3.02 - Balance Sheet Object Codes

last updated: 10/01/2011

Policy Owner:  Financial Management

NOTE: The Balance Sheet Object Codes definitions have been updated to reflect changes with UAccess Financials. This section is currently in review and additional revision may be necessary.

A balance sheet object code is a four-digit code that represents a specific asset, liability, or fund balance.

The following object codes are generally used only by the Financial Services Office. Departmental users should not use balance sheet object codes to code source documents unless specifically instructed to do so in a policy or procedure, or by the Financial Management - Financial Services Office.

Listing| Assets (8xxx)| Liabilities (9000-9899)| Fund Balances (9900)

Assets

Assets are items that are owned by the University, for example, cash, accounts receivable, investments and inventory.

Cash (8100 through 8180): Cash amounts maintained by the University in various accounts. Select the specific code that best describes the account or location of the cash.

Investments (8200-8299): Amounts maintained by the University in various investments. Select the specific code that best describes the type of investment.

    Securities lending - cash collateral (8200): This is a current asset code to be used by FSO only.

    Commercial Paper Short Term (8205) Money market securities issued by corporations at a fixed interest rate with maturities up to 270 days.

    Municipal Bonds Short Term 8208) Debt securities issued by state or municipal governments. Payments must be completed in less than one year.

    Treasury Notes Short Term (8209) Debt securities issued by the US Treasury Department with maturities of less than one year. They are not considered cash equivalents (Treasury Bills are).

    CD's (8210): Certificates of Deposit.

    Corporate Bonds - Short-Term (8211): Debt securities issued by corporations in which payment is made on the debt by the corporation at a fixed interest rate. Payment must be completed in less than one year.

    Treasury Bills (8212): Debt securities issued by the US Treasury Department with maturities of three, six or twelve months. Securities are generally sold in minimum denominations of $10,000.

    US Government Agencies-Short Term (8213): Debt securities issued by US Government Agencies (excluding US Treasuries) with maturities of less than twelve months

    Repurchase Agreements (8214): Repurchase agreements.

    Money Market/Bond Mutual Funds (8215): Money market and bond mutual funds accounts.

    State Pooled Investments (8216): The State investment pool, which pools funds from other agencies of the State of Arizona.

    Equity Mutual Funds (8217): Equity mutual funds.

    Currencies/Volatility/Other (8218): These securities can be traded on international exchanges or over-the-counter, and reference currencies or less tangible items (such as volatility or interest rate agreements). The transactions of these currency/volatility/other securities may be through purchase of the underlying item directly in the “spot market” (ex: buying a particular currency), held indirectly through ownership of an exchange-traded-fund or commingled vehicle (ex: volatility-oriented fund), or entail a future obligation to transact at a given price or interest rate (ex: interest rate futures).

    Commodities (8219): Securities or assets that can be traded on commodities exchanges or over-the-counter, which reference a physical asset (usually gold, silver, oil, etc.) as underlying item of ownership interest. The transactions of commodity securities/assets may be through purchase of the commodity directly (physical assets), held indirectly through ownership of an exchange-traded-fund or commingled vehicle, or entail a future obligation to purchase/sell the commodity at a specified price.

    Real Estate Investments (8220): Land and buildings donated to the University of Arizona

    Public Real Estate (8221): Pooled Real Estate investments that are publicly traded on major exchanges. (i.e. REIT – Real Estate Investment Trusts). These technically are a subclass of international or domestic equity; however, a different classification is warranted since REITs represent equity ownership units of underlying real estate investments.

    Private Real Estate (8222): Pooled Real Estate investments that are not traded on major exchanges.

    Mortgages (8225): Debt securities in which payment of the debt is backed by real estate and physical assets of the corporation.

    Mortgage or Asset Backed Securities (8226): Fixed income securities, which are collateralized by and derive income from a specified pool of underlying assets (ex: pool of mortgages). These securities are distinct from other types of collateralized corporate bonds, because they derive value and income payments from a separate institution (usually a trust or other remote special purpose vehicle) created specifically for the purpose of securitizing the pool of assets.

    Public Infrastructure (8227): Investment funds with ownership units that are traded on public exchanges (such as Master Limited Partnerships, of MLPs) and make investments to support the building of roads, energy infrastructure, water/waste infrastructure, etc.

    Private Infrastructure (8228): Investment funds with ownership units that are not publicly traded and make investments to support the building of roads, energy infrastructure, water/waste infrastructure, etc.

    Common Stocks (8230): Shares of a corporation, representing ownership.

    International Equities (8235): Partial ownership interests in equity of corporations whose place of domicile is located outside of the United States. Ownership interest is divided into shares of common equity, and these shares are typically listed on foreign or U.S. exchanges.

    Preferred Stocks (8240): Shares of a corporation. Preferred stocks represent ownership in a corporation with the distinction that if company earnings are sufficient, and dividends are to be paid, dividends must be first paid to these holders of stock.

    CDs Long Term (8245) Certificates of Deposit with maturities of more than one year.

    Corporate Bonds - Long-Term (8250): Debt securities issued by corporations in which payment is made on the debt by the corporation at a fixed annual interest rate. Terms of payment must be for a period of time greater than one year.

    Corporate Bonds - Long-Term - Designated Investments (8251): Debt securities issued by corporations in which payment is made on the debt by the corporation. Terms of payment must be for a period of time greater than one year. Designated Investments represent those Long Term Bonds that have been segregated by the Fund Manager.

    International Fixed Income (8255): Debt securities issued by corporations whose place of domicile is located outside of the United States. Payment on the debt of these securities is made at a fixed or floating (benchmarked to an adjustable index rate) interest rate.

    Long/Short Fixed Income (8256): Funds which make investments in fixed income securities. Long positions in the portfolios are typically similar to traditional bonds/fixed income securities. In addition, the funds are able to take short positions in fixed income securities (their position would benefit from a price decline in the underlying securities) either directly through “cash bonds” or indirectly through other means.

    US Government Agencies (8260): Debt securities issued by US Government Agencies.

    Treasury Bonds and Notes (8265): Debt securities issued by the US Treasury Department and insured by the US Government.

    State, Municipal and Foreign Bonds (8270): Debt securities issued by state, municipal or foreign governments which provide these governments with funds to finance public debt.

    GNMA (8280): Debt securities issued by Government National Mortgage Association (GNMA).

    Royalty Rights - Mineral or Intellectual Property (8285): Rights to collect a stream of future royalty payments generated from sales of minerals or use of intellectual property. These rights commonly represent a partial claim to income generated by sales of commodities (oil, gas, gold, silver, etc. mined in a given location) or use of intellectual property (for example through the sale of a patented drug or use of copyrighted music). These rights encompass a separate distinct category from commodities because they represent ownership of a future income stream rather than the actual physical assets.

    UAF Investment Pool Long Term (8286) Investment Pool managed by the University of Arizona Foundation for the University of Arizona’s Endowment funds.

    Unrealized Change in Fair Value (8290): Used by FSO to record the difference between the cost of the asset and the current fair market value.

    Endow Value App/Dep (8293): Used by endowment accounting to record the change in fair value of the endowment on a monthly basis. (for FSO use only)

*Receivables (8310-8499) Amounts due to the University. Select the specific code that best describes the receivable. Inventories (8510): Cost or basis for supplies on hand:
  1. purchased for consumption,
  2. held for the purpose of resale, or
  3. used in producing goods or services for the purpose of resale.

Allowance for Obsolete Inventory (8590): A Contra object code, used in conjunction with inventories, to record the estimated amount of obsolete inventory. Note: This code may only be used by the Financial Services Office.

Prepaid and Clearings (8600 through 8670): Prepaid assets represent funds that have been expended, but for which the benefit has not yet been received. Clearing object codes are used to temporarily accumulate funds for later distribution to the correct object codes. Clearing object codes are generally used for control purposes to ensure that all activity is properly accounted for. Select the object code that best describes the prepaid asset or the clearing activity.

    Suspense - General (8600): A clearing object code used to hold amounts from nonpayroll transactions that have been processed by FRS in batch or in data collect, where the account or the subcode recorded for the transaction was invalid. This code should only be used with the Suspense - General clearing account 0-13000. The transaction will be analyzed to determine the error and a correcting journal entry will be processed to transfer the amounts from the clearing account to the correct account and subcode.

    Suspense - Payroll (8610): A clearing object code used to hold amounts from payroll transactions that have been processed in batch or in data collect, where the account or the subcode recorded for the transaction was invalid. This code should only be used with the Suspense - Payroll clearing account 0-13010. The transaction will be analyzed to determine the error and a correcting journal entry will be processed to transfer the amounts from the clearing account to the correct account and subcode.

    Payroll Clearing - Reissued Warrants (8611): A clearing object code used to record the net amount of reissued warrants until distributed to the proper accounts at a later time.

    Payroll Clearing - Employee FICA Payments (8612): A clearing object code used to record the amount of employee FICA payments until distributed to the proper accounts at a later time.

    Payroll Clearing - Hand-drawn Payroll Checks (8619): A clearing object code used to record the net amount of hand-drawn payroll checks until distributed to the proper accounts at a later time.

    Other Clearings (8620): Amounts held in clearing accounts for expenses other than those listed above.

    Prepaid Expenses (8640): Payments made for goods or services one year or less in advance of due date. Examples include prepayments on maintenance agreements, rent of building space, and insurance premiums.

    UNDIS.P/R CHGS (HRS) (8650)

    Deferred Charges (8670): Long-term (extending beyond one year) prepayments for goods or services.

Fixed Assets (8710 through 8790): The capitalized cost of assets owned by the University. Purchased assets are capitalized at cost in accordance with Capital Equipment Inventory; donated assets are capitalized at the fair market value on date of acquisition.

    Land (8710): Land owned by the University. The capitalized amount recorded for purchases of land includes the purchase price; closing costs, such as title, attorney and recording fees; and costs incurred in getting the land in condition for its intended use, such as clearing, grading, and filling.

    Land Improvements (8720): Improvements to land such as landscaping, walkways, parking lots, and fences.

    Buildings (assignable) (8730): Structures owned by the University. The capitalized amount includes the purchase price and all expenditures related directly to its acquisition or construction. This includes materials, labor, overhead costs during construction, architect fees, attorney fees and building permits.

    Buildings Improvements (8740): Improvements to buildings that are of a permanent nature. This would include permanent leasehold improvements.  Examples include installation of awnings and cabinetry construction. Repair and maintenance expenditures are not capitalized.

    Allowance for Depreciation - Capital Assets (8749):  

    A code used in conjunction with 8720, 8730, 8740, 8760, 8780 and 8785 to record allowances for depreciation on ALL depreciable capital assets such as buildings, building improvements, sports facilities, leasehold improvements, infrastructure improvements, telecommunications infrastructure improvements, equipment, capitalized software, library materials and public art.

    8749 will be used only in the following GLs that we have identified to record depreciation expense and accumulated depreciation in:

    089100 - Buildings, Infrastructure & Improvements

    089400 - Oracle Software

    089401 - COSMOS SIS Software

    089960 - FFX Equipment

    089980 - Library Materials

    Equipment (8760): This classification includes all University owned tangible personal property and intangible property that are capitalized other than library books and art objects, which are classified separately. Examples include data processing equipment, software, furnishings, machinery, vehicles, musical instruments and scientific equipment.

    Federal Deliverables (8763): Capital equipment built by the University to be delivered to an outside entity.  The University does not hold title.

    Deliverable (8764): The capitalized cost of equipment furnished to the University by the Federal government.  The University does not hold title.

    Equipment - Federal Title (8765): The capitalized cost of equipment purchased with federal title monies. The University does not hold title to these assets; title remains with the grantor.

    Equipment - Other Title (8766): The capitalized cost of equipment purchased with monies from nonfederal grantors. The University does not hold title to these assets; title remains with the grantor.

    Library Books (8780): Cost or other basis of books held by the University library system. The University library system includes the main, graduate, law, medical and science libraries.

    Art Objects (8785): Cost or other basis of art objects and/or historical artifacts currently on display or held in the archives of University museums.

    Construction in Progress (8790): The capitalized costs of all uncompleted projects for construction of buildings and improvements and development of intangible assets. This object code is used only for the temporary capitalization of all the costs that are accumulated during the construction project. At the completion of the project, the total capitalized amount is transferred to the appropriate object code and recorded as a single asset.

Other Assets

    Other Assets (8800): Amounts recorded for debt issue costs to be amortized in future years.

    Other Assets - Short-Term (8801): Short-term portion of amounts recorded for debt issue costs.

    Other Assets - Long-Term (8802): Long-term portion of amounts recorded for debt issue costs to be amortized in future years.

    Other Assets - Reserves (8810): Amounts of assets reserved for specific uses.

    Internal Loan (8830): When used in an Operating Fund account, is an Internal Loan asset reported on the Statement of New Assets as, "Other Non-Current Assets" and is always used in conjunction with 2980-Due To Plant Funds/Inter-Fund Payables.  When used in Plant Funds, is an Internal Loan "contra" asset reported on the Statement of Net Assets, as "Other Assets" and is always used in conjunction with 19xx-Due From Other Funds/Inter-Fund Receivables.  As the Operating Fund account repays the internal loan via periodic cash transfers, the balance of 1830 is reduced along with the 2980-Due To and the 19xx-Due From.  1830 MUST net to zero for all fund groups combined.  For use as approved by FSO.

Due from Other Funds (8910) Amounts due from an account in another fund. The last two digits indicate the fund group to which the accounts belong. Refer to the object code Listing.

Liabilities

Liabilities are items that the University owes, for example, accounts and notes payable and deferred revenues.

Notes Payable - Short-Term, One Year or Less (9000): Amounts payable on promissory notes written for goods or services received.

Accounts Payable (9100): Amounts owed to suppliers for goods or services which have been received and invoiced. This code is updated automatically when vouchers or credit memos posted in the accounts payable system are flagged to use the accrual basis of accounting.

Accounts Payable, Foreign Currency (9110): Amounts owed to foreign suppliers for goods or services which have been received and invoiced. This code is updated automatically when vouchers or credit memos posted in the accounts payable system are flagged to use the accrual basis of accounting, if payment is to be made in foreign currency. This code is currently not being used.

Sales Taxes Payable (9150): Amounts owed to the State of Arizona Department of Revenue for sales taxes collected. Sales tax is collected on sales of tangible personal property to entities outside the University for consumption (not resale) within the state of Arizona. Sales tax is not collected if the products are sold primarily to other units within the University, and the selling department paid sales tax at the time the items were purchased for resale.

Unapplied Credits (9175): Face value of goods or services owed to entities outside the University that have paid for but not received their goods or services due to unusual circumstances. Examples include an entity that purchased goods from the University but received the wrong items. Upon reshipment of goods to the University, the entity would be credited for future purchases.

Miscellaneous Payables (9190): Accounts payable amounts other than those defined above.

RES. (W/H TAXES-FICA) (9200)

Withholding Federal Taxes - Financial Aid - (9210): Federal income taxes withheld from 1042 payments.

Withholding Federal Taxes - Consultants- (9211): Federal income taxes withheld from 1042 payments.

Payroll Withholdings (9240 through 9282): Amounts withheld as payroll deductions from employee earnings.

Payroll Taxes Payable - Employer's Share (9311 through 9385, 9394-9398, 9810-9899): Amounts of contributions that the University is required to pay as employer. Refer to the object code Listing.

Reimbursements (9390) - Travel and miscellaneous expense reimbursements paid through the payroll system.

Accrued Payables (9410 through 9490): Amounts owed by the University that have not been paid. Refer to the Balance Sheet Listing.

Discount on Bonds and COPs (9443): To record discount from the sale of bonds and COPs

Deferred Cost of Refunding (9450): Deferred amount on cost of refinancing debt (Call Premium) for future amortization.

Deferred Cost of Refunding  (9451): Short Term portion of deferred amount on cost of refinancing debt (Call Premium) for future amortization. For FSO only.

Deferred Cost of Refunding (9452): Long Term portion of deferred amount on cost of refinancing debt (Call Premium) for future amortization. For FSO only.

Deposits (9500 through 9503): Amounts on deposit with the University that the University may be required to repay in the future. NOTE: object codes 2501-2503 may only be used with approval by the Financial Services Office.

ERE Variances (9510 through 9517): The difference between applied and actual ERE contributions. Select the specific object code that describes the classification of employees to whom the variance applies. Refer to the Balance Sheet Listing.

Graduate Assistant Tuition Remission ERE Pool(9518): Records entries in the Graduate Assistant Tuition Remission ERE Pool.

LWOP, Retirees Clearing (9530): Amounts held for employees on leave or retired employees who wish to continue receiving benefits but are not currently receiving paychecks.

HDC Offset Clearing (9531): Amounts held in a clearing account for hand-drawn checks.

Direct Deposit Clearing (9532): Amounts held in a clearing account for employee direct deposits (Sure Pay).

Employee Overpay Clearing (9533): Amounts paid back to the University by employees for payroll overpayments.

Worker's Compensation Clearing (9534): Amounts held in a clearing account for employer's contribution for worker's compensation.

Undistributed Receipts (9535): Used to temporarily record receipts until distributed to the appropriate accounts.

Payroll Agency Reserve (9536): Monies held for insurance refunds and rebates returned to employees.

A/P, Travel Reimbursement (9537): Monies held for expense and travel reimbursements due to employees.

PSPRS Clearing (9538): Used to separately account for the employee portions of health and dental insurance which are paid by PSPRS directly to the State of Arizona.

Prior Year Tax Adjustment Clearing (9539):Used to separately account for prior year tax adjustments and the corresponding refunds/payments to the state and/or federal government.

Credit Card and Bank Deposits (9550-9560): Used to temporarily record bank and credit card receipts until distributed to the appropriate subsidiary ledger account. Refer to the object code Listing.

Federal Refundable Advance-Long Term Liability  (9590):  For use by the Financial Services Office, to record the portion of the federal loan programs that could be returned to the federal government as a liability.

Long-Term Debt (9600 through 9630): Amounts owed by the University to entities outside the University, where the due date is more than one year. Select the specific object code that best describes the type of debt.

Other Liabilities (9700 and 9800):Amounts owed to entities outside the University other than those listed above.

Fund Balances (9900):

The equity of an account, or the portion of assets available for use without incurring additional liabilities. Fund Balance is calculated as the difference between assets and liabilities.

 

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maintained by: Floyd Roman
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