Fixed Assets Of The Enterprise And Their Role In The Production Process

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Fixed Assets Of The Enterprise And Their Role In The Production Process
Fixed Assets Of The Enterprise And Their Role In The Production Process

Video: Fixed Assets Of The Enterprise And Their Role In The Production Process

Video: Fixed Assets Of The Enterprise And Their Role In The Production Process
Video: Introduction to Fixed Assets Process 2024, March
Anonim

Fixed assets take part in the production process for a long time. In addition, they serve a significant number of plant cycles and transfer their value to the products sold. There are three groups of fixed assets: non-production and fixed production assets, as well as intangible assets.

Fixed assets of the enterprise and their role in the production process
Fixed assets of the enterprise and their role in the production process

Non-productive assets

Fixed assets of an enterprise are equipment that is somehow connected with the technological process. Their value is gradually transferred to the value of the product through depreciation. One of the groups of fixed assets is non-productive assets.

It includes structures, buildings and durable goods that function in the non-productive sphere of society. Non-productive assets are the material basis of areas of the national economy that do not directly create material wealth. These include science and education, culture and recreation, healthcare, and so on.

The role of non-productive assets increases with the development of the scientific and technological revolution, since it increases the requirements in relation to man, that is, the main productive force. It is clear that the need for skilled workers is constantly growing, which, in turn, requires better equipment and the development of culture and health. In order for workers to make the most rational use of their free time, there is a sphere of trade, consumer services, transport and housing and communal services. The non-productive assets of these spheres just have a huge impact on the growth of the efficiency of social production and labor productivity.

Basic production assets

The second group of fixed assets of the enterprise is production assets. They include the tools of work that facilitate the manufacture of products: tools, equipment, buildings, and so on. Tools of labor participate in various processes several times, performing many functions. They wear out gradually, so they transfer their value piece by piece to the product using depreciation. Manufacturing assets occupy a very important place in the national wealth. The specific industrial weight of the national economy in these funds is more than 48%.

Intangible assets

The last group included in fixed assets is intangible assets. These are not monetary assets that have no physical form. They are part of non-current assets. Most often, it is intangible assets that are considered the main source through which the value of the company is created. They are closely interconnected with the material part. It is difficult to overestimate their role in the development of an enterprise, and their possession gives a competitive advantage.

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