THE USE OF THE CAPITALIZATION METHOD IN DIAGNOSING THE TECHNICAL CONDITION OF FIXED ASSETS OF ENTERPRISES

Obtaining reliable data on the real residual value of fixed assets of enterprises and, accordingly, on the actual level of technical condition of these assets is possible using the capitalization method. At the same time, the use of the capitalization method for the purpose of diagnosing the technical condition of the fixed assets of enterprises requires the preliminary development of scientifically based principles for such diagnosis. Therefore, the purpose of this article is to develop the theoretical basis for using the capitalization method in diagnosing the technical condition of the fixed assets of enterprises. It was established that in the process of diagnosing the technical condition of the fixed assets of enterprises, it is worth distinguishing two values of the level of depreciation of these assets, namely: normal (acceptable) and minimally possible threatening. In particular, at the second level, enterprises will not be able to carry out even a simple reproduction of fixed assets, using the future flows of their net income and depreciation deductions for this. It is shown that the use of the capitalization method in diagnosing the technical condition of the fixed assets of enterprises should provide for the assignment of each element of these assets to a certain group according to the level of their depreciation (to assets with low, medium or high levels of depreciation), taking into account the fact that both the original and the residual value of fixed assets will be determined on the basis of the capitalization of the net cash flow for them. Models for the use of the capitalization method in diagnosing the technical condition of the fixed assets of enterprises have been built. Approbation of these models was carried out on numerical material. Such testing showed that, in general, there is no constant value of the threatening level of depreciation of the fixed assets of enterprises, that is, even with a very high actual level of their depreciation under certain conditions, this level will not be threatening. In order for this to happen, the remaining term of the fixed assets and the discount rate must be large enough. The theoretical principles proposed in this article can be used by enterprises when planning the renewal of their fixed assets.