require it to be considered as held alive and not canceled or retired, it is considered to be nominally issued and nominally outstanding. NOTE C: In the general balance-sheet statement the total capital stock shall be shown in the first short column. The amount nominally but not actually issued and the amount nominally outstanding shall be shown in the second short column, and in the long column shall be shown the amount actually outstanding. 18.529 Premium on capital stock. This account shall include the total of the credit balances in the discount and premium accounts for the several subclasses of capital stock. (See § 18.5–3.)*† 18.530 Funded debt unmatured. This account shall include the total par value of unmatured debt maturing more than 1 year from date of issue, issued by the accounting company and not retired or canceled, and the total par value of similar unmatured debt of other companies, the payment of which has been assumed by the accounting company. The amounts included in this account shall be divided so as to show the par value of certificates or other evidences of funded debt, pledged and unpledged, held in the company's treasury, by its agents or trustees, or otherwise subject to its control, including both those reacquired after actual issue and those nominally but never actually issued; and certificates or other evidences of funded debt issued and actually outstanding, being those not held by the company, its agents or trustees, or subject to its control. The amounts included herein shall be further divided so as to show the amount of each class of funded debt as follows: (a) Collateral trust bonds. Bonds and notes having dates of maturity of more than 1 year after date of issue, secured by liens on securities or other commercial paper; and also stock trust certificates that are similar in character to collateral trust bonds. (b) Miscellaneous obligations. All funded obligations not provided for by the other subdivisions of this account, also notes, unsecured certificates of indebtedness, debenture bonds, plain bonds, real estate mortgages executed or assumed, and other similar obligations maturing more than 1 year after date of issue. (c) Receipts outstanding for funded debt. Receipts for payments on account of funded debt. When certificates are issued for amounts so paid, the par value shall be included in the account covering the class of funded debt for which the certificates are issued. Each of the above classes shall also be divided into subclasses according to differences in mortgage or other lien or security therefor, rate of interest, interest date, or date of maturity. Parts of any issue agreeing in other characteristics but maturing serially may be treated as of the same subclass.*+ NOTE A: Securities maturing 1 year or less from date of issue shall be included in account No. 531, "Loans and notes payable." Matured funded debt shall be included in account No. 536, "Matured funded debt unpaid.' NOTE B: For the purposes of the balance-sheet statement, funded debt securities are considered to be nominally issued when certified by trustees and placed with the proper officer for sale and delivery, or pledged, or otherwise placed in some special fund for the accounting company. They are considered to be actually issued when they have been sold to a bona fide purchaser for a valuable consideration, and such purchaser holds them free from all control by the accounting company. All funded debt securities actually issued and not re *For statutory citation, see note to § 18.00-1. Page 443 acquired and held by or for the accounting company are considered to be actually outstanding. If reacquired by or for the accounting company under such circumstances as require them to be considered as held alive and not canceled or retired, they are considered to be nominally issued and nominally outstanding. NOTE C: In the general balance-sheet statement the total unmatured funded debt shall be shown in the first short column. The amount nominally but not actually issued and the amount nominally outstanding shall be shown in the second short column, and in the long column shall be shown the amount actually outstanding. 18.531 Loans and notes payable. This account shall include the balances representing obligations outstanding in the form of loans and notes payable or other similar evidences of indebtedness (except interest coupons) payable on demand or within a time not exceeding 1 year from date of issue.*t 18.532 Traffic balances payable. This account shall include the net amounts payable to other express companies in favor of each of which there is a net credit balance in the total of the accounts representing interchange of through business and balances payabl`resulting from tonnage agreements and interchange of traffic of all kinds.** NOTE: The amount to be entered in this account is not the balance between this account and account No. 509, "Traffic balances receivable." 18.533 Audited accounts and wages unpaid. This account shall include the amount of audited vouchers or accounts unpaid, and of audited pay rolls unpaid on the date of the balance sheet. It shall include balances representing unclaimed wages, outstanding pay checks, and all other unpaid vouchered items, except traffic balances payable.*+ 18.534 Miscellaneous accounts payable. This account shall include outstanding drafts drawn by agents, outstanding drafts drawn on the company in settlement of claims, deposits of controlled companies, and other items of demand liabilities not covered by accounts Nos. 531, 532, 533, 535, and 536.*† NOTE: The amount to be reported under this account is not the net balance between this account and account No. 511, "Miscellaneous accounts receivable." 18.535 Matured interest, dividends, and rents unpaid. This account shall include the amounts of matured and unpaid interest on debt of the accounting company, and on debt of other companies when payment has been assumed by the accounting company; the amount of dividends payable on capital stock, but unpaid, uncalled-for, or unclaimed at the date of the balance sheet; unpaid dividends on the stock and unpaid interest on the funded debt of other companies when such are payable by the accounting company as part or all of the rent due under terms of leases or otherwise; and all other rents due and payable under leases. This account shall include items as above indicated which mature on the first day following that for which the balance sheet is made.*† 18.536 Matured funded debt unpaid. This account shall include the amount of funded debt matured and unpaid without any specific agreement for extension as to time of payment, including unpresented bonds drawn for redemption through the operation of sinking and redemption fund agreements.** Page 444 *For statutory citation, see note to § 18.00-1. 18.537 Miscellaneous advances payable. This account shall include advances from others not properly classifiable under account No. 531, "Loans and notes payable." *† 18.538 Unpaid money orders, checks, and drafts. This account shall include the amounts of outstanding money orders, travelers cheques, C. O. D. checks, letters of credit, and all similar forms of sight or demand checks and drafts drawn by agents on the company.*+ 18.539 Express privilege liabilities. This account shall include all amounts due to companies, firms, or individuals for the privilege of conducting an express business over transportation lines.*f 18.540 Estimated tax liability. This account shall include the amount of taxes accrued and charged against income accounts No. 317, "Express taxes," and No. 320, "Miscellaneous taxes," in excess of the amounts paid.** 18.541 Unmatured interest, dividends, and rents payable. This account shall include the amount of interest on loans, interest on funded debt issued or assumed, and rents under leases, accrued to the date for which the balance sheet is made but not payable until after the first day following that date; also dividends declared on capital stock not payable until after the first day following the date for which the balance sheet is made. As rents accrued there shall also be included the amount of accrued dividends on the stock and the amount of accrued interest on the funded debt of other companies when such dividends and interest are payable by the accounting company as a part or as all of the rent under leases from those companies.*+ 18.542 Other current liabilities. This account shall include items of current liabilities not covered by accounts No. 531 to No. 541, inclusive. It shall include liability items that have not reached the stage of audited liabilities and become actually payable, yet are obligations of the company and advanced beyond the stage of accounts properly classifiable under account No. 545, "Other deferred liabilities."*† 18.543 Liability on account of provident funds. This account shall include the ledger balances representing the liability of the accounting carrier for the amount of the assets, whether contributed by the company, by the employees, or by others, in the hands of its treasurer or of trustees or managers acting for the company in the administration of employees' pension, savings, relief, hospital, and other association funds.*t NOTE A: This account shall not include items representing funds in which the accounting company has no beneficial interest and which it holds purely as trustee. NOTE B: In stating the balance sheet in the annual reports to the Commission, the liability for provident funds which are carried in the current cash of the company shall be included under current liabilities, in account No. 534, “Miscellaneous accounts payable." 18.544 Liability on account of fidelity and indemnity funds. This account shall include the ledger balances representing the liability of the accounting carrier for the amount of the assets, whether *For statutory citation, see note to § 18.00-1. Page 445 contributed by the company, by the employees, or by others, in the hands of its treasurer or of trustees or managers acting for the company in the administration of fidelity or indemnity funds.*+ 18.545 Other deferred liabilities. This account shall include items of deferred liabilities not covered by accounts No. 543 and No. 544, such as retained percentages due contractors to be paid on completion of contracts, retained percentages on contracts for construction of buildings, and similar items.*t 18.546 Premium on funded debt. This account shall include the total of the net credit balances in the discount, expense, and premium accounts for the several subclasses of funded debt. (See § 18.5-4.)*+ 18.547 Operating and insurance reserves. This account shall include the ledger balances representing reserves created by charges to Operating Revenues or to Operating Expenses for overcharge, personal injury, and other claims and for insurance and similar purposes, such charges being made currently for the purpose of equalizing charges to operating accounts for the current accounting year.*+ NOTE: The credit balances in reserve accounts representing appropriations of income or surplus for sinking funds, etc., shall not be included in this account. (See account No. 553.) Accrued depreciation credit balances shall be included in account No. 548, 549, or 550, as may be appropriate. 18.548 Accrued depreciation-Buildings and equipment. (a) To this account shall be credited amounts charged to account 31, "Depreciation," to cover the loss in service value (note § 18.01–1 (0)) of depreciable carrier property. It shall be credited also with any amounts which the carrier may be authorized to charge to account 417, "Miscellaneous profit and loss debits," in respect to past accrued depreciation not provided for. (See § 18.01-2 (f).) (b) At the time of retirement (note § 18.01-1 (r)) of depreciable carrier property this account shall be charged with the service value (note § 18.01-1 (o)) of the property retired, and to it shall be credited the insurance recovered, if any. (c) For corporate ledger and balance-sheet purposes, this account shall be regarded and treated as a single composite reserve. However, for purposes of analysis, the carrier shall maintain subsidiary records in which the depreciation reserve is broken down into component parts corresponding to the primary building and equipment accounts which include depreciable carrier property (see also § 18.01-2 (d)). These subsidiary records shall show the current credits and debits in the reserve in complete detail by such primary real-property-and-equipment accounts.*† [As amended Mar. 15, 1938, 3 F.R. 662] 18.550 Accrued depreciation-Miscellaneous physical property. To this account shall be credited amounts charged to the expenses of operating property the cost of which is included in account No. 503, "Miscellaneous physical property," to cover the depreciation thereon. To this account shall be charged at the time of retirement amounts equal to amounts previously credited thereto with respect to any property destroyed, sold, or otherwise permanently retired from service.** Page 446 *For statutory citation, see note to § 18.00-1. 18.551 Other unadjusted credits. This account shall include the amount of suspense account credit balances that can not be entirely cleared and disposed of until additional information is received, credit balances in clearing accounts for shop expenses and store expenses, and similar items.t 18.552 Additions to property through income and surplus. This account shall include such amounts of income and surplus as have been definitely appropriated or set aside and expended since June 30, 1908, in the acquisition of property the cost of which is included in property investment accounts other than those for securities. Investments in real property, equipment, and miscellaneous physical property shall be shown separately in the accounting company's records.*t NOTE: Temporary appropriations for the acquisition of property the cost of which is intended later to be met through an issue of securities shall not be included in this account. 18.553 Reserves from income and surplus. This account shall include the net balances in accounts to which are credited definite appropriations of income or surplus held in reserve. This account shall be subdivided under the following heads: (a) Sinking fund reserves. Appropriations of income or surplus specifically set aside in the hands of trustees for sinking and redemption funds, including income accretions to such funds retained therein. (b) Miscellaneous fund reserves. Appropriations of income or surplus, not provided for elsewhere, specifically set aside in the hands of trustees, including income accretions to such funds retained therein. (c) Appropriations not specifically invested. Appropriations of income or surplus for definite purposes not provided for elsewhere, and for which no specific investment or segregation of assets has been made.*† 18.554 Profit and loss balance. This account shall include the balance at the close of the fiscal period as shown in the accounts provided in the classification of profit and loss accounts.** NOTE: The requirement that all similar transactions were to be recorded under accounts having identical captions gave rise to numerous queries, as to the proper application of the mandatory regulations in this part. Decisions upon these accounting questions are published in bulletin form under order of the Commission, and have the force of the original classifications affected. See Accounting Bulletin No. 13 for express companies. PART 19-EXPRESS COMPANIES: DEPRECIATION Section 19.0 Order of the Commission. It appearing, that in compliance with paragraph (5) of section 20 of the Interstate Commerce Act, as amended by the Transportation Act, 1920, the Commission entered upon an investigation into and concerning depreciation charges of common carriers subject to the Act; and that a full investigation of the matters and things involved, in so far as they concern *For statutory citation, see note to § 18.00–1. Page 447 |