Accounting for transactions in account 722: our example
Posted: Tue Feb 11, 2025 7:14 am
Your company builds its own factory. The costs associated with this construction amount to €200,000.
The entries to be made on the following:
Account Account Title Speed Credit
23 Immobilization in progress 200,000 €
722 Tangible fixed assets production 200,000€
Our advice for good account management 722
Here are some tips for managing the 722 account effectively:
Keep all supporting documents : Keep all documents relating to chinese singapore phone number list production costs (invoices, purchase orders, etc.) carefully for at least 10 years . These supporting documents are essential for correctly valuing the goods produced and ensuring the compliance of your accounts during tax audits;
Promote collaboration between departments : Valuing fixed assets requires close coordination between accounting and technical teams. This allows for an accurate estimate of actual and indirect costs;
Choose the right tools : Use online accounting software, such as Indy , to simplify the management of your accounting operations. These tools automate complex calculations and help you track your records efficiently;
Estimate accurately : Avoid underestimating or overestimating production costs. An accurate assessment is crucial to correctly reflect the financial situation of your company.
By following these tips, you will be able to effectively manage the 722 account while ensuring the transparency and reliability of your accounts.
The entries to be made on the following:
Account Account Title Speed Credit
23 Immobilization in progress 200,000 €
722 Tangible fixed assets production 200,000€
Our advice for good account management 722
Here are some tips for managing the 722 account effectively:
Keep all supporting documents : Keep all documents relating to chinese singapore phone number list production costs (invoices, purchase orders, etc.) carefully for at least 10 years . These supporting documents are essential for correctly valuing the goods produced and ensuring the compliance of your accounts during tax audits;
Promote collaboration between departments : Valuing fixed assets requires close coordination between accounting and technical teams. This allows for an accurate estimate of actual and indirect costs;
Choose the right tools : Use online accounting software, such as Indy , to simplify the management of your accounting operations. These tools automate complex calculations and help you track your records efficiently;
Estimate accurately : Avoid underestimating or overestimating production costs. An accurate assessment is crucial to correctly reflect the financial situation of your company.
By following these tips, you will be able to effectively manage the 722 account while ensuring the transparency and reliability of your accounts.