Section 02.36: Account Codes -- Fixed Assets/Accumulated Depreciation (A8000-A8999)
The following account codes are used to record the capitalization and accumulated depreciation
of all non-expendable, tangible personal property and real property (also known
as 'Fixed Assets') from proprietary
funds include all auxiliary enterprise and service department
funds while non-proprietary
funds include all funds except
auxiliary enterprises and service departments.
The capitalization and accumulated depreciation of non-proprietary funded
fixed assets should be recorded in the Net Investment in Plant fund 890000 using
the below asset/contra asset accounts but are to be procured using the 4xxxx
capital outlay accounts. The capitalization and accumulated depreciation of
proprietary funded fixed assets should be recorded in the individual
auxiliary enterprise/service department funds using the below asset/contra asset
following asset account codes are also used to procure fixed assets with
funds. (See 4xxxx account series for asset procurements
from non-proprietary funds.)
The following account codes are
used for recording fixed assets and accumulated depreciation in the General
Ledger as well as in the Banner Fixed Assets system.
 Personal Property
Personal property is defined as tangible property that meets the following criteria:
- It is owned or considered owned by the University.
- It is held for operations, not for resale
- Its useful life exceeds one year.
- It has a unit value of $5,000 or more.
The unit-cost limit does not apply in the following situations:
- When materials purchased are used as part of an institutional general collection library for three years or more.
- When an item is included on the equipment inventory as an Attachment to an existing capitalized asset. See attachment definition in Fiscal Policy 55.825 "Components and Attachments of Existing Capital Assets".
- When an exception to the unit-cost limit has been approved by authorized institution personnel. (When an exception has been granted, an inventory record must be recorded in the Fixed Asset subsidiary and a record of the authorization kept on file.)
For all other equipment valued at less than $5,000, use code
- Minor Equipment, unless a more specific code is available.
The following ancillary costs should also be capitalized:
- Freight or excess charges on newly purchased equipment if charges exceed $25
- All installation expenses
- The cost of modifications that increase a piece of equipment's value by more than $5,000
For purchases acquired
through a lease-purchase or installment payment arrangement,
see section 02.12  Miscellaneous Capital Outlay.
See Fiscal Policy 55.100 " Fixed Asset
Accounting Policies" for more information and definition of Non-Expendable Personal
Property, including capitalization threshold information.
Equipment is defined as non-expendable personal property that is not otherwise categorized by a separate account code. Includes livestock for breeding, as draft animals, for dairy or beef production, for experiments or for instruction. (The costs of raising immature animals to maturity are treated as current operating expenses. For example see account codes 21055
- Feeds - Grains, 21056
- Feeds - Hay and Straw, 21057
- Feeds - Concentrates and 21008
- Animal Care.) (For purchases from non-proprietary funds see accounts 40101
- Equipment and 40102 - Livestock.)
 Real Property
 Accumulated Depreciation