What Is Property Accounting?

Property accounting is the process of identifying, classifyirig, defining, collecting, recording, analyzing, reporting, and making use of information about education property. Its purpose is to improve accountability by providing accurate in formation for planning, managing, and evaluating the uses of property- related education resources. Preperty accounting is based on records and, recordkeeping procedures. In large LEA’s, records often are’kept on each item’of property it the school system (sites, buildings, and equipment). Small. LEA’s may maintain less formal property records than large LEA’s, but all LEA’s have some ,type of property records. Such records may include inventory lists or files, building drawings and specifications, construction contracts, land plats and deeds, payment records for property purchases, records of sale or disposal, vehicle registrations, service warranties, cost of operation, and depreciation or use-allowance records. .

Property accounting typically includes various methods and procedures for analyzing property data. These analytical activities can range from simple summajies of inventory information to, more complicated capital budget analyses or building utilization studies, . Property.. accounting also incorporates various methods for reporting or Communicating property data and information to planners and decisionmakers. Examples of this are inventory status reports and capital funding requests.

The frequency of processing and using property accounting records can vary widely with the size of be LEA and the type of information. Some re- , cords ace used several times during the ear; such as when inventory information is needed, whenl repetitive purchasing decisions are .made, or when monthly reports are compiled. Other records are accessed less often, such as those needed to support insurance claims or those needely to plan for building renovations: . – All of these kinds of property information, together with the activities supporting their collection and use, are.a part of property accounting.

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