Equipment Purchases

Equipment purchases with a cost greater than $5000 and a useful life of 1 or more years are recorded in Ledger 8 using subaccount 6000 through 6999. The subaccount section of the FAS User's Manual identifies the subaccount numbers for specific equipment categories. If an equipment purchases does not meet the "cost greater than $5,000 and a useful life of 1 or more years" criteria, it should be charged to a supply subaccount (5000-5999) in the Ledger 2 account.