Decommissioning of fixed assets and land recovery: accounting and assessment
Date
2019-02-28
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Видавництво Львівської політехніки
Lviv Politechnic Publishing House
Lviv Politechnic Publishing House
Abstract
The existing provisions and regulations
for the accounting of the written-off objects of the fixed
assets and the working balances creation to cover the
expenses of land restoration were investigated. Taking
into consideration the peculiarities of the Ukrainian
enterprises activity in the field of oil and gas industry, the
problematic aspects within the accounting of the fixed
assets and other non- circulating assets were investigated.
The structure of the expected expenses for
decommissioning of fixed assets and land restoration, that
are the specific objects of the oil and gas industry
enterprises, was determined. Based on the reasoning for
structural expenses, the conceptual basis for the creation
of accounting methodology with the emphasis on the
contents of operations for funds creation for the provision
of expenditure for the subsequent periods to finance
economic operations for decommissioning of fixed assets
and the restoration of land in the oil and gas industry. It
has been proven in this article that creation of amounts of
securities for such aims of the enterprise, should be
identified in accordance with such criteria as the planned
level of changes of the possible stock for oil and gas
mining. It is argued that at each of the following stages of
the mineral wealth exploitation, to recognize such
liabilities in the accounting system are necessary, taking
into account the risks, associated with the decommissioning
of such assets. For the objective results provision, the
general scientific methods of scientific knowledge, the
specific methods of accounting and risk management methods were used.
Description
Keywords
costs for decommissioning, provision, obligations, accounting, fixed assets, assessment
Citation
Orlova V. Decommissioning of fixed assets and land recovery: accounting and assessment / V. Orlova, S. Kafka, O. Riabkova // Economics, Entrepreneurship, Management. — Lviv : Lviv Politechnic Publishing House, 2019. — Vol 6. — No 2. — P. 100–104.