Study On Pipelines Accounting Issues Related To Subsequent Expenditures

Pipeline enterprises, as a key oil and gas transport, burden the nation's oil and gas supply. Pipelines, which are the main carriers of oil and gas transportation, are material foundations in the business activities of enterprises. They could improve the productivity of the pipeline business. Pipelines are the most important fixed assets in enterprise. And the construction of pipelines needs a lot. After that, the maintenance costs are a very large expenditure. It's a critical issue that how could we accounting the follow-up expenditures in order to reflect the financial condition of pipelines.The core of the article is pricing and accounting treatment of the subsequent expenditure. I stand on the subsequent expenditure of pipelines, and analyze the theory of the pricing and follow-up expenditure of fixed assets. And I study the content of the expenditure of pipelines. So I could classify them according to the purpose of the follow-up expenditures. They include follow-up expenditures related to life, follow-up expenditures related to function, follow-up expenditures related to future usage costs, follow-up expenditures related to security and follow-up expenditures related to environments. Then I study the status of pricing and analyze the follow-up expenditures factors. I could price the different styles of expenditures and treat them in accounting. At last, I analyze the impact of different accounting treatment in the view of business results, tax and financial reporting.