| Activity: | Capitalization Threshold - BC* |
| Policy: | CSOP 1.0 Capitalization Rules Capitalization of Movable Equipment, FIN-ACC-150 Capitalization of Infrastructures, FIN-ACC-210 |
| Forms: | N/A |
| Things to Know: | FY 2018-19 Capital equipment purchases are equipment items with an acquisition value of at least $5,000.00 and a useful life of one year or greater. For equipment meeting these capitalization criteria use the following object codes: 7000 Capital Equipment 7015 Computer Equipment Other costs such as installation, freight/shipping, and training should also be capitalized with equipment purchases over $5,000. If the equipment purchased meets the capitalization criteria, then these costs should also be coded to object code 7000 or 7015. Warranties, maintenance agreements and software licenses should NEVER be capitalized with equipment. These purchases should always be expensed to object codes 4776 or 4616. Please refer to Standard Operating Procedure CSOP 8.0 Capitalization of Movable Equipment for detailed guidelines relating to the capitalization of moveable equipment and object code assignment: If you have any questions, please email capasset@iu.edu. *Budget Construction |