1767.18—Assets and other debits.
The asset and other debits accounts identified in this section shall be used by all RUS borrowers.
Assets and Other Debits
Utility Plant
101Electric Plant in Service
101.1Property Under Capital Leases
102Electric Plant Purchased or Sold
103Experimental Electric Plant Unclassified
104Electric Plant Leased to Others
105Electric Plant Held for Future Use
106Completed Construction not Classified—Electric
107Construction Work in Progress—Electric
107.1Construction Work in Progress—Contract
107.2Construction Work in Progress—Force Account
107.3Construction Work in Progress—Special Equipment
108Accumulated Provision for Depreciation of Electric Utility Plant
108.1Accumulated Provision for Depreciation of Steam Production Plant
108.2Accumulated Provision for Depreciation of Nuclear Production Plant
108.3Accumulated Provision for Depreciation of Hydraulic Production Plant
108.4Accumulated Provision for Depreciation of Other Production Plant
108.5Accumulated Provision for Depreciation of Transmission Plant
108.6Accumulated Provision for Depreciation of Distribution Plant
108.7Accumulated Provision for Depreciation of General Plant
108.8Retirement Work in Progress
108.9Accumulated Provision for Depreciation of Asset Retirement
109-110 [Reserved]
111Accumulated Provision for Amortization of Electric Utility Plant
112-113 [Reserved]
114Electric Plant Acquisition Adjustments
115Accumulated Provision for Amortization of Electric Plant Acquisition Adjustments
116Other Electric Plant Adjustments
118Other Utility Plant
119Accumulated Provision for Depreciation and Amortization of Other Utility Plant
120.1Nuclear Fuel in Process of Refinement, Conversion, Enrichment, and Fabrication
120.2Nuclear Fuel Materials and Assemblies—Stock Account
120.3Nuclear Fuel Assemblies in Reactor
120.4Spent Nuclear Fuel
120.5Accumulated Provision for Amortization of Nuclear Fuel Assemblies
120.6Nuclear Fuel Under Capital Leases
Other Property and Investments
121Nonutility Property
122Accumulated Provision for Depreciation and Amortization of Nonutility Property
123Investment in Associated Companies
123.1Patronage Capital from Associated Cooperatives
123.3Investment in Associated Organizations—Federal Economic Development Loans
123.4Investment in Associated Organizations—Non-Federal Economic Development Loans
123.11Investment in Subsidiary Companies
123.21Subscriptions to Capital Term Certificates—Supplemental Financing
123.22Investments in Capital Term Certificates—Supplemental Financing
123.23Other Investments in Associated Organizations
124Other Investments
124.1Other Investments—Federal Economic Development Loans
124.2Other Investments—Non-Federal Economic Development Loans
125Sinking Funds
126Depreciation Fund
128Other Special Funds
Current and Accrued Assets
131Cash
131.1Cash—General
131.2Cash—Construction Fund—Trustee
131.3Cash—Installation Loan and Collection Fund
131.4Transfer of Cash
131.12Cash—General—Economic Development Loan Funds
131.13Cash—General—Economic Development Grant Funds
131.14Cash—General—Economic Development Non-Federal Revolving Funds
132Interest Special Deposits
133Dividend Special Deposits
134Other Special Deposits
135Working Funds
136Temporary Cash Investments
141Notes Receivable
141.1Accumulated Provision for Uncollectible Notes—Credit
142Customer Accounts Receivable
142.1Customer Accounts Receivable—Electric
142.2Customer Accounts Receivable—Other
143Other Accounts Receivable
144Accumulated Provision for Uncollectible Accounts—Credit
144.1Accumulated Provision for Uncollectible Customer Accounts—Credit
144.2Accumulated Provision for Uncollectible Merchandising Accounts—Credit
144.3Accumulated Provision for Uncollectible Accounts, Officers and Employees—Credit
144.4Accumulated Provision for Other Uncollectible Accounts—Credit 145 Notes Receivable from Associated Companies
145Notes Receivable from Associated Companies
146Accounts Receivable from Associated Companies
151Fuel Stock
152Fuel Stock Expenses Undistributed
153Residuals
154Plant Materials and Operating Supplies
155Merchandise
156Other Materials and Supplies
157Nuclear Materials Held for Sale
158.1Allowance Inventory
158.2Allowances Withheld
163Stores Expense Undistributed
165Prepayments
165.1Prepayments—Insurance
165.2Other Prepayments
171Interest and Dividends Receivable
172Rents Receivable
173Accrued Utility Revenues
174Miscellaneous Current and Accrued Assets
175Derivative Instrument Assets
176Derivative Instrument Assets—Hedges
Deferred Debits
181Unamortized Debt Expense
182.1Extraordinary Property Losses
182.2Unrecovered Plant and Regulatory Study Costs
182.3Other Regulatory Assets
183Preliminary Survey and Investigation Charges
184Clearing Accounts
184.1Transportation Expense—Clearing
184.2Clearing Accounts—Other
185Temporary Facilities
186Miscellaneous Deferred Debits
187Deferred Losses from Disposition of Utility Plant
188Research, Development, and Demonstration Expenditures
189Unamortized Loss on Reacquired Debt
190Accumulated Deferred Income Taxes
Assets and Other Debits
Utility Plant
101Electric Plant in Service
A. This account shall include the original cost of electric plant, included in Accounts 301 to 399, prescribed herein, owned and used by the utility in its electric utility operations, and having an expectation of life in service of more than one year from date of installation, including such property owned by the utility but held by nominees.
B. (See also Account 106 for unclassified construction costs of completed plant actually in service.)
C. The cost of additions to and betterments of property leased from others, which are includible in this account, shall be recorded in subdivisions separate and distinct from those relating to owned property. (See § 1767.16 (f).)
101.1Property Under Capital Leases
A. This account shall include the amount recorded under capital leases for plant leased from others and used by the utility in its utility operations.
B. The electric property included in this account shall be classified separately according to the detailed accounts (301 to 399) prescribed for electric plant in service.
C. Records shall be maintained with respect to each capital lease reflection:
(1) Name of lessor, (2) basic details of lease, (3) terminal date, (4) original cost or fair market value of property leased, (5) future minimum lease payments, (6) executory costs, (7) present value of minimum lease payments, (8) the amount representing interest and the interest rate used, and (9) expenses paid. Records shall also be maintained for plant under a lease, to identify the asset retirement obligation and cost originally recognized for each lease and the periodic charges and credits made to the asset retirement obligations and asset retirement costs.
102Electric Plant Purchased or Sold
A. This account shall be charged with the cost of electric plant acquired as an operating unit or system by purchase, merger, consolidation liquidation, or otherwise, and shall be credited with the selling price of like property transferred to others pending the distribution to appropriate accounts in accordance with § 1767.16 (e).
B. Within 6 months from the date of acquisition or sale of property recorded herein, the borrower shall file with RUS the proposed journal entries to clear from this account the amounts recorded herein.
103Experimental Electric Plant Unclassified
A. This account shall include the cost of electric plant which was constructed as a research, development, and demonstration plant under the provisions of Paragraph C, Account 107, Construction Work in Progress—Electric, and due to the nature of the plant, it is desirous to operate it for a period of time in an experimental status.
B. Amounts in this account shall be transferred to Account 101, Electric Plant in Service, or Account 121, Nonutility Property, as appropriate when the project is no longer considered as experimental.
C. The depreciation on property in this account shall be charged to Account 403.8, Depreciation Expense, for asset retirement costs, as appropriate, and credited to Account 108, Accumulated Provision for Depreciation of Electric Utility Plant. The amounts herein shall be depreciated over a period which would correspond to the estimated useful life of the relevant project considering the characteristics involved. However, when projects are transferred to Account 101, Electric Plant in Service, a new depreciation rate based upon the remaining service life and undepreciated amounts, will be established.
D. Records shall be maintained with respect to each unit of experiment so that full details may be obtained as to the cost, depreciation, and the experimental status.
E. Should it be determined that experimental plant recorded in this account will fail to satisfactorily perform its function, the costs thereof shall be accounted for as directed or authorized by RUS.
104Electric Plant Leased to Others
A. This account shall include the original cost of electric plant owned by the utility, but leased to others as operating units or systems, where the lessee has exclusive possession.
B. The property included in this account shall be classified according to the detailed accounts (301 to 399) prescribed for electric plant in service and this account shall be maintained in such detail as though the property were used by the owner in its utility operations.
105Electric Plant Held for Future Use
A. This account shall include the original cost of electric plant (except land and land rights) owned and held for future use in electric service under a definite plan for such use, to include: (1) Property acquired (except land and land rights) but never used by the utility in electric service, but held for such service in the future under a definite plan, and (2) property (except land and land rights) previously used by the utility in service but retired from such service and held pending its reuse in the future, under a definite plan, in electric service.
B. This account shall also include the original cost of land and land rights owned and held for future use in electric service under a plan for such use, to include land and land rights: (1) Acquired but never used by the utility in electric service, but held for such service in the future under a plan, and (2) previously held by the utility in service, but retired from such service and held pending its reuse in the future under a plan, in electric service. (See § 1767.16 (g).)
C. In the event that property recorded in this account shall no longer be needed or appropriate for future utility operations, the borrower shall notify RUS of such condition and request approval of journal entries to remove such property from this account.
D. Gains or losses from the sale of land and land rights or other disposition of such property previously recorded in this account and not placed in utility service shall be recorded directly in Accounts 411.6 or 411.7, as appropriate, except when determined to be significant by RUS. Upon such a determination, the amounts shall be transferred to Account 256, Deferred Gains from Disposition of Utility Plant, or Account 187, Deferred Losses from Disposition of Utility Plant, and amortized to Account 411.6, Gains from Disposition of Utility Plant, or Account 411.7, Losses from Disposition of Utility Plant, as appropriate.
E. The property included in this account shall be classified according to the detail accounts (301 to 399) prescribed for electric plant in service and the account shall be maintained in such detail as though the property were in service.
106Completed Construction not Classified—Electric
At the end of the year or such other date as a balance sheet may be required by RUS, this account shall include the total of the balances of work orders for electric plant which has been completed and placed in service but which work orders have not been classified for transfer to the detailed electric plant accounts.
107Construction Work in Progress—Electric
A. This account shall include the total of the balances of work orders for electric plant in process of construction.
B. Work orders shall be cleared from this account as soon as practicable, after completion of the job. Further, if a project, such as a hydroelectric project, a steam station, or a transmission line, is designed to consist of two or more units or circuits which may be placed in service at different dates, any expenditures which are common to and which will be used in the operation of the project as a whole shall be included in electric plant in service upon the completion and the readiness for service of the first unit. Any expenditures which are identified exclusively with units of property not yet in service shall be included in this account.
C. Expenditures on research, development, and demonstration projects for construction of utility facilities are to be included in a separate subdivision in this account. Records must be maintained to show separately each project along with complete detail of the nature and purpose of the research, development, and demonstration project together with the related costs.
D. Account 107 shall be subaccounted as follows:
107.1Construction Work in Progress—Contract
107.2Construction Work in Progress—Force Account
107.3Construction Work in Progress—Special Equipment
108Accumulated Provision for Depreciation of Electric Utility Plant
A. This account shall be credited with the following:
1. Amounts charged to Account 403, Depreciation Expense, or to clearing accounts for current depreciation expense for electric plant in service.
2. Amounts charged to Account 421, Miscellaneous Nonoperating Income, for depreciation expense on property included in Account 105, Electric Plant Held for Future Use. Include, also, the balance of accumulated provision for depreciation on property when transferred to Account 105, Electric Plant Held for Future Use, from other property accounts. Normally, Account 108 will not be used for current depreciation provision because, as provided herein, the service life during which depreciation is computed commences with the date property is includible in electric plant in service; however, if special circumstances indicate the propriety of current accruals for depreciation, such charges shall be made to Account 421, Miscellaneous Nonoperating Income.
3. Amounts charged to Account 413, Expenses of Electric Plant Leased to Others, for electric plant included in Account 104, Electric Plant Leased to Others.
4. Amounts charged to Account 416, Costs and Expenses of Merchandising, Jobbing, and Contract Work, or to clearing accounts for current depreciation expense.
5. Amounts of depreciation applicable to electric properties acquired as operating units or systems. (See § 1767.16 (e).)
6. Amounts charged to Account 182.1, Extraordinary Property Losses, when authorized by RUS.
7. Amounts of depreciation applicable to electric plant donated to the utility.
The utility shall maintain separate subaccounts for depreciation applicable to electric plant in service, electric plant leased to others, and electric plant held for future use.)
B. At the time of retirement of depreciable electric utility plant, this account shall be charged with the book cost of the property retired and the cost of removal and shall be credited with the salvage value and any other amounts recovered, such as insurance. When retirement, costs of removal and salvage are entered originally in retirement work orders, the net total of such work orders may be included in a separate subaccount hereunder. Upon completion of the work order, the proper distribution to subdivisions of this account shall be made as provided in the following paragraph.
C. Account 108 shall be subaccounted as follows:
108.1Accumulated Provision for Depreciation of Steam Production Plant
108.2Accumulated Provision for Depreciation of Nuclear Production Plant
108.3Accumulated Provision for Depreciation of Hydraulic Production Plant
108.4Accumulated Provision for Depreciation of Other Production Plant
108.5Accumulated Provision for Depreciation of Transmission Plant
108.6Accumulated Provision for Depreciation of Distribution Plant
108.7Accumulated Provision for Depreciation of General Plant
108.8Retirement Work in Progress
108.9Accumulated Provision for Depreciation of Asset Retirement Costs
These subsidiary records shall reflect the current credits and debits to this account in sufficient detail to show separately for each such functional classification: (1) the amount of accrual for depreciation, (2) the book cost of property retired, (3) cost of removal, (4) salvage, and (5) other items, including recoveries from insurance.
D. When transfers of plant are made from one electric plant account to another, or from or to another utility department, of from or to nonutility property accounts, the accounting for depreciation shall be as provided in § 1767.16 (l).
E. The utility is restricted in its use of the accumulated provision for depreciation to the purposes set forth above. It shall not transfer any portion of this account to retained earnings or make any other use thereof without authorization by RUS.
109-110 [Reserved]
111Accumulated Provision for Amortization of Electric Utility Plant
A. This account shall be credited with the following:
1. Amounts charged to Account 404, Amortization of Limited-Term Electric Plant, for the current amortization of limited-term electric plant investments.
2. Amounts charged to Account 421, Miscellaneous Nonoperating Income, for amortization expense on property included in Account 105, Electric Plant Held for Future Use. Include also the balance of accumulated provision for amortization on property when transferred to Account 105, Electric Plant Held for Future Use, from other property accounts. See also Paragraph A(2), Account 108, Accumulated Provision for Depreciation of Electric Utility Plant.
3. Amounts charged to Account 405, Amortization of Other Electric Plant.
4. Amounts charged to Account 413, Expenses of Electric Plant Leased to Others, for the current amortization of limited-term or other investments subject to amortization included in Account 104, Electric Plant Leased to Others.
5. Amounts charged to Account 425, Miscellaneous Amortization, for the amortization of intangible or other electric plant which does not have a definite or terminable life and is not subject to charges for depreciation expense, with RUS approval.
(The utility shall maintain subaccounts of this account for the amortization applicable to electric plant in service, electric plant leased to others and electric plant held for future use.)
B. When any property to which this account applies is sold, relinquished, or otherwise retired from service, this account shall be charged with the amount previously credited in respect to such property. The book cost of the property so retired less the amount chargeable to this account and less the net proceeds realized at retirement shall be included in Account 421.1, Gain on Disposition of Property, or Account 421.2, Loss on Disposition of Property, as appropriate.
C. For general ledger and balance sheet purposes, this account shall be regarded and treated as a single composite provision for amortization. For purposes of analysis, however, each utility shall maintain subsidiary records in which this account is segregated according to the following functional classification for electric plant: (1) Steam production, (2) Nuclear production, (3) Hydraulic production, (4) Other production, (5) Transmission, (6) Distribution, and (7) General. These subsidiary records shall reflect the current credits and debits to this account in sufficient detail to show separately for each such functional classification: (1) the amount of accrual for amortization, (2) the book cost of property retired, (3) cost of removal, (4) salvage, and (5) other items, including recoveries from insurance.
D. The utility is restricted in its use of the accumulated provision for amortization to the purposes set forth above. It shall not transfer any portion of this account to retained earnings or make any other use thereof without authorization by RUS.
112-113 [Reserved]
114Electric Plant Acquisition Adjustments
A. This account shall include the difference between the cost to the accounting utility of electric plant acquired as an operating unit or system by purchase, merger, consolidation, liquidation, or otherwise, and the original cost, estimated, if not known, of such property, less the amount or amounts credited by the accounting utility at the time of acquisition to accumulated provisions for depreciation and amortization and contributions in aid of construction with respect to such property.
B. With respect to acquisitions after the effective date of this system of accounts, this account shall be subdivided so as to show the amounts included herein for each property acquisition and to electric plant in service, electric plant held for future use, and electric plant leased to others. (See § 1767.16 (e).)
C. Debit amounts recorded in this account related to plant and land acquisition may be amortized to Account 425, Miscellaneous Amortization, over a period not longer than the estimated remaining life of the properties to which such amounts relate. Amounts related to the acquisition of land only may be amortized to Account 425 over a period of not more than 15 years. Should a utility wish to account for debit amounts in this account in any other manner, it shall petition RUS for authority to do so. Credit amounts recorded in this account shall be accounted for as directed by RUS.
115Accumulated Provision for Amortization of Electric Plant Acquisition Adjustments
This account shall be credited or debited with amounts which are includible in Account 406, Amortization of Electric Plant Acquisition Adjustments, or Account 425, Miscellaneous Amortization, for the purpose of providing for the extinguishment of amounts in Account 114, Electric Plant Acquisition Adjustments, in instances where the amortization of Account 114 is not being made by direct write-off of the account.
116Other Electric Plant Adjustments
A. This account shall include the difference between the original cost, estimated if not known, and the book cost of electric plant to the extent that such difference is not properly includible in Account 114, Electric Plant Acquisition Adjustments. (See § 1767.16 (a)(3))
B. Amounts included in this account shall be classified in such manner as to show the origin of each amount and shall be disposed of as RUS may approve or direct.
118Other Utility Plant
This account shall include the balances in accounts for utility plant, other than electric plant, such as gas, or railway.
119Accumulated Provision for Depreciation and Amortization of Other Utility Plant
This account shall include the accumulated provision for depreciation and amortization applicable to utility property other than electric plant.
120.1Nuclear Fuel in Process of Refinement, Conversion, Enrichment, and Fabrication
A. This account shall include the original cost to the utility of nuclear fuel materials while in process of refinement, conversion, enrichment, and fabrication into nuclear fuel assemblies and components, including processing, fabrication, and necessary shipping costs. This account shall also include the salvage value of nuclear materials which are actually being reprocessed for use and were transferred from Account 120.5, Accumulated Provision for Amortization of Nuclear Fuel Assemblies. (See § 1767.10 (a)(27).)
B. This account shall be credited and Account 120.2, Nuclear Fuel Materials and Assemblies—Stock Account, shall be debited for the cost of completed fuel assemblies delivered for use in refueling or to be held as spares. In the case of the initial core loading, the transfer shall be made directly to Account 120.3, Nuclear Fuel Assemblies in Reactor, upon the conclusion of the experimental or test period of the plant prior to its becoming available for service.
Items
1. Cost of natural uranium, uranium ores concentrates or other nuclear fuel sources, such as thorium, plutonium, and U-233.
2. Value of recovered nuclear materials being reprocessed for use.
3. Milling process costs.
4. Sampling and weighing, and assaying costs.
5. Purification and conversion process costs.
6. Costs of enrichment by gaseous diffusion or other methods.
7. Costs of fabrication into fuel forms suitable for insertion in the reactor.
8. All shipping costs of materials and components, including shipping of fabricated fuel assemblies to the reactor site.
9. Use charges on leased nuclear materials while in process of refinement, conversion, enrichment, and fabrication.
120.2Nuclear Fuel Materials and Assemblies—Stock Account
A. This account shall be debited and Account 120.1, Nuclear Fuel in Process of Refinement, Conversion, Enrichment and Fabrication, shall be credited with the cost of fabricated fuel assemblies delivered for use in refueling or to be carried in stock as spares. It shall also include the original cost of fabricated fuel assemblies purchased in completed form. This account shall also include the original cost of partially irradiated fuel assemblies being held in stock for reinsertion in a reactor which had been transferred from Account 120.3, Nuclear Fuel Assemblies in Reactor.
B. When fuel assemblies included in this account are inserted in a reactor, this account shall be credited and Account 120.3, Nuclear Fuel Assemblies in Reactor, debited for the cost of such assemblies.
C. This account shall also include the cost of nuclear materials and byproduct materials being held for future use and not actually in process in Account 120.1, Nuclear Fuel in Process of Refinement, Conversion, Enrichment and Fabrication.
120.3Nuclear Fuel Assemblies in Reactor
A. This account shall include the cost of nuclear fuel assemblies when inserted in a reactor for the production of electricity. The amounts included herein shall be transferred from Account 120.2, Nuclear Fuel Materials and Assemblies—Stock Account, except for the initial core loading which will be transferred directly from Account 120.1, Nuclear Fuel in Process of Refinement, Conversion, Enrichment and Fabrication.
B. Upon removal of fuel assemblies from a reactor, the original cost of the assemblies removed shall be transferred to Account 120.4, Spent Nuclear Fuel, or Account 120.2, Nuclear Fuel Materials and Assemblies—Stock Account, as appropriate.
120.4Spent Nuclear Fuel
A. This account shall include the original cost of nuclear fuel assemblies, in the process of cooling, transferred from Account 120.3, Nuclear Fuel Assemblies in Reactor, upon removal from a reactor pending reprocessing.
B. This account shall be credited and Account 120.5, Accumulated Provision for Amortization of Nuclear Fuel Assemblies, debited for fuel assemblies, after the cooling period is over, at the cost recorded in this account.
120.5Accumulated Provision for Amortization of Nuclear Fuel Assemblies
A. This account shall be credited and Account 518, Nuclear Fuel Expense, shall be debited for the amortization of the net cost of nuclear fuel assemblies used in the production of energy. The net cost of nuclear fuel assemblies subject to amortization shall be the original cost of nuclear fuel assemblies, plus or less the expected net salvage value of uranium, plutonium, and other by-products.
B. This account shall be credited with the net salvage value of uranium, plutonium, and other nuclear by-products when such items are sold, transferred or otherwise disposed. Account 120.1, Nuclear Fuel in Process of Refinement, Conversion, Enrichment and Fabrication, shall be debited with the net salvage value of nuclear materials to be reprocessed. Account 157, Nuclear Materials Held for Sale, shall be debited for the net salvage value of nuclear materials not to be reprocessed but to be sold or otherwise disposed of and Account 120.2, Nuclear Fuel Materials and Assemblies—Stock Account, will be debited with the net salvage value of nuclear materials that will be held for future use and not actually in process, in Account 120.1, Nuclear Fuel in Process of Refinement, Conversion, Enrichment, and Fabrication.
C. This account shall be debited and Account 120.4, Spent Nuclear Fuel, shall be credited with the cost of fuel assemblies at the end of the cooling period.
120.6Nuclear Fuel Under Capital Leases
A. This account shall include the amount recorded under capital leases for nuclear fuel leased from others for use by the utility in its utility operations.
B. Records shall be maintained with respect to each capital lease reflecting: (1) name of lessor, (2) basic details of lease, (3) terminal date, (4) original cost or fair market value of nuclear fuel leased, (5) future minimum lease payments, (6) the amount representing interest and the interest rate used, and (7) expenses paid.
Other Property and Investments
121Nonutility Property
A. This account shall include the book cost of land, structure, and equipment or other tangible or intangible property owned by the utility, but used in utility service and not properly includible in Account 105, Electric Plant Held for Future Use. This account shall also include, where applicable, amounts recorded for asset retirement costs associated with nonutility plant.
B. This account shall also include the amount recorded under capital leases for property leased from others and used by the utility in its nonutility operations. Records shall be maintained with respect to each lease reflecting: (1) name of lessor, (2) basic details of lease, (3) terminal date, (4) original cost or fair market value of property leased, (5) future minimum lease payments, (6) executory costs, (7) present value of minimum lessee payments, (8) the amount representing interest and the interest rate used, and (9) expenses paid.
C. This account shall be subdivided so as to show the amount of property used in operations which are nonutility in character but nevertheless constitute a distinct operating activity of the company (such as operation of an ice department where such activity is not classed as a utility) and the amount of miscellaneous property not used in operations. The records in support of each subaccount shall be maintained so as to show an appropriate classification of the property.
122Accumulated Provision for Depreciation and Amortization of Nonutility Property
This account shall include the accumulated provision for depreciation and amortization applicable to nonutility property.
123Investment in Associated Companies
A. This account shall include the book cost of investments in securities issued or assumed by associated companies and investment advances to such companies, including interest accrued thereon when such interest is not subject to current settlement, provided that the investment does not relate to a subsidiary company. (If the investment relates to a subsidiary company, it shall be included in Account 123.11, Investment in Subsidiary Companies.) Include herein the offsetting entry to the recording of amortization of discount or premium on interest bearing investments. (See Account 419, Interest and Dividend Income.)
B. This account shall be maintained in such manner as to show the investment in securities of, and advances to, each associated company together with full particulars regarding any of such investments that are pledged.
C. Account 123 shall be subaccounted as follows:
123.1Patronage Capital from Associated Cooperatives
123.3Investment in Associated Organizations—Federal Economic Development Loans
123.4Investment in Associated Organizations—Non-Federal Economic Development Loans
123.11Investment in Subsidiary Companies
123.21Subscriptions to Capital Term Certificates—Supplemental Financing
123.22Investment in Capital Term Certificates—Supplemental Financing
123.23Other Investments in Associated Organizations
123.1Patronage Capital from Associated Cooperatives
This account shall include patronage capital credits allocated to the accounting borrower by G&T cooperatives. It shall also include capital credits, deferred patronage refunds, or like items from other associated cooperatives. The account shall be maintained so as to reflect separately, the allocations of patronage capital and patronage refunds from each organization that makes such allocations to the borrower.
123.3Investment in Associated Organizations—Federal Economic Development Loans
This account shall include investment advances of Federal funds received from a Rural Economic Development Grant to associated organizations for authorized rural economic development projects.
123.4Investment in Associated Organizations—Non-Federal Economic Development Loans
This account shall include investment advances of non-Federal funds from the Rural Economic Development Grant revolving fund to associated organizations for authorized rural economic development projects.
123.11Investment in Subsidiary Companies
A. This account shall include the cost of investments in securities issued or assumed by subsidiary companies and investment advances to such companies, including interest accrued thereon when such interest is not subject to current settlement, plus the equity in undistributed earnings or losses of such subsidiary companies since acquisition. This account shall be credited with any dividends declared by such subsidiaries.
B. This account shall be maintained in such a manner as to show separately for each subsidiary: the cost of such investments in the securities of the subsidiary at the time of acquisition; the amount of equity in the subsidiary's undistributed net earnings or net losses since acquisition; advances or loans to such subsidiary; and full particulars regarding any such investments that are pledged.
123.21Subscriptions to Capital Term Certificates—Supplemental Financing
This account shall include the total subscriptions to capital term certificates of CFC. When subscriptions are paid, this account shall be credited and Account 123.22, Investments in Capital Term Certificates—Supplemental Financing, debited.
123.22Investments in Capital Term Certificates—Supplemental Financing
This account shall include paid subscriptions in capital term certificates of CFC or other supplemental lenders.
123.23Other Investments in Associated Organizations
This account shall include investments in capital stock, securities, membership fees, and investment advances to associated organizations other than provided for elsewhere. This account shall be maintained in such a manner as to show the investment in stock and securities of and advances to each associated organization.
Items
1. Investments in capital stock of associated organizations.
2. Investments in securities issued by associated organizations.
3. Membership fees in associated organizations, including NRECA, and Statewide associations of RUS-financed borrowers.
4. Investment advances to associated organizations.
124Other Investments
A. This account shall include the book cost of investments in securities issued or assumed by nonassociated companies, investment advances to such companies, and any investments not accounted for elsewhere. This account shall also included unrealized holding gains and losses on trading and available-for-sale types of security investments. Include also the offsetting entry to the recording of amortization of discount or premium on interest bearing investments. (See Account 419, Interest and Dividend Income.)
B. The records shall be maintained in such manner as to show the amount of each investment and the investment advances to each person.
C. Account 124 shall be subaccounted as follows:
124.1Other Investments—Federal Economic Development Loans
124.2Other Investments—Non-Federal Economic Development Loans
124.1Other Investments—Federal Economic Development Loans
This account shall include investment advances of Federal funds received from a Rural Economic Development Grant to nonassociated organizations for authorized rural economic development projects.
124.2Other Investments—Non-Federal Economic Development Loans
This account shall include investment advances of non-Federal funds from the Rural Economic Development Grant revolving fund to nonassociated organizations for authorized rural economic development projects.
125Sinking Funds
This account shall include the amount of cash and book cost of investments held in sinking funds. This account shall also include unrealized holding gains and losses on trading and available-for-sale types of investments. A separate account, with appropriate title, shall be kept for each sinking fund. Transfers from this account to special deposit accounts, may be as necessary for the purpose of paying matured sinking fund obligations, or obligations called for redemption but not presented, or the interest thereon.
126Depreciation Fund
This account shall include the amount of cash and the book cost of investments which have been segregated in a special fund for the purpose of identifying such assets with the accumulated provisions for depreciation. This account shall also include unrealized holding gains and losses on trading and available-for-sale types of security investments.
128Other Special Funds
This account shall include the amount of cash and book cost of investments which have been segregated in special funds for insurance, employee pensions, savings, relief, hospital, and other purposes not provided for elsewhere. This account shall also include unrealized holding gains and losses on trading and available-for-sale types of security investments. A separate account, with appropriate title, shall be kept for each fund.
Current and Accrued Assets
Current and accrued assets are cash, those assets which are readily convertible into cash or are held for current use in operations or construction, current claims against others, payment of which is reasonably assured, and amounts accruing to the utility which are subject to current settlement, except such items for which accounts other than those designated as current and accrued assets are provided. There shall not be included in the category of accounts designated as current and accrued assets any item, the amount or collectibility of which is not reasonably assured, unless an adequate provision for possible loss has been made therefor. Items of current character but of doubtful value may be written down, and for record purposes carried in these accounts at nominal value.
131Cash
A. This account shall include the amount of current cash funds except working funds.
B. Account 131 shall be subaccounted as follows:
131.1Cash—General
131.2Cash—Construction Fund—Trustee
131.3Cash—Installation Loan and Collection Fund
131.4Transfer of Cash
131.12Cash—General—Economic Development Loan Funds
131.13Cash—General—Economic Development Grant Funds
131.14Cash—General—Economic Development Non-Federal Revolving Funds
131.1Cash—General
This account shall include all cash of the organization not provided for elsewhere. Separate subaccounts may be maintained for each bank account in which general cash is maintained. Funds held by others for current obligations shall be recorded in Account 134, Other Special Deposits.
131.2Cash—Construction Fund—Trustee
This account shall include the cash received from the Rural Utilities Service, CFC, and any other source of supplemental financing for financing the construction, purchase, and operation of electric facilities. RUS construction loan fund advances shall be charged to this account and credited to Account 224.4, RUS Notes Executed—Construction—Debit. CFC and other supplemental lender construction loan fund advances shall be charged to this account and credited to Account 224.13, Supplemental Financing Notes Executed—Debit.
131.3Cash—Installation Loan and Collection Fund
A. This account shall include the cash advanced on installation loans made subsequent to September 13, 1957. Such advances shall be debited to this account as received and credited to Account 224.10, RUS Notes Executed—Installation—Debit. This account shall also include interest and principal collections received on consumers' loans financed from RUS loans made subsequent to September 13, 1957.
B. Payments shall be made from this account solely for financing consumers' loans for the purpose of wiring of consumers' premises, and the acquisition and installation of electrical and plumbing appliances and equipment by consumers. The cash in this account is also used for the payment of principal and interest on installation loans made by RUS, subsequent to September 13, 1957, in accordance with the terms of the loan agreement.
131.4Transfer of Cash
This account shall be used in transferring funds from one bank account to another. This account is charged when the check is drawn for the transfer and entered in the check register, and credited when the amount transferred is entered in the cash receipts book. This account is to be used as a clearing account and should not have a balance at the end of an accounting period.
131.12Cash—General—Economic Development Funds
This account shall include the cash received from the Rural Utilities Service for Rural Economic Development Loans. Economic development loan advances shall be charged to this account and credited to Account 224.17, RUS Notes Executed—Economic Development—Debit.
131.13Cash—General—Economic Development Grant Funds
This account shall include cash received from the Rural Utilities Service for Rural Economic Development Grants. Economic development grant funds shall be charged to this account and credited to Account 224.18, Other Long-Term Debt—Grant Funds; Account 208, Donated Capital; or Account 421, Miscellaneous Nonoperating Income, as appropriate. This account shall be credited and either Account 123.3, Investment in Associated Organizations—Federal Economic Development Loans, or Account 124.1, Other Investments—Federal Economic Development Loans, shall be debited, as appropriate, with the amount of an economic development revolving fund loan.
131.14Cash—General—Economic Development Non-Federal Revolving Funds
This account shall include all non-Federal funds comprising the economic development revolving fund. It shall include all funds supplied by the borrower as well as all cash received from the repayment of loans made from the economic development revolving fund. This account shall be credited and either Account 123.4, Investment in Associated Organizations—Non-Federal Economic Development Loans, or Account 124.2, Other Investments—Non-Federal Economic Development Loans, shall be debited, as appropriate, with the amount of an economic development revolving fund loan.
132Interest Special Deposits
This account shall include special deposits with fiscal agents or others for the payment of interest.
133Dividend Special Deposits
This account shall include special deposits with fiscal agents or others for the payment of dividends.
134Other Special Deposits
This account shall include deposits with fiscal agents or others for special purposes other than the payment of interest and dividends. Such special deposits may include cash deposited with Federal, state, or municipal authorities as a guaranty for the fulfillment of obligations; cash deposited with trustees to be held until mortgaged property sold, destroyed, or otherwise disposed of is replaced; and cash realized from the sale of the accounting utility's securities and deposited with trustees to be held until invested in property of the utility. Entries to this account shall specify the purpose for which the deposit is made.
135Working Funds
This account shall include cash advanced to officers, agents, employees, and others as petty cash or working funds.
136Temporary Cash Investments
A. This account shall include the book cost of investments, such as demand and time loans, bankers' acceptances, United States Treasury certificates, marketable securities, and other similar investments, acquired for the purpose of temporarily investing cash.
B. This account shall be so maintained as to show separately temporary cash investments in securities of associated companies and of others. Records shall be kept of any pledged investments.
141Notes Receivable
A. This account shall include the book cost, not includible elsewhere, of all collectible obligations in the form of notes receivable and similar evidences (except interest coupons) of money due on demand or within one year from the date of issue, except, however, notes receivable from associated companies. (See Account 136, Temporary Cash Investments, and Account 145, Notes Receivable from Associated Companies.)
B. Account 141 shall be subaccounted as follows:
141.1Accumulated Provision for Uncollectible Notes—Credit
141.1Accumulated Provision for Uncollectible Notes—Credit
This account shall be credited with amounts provided for losses on notes receivable which may become uncollectible, and also with collections on notes previously charged hereto. Concurrent charges shall be made to Account 904, Uncollectible Accounts.
142Customer Accounts Receivable
A. This account shall include amounts due from customers for utility service and for merchandising, jobbing, and contract work. This account shall not include amounts due from associated companies.
B. This account shall be maintained so as to permit ready segregation of the amounts due for merchandising, jobbing, and contract work.
C. Account 142 shall be subaccounted as follows:
142.1Customer Accounts Receivable—Electric
142.2Customer Accounts Receivable—Other
142.1Customer Accounts Receivable—Electric
This account shall include amounts due from customers for utility service.
142.2Customer Accounts Receivable—Other
This account shall include amounts due from customers for merchandising, jobbing, and contract work.
143Other Accounts Receivable
A. This account shall include amounts due the utility upon open accounts, other than amounts due from associated companies and from customers for utility services and merchandising, jobbing and contract work.
B. This account shall be maintained so as to show separately amounts due on subscriptions to capital stock and from officers and employees. The account shall not include amounts advanced to officers or others as working funds. (See Account 135, Working Funds.)
144Accumulated Provision for Uncollectible Accounts—Credit
A. This account shall include amounts provided for losses on accounts receivable which may become uncollectible, and also with collections on accounts previously charged hereto. Concurrent charges shall be made to Account 904, Uncollectible Accounts, for amounts applicable to utility operations, and to corresponding accounts for other operations. Records shall be maintained so as to show the write-offs of accounts receivable for each utility department.
B. Account 144 shall be subaccounted as follows:
144.1Accumulated Provision for Uncollectible Customer Accounts—Credit
144.2Accumulated Provision for Uncollectible Merchandising Accounts—Credit
144.3Accumulated Provision for Uncollectible Accounts, Officers and Employees—Credit
144.4Accumulated Provision for Other Uncollectible Accounts—Credit
144.1Accumulated Provision for Uncollectible Customer Accounts—Credit
This account shall be credited with amounts provided for losses on accounts receivable which may become uncollectible, and also with collections on accounts previously charged hereto. Concurrent charges shall be made to Account 904, Uncollectible Accounts.
144.2Accumulated Provision for Uncollectible Merchandising Accounts—Credit
This account shall be credited with amounts provided for losses on merchandising, jobbing, and contract work which may become uncollectible, and also with collections on accounts previously charged hereto. Concurrent charges shall be made to Account 904, Uncollectible Accounts, for amounts applicable to utility operations, and to corresponding accounts for other operations.
144.3Accumulated Provision for Uncollectible Accounts, Officers and Employees—Credit
This account shall be credited with amounts provided for losses on accounts receivable from officers and employees which may become uncollectible and also with collections on accounts previously charged hereto. Concurrent charges shall be made to Account 904, Uncollectible Accounts.
144.4Accumulated Provision for Other Uncollectible Accounts—Credit
This account shall be credited with amounts provided for losses on accounts receivable which may become uncollectible and for which the recording of this credit has not been provided for elsewhere. This account shall also be credited with collections on accounts previously charged hereto. Concurrent charges shall be made to Account 904, Uncollectible Accounts, for amounts applicable to utility operations and to corresponding accounts for other operations.
145Notes Receivable from Associated Companies
This account shall include notes upon which associated companies are liable, and which mature and are expected to be paid in full not later than one year from the date of issue, together with any interest thereon, and debit balances subject to current settlement in open accounts with associated companies. Items which do not bear a specified due date but which have been carried for more than twelve months and items which are not paid within twelve months from due date shall be transferred to Account 123, Investment in Associated Companies.
146Accounts Receivable from Associated Companies
This account shall include drafts upon which associated companies are liable, and which mature and are expected to be paid in full not later than one year from the date of issue, together with any interest thereon, and debit balances subject to current settlement in open accounts with associated companies. Items which do not bear a specified due date but which have been carried for more than twelve months and items which are not paid within twelve months from due date shall be transferred to Account 123, Investment in Associated Companies.
151Fuel Stock
This account shall include the book cost of fuel on hand.
Items
1. Invoice price of fuel less any cash or other discounts.
2. Freight, switching, demurrage, and other transportation charges, not including, however, any charges for unloading from the shipping medium.
3. Excise taxes, purchasing agents' commissions, insurance, and other expenses directly assignable to cost of fuel.
4. Operating, maintenance and depreciation expenses, and ad valorem taxes on utility-owned transportation equipment used to transport fuel from the point of acquisition to the unloading point.
5. Lease or rental costs of transportation equipment used to transport fuel from the point of acquisition to the unloading point.
152Fuel Stock Expenses Undistributed
A. This account may include the cost of labor and of supplies used and expenses incurred in unloading fuel from the shipping medium and in the handling thereof prior to its use, if such expenses are sufficiently significant in amount to warrant being treated as a part of the cost of fuel inventory rather than being charged direct to expense as incurred.
B. Amounts included herein shall be charged to expense as the fuel is used to the end that the balance herein shall not exceed the expenses attributable to the inventory of fuel on hand.
Items
Labor:
1. Procuring and handling of fuel.
2. All routine fuel analyses.
3. Unloading from shipping facility and placing in storage.
4. Moving of fuel in storage and transferring from one station to another.
5. Handling from storage or shippin