Capitalization of DOD General Property, Plant, and Equipment
Abstract
The audit was performed as part of the Audit of the Consolidated Financial Report on Department 97 Appropriations (project No. 6RA-2014). The DoD capitalization threshold has changed five times since FY 1984 and has increased from $1,000 to $100,000 per unit as of FY 1996. DoD accounting policy provides that assets, once capitalized at an authorized threshold, shall continue to be capitalized even though capitalization thresholds may change. The issues in this report significantly affect ongoing efforts of DoD financial managers to comply with the Chief Financial Officers Act of 1990 (public Law 101-576) and to streamline the accounting methodology for assets presented in DoD financial statements. This audit did not include capitalization criteria for assets on Defense Business Operations Fund financial statements. Additionally, this report does not discuss criteria for inclusion or exclusion of assets from local property books.
Document Details
- Document Type
- Technical Report
- Publication Date
- Aug 19, 1996
- Accession Number
- ADA370620
Entities
People
- Charles J. Richardson
- Harlan M. Geyer
- Kenneth B. Vanhove
- Ralph S. Dorris
- Thomas F. Gimble
Organizations
- Office of the Inspector General, U.S. Department of Defense