Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Effective Date Fiscal Year 2016

Prepared By:

Financial and Budgetary Reports Division

United States Standard General Ledger Advisory Division

Governmentwide Accounting

Bureau of the Fiscal Service
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 2 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

Version 

Number

Date Description of Change Effective 

USSGL TFM

Effective 

Date

1.0 03/01/2016 Scenario was presented at August 6 and December 3 2015 IRC 

meetings.

15-01 FY2016

2.0 4/20/2017 Scenario updated to clarify assumptions and change Reclassified 

Statement of Net Cost. Presented at April 20 2016 IRC Meeting

17-06 FY2017
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

Introduction

This scenario focuses on intragovernmental activities related to the buy/sell transactions of capitalized assets and inventory. This 

scenario does not address assisted acquisitions, or when the selling agency does not recognize inventory but instead expenses the item 

and then sells it to another federal entity who capitalizes the good.

The purpose of consolidated statements is to show the results of operations and the financial position of the related entities as one 

entity. According to ARB 51, Consolidated Financial Statements, “the complete elimination of the intercompany profit or loss is 

consistent with the underlying assumption that consolidated statements represent the financial position and operating results of a 

single business enterprise”. Therefore, from the consolidated perspective, changing hands of capitalized assets should not impact the 

overall net position of the consolidated entity. Any profit or loss associated from these transactions should be eliminated as well on 

the Financial Report of the U.S. Government (FR).

Within GTAS, memorandum accounts 880100-880400 are used to eliminate intragovernmental asset transactions as stated in the June 

2015 TFM 2-4700. However, the memo accounts are not crosswalked into GFRS at year end causing elimination issues as well as an 

overstatement of expenses and revenues at year-end on the FR. In this scenario you will see where these USSGL accounts are

crosswalked allowing for proper intragovernmental eliminations at year-end.

This scenario proposes changes to the Reclassified Statement of Net Cost, a new USSGL account, and modifying domain values for 

the Federal Non-Federal Attribute in GTAS for various USSGL accounts. By making these changes, and agencies adhering to the 

guidance that follows, it will eliminate current intragovernmental elimination issues (currently in the billions) and accurately reflect 

the Reclassified Statement of Net Cost at the governmentwide level for Capital Asset Buy/Sell Transactions. In particular, this 

scenario will look at the sale of inventory from one Federal Agency to another Federal Agency, and how to properly account for this 

transaction depending on the assumption of the ordering agency. However, by having the USSGL Memo Accounts 880100-880400 

crosswalked (as illustrated in this scenario) for agencies’ closing packages these current intragovernmental differences will be 

resolved in addition to transactions where agencies are selling inventory. For illustrative purposes, and to be consistent with OMB 

Circular No. A-11, this scenario refers to the selling agency as the performing agency and the buying agency as the ordering agency.
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

New USSGL Accounts (Approved August 2015)

Account Title: Expensed Asset

Account Number: 615000

Normal Balance: Debit

Transaction Codes: B402 and F336

Definition: The amount of expenses recognized by a purchasing agency when a capitalized asset acquired from another federal 

agency does not meet the purchasing agency’s capitalization threshold.

Justification: This account was established to separate activity out of account 610000 pertaining to an asset purchase, not capitalized. 

This account will be effective FY 2016. Not only should agencies use this account to report previously capitalized assets purchased 

from another Federal entity, they should use it when purchasing inventory from another Federal entity as well. This will allow for 

proper presentation of the FR, reflecting this expense at the government wide level and this USSGL account does not eliminate.

USSGL Proprietary Account Reporting

USSGL 

Account

USSGL Account Title Budg/Prop Normal 

Balance

Begin/End Debit/Credit Apport Cat Reimb.

Flag

615000 Expensed Asset P D E D/C

Bulk File Proprietary Account Reporting

USSGL 

Account

USSGL Account Title Fed/NonFed Trading Ptnr Trading Ptnr Main

615000 Expensed Asset

USSGL Proprietary and Budgetary Account Attribute Table

TAS Attributes

USSGL 

Account

USSGL Account Title GTAS Fund Type Code Reporting

Type Code

TAS

Status

Transitioning

Code

615000 Expensed Asset CF/DF/EC/EG/EM/

EP/ER/ES/ET/GA/

TR/UG/US/UT

E/F/U U/E X/K/N
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

Impact on Crosswalks (FY 2016)

USSGL 

Account

Balance Sheet Net Cost Net

Position

Custodial

Activity

Reclassified

Balance

Sheet

Reclassified

Net Cost

Reclassified

Net Position

615000 Line 32, 33 Line 1 N/A N/A Line 9.1, 9.2 Line 2 N/A

USSGL Account Domain Value Modification

Account Title: Cost of Goods Sold

Account Number: 650000

Definition: The total cost of inventory sold including raw materials, direct labor, and overhead.

Attribute: Federal NonFederal Code

Domain Values: Proposed “F/N”

Justification: The current process recognizes Cost of Goods Sold (COGS) as “N” activity only. The reason “N” domain value was 

assigned to account 650000 is because by definition the inventory is an “N” account, therefore any cost associated with the inventory 

should also be treated as “N” activity. The same methodology applies to gains and losses on disposition of assets. After reviewing the 

current process, the determination of “N” is causing the COGS to not be eliminated at year-end on the FR. According to ARB 51, 

Consolidated Financial Statements, “the complete elimination of the intercompany profit or loss is consistent with the underlying 

assumption that consolidated statements represent the financial position and operating results of a single business enterprise”.

Therefore, from the consolidated perspective, changing hands of capitalized assets should not impact the overall net position of the 

consolidated entity. Any profit or loss associated should be eliminated when reconciling all “F” accounts. The consolidated entity 

still has the ownership of the same asset throughout the transfer between government entities. Including an F attribute to 650000 will 

allow the account to eliminate with 880100 (offset to Purchase) and properly reflect the Net Position of the FR.

Account Title: General Property, Plant, and Equipment and Inventory and Related Property 

Account Number: 171100-189900 and 151100-152900

Attribute: Current Fed/NonFed, proposed elimination of attributes

Domain Value: None

Justification: All inventory accounts are non-fed accounts for consolidation purposes and should be reflected on the Balance Sheet. 

To avoid any confusion with eliminations or possible system issues, the attribute was removed.
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

USSGL account Crosswalk Modifications

Account Title: Memorandum Accounts

Account Number: 880100-880400

Normal Balance: 880100 Credit, 880200-880400 Debit

Definition:

880100: The amount recorded to offset activity in USSGL accounts 880200-880400 which close into this account at yearend. 

 This account does not close at yearend.

880200: The amount of capitalized property, plant, and equipment purchased during the fiscal year. 

880300: The amount of inventory and related property purchased during the fiscal year.

880400: The amount of other assets purchased during the fiscal year, not otherwise classified in the USSGL accounts 880200 

 & 880300.

Crosswalks: Currently not crosswalked, see proposal below

Justification: Currently, COGS and Revenue are being overstated at yearend because accounts 880100-880400 are not crosswalked 

into GFRS. USSGL account 880100 will be added to RC24 and all memo USSGL accounts will be added to lines 7.4 (Purchase of 

Assets) and 7.5(Purchase of Assets Offsets) of the Reclassified Statement of Net Cost. These lines will be associated with the Federal 

Gross Cost section of the statement that will offset each other having no effect on the overall Net Cost. However, they will be used 

for elimination purposes.

Impact on Crosswalks

USSGL

Account

Balance

Sheet

Net Cost Net

Position

Custodial

Activity

Reclassified

Balance

Sheet

Reclassified

Net Cost

Reclassified

Net

Position

880200-

880400 (F)

Line 32, 33 Line 1 N/A N/A Line 9.1, 9.2 Line 7.4 Line 9

880100 (F) Line 32, 33 Line 1 N/A N/A Line 9.1, 9.2 Line 12.3 Line 9
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

Listing of USSGL Accounts Used in This Scenario

Account Number Account Title

Budgetary

411900 Other Appropriations Realized

420100 Total Actual Resources – Collected

421000 Anticipated Reimbursements and Other Income

422100 Unfilled Customer Orders Without Advance

425100 Reimbursements and Other Income Earned-Receivable

445000 Unapportioned Authority

451000 Apportionments

459000 Apportionments – Anticipated Resources – Programs Subject to Apportionment

461000 Allotments – Realized Resources

465000 Allotments - Expired Authority

480100 Undelivered Orders – Obligations, Unpaid

490100 Delivered Orders – Obligations, Unpaid

Proprietary

101000 Fund Balance With Treasury

131000 Accounts Receivable

152100 Inventory Purchased for Resale

152700 Inventory – Finished Goods

175000 Equipment

175900 Accumulated Depreciation on Equipment

211000 Accounts Payable

310100 Unexpended Appropriations – Appropriations Received

310700 Unexpended Appropriations – Used

331000 Cumulative Results of Operations

510000 Revenue From Goods Sold

570000 Expended Appropriations

615000 Expensed Asset

650000 Cost of Goods Sold
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

671000 Depreciation, Amortization, and Depletion

Account Number Account Title

Memorandum

880100 Offset for Purchases of Assets

880200 Purchases of Property, Plant and Equipment

880300 Purchases of Inventory and Related Property

880400 Purchases of Assets - Other

*For Account Definitions please refer to the USSGL TFM Section II.

Proposed Buy/Sell Process

Assumptions

• The Ordering Agency is one agency with three different possible assumptions.

• Ordering Agency: Assumption 1: Asset meets capitalization threshold and is recorded as Property, Plant & Equipment.

• Ordering Agency: Assumption 2: Asset did not meet capitalization threshold, therefore the asset is expensed.

• Ordering Agency: Assumption 3: Asset is recorded as inventory.

• Beginning trial balance is not presented
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

Illustrative Transactions

1. To record the Ordering Agency’s enactment of appropriation.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None 411900 Other Appropriations 

 Realized 

5,000

 445000 Unapportioned Authority 5,000

A104

Proprietary Entry Proprietary Entry

None 101000 Fund Balance With Treasury 5,000

 310100 (G) Unexpended 

 Appropriations – Appropriations 

 Received

5,000

2. To record budgetary authority apportioned by the Office of Management and Budget and available for allotment.

Performing Agency DR CR TC Ordering AgencyAssumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None 445000 Unapportioned Authority 5,000

 451000 Apportionments 5,000

A116

Proprietary Entry Proprietary Entry

None None
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

3. To record the allotment of authority.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None 451000 Apportionments 5,000

 461000 Allotments - Realized 

 Resources

5,000

A120

Proprietary Entry Proprietary Entry

None None

4. To record anticipated reimbursement.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

421000 Anticipated Reimbursements 

 and Other Income

5,000 None

 445000 Unapportioned Authority 5,000

A702

Proprietary Entry Proprietary Entry

None None
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

5. To record anticipated resources apportioned but not available for use until they are realized for anticipated resources in programs subject 

to apportionment.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

445000 Unapportioned Authority 5,000 None

 459000 Apportionments –

 Anticipated Resources – Programs

 Subject to Apportionment

5,000

A118

Proprietary Entry Proprietary Entry

None None

6. To record in the performing agency a reimbursable agreement without an advance that was previously anticipated and a current-year 

undelivered order for the ordering agency.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

422100 Unfilled Customer Orders 

 Without Advance

5,000 461000 Allotments - Realized 

 Resources

5,000

 421000 Anticipated Reimb. and

 Other Income

5,000 480100 Undelivered Orders –

 Obligations, Unpaid

5,000

A706 B306

Proprietary Entry Proprietary Entry

None None
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

7. To record the realization of previously anticipated and apportioned authority for programs subject to apportionment.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

459000 Apportionments - Anticipated

 Resources - Programs Subject to

 Apportionment

5,000 None

 461000 Allotments – Realized

 Resources

5,000

A122

Proprietary Entry Proprietary Entry

None None

8. To record the inventory purchased for resale by the Performing Agency.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

461000 Allotments – Realized

 Resources

5,000

None

 490100 Delivered Orders –

 Obligations, Unpaid 

5,000

B430

Proprietary Entry Proprietary Entry

152100 Inventory Purchased for 

 Resale

5,000 None

 211000 (N) Accounts Payable 5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

9. To record activity for current-year purchases of inventory and related property.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Memorandum Entry G122 Memorandum Entry

880300 (N) Purchases of Inventory 

and Related Property

5,000 None

880100 (N) Offset for Purchases of 

Assets

5,000

10. To record revenue earned in the performing agency for goods or services performed on a reimbursable order without an advance. Note: 

The ordering agency would record either transaction 12, 16, or 19 illustrated below depending on which assumption applies.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

425100 Reimbursements and Other 

 Income Earned - Receivable

5,000 None

422100 Unfilled Customer Orders 

 Without Advance

5,000

A714

Proprietary Entry Proprietary Entry

131000(F) Accounts Receivable 5,000 None

510000(F) Revenue from Goods 

 Sold

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

11. To record cost of goods sold.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2, 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None None

E408

Proprietary Entry Proprietary Entry

650000(F) Cost of Goods Sold1 5,000 None

152100 Inventory Purchased for 

 Resale

5,000

Entries 12 – 15 apply to Assumption 1: the asset meets capitalization threshold and is recorded as Property, Plant and Equipment.

12. Ordering Agency 1 meets the capitalization threshold and accrues a liability for the asset that meets the capitalization threshold.

Performing Agency DR CR TC Ordering Agency Assumption 1 DR CR TC

Budgetary Entry Budgetary Entry

None

480100 Undelivered Orders –

 Obligations, Unpaid

5,000

490100 Delivered Orders –

 Obligations, Unpaid

5,000

B402

Proprietary Entry Proprietary Entry

None 175000 Equipment 5,000

211000(F) Accounts Payable 5,000

 1 OMB Circular A-136 Note 22: Preceding transactions in a product’s life cycle will not have an impact on subsequent transactions. If a Federal 

entity purchases goods or services from another Federal entity, capitalizes them into inventory, and later resells them to the public, the cost of the 

original purchase of resale assets from the other Federal entity will be classified as “intragovernmental” at the time of the purchase. At ultimate 

sale to the end user, the resulting cost of goods will be classified as “with the public.” The purpose of this classification is to enable the Federal 

Government to provide consolidated financial statements, and not to match public and intragovernmental revenue with costs that are incurred to 

produce public and intragovernmental revenue.
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

13. To record appropriations used this fiscal year.

Performing Agency DR CR TC Ordering Agency Assumption 1 DR CR TC

Budgetary Entry Budgetary Entry

None None

B134

Proprietary Entry Proprietary Entry

None 310700(G) Unexp Approp - Used 5,000

570000(G) Expended 

 Appropriations

5,000

14. To record activity for current-year purchase of property, plant and equipment.

Performing Agency DR CR TC Ordering Agency Assumption 1 DR CR TC

Memorandum Entry Memorandum Entry G120

None 880200(F) Purchases of PPE 5,000

880100(F) Offset to Purchases of 

 Assets

5,000

15. To record depreciation, amortization, and depletion expense on assets other than investments.

Performing Agency DR CR TC Ordering Agency Assumption 1 DR CR TC

Budgetary Entry Budgetary Entry

None None

E120

Proprietary Entry Proprietary Entry

None 671000(N) Deprec, Amort, and 

 Depletion

1,000

175900 Accumulated Deprec on 

 Equip

1,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

Entries 16 – 18 apply to Assumption 2: the asset did not meet the capitalization threshold. Therefore the asset was expensed.

16. Ordering Agency 2 does not meet the capitalization threshold and expenses the asset

Performing Agency DR CR TC Ordering Agency Assumption 2 DR CR TC

Budgetary Entry Budgetary Entry

None

480100 Undelivered Orders – Oblig, 

 unpaid

5,000

490100 Delivered Orders – Oblig, 

 unpaid

5,000

B402

Proprietary Entry Proprietary Entry

None 615000 Expensed Asset 5,000

211000(F) Accounts Payable 5,000

17. To record appropriations used this fiscal year.

Performing Agency DR CR TC Ordering Agency Assumption 2 DR CR TC

Budgetary Entry Budgetary Entry

None None

B134

Proprietary Entry Proprietary Entry

None 310700(G) Unexp Approp - Used 5,000

570000(G) Expended 

 Appropriations

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

18. To record activity for current-year purchases of other assets not recorded as Property, Plant and Equipment, or Inventory and Related Property.

Performing Agency DR CR TC Ordering Agency Assumption 2 DR CR TC

Memorandum Entry Memorandum Entry G124

None 880400(F) Purchases of Assets - Other 5,000

880100(F) Offset to Purchases of 

 Assets

5,000

Entries 19 – 21 apply to Assumption 3: the asset is recorded as inventory.

19. Ordering Agency 3 records asset as inventory.

Performing Agency DR CR TC Ordering Agency Assumption 3 DR CR TC

Budgetary Entry Budgetary Entry

None

480100 Undelivered Orders – Oblig, 

 unpaid

5,000

490100 Delivered Orders – Oblig, 

 unpaid

5,000

B402

Proprietary Entry Proprietary Entry

None 152700 Inventory – Finished Goods 5,000

211000(F) Accounts Payable 5,000

20. To record appropriations used this fiscal year.

Performing Agency DR CR TC Ordering Agency Assumption 3 DR CR TC

Budgetary Entry Budgetary Entry

None None

B134

Proprietary Entry Proprietary Entry

None 310700(G) Unexp Approp - Used 5,000

570000(G) Expended 

 Appropriations

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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IRC Handout April 20, 2017

Revised From March 1, 2016

21. To record activity for current-year purchase of inventory and related property.

Performing Agency DR CR TC Ordering Agency Assumption 3 DR CR TC

Memorandum Entry Memorandum Entry G122

None 880300(F) Purchases of Inventory and 

 Related Property

5,000

880100(F) Offset to Purchases of 

 Assets

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 19 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

Pre-Closing Adjusted Trial Balance of Each Scenario

Performing Agency Ordering Agency

Assumption 1

Ordering Agency

Assumption 2

Ordering Agency

Assumption 3

Account Description Debit Credit Debit Credit Debit Credit Debit Credit

Budgetary

411900 Other Appropriations Realized - 5,000 5,000 5,000

421000 Anticipated Reimb & Other Inc -

422100 Unfilled Cust Ord w/o Advance -

425100 Reim and Other Inc Earned - Receiv 5,000

445000 Unapportioned Authority -

451000 Apportionments - - - -

459000 Apportionment – Ant Resources -

461000 Allotment – Realized Resources - - - -

480100 Undelivered Orders – Oblig, unpaid - - -

490100 Delivered Orders – Oblig, unpaid 5,000 5,000 5,000 5,000

Total 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000

Proprietary

101000 (G) FBWT - 5,000 5,000 5,000

131000 (F) Accounts Receivable 5,000

152100 Inventory – Purchased for resale -

152700 Inventory – Finished Goods 5,000

175000 Equipment 5,000

175900 Accumulated Deprec on Equip 1,000

211000 (N) Accounts Payable 5,000

211000 (F) Accounts Payable 5,000 5,000 5,000

310100 (G) Unexp Approp – Received 5,000 5,000 5,000

310700 (G) Unexp Approp – Used 5,000 5,000 5,000

331000 Cumulative Results of Operations

510000 (F) Revenue from Goods Sold 5,000

570000 (G) Expended Appropriations 5,000 5,000 5,000

615000 Expensed Asset 5,000

650000 (F) COGS 5,000

671000 (N) Depreciation 1,000

Total 10,000 10,000 16,000 16,000 15,000 15,000 15,000 15,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

Performing Agency Ordering Agency

Assumption 1

Ordering Agency

Assumption 2

Ordering Agency

Assumption 3

Account Description Debit Credit Debit Credit Debit Credit Debit Credit

Memorandum

880100 (F) Offset of Purchases of Assets 5,000 5,000 5,000

880100 (N) Offset of Purchases of Assets 5,000

880200 (F) Purchases of PPE 5,000

880300 (F) Purchases of Inventory 5,000

880300 (N) Purchases of Inventory 5,000

880400 (F) Purchases of Assets - Other 5,000

Total 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000

Closing Entries

Performing Agency (Entry consistent regardless of Ordering Agency entry)

22. To record closing of revenue and expended appropriation to cumulative results of operations.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None None

F336 F336

Proprietary Entry Proprietary Entry

510000(F) Revenue from Goods Sold

 331000 Cumulative Results of 

 Operations

5,000

5,000

570000 (G) Expended Appropriations

 331000 Cumulative Results of

 Operations

5,000

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

23. To record closing of expenses to cumulative results of operations.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None None

F336 F336

Proprietary Entry Proprietary Entry

331000 Cumulative Results of 

 Operations

 650000(F) Cost of Goods Sold

5,000

5,000

None

24. To record closing of expenses to cumulative results of operations.

Performing Agency DR CR TC Ordering Agency Assumption 1 DR CR TC

Budgetary Entry Budgetary Entry

None None

F336

Proprietary Entry Proprietary Entry

None 331000 Cumulative Results of 

 Operations

 671000(N) Depreciation, 

 Amortization, and Depletion

1,000

1,000

25. To record closing of expensed asset to cumulative results of operations.

Performing Agency DR CR TC Ordering Agency Assumption 2 DR CR TC

Budgetary Entry Budgetary Entry

None None

F336

Proprietary Entry Proprietary Entry

None 331000 Cumulative Results of 

 Operations

 615000 Expensed Asset

5,000

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

26. To record closing of memorandum accounts for property, plant and equipment.

Performing Agency DR CR TC Ordering Agency Assumption 1 DR CR TC

Memorandum Entry Memorandum Entry F370

None 880100(F) Offset for Purchases of 

Assets

 880200(F) Purchase of PP&E

5,000

5,000

27. To record closing of memorandum accounts for current-year purchases of other assets.

Performing Agency DR CR TC Ordering Agency Assumption 2 DR CR TC

Memorandum Entry Memorandum Entry F370

None 880100(F) Offset for Purchases of 

Assets

 880400(F) Purchases of Assets - Other

5,000

5,000

28. To record closing of memorandum accounts for purchases of inventory.

Performing Agency DR CR TC Ordering Agency Assumption 3 DR CR TC

Memorandum Entry F370 Memorandum Entry F370

880100(N) Offset for Purchases of 

Assets

 880300(N) Purchase of Inventory 

 and Related Property

5,000

5,000

880100(F) Offset for Purchases of 

Assets

 880300(F) Purchase of Inventory 

 and Related Property

5,000

5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

29. To record closing of fiscal-year activity to unexpended appropriations. 

Performing Agency DR CR TC Ordering Agency Assumption 1, 2 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None None

F342

Proprietary Entry Proprietary Entry

None 310100(G) Unexp. Appropriations –

 Received

 310700(G) Unexp. Appropriation –

 Used

5,000

5,000

30. To record the consolidation of actual net-funded resources and reductions for withdrawn funds.

Performing Agency DR CR TC Ordering Agency Assumption 1, 2 

and 3

DR CR TC

Budgetary Entry Budgetary Entry

None 420100 Total Actual Resources –

 Collected

5,000

 411900 Other Appropriations Realized 5,000

F302

Proprietary Entry Proprietary Entry

None None
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

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Revised From March 1, 2016

Post-Closing Trial Balance of Each Scenario

Performing Agency Ordering Agency

Assumption 1

Ordering Agency

Assumption 2

Ordering Agency

Assumption 3

Account Description Debit Credit Debit Credit Debit Credit Debit Credit

Budgetary

420100 Total Actual Resources - Collected 5,000 5,000 5,000

425100 Reim and Other Inc Earned - Receiv 5,000

465000 Allotments - Expired Authority

490100 Delivered Orders – Oblig, unpaid 5,000 5,000 5,000 5,000

Total 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000

Proprietary

101000 (G) FBWT 5,000 5,000 5,000

131000 (F) Accounts Receivable 5,000

152100 Inventory – Purchased for resale

152700 Inventory – Finished Goods 5,000

175000 Equipment 5,000

175900 Accumulated Deprec on Equip 1,000

211000 (N) Accounts Payable 5,000

211000 (F) Accounts Payable 5,000 5,000 5,000

331000 Cumulative Results of Operations 4,000 5,000

Total 5,000 5,000 10,000 10,000 5,000 5,000 10,000 10,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 25 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

Financial Statements:

BALANCE SHEET

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption

2

Ordering 

Agency

Assumption

3

Assets:

Intragovernmental

1. Fund Balance With Treasury (101000E) 5,000 5,000 5,000

3. Accounts Receivable (131000E) 5,000

6. Total Intragovernmental (calc.) 5,000 5,000 5,000 5,000

Assets With the Public:

12. Inventory & Related Property(152100E, 152700E) 5,000

13. Equipment (175000E) 5,000

14. Accum Deprec. on Equip (175900E) (1,000)

15. Total Assets (calc.) 5,000 9,000 5,000 10,000

Liabilities:

Intragovernmental

17. Accounts Payable (211000E) 5,000 5,000 5,000

19. Other

20. Total Intragovernmental (calc.) - 5,000 5,000 5,000

Liabilities With Public:

21. Accounts Payable (211000E) 5,000

28. Total Liabilities (calc.) 5,000 5,000 5,000 5,000

Net Position:

31. Unexpended Appropriations – All Other Funds ( 310100E, 310700E, 

331000B)

- - - -

33. Cumulative Results of Operations – All Other Funds (510000E, 570000E,

615000E, 650000E, 671000E, 880100E, 880200E, 880300E, 880400E)

- 4,000 - 5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 26 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

BALANCE SHEET

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption

2

Ordering 

Agency

Assumption

3

Assets:

35. Total Net Position – All Other Funds (calc.) - 4,000 - 5,000

36. Total Net Position (calc.) - 4,000 - 5,000

37. Total Liabilities and Net Position (calc.) 5,000 9,000 5,000 10,000

STATEMENT OF NET COST

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption

2

Ordering 

Agency

Assumption

3

Gross Program Costs:

Program A:

1. Gross costs (615000E, 650000E, 671000E, 880100E, 880200E, 880300E, 

880400E)

5,000 1,000 5,000 -

2. Less: earned revenue (510000E). 5,000 - - -

3. Net Program costs (calc. 1-2) - 1,000 5,000 -

5. Net program costs including Assumption change: (calc. 3+4) - 1,000 5,000 -

8. Net cost of operations (calc. 5+6-7) - 1,000 5,000 -
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 27 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

STATEMENT OF CHANGES IN NET POSITION

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption

2

Ordering 

Agency

Assumption

3

Cumulative Results of Operations:

Budgetary Financing Sources:

5. Appropriations Used (570000E) 5,000 5,000 5,000

14. Total Financing Sources (calc. 4..13) 5,000 5,000 5,000

15. Net Cost of Operations (+/-) (1,000) (5,000) -

16. Net Change (calc 14-15) 4,000 - 5,000

17. Cumulative Results of Operations (calc. 3+16) 4,000 - 5,000

Unexpended Appropriations:

Budgetary Financing Sources:

21. Appropriations Received (310100E) 5,000 5,000 5,000

24. Unexpended Appropriations used (310700E) (5,000) (5,000) (5,000)

25. Total Budgetary Financing Sources (calc. 21..24) - - -

26. Total Unexpended Appropriations (calc. 20 + 25) - - -

27. Net Position (calc 17+26) 4,000 - 5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 28 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

STATEMENT OF BUDGETARY RESOURCES

Performing Agency Ordering Agency

Assumption

1, 2, 3

Budgetary Resources:

1290 Appropriations (discretionary and mandatory) (411900E) 5,000

1890 Spending Authority from offsetting collections (425100E) 5,000 -

1910 Total Budgetary Resources 5,000 5,000

Status of Budgetary Resources:

2190 Obligations Incurred (490100E) 5,000 5,000

2204 Apportioned (461000E)

2490 Total Unobligated Balance, end of year

2500 Total Budgetary Resources 5,000 5,000

Change in obligated balance

Unpaid Obligations:

3012 Obligations Incurred (490100E) 5,000 5,000

3050 Unpaid Obligations, end of year (490100E) 5,000 5,000

3072 Change in Uncollected Payments, Fed source (425100E) (5,000)

3090 Uncollected payments, Fed Sources, end of year (425100E) (5,000)

Memorandum (non-add) entries

3200 Obligated Balance, end of year 5,000 5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 29 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

STATEMENT OF BUDGETARY RESOURCES

Performing Agency Ordering Agency

Assumption

1, 2, 3

Budget Authority and Outlays, Net:

4175 Budget Authority, Gross (discretionary and mandatory) 5,000 5,000

4178 Change in Uncollected payments, Fed Sources (discretionary and mandatory) (425100E) (5,000)

4180 Budget Authority, net (total) - 5,000

SF 133: Report on Budget Execution and Budgetary Resources &

Budget Program and Financing Schedule (Schedule P)

Performing Agency Ordering Agency

Assumption 1, 2, 3

SF 133 Schedule P SF 133 Schedule P

BUDGETARY RESOURCES

All accounts:

0900 Total new obligations (490100) 5,000 5,000

Budget authority:

Appropriations:

Discretionary:

1100 Appropriations (411900E) 5,000 5,000

1160 Appropriation, discretionary (total) 5,000 5,000

Spending authority from offsetting collections:

Discretionary:

1701 Change in uncollected payments, Federal sources (425100E) 5,000 5,000

1750 Spending Authority From offsetting collections, discretionary (total) 5,000 5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 30 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

SF 133: Report on Budget Execution and Budgetary Resources &

Budget Program and Financing Schedule (Schedule P)

Performing Agency Ordering Agency

Assumption 1, 2, 3

SF 133 Schedule P SF 133 Schedule P

1900 Budget authority (total) 5,000 5,000 5,000 5,000

1910 Total budgetary resources 5,000 5,000

1930 Total budgetary resources available 5,000 5,000

Memorandum (non-add) entries:

All accounts:

1940 Unobligated balance expiring (-) (461000E)

STATUS OF BUDGETARY RESOURCES

Obligations incurred:

Direct

2001 Category A (490100E) 5,000 5,000

2004 Direct obligations (total) 5,000 5,000

2190 Obligations incurred 5,000 5,000

Unobligated balance:

Apportioned:

2500 Total budgetary resources 5,000 5,000

Memorandum (non-add) entries:

2501 Subject to apportionment (490100E) 5,000 5,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 31 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

SF 133: Report on Budget Execution and Budgetary Resources &

Budget Program and Financing Schedule (Schedule P)

Performing Agency Ordering Agency

Assumption 1, 2, 3

SF 133 Schedule P SF 133 Schedule P

CHANGE IN OBLIGATED BALANCE

Unpaid obligations:

3010 Obligations incurred, unexpired accounts (490100E) 5,000 5,000 5,000 5,000

3050 Unpaid obligations, end of year (490100E) 5,000 5,000 5,000 5,000

Uncollected payments:

3070 Change in uncollected pymts, Fed sources, unexpired accounts (425100E) (5,000) (5,000)

3090 Uncollected pymts, Fed sources, end of year (425100E) (5,000) (5,000)

Memorandum (non-add) entries:

3200 Obligated balance, end of year 5,000 5,000 5,000 5,000

BUDGET AUTHORITY AND OUTLAYS, NET

Discretionary:

Gross budget authority and outlays:

4000 Budget authority, gross 5,000 5,000 5,000 5,000

Additional offsets against gross budget authority only:

4050 Change in uncollected pymts, Fed sources, unexpired accounts (425100E) (5,000) (5,000)

4060 Additional offsets against budget authority only (total) (5,000) (5,000)

4070 Budget authority, net (discretionary) - - 5,000 5,000

4180 Budget authority, net (total) - - 5,000 5,000

4190 Outlays, net (total) - - - -
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 32 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

Reclassified Financial Statements:

RECLASSIFIED BALANCE SHEET

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption

2

Ordering 

Agency

Assumption 3

1 Assets

2 Non-Federal

2.5 Inventories and Related Property, Net (152100E, 152700E) 5,000

2.6 Property, Plant, and Equipment, Net (175000E) 4,000

2.10 Total Non-Federal Assets (calc. 2.1..2.9) 4,000 - 5,000

3 Federal 

3.1 Fund Balance with Treasury (RC40) (101000G) 5,000 5,000 5,000

3.3 Accounts Receivable (RC 22) /1 (131000E) 5,000

3.14 Total Federal Assets 5,000 5,000 5,000 5,000

4 Total Assets (calc. 2.10..3.13) 5,000 9,000 5,000 10,000

5 Liabilities:

6 Non-Federal

6.1 Accounts Payable (211000E) 5,000

6.10 Total Non-Federal Liabilities 5,000

7 Federal

7.1 Accounts Payable (RC 22) /1 (211000E,) 5,000 5,000 5,000

7.13 Total Federal Liabilities (calc. 7.1..7.12) 5,000 5,000 5,000

8 Total Liabilities ( calc. 6.10..7.13) 5,000 5,000 5,000 5,000

9 Net Position:

9.2 Net Position– Funds Other Than Those From Dedicated Collections 

(310100E, 310700E, 510000E, 570000E, 615000E, 650000E,671000E, 

880100E, 880200E, 880300E, 880400E)

4,000 - 5,000

10 Total Net Position (calc. 9.1+9.2) 4,000 - 5,000

11 Total Liabilities and Net Position (calc. 8+10) 5,000 9,000 5,000 10,000
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 33 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

RECLASSIFIED STATEMENT OF NET COST

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption

2

Ordering 

Agency

Assumption 3

1 Gross Costs

2 Non-Federal Gross Costs (615000E, 671000E) 1,000 5,000

6 Total Non-Federal Gross Cost ( calc 2..5) 1,000 5,000

7 Federal Gross Cost

7.3 Buy/Sell Cost (RC 24) /2 (650000E, 610000E) 5,000

7.4 Purchase of Assets – (RC 24) (880200E, 880300E, 880400E) 5,000 5,000 5,000

8 Total Federal Gross Cost (calc. 7.1..7.9) 5,000 5,000 5,000 5,000

9 Department Total Gross Cost (calc. 6+8) 5,000 6,000 10,000 5,000

10 Earned Revenue

12 Federal Earned Revenue

12.1 Benefit Program Revenue (RC 26) /2 (540000E, 540900E)

12.2 Buy/Sell Revenue (RC 24) /2 (510000E) 5,000

12.3 Purchase of Assets Offset (RC 24) (880100E) (5,000) (5,000) (5,000)

13 Total Federal Earned Revenue (calc. 12.1..12.6) 5,000 (5,000) (5,000) (5,000)

14 Department Total Earned Revenue (calc. 11+13) 5,000 (5,000) (5,000) (5,000)

15 Net Cost of Operations (calc. 9-14) - 1,000 5,000 -
Intragovernmental Capital Asset and Inventory Buy/Sell Transactions

Page 34 of 34

IRC Handout April 20, 2017

Revised From March 1, 2016

RECLASSIFIED STATEMENT OF CHANGES IN NET POSITION

Performing 

Agency

Ordering 

Agency

Assumption

1

Ordering 

Agency

Assumption 

2

Ordering 

Agency

Assumption

3

7 Budgetary Finance Sources:

7.1 Appropriation Received As Adjusted (Rescissions and Other Adjustments) 

(RC41)/1 (310100E)

5,000 5,000 5,000

7.2 Appropriations Used (RC 39) (310700E) (5,000) (5,000) (5,000)

7.3 Appropriations Expended (RC 39) (570000E) 5,000 5,000 5,000

7.18 Total Budgetary Financing Sources (calc. 7.1..7.17) 5,000 5,000 5,000

9 Net Cost of Operations (+/-) (1,000) (5,000) -

10 Ending Net Position Balance (calc. 7.18 and 9) 4,000 - 5,000

Intragovernmental Eliminations:

Agency USSGL RC Financial Statement Line Amount

Performing Agency 510000 24 SNC Line 12.2 (Buy/Sell Revenue) (5,000)

Ordering Agency 1, 2, 3 880200-

880400

24 SNC Line 7.4 (Purchase of Assets) 5,000

Performing Agency 650000 24 SNC Line 7.3 (Buy/Sell Cost) 5,000

Ordering Agency 1, 2, 3 880100 24 SNC Line 12.3 (Purchase of Assets Offset) (5,000)

Performing Agency 131000 22 BS Line 3.3 (Accounts Receivable) 5,000

Ordering Agency 1, 2, 3 211000 22 BS Line 7.1 (Accounts Payable) (5,000)