EXTRAORDINARY EXPENSES: REPRESENTATION AND ACCOUNTING

Abstract

The article analyzes regulatory documents that regulate the classification of emergency events and the procedure for eliminating their consequences in Ukraine. Attention is focused on the losses suffered by the economy of Ukraine as a result of the full-scale aggression of the russian federation, in particular in the field of agribusiness. The interpretation of the terms "emergency event", "emergency situation", "force majeure" in normative documents and scientific periodicals was analyzed, common and distinctive features were revealed. The wording of the essence of the term "emergency event" for the needs of accounting has been clarified as an event of a natural, man-made or military nature that cannot be predicted or planned in the course of agricultural activity and which, according to its consequences, leads to significant human and material costs and causes damage to society, producers and natural environment. The need to introduce a separate accounting account to reflect expenses from emergency events, in particular for the needs of agriculture, taking into account the losses of the industry as a result of military actions, is substantiated. The emergency events currently taking place in Ukraine give reason to return to the Chart of Accounts of synthetic account 99 "Emergency expenses". The use of this account will provide an opportunity to reflect the reason for the loss of material values in the accounting. This will help to correctly determine exactly the amount of compensation that should be paid to the enterprise after the end of hostilities at the expense of the assets of the aggressor state. At the same time, account 99 "Emergency expenses" should include sub-accounts that would reflect the category of emergency events (for example, 991 "emergency expenses of a man-made nature"; 992 "Emergency expenses of a natural nature"; 993 "Emergency expenses of a social nature"; 994 "Emergency expenses of a military nature"). It is proposed to improve the forms of financial reporting by including additional financial statement line items, which will reflect in detail the loss of material resources and the costs of eliminating the consequences of military aggression. This will enable the user of financial statements to obtain the necessary information and adequately assess the losses suffered by the enterprise under the influence of emergency events. Amendments to the Chart of Accounts and financial statements will help to reflect in detail the losses incurred by enterprises as a result of military actions on the territory of Ukraine and to provide interested users with information for making management decisions. Accurate information on the amount of losses from emergency events will help determine the amount of material and moral damage caused to each enterprise and the economy of Ukraine as a whole.