in the volume of

assets relating to

nonproduced assets

Holding gains/losses

and other changes

in the volume of

land improvements

(41114, 51114)

Other change in volume

of assets, equal to value

of transactions and

consumption of fixed

capital on costs of

ownership transfer on

nonproduced assets other

than land

(51133)

Holding gains/losses and

other changes in the

volume of nonproduced

assets other than land

(4142, 4143, 4144)

(5142, 5143, 5144)

Fixed

asset

Non-

produced

assets

Fixed

assets

Transactions in

costs of ownership

transfer on

nonproduced

assets other than

land

(31133.1)

Consumption of

fixed capital on

costs of ownership

transfer on

nonproduced

assets other than

land

(31133.3)

−

Stock positions

in nonproduced

assets other than

land

(6142, 6143, 6144)

Stock positions

in nonproduced

assets other

than land

(6142, 6143, 6144)

++=

Opening balance Transactions relating to costs of ownership

transfer on nonproduced assets

Closing balance

Stock position

in land

improvements

(61114)

Consumption of

fixed capital on

land improvements,

including on cost of

ownership transfer

on land

(31114.3)

Stock position

in land

improvements

(61114)

+

−

+

−=

Costs of ownership transfer on land:

Costs of ownership transfer on nonproduced assets other than land:

+

• Acquisitions minus
  disposals of land
  improvements
  (31114.1 − 31114.2)


• Transactions in
  cost of ownership
  transfer on land
  (3114.1)

Acquisitions minus

disposals of

nonproduced assets

other than land

(3142.1 − 3142.2)

(3143.1 − 3143.2)

(3144.1 − 3144.2)

• Costs of ownership transfer on land are, by convention, included with land improvements. This applies to the transactions as well as the stock position of
  land improvements.


• There are no stock positions in costs of ownership transfer on nonproduced assets other than land shown separately in the balance sheet. These costs are
  included with the respective nonproduced assets in the balance sheet.


• Transactions in the costs of ownership transfer on nonproduced assets other than land are recorded as part of fi xed assets.


• Costs of ownership transfer on nonproduced assets (and on produced assets other than inventories—which are not shown in this example) are subject to
  consumption of fi xed capital over the period the owner expects to hold the asset.


• Costs of ownership transfer on nonproduced assets other than land and consumption of fi xed capital on these costs are reclassifi ed, through other
  changes in the volume of assets, to the respective nonproduced assets to maintain the integration of stock positions and fl ows. These reclassifi cations are
  considered to take place at the time of recording the transactions. The costs of ownership transfer on land, which are included with land improvements,
  are not reclassifi ed to land and remain part of the stock of land improvements.