Accounts prescribed in the Stockholders' Equity and Patronage Capital section shall be maintained by stock companies and cooperatives as appropriate. ------------------------------------------------------------------------
Class of company---------------------
Account No. Account title---------------------
A B------------------------------------------------------------------------
......... Current Assets
1130.1 1120.11 Cash--General Fund.
1130.2 1120.12 Cash--Construction Fund Trustee.
1130.3 1120.13 Cash--Transfer of Funds.
1120.21 Special Cash Deposits.
1150.1 1120.31 Petty Cash Fund
......... This account shall include funds in the custody of
employees or agents for making minor
disbursements. The fund shall be operated on an
imprest basis. Expenditures shall be supported by
receipts, and reimbursements to the fund shall be
for the exact amount of such expenditures and
shall be charged to the various accounts to which
the expenditures are allocable. At all times, the
total of the cash on hand and the unreimbursed
expenditures shall equal the amount of the fund.
1150.2 1120.32 Change Fund.
......... Supplies
1220.1 1220.1 Materials and Supplies.
1220.2 1220.2 Property Held for Sale or Lease.
1220.3 1220.3 Exempt Materials--Clearing.
......... Prepayments
1280.1 Prepaid Rents.
1280.2 Prepaid Taxes.
1280.3 Prepaid Insurance.
1280.4 Prepaid Directory Expenses.
1280.5 Other Prepayments.
......... Investments
1402.1 1402.1 Investments in Nonaffiliated Companies--Class B
RTB Stock.
1402.11 1402.11 Investments in Nonaffiliated Companies--Class B
RTB Stock--Cr.
1402.2 1402.2 Investments in Nonaffiliated Companies--Class C
RTB Stock.
1402.3 1402.3 Other Investments in Nonaffiliated Companies.
......... Property, Plant, and Equipment
2001.1 2001.1 Telecommunications Plant in Service--Classified.
2001.2 2001.2 Telecommunications Plant in Service--Unclassified.
2003.1 2003.1 Telecommunications Plant Under Construction--
Contract
2003.2 2003.2 Telecommunications Plant Under Construction--Force
Account
2003.3 2003.3 Telecommunications Plant Under Construction--Work
Orders
......... Telecommunications Plant in Service
2210.11 Central Office Switching--Analog.
2210.21 Central Office Switching--Digital.
2210.31 Central Office Switching--Electro-Mechanical--Step-
by-Step.
2210.32 Central Office Switching--Electro-Mechanical--
Crossbar.
2210.33 Central Office Switching--Electro-Mechanical--
Other.
2212.1 2212.1 Digital Electronic Switching--Circuit.
2212.2 2212.2 Digital Electronic Switching--Packet.
2230.11 Central Office Transmission--Radio Systems--
Satellite and Earth Station Facilities.
2230.12 Central Office Transmission--Radio Systems--Other.
2230.21 Central Office Transmission--Circuit Equipment.
......... Depreciation and Amortization
3100x 3100x Retirement Work in Progress.
......... Current Liabilities
2232.1 2232.1 Circuit Equipment--Electronic.
2232.2 2232.2 Circuit Equipment--Optical.
4010.11 4010.11 Accounts Payable to Affiliated Companies.
4010.21 4010.21 Accounts Payable to Nonaffiliated Companies.
4010.22 4010.22 Accounts Payable--Employees' Income Tax Withheld.
4010.23 4010.23 Accounts Payable--FICA Taxes Withheld.
4010.24 4010.24 Accounts Payable--Federal Excise Taxes.
4010.25 4010.25 Accounts Payable--Payroll.
4070.1 4070.1 Income Taxes Accrued--Federal.
4070.2 4070.2 Income Taxes Accrued--State and Local
4080.1 4080.1 Other Taxes Accrued--Property.
4080.2 4080.2 Other Taxes Accrued--Employer's Portion--FICA.
4080.3 4080.3 Other Taxes Accrued--Federal Unemployment.
4080.4 4080.4 Other Taxes Accrued--State Unemployment.
4080.5 4080.5 Other Taxes Accrued--Miscellaneous.
4120.1 4120.1 Unmatured Interest Accrued--RUS Notes.
4120.2 4120.2 Unmatured Interest Accrued--Telephone Bank Notes.
4120.3 4120.3 Unmatured Interest Accrued--Federal Financing Bank
Notes.
4120.4 4120.4 Unmatured Interest Accrued--Bank for Cooperatives
Notes.
4120.5 4120.5 Unmatured Interest Accrued--Rural Telephone
Finance Cooperative Notes.
4120.6 4120.6 Other Accrued Liabilities.
......... Long-Term Debt
4210.11 4210.11 Funded Debt--Other.
4210.12 4210.12 RUS Notes.
4210.13 4210.13 Telephone Bank Notes.
4210.14 4210.14 Federal Financing Bank Notes.
4210.15 4210.15 Bank for Cooperatives Notes.
4210.16 4210.16 Rural Telephone Finance Cooperative Notes.
4210.17 4210.17 RUS Notes--Deferred Interest.
4210.18 4210.18 RUS Notes--Advance Payments, Dr.
4210.19 4210.19 Funded Debt--Other--Unadvanced, Dr.
4210.20 4210.20 RUS Notes--Unadvanced, Dr.
4210.21 4210.21 Telephone Bank Notes--Unadvanced, Dr.
4210.22 4210.22 Federal Financing Bank Notes--Unadvanced, Dr.
4210.23 4210.23 Bank for Cooperatives Notes--Unadvanced, Dr.
4210.24 4210.24 Rural Telephone Finance Cooperative Notes--
Unadvanced, Dr.
......... Stockholders' Equity and Patronage Capital
4540.11 4540.11 Capital Stock Subscribed.
4540.12 4540.12 Memberships Subscribed but Unissued.
4540.13 4540.13 Members' Equity Certificates Subscribed but
Unissued.
4540.21 4540.21 Memberships Issued.
4540.22 4540.22 Members' Equity Certificates Issued.
4540.23 4540.23 Members' Equity--Other.
4540.31 4540.31 Installments Paid on Capital Stock.
4540.32 4540.32 Installments Paid on Memberships Subscribed.
4540.33 4540.33 Installments Paid on Equity Certificates
Subscribed.
4540.41 4540.41 Other Capital--Miscellaneous.
4550.1 4550.1 Operating Margins.
4550.2 4550.2 Nonoperating Margins.
4550.3 4550.3 Other Margins.
4550.4 4550.4 Patronage Capital Assignable.
4550.5 4550.5 Patrons' Capital Credits Assigned.
4550.6 4550.6 Gain on the Retirement of Capital Credits.
......... Plant Specific Operations Expense
6210.11 Analog Electronic Expense.
6210.21 Digital Electronic Expense.
6210.31 Electro-Mechanical Expense.
6212.1 6212.1 Digital Electronic Switching Expense--Circuit.
6212.2 6212.2 Digital Electronic Switching Expense--Packet.
6230.11 Radio Systems Expense.
6230.21 Circuit Equipment Expense.
6232.1 6232.1 Circuit Equipment Expense--Electronic.
6232.2 6232.2 Circuit Equipment Expense--Optical.
......... Plant Nonspecific Operations Expense
6560.1 Depreciation Expense.
6560.2 Amortization Expense.
6620.1 6620.1 Services--Wholesale.
6620.2 6620.2 Services--Retail.
......... Operating Taxes.
7200.1 Operating Investment Tax Credits--Net.
7200.2 Operating Federal Income Taxes.
7200.3 Operating State and Local Income Taxes.
7240.1 7200.41 Operating Taxes--Property.
7240.2 7200.42 Operating Taxes--Miscellaneous.
7200.5 Provision for Deferred Operating Income Taxes--
Net.
......... Nonoperating Income and Expense
7300.1 Dividend Income.
7300.2 Interest Income.
7300.3 Income From Sinking and Other Funds.
7300.4 Allowance for Funds Used During Construction.
7300.5 Gains or Losses from the Disposition of Certain
Property.
7300.6 Other Nonoperating Income and Expense.
......... Nonoperating Taxes
7400.1 Nonoperating Investment Tax Credits--Net.
7400.2 Nonoperating Federal Income Taxes.
7400.3 Nonoperating State and Local Income Taxes.
7400.4 Nonoperating Other Taxes.
7400.5 Provision for Deferred Nonoperating Income Taxes--
Net.
......... Extraordinary Items
7600.1 Extraordinary Income Credits.
7600.2 Extraordinary Income Charges.
7600.3 Current Income Tax Effect of Extraordinary Items--
Net.
7600.4 Provision for Deferred Income Tax Effect of
Extraordinary Items--Net.
1130.1 1120.11 Cash--General Fund
......... This account shall include all unrestricted funds
derived from revenues and other sources which are
on deposit in banks or other financial
institutions and available on demand. It shall
also include funds in transit to the depository
for which customers and agents have received
credit on their accounts. Separate subaccounts
should be maintained for each bank account in
which general fund cash is deposited.
1130.2 1120.12 Cash--Construction Fund Trustee
......... This account shall include all loan funds received
from RUS, the Rural Telephone Bank, the Federal
Financing Bank, the Bank for Cooperatives, the
Rural Telephone Finance Cooperative, and all non-
loan funds supplied by the borrower under the
terms of the loan contract or otherwise required
by RUS. The offsetting credit for funds received
from RUS shall be to Account 4210.20, RUS Notes--
Unadvanced, Dr.; funds received from the Rural
Telephone Bank, to Account 4210.21, Telephone
Bank Notes--Unadvanced, Dr.; funds received from
the Federal Financing Bank, to Account 4210.22,
Federal Financing Bank Notes--Unadvanced, Dr.;
funds received from the Bank for Cooperatives, to
Account 4210.23, Bank for Cooperatives Notes--
Unadvanced, Dr.; and funds received from the
Rural Telephone Finance Cooperative, to Account
4210.24, Rural Telephone Finance Cooperative
Notes--Unadvanced, Dr.
1130.3 1120.13 Cash--Transfer of Funds
......... This account shall include all transfers of funds
from one bank account to another. This account
shall be charged with the amount of a check drawn
for the transfer, and credited when the amount
transferred is entered into the Cash Receipts
Book.
1120.21 Special Cash Deposits
......... This account shall include all cash on special
deposit, other than in sinking and other special
funds provided for elsewhere, to pay dividends,
interest, and other debts, when such payments are
due one year or less from the date of deposit;
the amount of cash deposited to insure the
performance of contracts to be performed within
one year from the date of the deposit; and other
cash deposits of a special nature not provided
for elsewhere. This account shall include the
amount of cash deposited with trustees to be held
until mortgaged property sold, destroyed, or
otherwise disposed of is replaced, and also cash
realized from the sale of the company's
securities and deposited with trustees to be held
until invested in physical property of the
company or for disbursement when the purposes for
which the securities were sold are accomplished.
1150.1 1120.31 Petty Cash Fund
......... This account shall include funds in the custody of
employees or agents for making minor
disbursements. The fund shall be operated on an
inprest basis. Expenditures shall be supported by
receipts, and reimbursements to the fund shall be
for the exact amount of such expenditures and
shall be charged to the various accounts to which
the expenditures are allocable. At all times, the
total of the cash on hand and the unreimbursed
expenditures shall equal the amount of the fund.
1150.2 1120.32 Change Fund
......... This account shall include funds in the custody of
employees or agents for making change. Records
shall be kept of the amount held by each person.
Disbursements shall not be made from the fund.
1220.1 1220.1 Materials and Supplies*
......... This account shall include the cost of materials
and supplies held in stock including plant
supplies, motor vehicles supplies, tools, fuel,
other supplies and material and articles of the
company in process of manufacture for supply
stock.
......... Transportation charges and sales and use taxes, as
far as practicable, shall be included as a part
of the cost of the particular material to which
they relate. Transportation and sales and use
taxes which are not included as part of the cost
of particular material shall be equitably
apportioned among the accounts to which material
is charged.
......... As far as practicable, cash and other discounts on
material shall be deducted in determining cost of
the particular material to which they relate or
credited to the account to which the material is
charged. When such deduction is not practicable,
discounts shall be equitably apportioned among
the accounts to which material is charged.
......... Material recovered in connection with
construction, maintenance or retirement of
property shall be charged to this account as
follows:
......... --Reusable items that, when installed or in
service, were retirement units shall be included
in this account at the original cost.
......... --Reusable minor items that, when installed or
in service, were not retirement units shall be
included in this account at current prices new.
......... --The cost of repairing reusable material shall
be charged to the appropriate Plant Specific
Operations Expense accounts.
......... --Scrap and nonusable material included in this
account shall be carried at the estimated amount
which will be received therefor. The difference
between the amounts realized for scrap and
nonusable material sold, and the amounts at which
it is carried in this account shall be adjusted in
the accounts credited when the material was taken
up in this account.
......... Interest paid on material bills, the payments of
which are delayed, shall be charged to Account
7540, Other Interest Deductions.
......... Inventories of materials and supplies shall be
taken during each calendar year and the
adjustments to this account shall be charged or
credited to Account 6512, Provisioning Expense.
1220.2 1220.2 Property Held for Sale or Lease*
......... This account shall include the cost of all items
purchased for resale or lease. The cost shall
include applicable transportation charges, sales
and use taxes, and cash and other purchase
discounts. Inventory shortages and overages shall
be charged and credited, respectively to Account
7991, Other Nonregulated Revenues.
......... *These accounts shall not include items which
are related to a nonregulated activity unless that
activity involves joint or common use of assets
and resources in the provision of regulated and
nonregulated products and services.
1220.3 1220.3 Exempt Materials--Clearing
......... This account shall include the cost of materials
and supplies designated as exempt material on the
carrier's ``Exempt Material List''. Charges to
this account shall be cleared monthly to the
primary plant and maintenance accounts in
accordance with percentages developed by the
individual carriers.
......... When there is a substantial amount of exempt
material on hand at the end of the year,
substantial enough to distort net income or
margins, a physical inventory may be taken. The
cost of the inventory on hand shall be debited to
this account and credited to the appropriate
primary plant and maintenance accounts on a pro-
rata basis related to the original charges to
these accounts. This entry shall be reversed at
the first of the year.
1280.1 Prepaid Rents
......... This account shall include the amount of rents
paid in advance of the period in which it is
chargeable to income, except amounts chargeable
to telecommunications plant under construction
and minor amounts which may be charged directly
to the final accounts. As the term expires for
which the rents are paid, this account shall be
credited monthly and the appropriate account
charged.
1280.2 Prepaid Taxes
......... This account shall include the balance of all
taxes paid in advance of the period in which they
are chargeable to income, except amounts
chargeable to telecommunications plant under
construction and minor amounts which may be
charged directly to the final accounts. As the
term expires for which the taxes are paid, this
account shall be credited monthly and the
appropriate account charged.
1280.3 Prepaid Insurance
......... This account shall include the amount of insurance
premiums paid in advance of the period in which
they are chargeable to income, except premiums
chargeable to telecommunications plant under
construction and minor amounts which may be
charged directly to the final accounts. As the
term expires for which the premiums are paid,
this account shall be credited monthly and the
appropriate account charged.
1280.4 Prepaid Directory Expenses
......... This account shall include the cost of preparing,
printing, binding, and delivering directories and
the cost of soliciting advertisements for
directories, except minor amounts which may be
charged directly to Account 6620, Services.
Amounts in this account, shall be cleared to
Account 6620 by monthly charges representing that
portion of the expenses applicable to each month.
1280.5 Other Prepayments
......... This amount shall include prepayments, other than
those includable in Accounts 1280.1 through
1280.4 except minor amounts which may be charged
directly to the final accounts. As the term
expires for which the payments apply, this
account shall be credited monthly and the
appropriate account charged.
1402.1 1402.1 Investments in Nonaffiliated Companies--Class B
RTB Stock
......... This account shall include the par value of the
required purchase of Class B Rural Telephone Bank
stock and the par value of the Class B Rural
Telephone Bank stock received as a patronage
refund. This account shall be debited at the time
the refund is received and Account 1402.11,
Investments in Nonaffiliated Companies--Class B
RTB Stock--Cr., credited.
......... This account shall be credited and Account 1402.11
debited when the patronage refund is redeemed.
1402.11 1402.11 Investments in Nonaffiliated Companies--Class B
RTB Stock--Cr.
......... This account shall include the par value of Class
B Rural Telephone Bank stock received as a
patronage refund. This account shall be credited
at the time the refund is received and Account
1402.1, Investments in Nonaffiliated Companies--
Class B RTB Stock, debited.
......... This account shall be debited and Account 1402.1
credited when the patronage refund is redeemed.
1402.2 1402.2 Investments in Nonaffiliated Companies--Class C
RTB Stock
......... This account shall include the par value of the
company's investment in Class C Rural Telephone
Bank stock. Cash dividends on Class C stock shall
be recorded in Account 7310/7300.1, Dividend
Income, when declared.
1402.3 1402.3 Other Investments in Nonaffiliated Companies
......... This account shall include the acquisition cost of
the company's investment in securities issued by
non-affiliated companies, other than securities
held in special funds which shall be charged to
Account 1408, Sinking Funds, and also its
investment advances to such parties and special
deposits of cash for more than one year from the
date of deposit.
......... Declines in value of investments shall be charged
to Account 4540.41, Other Capital, if temporary
and as a current period loss if permanent.
Detailed records shall be maintained to reflect
unrealized losses for each investment.
2001.1 2001.1 Telecommunications Plant in Service--Classified
......... This account shall include the original cost of
the property capitalized in Accounts 2110 through
2690.
2001.2 2001.2 Telecommunications Plant in Service--Unclassified
......... This account shall include the original cost of
telecommunications property which has been
completed and placed in service but which has not
been classified pending completion of final
inventories of construction, final cost
summaries, etc. The balance in this account is
subject to depreciation charges.
2003.1 2003.1 Telecommunications Plant Under Construction--Short
Term--Contract
......... This account shall include all costs incurred in
the construction of telecommunications plant
performed under contract and the cost of software
development projects that are not yet ready for
their intended use. Included among these costs
are contractor payments and charges for
engineering, supervision, taxes, insurance,
transportation, and other costs incurred in
contract construction. This account shall be
maintained such that the various items of cost
are readily identifiable.
2003.2 2003.2 Telecommunications Plant Under Construction--Short
Term--Force Account
......... This account shall include all costs incurred in
the construction of telecommunications plant
performed by the borrowers' own employees and the
cost of software development projects performed
by the borrowers' own employees that are not yet
ready for their intended use. Included among
these costs are charges for material, labor,
engineering, supervision, taxes, insurance,
transportation, supply expense, and other costs
incurred in the construction. This account shall
be maintained such that the various items of cost
are readily identified. Specific subaccounts
should be maintained to distinguish individual
projects.
2003.3 2003.3 Telecommunications Plant Under Construction--Short
Term--Work Orders
......... This account shall include all costs incurred in
the construction of telecommunication plant
performed under a work order system or line
extension contract. This type of construction
generally includes service installations,
subscriber extensions, and minor plant
improvements after the completion of the initial
system. Included among these costs are charges
for labor, material and supplies, transportation,
payroll taxes, insurance, supervision, and other
costs incurred in the construction. Subsidiary
records shall be maintained to reflect the cost
of the individual jobs. These records shall be
reconciled periodically with the general ledger
control account. Specific subaccounts should be
maintained to accumulate costs incurred under
line extension contracts.
2210.11 Central Office Switching--Analog*
......... This account shall include the original cost of
stored program control analog circuit-switching
and associated equipment. This account shall also
include the original cost of remote analog
electronic circuit switches.
2210.21 Central Office Switching--Digital*
......... This account shall include the original cost of
stored program control digital switches and their
associated equipment. Included in this account is
the original cost of digital switches which
utilize either dedicated or non-dedicated
circuits. This account shall also include the
original cost of remote digital electronic
switches.
2210.31 Central Office Switching--Electro-Mechanical--Step-
by-Step*
......... This account shall include the original cost of
step-by-step and associated circuit-switching
equipment.
2210.32 Central Office Switching--Electro-Mechanical--
Crossbar*
......... This account shall include the original cost of
crossbar and associated circuit switching
equipment. Also included in this account is the
original cost of electronic translator system
equipment used in switching.
2210.33 Central Office Switching--Electro-Mechanical--
Other*
......... This account shall include the original cost of
all other types of non-electronic circuit-
switching equipment such as panel systems and
their associated circuit-switching equipment.
......... *Switching plant excludes switchboards which
perform operator assistance functions and
equipment which is an integral part thereof. It
does not exclude equipment used solely for the
recording of calling telephone numbers in
connection with customer dialed charged traffic,
dial tandem switches, and special switchboards
used in conjunction with private line service;
such equipment shall be classified to the
particular switch that it serves.
2230.11 Central Office Transmission--Radio Systems--
Satellite and Earth Station Facilities
......... This account shall include the original cost of an
ownership interest in satellites (including land-
side spares), other spare parts, materials, and
supplies. It shall include launch insurance and
other satellite launch costs. This account shall
also include the original cost of earth stations
and spare parts, materials, and supplies
therefor.
2230.12 Central Office Transmission--Radio Systems--Other
......... This account shall include the original cost of
radio equipment used to provide radio
communication channels. Radio equipment is that
equipment which is used for the generation,
amplification, propagation, reception,
modulation, and demodulation of radio waves in
free space over which communications channels can
be provided. This account shall also include the
associated carrier and auxiliary equipment and
patch bay equipment which is an integral part of
the radio equipment. Such equipment may be
located in central office buildings, terminal
rooms, or repeater stations or may be mounted on
towers, masts, or other supports.
2230.21 Central Office Transmission--Circuit Equipment
......... This account shall include the original cost of
equipment which is used to reduce the number of
physical pairs otherwise required to serve a
given number of subscribers by utilizing carrier
systems, concentration stages or combinations of
both. It shall include equipment that provides
for simultaneous use of a number of interoffice
channels on a single transmission path. This
account shall also include the original cost of
equipment which is used for the amplification,
modulation, regeneration, circuit patching,
balancing or control of signals transmitted over
interoffice communications transmission channels.
This account shall include the original cost of
equipment which utilizes the message path to
carry signaling information or which utilizes
separate channels between switching offices to
transmit signaling information independent of the
subscribers' communication paths or transmission
channels. This account shall also include the
original cost of associated material used in the
construction of such plant. Circuit equipment may
be located in central offices, in manholes, on
poles, in cabinets or huts or at other locations.
......... This account excludes carrier and auxiliary
equipment and patch bay which are recorded in
Account 2230.12, Central Office Transmission--
Radio Systems--Other
3100x 3100x Retirement Work in Progress
......... This account shall be charged with the original
cost of property retired from the
telecommunications plant accounts. It shall also
be charged with all of the costs incurred in
removing the retired plant from service. This
account shall be credited with the salvage value
of materials recovered in the retirement of the
telecommunications plant. At such time as the
retirement work order is complete, the net income/
loss resulting therefrom shall be transferred
from this account to the appropriate primary
plant depreciation reserve account.
4010.11 4010.11 Accounts Payable to Affiliated Companies
......... This account shall include all amounts currently
due to affiliated companies for recurring trade
obligations, and not provided for in other
accounts, such as those for traffic settlements,
material and supplies, repairs to
telecommunications plant, matured rents, and
interest payable under monthly settlements on
short-term loans, advances, and open accounts.
4010.21 4010.21 Accounts Payable to Nonaffiliated Companies
......... This account shall include all amounts currently
due to nonaffiliated companies for recurring
trade obligations, and not provided for in other
accounts, such as those for traffic settlements,
materials and supplies, repairs to
telecommunications plant, matured rents, and
interest payable under monthly settlements on
short-term loans, advances, and open accounts.
4010.22 4010.22 Accounts Payable--Employees' Income Tax Withheld
......... This account shall include income taxes payable
that have been withheld from employees' salaries.
4010.23 4010.23 Accounts Payable--FICA Taxes Withheld
......... This account shall include FICA taxes payable that
have been withheld from employees' salaries.
4010.24 4010.24 Accounts Payable--Federal Excise Taxes
......... This account shall include Federal excise taxes
payable.
4010.25 4010.25 Accounts Payable--Payroll
......... This account shall include amounts payable to the
company's employees in the form of salaries or
wages.
4070.1 4070.1 Income Taxes Accrued--Federal
......... For Class A companies, this account shall be
credited and Accounts 7220, 7420, and 7630, as
appropriate, shall be debited for the amount of
Federal income taxes accrued during the current
operating period.
......... For Class B companies, this account shall be
credited and Accounts 7220.2, 7400.2, and 7600.3,
as appropriate, shall be debited for the amount
of Federal income taxes accrued during the
current operating period.
4070.2 4070.2 Income Taxes Accrued--State and Local
......... For Class A companies, this account shall be
credited and Accounts, 7230, 7430, and 7630, as
appropriate, shall be debited for the amount of
state and local income taxes accrued during the
current operating period.
......... For Class B companies, this account shall be
credited and Accounts, 7200.3, 7400.3, and
7600.3, as appropriate, shall be debited for the
amount of state and local income taxes accrued
during the current operating period.
4080.1 4080.1 Other Taxes Accrued--Property
......... This account shall be credited and Account 7240.1/
7200.41, Operating Taxes--Property, shall be
debited for the amount of property taxes accrued
during the current operating period.
4080.2 4080.2 Other Taxes Accrued--Employer's Portion--FICA
......... This account shall be credited and the appropriate
construction, depreciation, or expense account
shall be debited for the employer's portion of
FICA taxes accrued during the current operating
period.
4080.3 4080.3 Other Taxes Accrued--Federal Unemployment
......... This account shall be credited and the appropriate
construction, removal, or expense account shall
be debited for the amount of Federal unemployment
taxes accrued during the current operating
period.
4080.4 4080.4 Other Taxes Accrued--State Unemployment
......... This account shall be credited and the appropriate
construction, removal, or expense account shall
be debited for the amount of state unemployment
taxes accrued during the current operating
period.
4080.5 4080.5 Other Taxes Accrued--Miscellaneous
......... This account shall be credited and Account 7240.2/
7200.42, Operating Taxes--Miscellaneous, shall be
debited for the amount of all other taxes accrued
during the current operating period and not
provided for elsewhere such as a gross receipts
tax, franchise taxes, and capital stock taxes.
4120.1 4120.1 Unmatured Interest Accrued--RUS Notes
......... This account shall include the interest accrued as
of the balance sheet date but not payable until
after that date on RUS mortgage notes.
......... Interest expense incurred during the period of
construction of telecommunications plant shall be
charged to Account 2004, Telecommunications Plant
Under Construction--Long Term, and credited to
Account 7340/7300.4, Allowance for Funds Used
During Construction.
4120.2 4120.2 Unmatured Interest Accrued--Telephone Bank Notes
......... This account shall include the interest accrued as
of the balance sheet date but not payable until
after that date on Rural Telephone Bank mortgage
notes.
......... Interest expense incurred during the period of
construction of telecommunications plant shall be
charged to Account 2004, Telecommunications Plant
Under Construction--Long Term, and credited to
Account 7340/7300.4, Allowance for Funds Used
During Construction.
4120.3 4120.3 Unmatured Interest Accrued--Federal Financing Bank
Notes
......... This account shall include the interest accrued as
of the balance sheet date but not payable until
after that date on Federal Financing Bank
mortgage notes.
......... Interest expense incurred during the period of
construction of telecommunications plant shall be
charged to Account 2004, Telecommunications Plant
Under Construction--Long Term, and credited to
Account 7340/7300.4, Allowance for Funds Used
During Construction.
4120.4 4120.4 Unmatured Interest Accrued--Bank for Cooperatives
Notes
......... This account shall include the interest accrued as
of the balance sheet date but not payable until
after that date on Bank for Cooperatives mortgage
notes.
......... Interest expense incurred during the period of
construction of telecommunications plant shall be
charged to Account 2004, Telecommunications Plant
Under Construction--Long Term, and credited to
Account 7340/7300.4, Allowance for Funds Used
During Construction.
4120.5 4120.5 Unmatured Interest Accrued--Rural Telephone
Finance Cooperative Notes
......... This account shall include the interest accrued as
of the balance sheet date but not payable until
after that date on Rural Telephone Finance
Cooperative mortgage notes.
......... Interest expense incurred during the period of
construction of telecommunications plant shall be
charged to Account 2004, Telecommunications Plant
Under Construction--Long Term, and credited to
Account 7340/7300.4, Allowance for Funds Used
During Construction.
4120.6 4120.6 Other Accrued Liabilities
......... This account shall include the amount of wages,
compensated absences, interest on indebtedness of
the company, dividends on capital stock, and
rents accrued as of the balance sheet date but
not payable until after the date.
......... This account shall not include interest accrued on
RUS, Rural Telephone Bank, Bank for Cooperatives,
Federal Financing Bank, or Rural Telephone
Finance Cooperative debt.
4210.11 4210.11 Funded Debt--Other
......... This account shall include the total face amount
of unmatured debt, maturing more than one year
from the date of issue, issued by the company and
not retired, and the total face amount of similar
unmatured debt of other companies, the payment of
which has been assumed by the company, including
funded debt the maturity of which has been
extended by specific agreement.
......... This account shall not include unmatured RUS,
Rural Telephone Bank, Federal Financing Bank,
Bank for Cooperatives, or Rural Telephone Finance
Cooperative debt.
4210.12 4210.12 RUS Notes
......... This account shall include the total face amount
of unmatured RUS mortgage notes. Account 4210.20,
RUS Notes--Unadvanced, Dr., shall be charged and
this account credited upon execution of the
notes.
......... If principal installments are not paid at the
maturity date, the amount due shall be
transferred to Account 4050, Current Maturities--
Long-Term Debt.
4210.13 4210.13 Telephone Bank Notes
......... This account shall include the total face amount
of unmatured Rural Telephone Bank mortgage notes.
Account 4210.21, Telephone Bank Notes--
Unadvanced, Dr., shall be changed and this
account credited upon execution of the notes.
......... If principal installments are not paid at the
maturity date, the amount due shall be
transferred to Account 4050, Current Maturities--
Long-Term Debt.
4210.14 4210.14 Federal Financing Bank Notes
......... This account shall include the total face amount
of unmatured Federal Financing Bank mortgage
notes. Account 4210.22, Federal Financing Bank
Notes--Unadvanced, Dr., shall be charged and this
account credited upon execution of the notes.
......... If principal installments are not paid at the
maturity date, the amount due shall be
transferred to Account 4050, Current Maturities--
Long-Term Debt.
4210.15 4210.15 Bank for Cooperatives Notes
......... This account shall include the total face amount
of unmatured Bank for Cooperatives mortgage
notes. Account 4210.23, Bank for Cooperatives
Notes--Unadvanced, Dr., shall be charged and this
account credited upon execution of the notes.
......... If principal installments are not paid at the
maturity date, the amount due shall be
transferred to Account 4050, Current Maturities--
Long-Term Debt.
4210.16 4210.16 Rural Telephone Finance Cooperative Notes
......... This account shall include the total face amount
of unmatured Rural Telephone Finance Cooperative
mortgage notes. Account 4210.24, Rural Telephone
Finance Cooperative Notes--Unadvanced, Dr., shall
be charged and this account credited upon
execution of the notes.
......... If principal installments are not paid at the
maturity date, the amount due shall be
transferred to Account 4050, Current Maturities--
Long-Term Debt.
4210.17 4210.17 RUS Notes--Deferred Interest
......... This account shall include interest accrued on RUS
mortgage notes, the payment of which has been
deferred in accordance with the terms of the
notes or extension agreements. The offsetting
charge shall be to Account 7510, Interest on
Funded Debt, for Class A companies and Account
7500, Interest and Related Items, for Class B
companies.
......... If interest payments are not made at the due date,
this account shall be debited and Account
4010.21, Accounts Payable to Nonaffiliated
Companies, credited with the amount of the
matured interest.
4210.18 4210.18 RUS Notes--Advance Payments, Dr.
......... This account shall include all payments on RUS
mortgage notes made in advance of the due date
and not applied to a specific quarterly payment.
As these payments are applied to specific notes,
this account shall be credited and the long-term
debt and interest liability accounts debited.
4210.19 4210.19 Funded Debt--Other--Unadvanced, Dr.
......... This account shall include the total face amount
of notes executed to others, for which funds have
not been received.
......... This account shall be credited and Account 1130.1/
1120.11, Cash--General Funds, debited when funds
are received from the lender.
4210.20 4210.20 RUS Notes--Unadvanced, Dr.
......... This account shall include the total face amount
of RUS mortgage notes for which funds have not
been received.
......... This account shall be credited and Account 1130.2/
1120.12, Cash--Construction Fund Trustee, debited
when funds are received from RUS.
4210.21 4210.21 Telephone Bank Notes--Unadvanced, Dr.
......... This account shall include the total face amount
of Rural Telephone Bank mortgage notes for which
funds have not been received.
......... This account shall be credited and Account 1130.2/
1120.12, Cash--Construction Fund Trustee, debited
when funds are received from the Rural Telephone
Bank.
4210.22 4210.22 Federal Financing Bank Notes--Unadvanced, Dr.
......... This account shall include the total face amount
of Federal Financing Bank mortgage notes for
which funds have not been received.
......... This account shall be credited and Account 1130.2/
1120.12, Cash--Construction Fund Trustee, debited
when funds are received from the Federal
Financing Bank.
4210.23 4210.23 Bank for Cooperatives Notes--Unadvanced, Dr.
......... This account shall include the total face amount
of Bank for Cooperatives mortgage notes for which
funds have not been received.
......... This account shall be credited and Account 1130.2/
1120.12, Cash--Construction Fund Trustee, debited
when funds are received from the Bank for
Cooperatives.
4210.24 4210.24 Rural Telephone Finance Cooperative Notes--
Unadvanced, Dr.
......... This account shall include the total face amount
of Rural Telephone Finance Cooperative mortgage
notes for which funds have not been received.
......... This account shall be credited and Account 1130.2/
1120.12, Cash--Construction Fund Trustee, debited
when funds are received from the Rural Telephone
Finance Cooperative.
4540.11 4540.11 Capital Stock Subscribed.
......... This account shall include the par value of
capital stock for which legally enforceable
subscriptions have been received but for which,
at the date of the balance sheet, stock
certificates have not been issued.
......... This account shall be debited and Account 4510,
Capital Stock, credited when a subscriber has
paid the subscription in full and stock
certificates are issued.
4540.12 4540.12 Memberships Subscribed but Unissued.
......... This account shall include the face amount of
memberships subscribed but not issued. This
account shall be credited at the time the
subscription is received and Account 1350.2,
Subscriptions to Memberships, debited.
......... This account shall be debited and Account 4540.21,
Memberships Issued, credited when a subscriber
has paid the subscription in full and the
membership certificates are issued.
4540.13 4540.13 Members' Equity Certificates Subscribed but
Unissued.
......... This account shall include the face amount of
members' equity certificates subscribed but not
issued. This account shall be credited at the
time the subscription is received and Account
1350.3, Subscriptions to Members' Equity
Certificates, debited.
......... This account shall be debited and Account 4540.22,
Members' Equity Certificates Issued, credited
when a subscriber has paid the subscription in
full and the members' equity certificates are
issued.
4540.21 4540.21 Memberships Issued.
......... This account shall include the face amount of
membership certificates outstanding. A subsidiary
membership certificate record shall be maintained
to reflect the detail of the balance in this
account.
4540.22 4540.22 Member's Equity Certificates Issued.
......... This account shall include the face amount of
members' equity certificates outstanding. A
subsidiary members' equity certificate record
shall be maintained to reflect the detail of the
balance in this account.
4540.23 4540.23 Members' Equity--Other.
......... This account shall include credit amounts arising
from donations, forfeitures of membership fees,
forgiveness of debts of the cooperative, and
member's equities not otherwise provided for.
4540.31 4540.31 Installments Paid on Capital Stock.
......... This account shall include the amount of
installments paid on capital stock on a partial
or installment payment plan by subscribers
against whom there is no legally enforceable
subscription contract, and who are entitled to be
reimbursed the principal amount of their
payments, with or without interest, in the event
they fail to complete payment for the stock and
receive certificates therefore.
......... This account shall be debited and Account 4510,
Capital Stock, credited with the par value of
capital stock when the total subscription is
received and the stock certificates are issued.
Any difference between the purchase price of the
subscription and the par value of the stock shall
be credited to Account 4520, Additional Paid-In
Capital.
......... A subsidiary ledger shall be maintained to record
for each subscriber, the amount subscribed,
payments made, and the balance due. The balance
in this account shall be reconciled monthly with
the subscription ledger.
4540.32 4540.32 Installments Paid on Memberships Subscribed.
......... This account shall include the amount of
installments paid by prospective members on
membership subscriptions against whom there is no
legally enforceable subscription contract, and
who are entitled to be reimbursed for the
principal amount of their payments, with or
without interest, in the event they fail to
complete payment for the membership and receive
certificates therefor.
......... This account shall be debited and Account 4540.21,
Memberships Issued, credited with the face amount
of the membership when the total subscription is
received and the membership certificates are
issued.
......... A subsidiary ledger shall be maintained to record
for each subscriber, the amount subscribed,
payments made, and the balance due. The balance
in this account shall be reconciled monthly with
the subscription ledger.
4540.33 4540.33 Installments Paid on Equity Certificates
Subscribed
......... This account shall include the amount of
installments paid by prospective members on
equity certificate subscriptions against whom
there is no legally enforceable subscription
contract, and who are entitled to be reimbursed
for the principal amount of their payments, with
or without interest, in the event they fail to
complete payment for the membership and receive
equity certificates therefor.
......... This account shall be debited and Account 4540.22,
Members' Equity Certificates Issued, credited
with the face amount of the memberships when the
total subscription is received and the equity
certificates are issued.
......... A subsidiary ledger shall be maintained to record
for each subscriber, the amount subscribed,
payments made, and the balance due. The balance
in this account shall be reconciled monthly with
the subscription ledger.
4540.41 4540.41 Other Capital--Miscellaneous
......... This account shall include amounts which are
credits arising from capital recorded upon the
reorganization or recapitalization of the company
and temporary declines in the value of marketable
securities held for investment purposes.
4550.1 4550.1 Operating Margins
......... This account shall include amounts received or
receivable from the furnishing of
telecommunications service in excess of costs
incurred in the furnishing of such service. If
costs exceed revenues, the excess cost of
furnishing telecommunications service shall be
recorded as a debit to this account.
4550.2 4550.2 Nonoperating Margins
......... This account shall include margins arising from
transactions or activities not related to the
furnishing of telecommunications service.
Included in this account are receipts from
investments, income from investments, income from
nonoperating plant, and revenues derived from
services performed for others incident to the
company's regulated telecommunications
operations.
4550.3 4550.3 Other Margins
......... This account shall include patronage capital
credits assigned to the cooperative by other
nonprofit organizations prior to January 1, 1970,
which were not credited directly to an operating
expense account as a reduction in the cost of
furnishing telecommunications service.
......... No entries shall be made to this account unless it
is to distribute or eliminate prior balances in
conformance with the bylaws of the cooperative.
4550.4 4550.4 Patronage Capital Assignable
......... This account shall include all amounts transferred
from operating margins, nonoperating margins, and
other margin accounts which are assignable to
individual patrons.
4550.5 4550.5 Patrons' Capital Credits Assigned
......... This account shall include the amounts of
patronage capital which have been credited to
individual patrons. A subsidiary patronage
capital ledger shall be maintained so as to
reflect the amount of capital furnished by each
patron and the amount of such capital returned to
the patron.
4550.6 4550.6 Gain on the Retirement of Capital Credits
......... This account shall include credits resulting from
the retirement of patronage capital through
settlement of individual patrons' accounts at
less than 100 percent of the capital assigned to
the patron. The portion of patronage capital not
returned to patrons under such settlements shall
be debited to Account 4550.5, Patrons' Capital
Credits Assigned, and credited to this account.
......... This account shall also include amounts
representing patronage capital authorized to be
retired to patrons who cannot be located.
Returned checks issued for retirements of
patronage capital, after an appropriate waiting
period, shall be credited to this account and a
record shall be maintained adequate to enable the
cooperative to make payment to the patron if and
when a claim has been established by the patron.
6210.11 Analog Electronic Expense
......... This account shall include expenses associated
with analog electronic switching.
6210.21 Digital Electronic Expense
......... This account shall include expenses associated
with digital electronic switching.
6210.31 Electro-Mechanical Expense
......... This account shall include expenses associated
with electro-mechanical switching.
6230.11 Radio Systems Expense
......... This account shall include expenses associated
with radio systems.
6230.21 Circuit Equipment Expense
......... This account shall include expenses associated
with circuit equipment.
6560.1 Depreciation Expense
......... This account shall include the depreciation
expense associated with telecommunications plant
in service (Accounts 2112 through 2441) and
property held for future telecommunications use
(Account 2002).
6560.2 Amortization Expense
......... This account shall include the amortization
expense associated with capital leases and
leasehold improvements (Accounts 2681 and 2682),
intangibles (Account 2690), and
telecommunications plant adjustments (Account
2005).
7200.1 Operating Investment Tax Credits--Net
......... This account shall be charged and Account 4320,
Unamortized Operating Investment Tax Credits--
Net, shall be credited with investment tax
credits generated from qualified expenditures
related to regulated operations which the company
defers rather than recognizes currently in
income.
......... This account shall be credited and Account 4320
shall be charged ratably with the amortization of
each year's investment tax credits included in
Account 4320 for investment services for
ratemaking purposes. Such amortization shall be
determined in relation to the period of time used
for computing book depreciation on the property
with respect to which the tax credits relate.
7200.2 Operating Federal Income Taxes
......... This account shall be charged and Account 4070.1,
Income Taxes Accrued--Federal, shall be credited
for the amount of Federal income tax expense
incurred in the current operating period. This
account shall also reflect subsequent adjustments
to amounts previously charged.
......... Taxes should be accrued each month on an estimated
basis and adjustments made as later data becomes
available.
7200.3 Operating State and Local Income Taxes
......... This account shall be charged and Account 4070.2,
Income Taxes Accrued--State and Local, shall be
credited for the amount of state and local income
tax expense incurred in the current operating
period. This account shall also reflect
subsequent adjustments to amounts previously
charged.
......... Taxes should be accrued each month on an estimated
basis and adjustments made as later data becomes
available.
7240.1 7200.41 Operating Taxes--Property
......... This account shall be charged and Account 4080.1,
Other Taxes Accrued--Property, shall be credited
for the amount of property tax expense incurred
in the current operating period. This account
shall also reflect subsequent adjustments to
amounts previously charged.
......... Taxes should be accrued each month on an estimated
basis and adjustments made as later data becomes
available.
7240.2 7200.42 Operating Taxes--Miscellaneous
......... This account shall be charged and Account 4080.5,
Other Taxes Accrued--Miscellaneous, shall be
credited for the amount of all other taxes
accrued during the current operating period and
not provided for elsewhere such as gross
receipts, franchise, and capital stock tax
expense incurred in the current operating period.
This account shall also reflect subsequent
adjustments to amounts previously charged.
......... Taxes should be accrued each month on an estimated
basis and adjustments made as later data becomes
available.
7200.5 Provision for Deferred Operating Income Taxes-Net
......... This account shall be charged or credited, as
appropriate, with contra entries recorded in
either Account 4100, Net Current Deferred
Operating Income Taxes, or Account 4340, Net
Noncurrent Deferred Operating Income Taxes, as
appropriate, for income tax expense that has been
deferred.
......... Subsidiary record categories shall be maintained
to distinguish between property and nonproperty
related deferrals and so that the company may
separately report the amounts contained herein
that relate to Federal, state, and local income
taxes.
7300.1 Dividend Income
......... This account shall include dividends on
investments in common and preferred stock, which
is the property of the company, whether such
stock is owned by the company and held in its
treasury, or deposited in trust, or otherwise
controlled.
......... This account shall not include dividends or other
returns on securities issued or assumed by the
company and held by or for it, whether pledged as
collateral, or held in its treasury, in special
deposits, or in sinking or other funds.
......... Dividends on stocks of other companies held in
sinking or other funds shall be credited to
Account 7300.3, Income from Sinking and Other
Funds.
......... Dividends received and receivable from affiliated
companies accounted for on the equity method
shall be included in Account 1401, Investments in
Affiliated Companies, as a reduction of the
carrying value of the investments.
7300.2 Interest Income
......... This account shall include interest on securities,
including notes and other evidences of
indebtedness which are the property of the
company, whether such securities are owned by the
company and held in its treasury, or deposited in
trust (except in sinking or other funds) or
otherwise controlled. It shall also include
interest on bank balances, certificates of
deposits, open accounts, and other analogous
items. There shall be included in this account
for each month, the applicable amount requisite
to extinguish, during the interval between the
date of acquisition and the date of maturity, the
difference between the purchase price and the par
value of securities owned, the income from which
is includable in this account. Amounts thus
credited or charged shall be concurrently
included in the accounts in which the securities
are carried. Any such difference remaining
unextinguished at the sale or upon the maturity
and satisfaction of such securities shall be
cleared to Account 7300.6. Other Nonoperating
Income and Expense.
7300.3 Income from Sinking and Other Funds
......... This account shall include the income accrued on
cash, securities issued by other companies, and
other assets (not including securities issued or
assumed by the company) held in sinking and other
funds.
......... There shall be included in this account for each
month the applicable amount requisite to
extinguish, during the interval between the date
of acquisition and the date of maturity, the
difference between the purchase price and the par
value of securities held in sinking or other
funds. Amounts thus credited or charged shall be
concurrently included in the accounts in which
the securities are carried. Any such differences
remaining unextinguished upon the maturity and
satisfaction of such securities shall be cleared
to Account 7300.6. Other Nonoperating Income and
Expense.
7300.4 Allowance for Funds Used During Construction
......... This account shall be credited with such amounts
as are charged to the telecommunications plant
accounts for the purpose or recording an
allowance for funds used for construction
purposes.
7300.5 Gains or Losses from the Disposition of Certain
Property
......... This account shall include gains or losses
resulting from the disposition of land or
artworks; plant with traffic, and nonoperating
telecommunications plant not previously used in
the provision of telecommunication services.
7300.6 Other Nonoperating Income and Expense
......... This account shall include all other items of
income and gains or losses from activities not
specifically provided for elsewhere such as gains
or losses realized on the sale of temporary cash
investments or marketable equity securities; fees
collected in connection with the exchange of
coupon bonds for registered bonds; uncollectible
amounts previously credited to Accounts 7300.1,
7300.2, 7300.3, 7300.4, 7300.5, and 7300.6, gains
or losses from the extinguishment of debt made to
satisfy sinking fund requirements; gains or
losses of a nonoperating nature arising from the
exchange or translation of foreign currency; net
unrealized losses on investments in current
marketable equity securities; write-downs or
write-offs of the book costs of investments in
equity securities due to permanent impairment;
amortization of goodwill; the company's share of
earnings or losses of affiliated companies
accounted for on the equity method; and the net
balance of the revenue from and the expenses of
property, plant, and equipment, the cost of which
is includable in Account 2006, Nonoperating
Plant.
7400.1 Nonoperating Investment Tax Credits--Net
......... This account shall be charged and Account 4330,
Unamortized Nonoperating Investment Tax Credits--
Net, shall be credited with nonoperating
investment tax credits generated from qualified
expenditures related to other operations which
the company has elected to defer rather than
recognize currently in income.
......... This account shall be credited and Account 4330,
Unamortized Nonoperating Investment Tax Credits--
Net, shall be charged with the amortization of
each year's investment tax credits included in
such accounts relating to amortization of
previously deferred investment tax credits of
other property or regulated property, the
amortization of which does not serve to reduce
costs of service (but the unamortized balance
does reduce rate base) for ratemaking purposes.
Such amortization shall be determined with
reference to the period of time used for
computing book depreciation on the property with
respect to which the tax credits relate.
7400.2 Nonoperating Federal Income Taxes
......... This account shall be charged and Account 4070.1,
Income Taxes Accrued--Federal, shall be credited
for the amount of nonoperating Federal income
taxes for the current period. This account shall
also reflect subsequent adjustments to amounts
previously charged.
......... Taxes shall be accrued each month on an estimated
basis and adjustments made as later data becomes
available. Companies that adopt the flowthrough
method of accounting for investment tax credits
shall reduce the calculated provision in this
account by the entire amount of the credit
realized during the year. Tax credits, if
normalized, shall be recorded consistent with the
accounting for investment tax credits.
......... No entries shall be made to this account to
reflect interperiod tax allocation.
7400.3 Nonoperating State and Local Income Taxes
......... This account shall be charged and Account 4070.2,
Income Taxes Accrued--State and Local, shall be
credited for the amount of nonoperating state and
local income taxes for the current period. This
account shall also reflect subsequent adjustments
to amounts previously charged.
......... Taxes shall be accrued each month on an estimated
basis and adjustments made as later data becomes
available.
......... No entries shall be made to this account to
reflect interperiod tax allocation.
7400.4 Nonoperating Other Taxes
......... This account shall be charged and Account 4080.5,
Other Taxes Accrued--Miscellaneous, shall be
credited for all nonoperating taxes, other than
Federal, state, and local income taxes, and
payroll related taxes for the current period.
Among the items includable in this account are
property, gross receipts, franchise and capital
stock taxes. This account shall also reflect
subsequent adjustments to amounts previously
charged.
7400.5 Provision for Deferred Nonoperating Income Taxes--
Net
......... This account shall be charged or credited, as
appropriate, with contra entries recorded in
either Account 4110, Net Current Deferred
Nonoperating Income Taxes, or Account 4350, Net
Noncurrent Deferred Nonoperating Income Taxes, as
appropriate, for nonoperating tax expenses that
have been deferred.
......... Subsidiary record categories shall be maintained
to distinguish between property and nonproperty
related deferrals and so that the company may
separately report the amounts contained herein
that relate to Federal, state, and local income
taxes.
7600.1 Extraordinary Income Credits
......... This account shall be credited with nontypical,
noncustomary, and infrequently recurring gains
which would significantly distort the current
year's income computed before such extraordinary
items, if reported other than as extraordinary
items. Income tax relating to the amounts
recorded in this account shall be recorded in
Account 7600.3, Current Income Tax Effect for
Extraordinary Items--Net, and Account 7600.4,
Provision for Deferred Income Tax Effect of
Extraordinary Items--Net.
7600.2 Extraordinary Income Charges
......... This account shall be debited with nontypical,
noncustomary, and infrequently recurring losses
which would significantly distort the current
year's income computed before such extraordinary
items, if reported other than as extraordinary
items. Income tax relating to the amounts
recorded in this account shall be recorded in
Account 7600.3, Current Income Tax Effect for
Extraordinary Items--Net, and Account 7600.4,
Provision for Deferred Income Tax Effect of
Extraordinary Items--Net.
7600.3 Current Income Tax Effect of Extraordinary Items--
Net
......... This account shall be charged or credited and
Account 4070.1, Income Taxes Accrued--Federal, or
Account 4070.2, Income Taxes Accrued--State and
Local, shall be credited or charged, as
appropriate, for all current income tax effects
(Federal, state, and local) of items included in
Account 7600.1, Extraordinary Income Credits, and
Account 7600.2, Extraordinary Income Charges.
7600.4 Provision for Deferred Income Tax Effect of
Extraordinary Items--Net
......... This account shall be charged or credited, as
appropriate, with a contra amount recorded in
Account 4350, Net Noncurrent Deferred
Nonoperating Income Taxes, or Account 4110, Net
Current Deferred Nonoperating Income Taxes, for
the income tax effects (Federal, state, and
local) of items included in Account 7600.1,
Extraordinary Income Credits, and Account 7600.2,
Extraordinary Income Charges, that have been
deferred.------------------------------------------------------------------------ [55 FR 3388, Feb. 1, 1990; 55 FR 17352, Apr. 24, 1990, as amended at 55 FR 53488, Dec. 31, 1990; 70 FR 25757, May 16, 2005]