287 – Signs

Fixed Assets

 

Synopsis

Account 287

Debits

Credits

  1. The purchase price of a sign.

  2. The cost of improvements made to a capitalized sign.

  1. The cost of signs sold or abandoned.

 

 

Remarks:

All Signs should be listed in detail on a fixed asset inventory and depreciation record.  The accumulated total in the cost column should agree with the balance in this account each month-end.

 

Repairs and maintenance costs which ordinarily do not add to the value of the sign should be expensed as they occur.

 

When Signs are sold, the cost should be credited to this account.  Accumulated amortization for the Sign sold should be debited to Amortization of Signs (Account 357).  Any gain on the sale should be credited to Additions to Income – Other (Account 805).  Any loss on the sale should be debited to Deductions to Income – Other (Account 855).

Note: