Põhivaradesse

Põhivaradesse is an Estonian term that translates to "fixed assets" or "tangible assets" in English. It refers to the long-term physical assets owned by a company that are used in its operations and are not expected to be consumed or sold within a year. These assets are crucial for the production of goods and services and contribute to a company's earning potential over an extended period.

Examples of põhivaradesse include land, buildings, machinery, equipment, vehicles, and furniture. These assets are typically recorded on a company's balance sheet at their historical cost and are subject to depreciation, which is the systematic allocation of the cost of the asset over its useful life. Depreciation reflects the wear and tear or obsolescence of the asset over time.

The management of põhivaradesse involves several key aspects, including acquisition, maintenance, and eventual disposal. Proper management ensures that these assets are utilized efficiently, contribute to operational goals, and maintain their value as much as possible. Decisions regarding the purchase of new fixed assets are often based on investment analysis, considering factors like return on investment and the asset's impact on production capacity. The disposal of fixed assets can occur through sale, retirement, or trade-in, and these transactions also have accounting implications. Understanding põhivaradesse is fundamental to comprehending a company's capital structure and its operational capabilities.