Lesson 3. The concept of an accounting account - characteristics in one table

Maintenance and objects

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Today, in accordance with the law in force in Russia regarding accounting, it is assumed that it can be carried out by the following persons:

• Chief accountant of the enterprise.
• The general director of the structure, if the chief accountant is absent.
• An accountant who is not the main one.
• Third party organization. Yes, accounting is a system, the main functions of which can be implemented through third-party accounting support.

You should know that the object of accounting can be the property complex of an organization or business transactions that are carried out by a company in the process of its operation. In addition, the object is considered to be the obligations of the structure.

Accounting tasks

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The key task of accounting is the formation of reliable and complete accounting reports (accounting information) regarding the activities of the structure and its property status, which is necessary for internal users of accounting. Among them are the founders, managers, owners of the organization’s property apparatus, participants, as well as external investors, creditors and other users of accounting records. It is important to note that based on these statements, it can be assumed that the accounting objectives are the following:

• Preventing negative results regarding the company’s economic activities.
• Identification of on-farm reserves related to ensuring the financial stability of the company.
• Monitoring compliance with legislation in the process of implementing business operations by the organization.
• Checking the feasibility of economic transactions. It should be noted that this task follows from the definition of accounting.
• Control over the presence and movement of obligations and property of the enterprise.
• Checking the use of labor, material and financial resources.
• Monitoring compliance of activities with approved standards, norms and estimates.

Features of accounting for SMEs

Companies that are classified as small businesses may keep their accounting records short or simplified. This is especially true for those companies that use the simplified taxation system (STS) or the unified tax on imputed income (UTII), which do not require detail. Therefore, companies can not use the entire chart of synthetic accounts, but only some of them, the data for which appears in the simplified balance sheet. For example:

• for inventories - account. 10 “Materials” (instead of accounts 07 “Equipment for installation”, 10 “Materials”, 11 “Animals for growing and fattening”, etc.);
• for costs associated with production and sales - inc. 20 “Main production” (instead of accounts 20 “Main production”, 23 “Auxiliary production”, 25 “General production expenses”, 26 “General business expenses”, 28 “Defects in production”, 29 “Service production and facilities”, 44 “Expenses” for sale");
• for goods and finished products - invoice. 41 “Goods” (instead of accounts 41 “Goods” and 43 “Finished products”);
• for capital - account. 80 “Authorized capital” (instead of accounts 80 “Authorized capital”, 82 “Reserve capital”, 83 “Additional capital”);
• for accounts receivable and payable - account. 76 “Settlements with various debtors and creditors” (instead of accounts 62 “Settlements with buyers and customers”, 71 “Settlements with accountable persons”, 73 “Settlements with personnel for other transactions”, 75 “Settlements with founders”, 76 “Settlements with different debtors and creditors", 79 "On-farm settlements").

At the same time, the entire theory of accounting must be described in detail in the accounting policy. Typically, such companies operate on the cash basis, since income is recognized for tax purposes upon payment.

Legal documents

• Federal Law of December 6, 2011 No. 402
• By Order of the Ministry of Finance of the Russian Federation dated October 31, 2000 No. 94n

Key methods and elements of accounting

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The main accounting methods are the following:

• Inventory.
• Documentation.
• Calculation.
• Accounts.
• Grade.
• Double entry.
• Financial statements.
• Balance sheet.

It is worth noting that the tasks listed in the previous chapter are solved using the named methods, the totality of which is called the accounting method. In accordance with the definition of accounting, let's consider its elements in more detail:

• Documentation should be understood as written evidence regarding the implementation of an economic transaction, which gives accounting data legal force.
• Valuation is a way of expressing money and its sources in material terms.
• Among the basic definitions of accounting, it is important to note accounting accounts. This is a technique for grouping the current reflection of the property apparatus, operations and obligations.
• Double entry is nothing more than an interconnected display of economic transactions on accounting accounts, according to which each transaction is simultaneously recorded in the debit of the first account and the credit of the second account for the same amount.
• The basic definitions of accounting include inventory. This is a check of the availability of property that is listed on the organization’s balance sheet. It is worth noting that it is carried out through description, calculation, mutual reconciliation, weighing, evaluation of identified funds, as well as comparison of the information received with accounting information.
• Balance sheet. As we found out, the objects of accounting are liabilities, property and business transactions. In turn, boom. the balance serves as a source of information and a way of forming these objects, expressed in a material assessment and formed on a specific date.
• Calculation should be considered the calculation of the cost per unit of a product, service, or work in monetary terms. In other words, this is a cost calculation.
• In accordance with the definition of the concept of accounting, financial statements must be understood as a set of accounting indicators that are reflected in the form of tables. It should be added that they characterize the movement of liabilities, property, as well as the financial position of the company during the reporting period.

Accounting: history and present day

The founder of accounting is considered to be the Italian mathematician Luca Pacioli, who was the first to systematize the double entry method, and in his works laid the foundations of accounting. This happened in the Middle Ages - back in the 15th century.

Currently, the basics of accounting in the Russian Federation are established in the Federal Law “On Accounting” dated December 6, 2011 No. 402. The main task of accounting is the formation of systematic information about the work of the company, which serves for the preparation of financial statements. Certain aspects of accounting are regulated by the Accounting Regulations. In recent years, the basic concepts of accounting under Russian standards (RAS) have been systematically brought into line with international financial reporting standards (IFRS).

Accounting Principles

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In short, accounting is a system that has certain principles. Among them, it is important to note the following points:

• The principle of autonomy, according to which any enterprise exists and develops as an independent legal entity. Accounting reflects only property that is recognized as the property of this organization.
• The principle of double entry, according to which all economic transactions are shown simultaneously as a credit to one account and a debit to another account for the same amount.
• The principle of the current structure assumes that the enterprise performs its own functions and plans to maintain certain positions in the economic market in future periods, in the prescribed manner and within the specified time frame, paying off obligations arising to partners.
• The principle of objectivity in accordance with the definition of accounting objects is that all economic transactions must be reflected in accounting, be registered during all stages of accounting, and confirmed through supporting documentation, on the basis of which accounting is carried out.
• The principle of prudence implies a certain degree of caution when forming judgments that are necessary when making calculations under conditions of uncertainty. It is worth noting that this caution helps prevent overstatement of income or assets and understatement of expenses or liabilities. Compliance with this principle prevents the appearance of excessive inventories and hidden reserves, deliberate understatement of income or assets, and deliberate overstatement of expenses or liabilities.

conclusions

Lesson 3 Summary:

1. An accounting account is a two-sided table designed to record all business transactions.
2. The left column is debit, the right column is credit.
3. Transactions are reflected in monetary terms.
4. There are a total of 99 balance sheet accounts and 11 off-balance sheet accounts, which are reflected in a ledger called the Chart of Accounts.
5. The organization creates a Work Plan from those accounts that are useful in the work.
6. All accounts are divided into: active, passive and active-passive; synthetic and analytical; on-balance sheet and off-balance sheet.

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Lesson 2. What are assets and liabilities in simple words?

Accrual principle

It is advisable to consider the accrual principle separately, since its content is quite extensive. As we found out, accounting is a system that operates in accordance with certain rules. The accrual principle assumes that all economic transactions are recorded as they occur, rather than when they are paid, and are included in the accounting period in which the activity occurs. This rule can be conditionally classified into the following components:

• The principle of recording revenue (income), according to which an organization’s income is reflected when it is received, but not when payment is made.
• The principle of correspondence: the income of the reporting period, one way or another, must be correlated with the expenses that made these incomes a reality.

Additional principles

Accounting is a system that includes, in addition to the above rules, the following additional principles:

• The principle of frequency, according to which it is important to regularly prepare financial statements and balance sheets for the following periods: month, quarter, half-year, year. It is worth noting that this principle organizes the comparability of reporting information, and also after a certain period allows for the calculation of the financial results of the company.
• The principle of confidentiality, according to which the content of internal credentials is a trade secret of the structure. Thus, for damage to its interests or disclosure, liability is provided for, established by the legislation in force in the country.
• The principle of material measurement assumes that the country’s currency acts as a unit of monetary quantitative measurement of the facts of economic activity.

The importance of accounting in an enterprise

It is impractical to plan the company’s future work without taking into account analytical data for previous production periods. Analytical accounting data allows managers to build a company strategy or make changes to an existing development plan. The importance of accounting for an enterprise plays a big role at the planning stage of further business strategy.

A competent manager studies accounting data very carefully before making the next decision that concerns the company’s finances.

Accounting occupies a leading place in the organizational work of an enterprise.

Accounting helps determine the timeliness of budget allocations and mutual settlements with partners and contractors. The accounting department displays all financial data in the balance sheet and financial statements.

Important: These documents are required to be completed by the accounting department; they must be completed once a year, where the reporting period is considered to be from January 1 to December 31 of the previous year.

Financial statements are submitted to statistical authorities no later than February 28 of the current year, and to the fiscal service no later than 60 days from the end of the reporting period.

Classification of categories

What types of accounting are currently known? It is worth noting that the initial point of economic accounting is the observation of phenomena and facts of economic activity. Today there are three types of economic accounting: operational, statistical and accounting. It is the latter that is interesting to us. Its classification is defined as follows:

• Management accounting is accounting in accordance with which the collection, processing and subsequent provision of accounting information for the management needs of the enterprise is carried out. It should be noted that the main goal of management accounting is the creation of an information system in the company. The task of this type is to prepare complete and reliable information, which is a source for making the necessary decisions by enterprise managers in the management process. It is worth adding that the main part of this accounting consists not only in accounting itself, but also in the subsequent analysis of costs, in other words, the cost of the manufactured product. Management accounting is closely interconnected with the analysis of ready-made information for the company's management (optimal reduction of the expenditure component, improvement of the production process, and so on). This information is usually used when making management decisions in the case of forecasting and planning activities for the purpose of accounting for financial resources. It is necessary to add that management accounting data is recognized as a commercial secret of the structure. They should not be disclosed to employees.
• Financial accounting should be understood as accounting information regarding the company’s income and expenses, accounts payable and receivable, compilation of property, funds, and so on.
• It is advisable to consider tax accounting as a type of accounting, according to which data is summarized to identify the tax base based on information from primary documentation, grouped according to the order provided by the Tax Code in force on the territory of the Russian Federation.

Basic accounting terms and their definitions

Advance report

- a document of a standard form, drawn up and submitted by accountable persons, which indicates the amounts received on account, actual expenses incurred, the balance of accountable amounts or their overspending. Documents confirming the expenses incurred are attached to the advance report.

Advance payment

— depositing funds, making payments to pay for goods, works, services before they are received or performed.

Advice -

official notification of one organization to another about changes in the state of mutual settlements or settlements with third parties. Advice notes can be postal or telegraphic.

Holdings

— cash, bills, checks, letters of credit of the organization; cash in rubles and foreign currency, gold, securities owned by the bank, as well as its monetary resources and valuables in accounts in foreign banks.

Letter of Credit

- the bank’s obligation to make payment to the supplier at the request and in accordance with the instructions of the buyer.

Balance sheet asset

- part of the balance sheet, which reflects the availability of property by composition and location in monetary value.

Acceptance

— consent to payment of monetary and commodity documents.

Promotion

- a security certifying the right of its holder to receive profit in the form of dividends and to participate in the management of the affairs of a joint-stock company.

Excise tax

- an indirect tax included in the price of goods and paid by the buyer. Most often, excise taxes are imposed on wine and vodka products, beer, tobacco products, delicacies, luxury goods, and cars.

Depreciation

— gradual wear and tear of fixed assets and transfer of their value to manufactured products.

Depreciation deductions -

monetary expression of the amount of depreciation of fixed assets included in the cost of products (works, services).

Analytical accounting

— accounting that is maintained in personal accounts, material and other accounting accounts, grouping detailed information about property, liabilities and business transactions within each synthetic account.

Auction

— alternate sale of goods based on buyer competition.

Balance sheet

- a source of information reflecting in monetary terms the state of the organization’s property according to the composition and location of the sources of their formation, compiled for the reporting period.

Banking

loan - an amount of money provided by a bank to an organization in the form of lending.

Broker

- an intermediary between sellers and buyers of goods, securities, currency (person, company, organization).

Gross

- weight of the product including packaging.

Accounting documents

- a written certificate of the right to carry out business transactions and proof of their actual completion.

Accounting information

— timely and high-quality information about the organization’s economic activities, necessary for making informed management decisions.

Financial statements

— a unified system of data on the property and financial position of an organization and the results of its economic activities, compiled on the basis of accounting data in established forms.

Accounting entry

- an instruction to simultaneously record an amount as a debit to one account and a credit to another account.

Accounting

— an orderly system for collecting, registering and summarizing information based on documents; continuous and interconnected reflection of property and business transactions in monetary value.

Currency

- a monetary unit that forms the basis of the monetary system of a country (national currency) or a foreign state (foreign currency).

Balance Sheet Currency

— totals of assets and liabilities of the balance sheet for the reporting period, expressed in monetary terms.

Drawer

- a borrower, a debtor who issued a bill, received a loan on it and is obliged to repay the bill, repay the debt.

Bill holder

- the person to whom the bill of exchange has been transferred, its holder, has the right to receive the amount of money specified in the bill of exchange from the drawer.

Bill of exchange

- a written promissory note that gives its owner the right, upon expiration of the term, to demand payment of a specified amount of money from the debtor.

Extracts from bank accounts of organizations

— documents issued by banking institutions to organizations and reflecting the movement of funds in settlement (current) accounts.

Dividend payment

— issuance of dividends to the owner of the security, distributed from net profit.

Issue of securities

— a set of securities of one issuer that provide the same volume of rights to the owners and have the same volume of issue (initial placement). All securities of the same issue must have the same state number.

Revenue

- funds received or proceeds from the sale of goods, works, services by an organization, firm, or entrepreneur.

The state budget

- the composition of state income and expenses for a certain period.

Double entry

- each business transaction is reflected in the accounting accounts twice in the debit of one account and at the same time in the credit of another account interconnected with it for the same amount.

Debit

- part of the account (left) of the accounting system, which shows an increase for active accounts, and a decrease for passive accounts.

Debtor

— legal entities and individuals who are responsible for the organization’s debt.

Accounts receivable

— the organization’s debt for goods, works and services, products, advances issued, amounts due to accountable persons, etc.

Cash

- cash and demand deposits.

Depository

- an individual or legal entity to whom deposits are entrusted (cash or securities placed for storage in banks).

Depositor

- an individual or legal entity who owns funds temporarily held by an organization.

Dealer

- a person or company that resells goods.

Extra capital

- increase in property (prior to valuation, receipt of share premium, gratuitous receipt of valuables).

Documentation (primary accounting)

— a method of registering property, liabilities and business transactions with accounting documents.

Document flow

– the path that a document takes from the moment of its preparation to its delivery to the archive.

Additional accounting accounts

- regulating accounts, which increase the balance of property in the main accounts by the amount of their balance.

Additional wiring

- applies when the amount recorded in the accounting registers is less than the actual amount.

Income of the organization

— an increase in economic benefits as a result of the receipt of assets (cash, other property) and (or) repayment of liabilities, leading to an increase in the capital of the organization, with the exception of contributions from participants (owners of property).

Off-balance sheet accounts

— accounts whose balances are not included in the balance sheet and are shown in its currency, i.e. behind the balance.

Borrowed sources of property formation

— sources available to organizations for a certain period of time; upon expiration of this period they must be returned to their owner with or without interest.

Inventory

– clarification of the actual availability of property and financial liabilities by comparing them with accounting data as of a certain date.

Selective inventory

– carried out in individual areas of production or when checking the work of financially responsible persons.

Periodic inventory

- carried out within a specific time frame depending on the type and nature of the property.

Permanent inventory

— each object is inventoried once during the year.

Inventory is complete -

verification of all types of property and financial obligations of the organization; carried out before the preparation of the annual report and according to the requirements of financial and investigative authorities.

Investment activities

— acquisition and sale of long-term and short-term assets and other investments that are not cash equivalents.

Depreciation of fixed assets

— loss of fixed assets of their consumer properties and value.

Costing

— the procedure for the sequential inclusion of costs for the production of products (works, services) and methods for determining the cost of individual types of products.

Classification of accounting accounts

— combining them into groups based on the homogeneity of the economic content of the indicators of property, liabilities and business transactions reflected in them.

Contrary accounting accounts

- regulating accounts, which reduce the balance of property in the main accounts by the amount of their balance.

Corrective method

— the procedure for correcting errors in accounting records by crossing out the erroneous entry and entering the correct one.

Account correspondence

- the relationship between accounts that occurs under the double entry method.

Credit

- part of the account (right) of accounting, which shows for passive accounts an increase in the initial balance, and for active accounts - a decrease.

Creditors

- legal entities and individuals to whom the organization owes.

Accounts payable

- the amount of debt of the organization to other organizations and individuals.

Clearing

— a system of non-cash payments for counter obligations for goods, securities and services carried out between banks and the state.

LIFO

- a method of accounting for inventory in value terms at the price of the last batch received or manufactured.

International Accounting Standards -

a set of accounting rules, methods and procedures developed by highly professional international organizations; are advisory in nature.

Value added tax (VAT)

- an indirect tax on goods, works and services, the basis of which is the value added at each stage of production and sale of goods.

Intangible assets

- durable objects (more than one year), have a monetary value and generate income, but are not tangible assets for the organization.

Non-residents

- individuals who do not have a permanent residence in Russia (including those temporarily located in Russia), as well as international organizations, their branches and representative offices.

Net

— weight of goods without packaging.

Penalty

- a fine for failure of one of the parties to fulfill contractual obligations.

Bonds

- one of the most common types of bearer securities.

Working capital

- objects of labor that lose or modify their natural form, are completely consumed in one production cycle, and transfer their entire value to the product. This includes finished products and goods for resale.

Circulation of securities

— conclusion of civil transactions involving the transfer of ownership of securities.

Accounting objects

— property of organizations, their obligations and business transactions carried out by organizations in the course of their activities.

Operating activities

- the main income-generating activities of the organization and other activities, except investment and financial.

Fixed assets

- part of the property used as means of labor in the production of products, performance of work or provision of services, or for the management of an organization for a period exceeding 12 months, or the normal operating cycle if it exceeds 12 months.

Residual value of fixed assets –

original or replacement cost less depreciation.

Diverted funds

- part of the funds withdrawn from the organization during the calendar year and not participating in economic turnover or directed to special needs.

Grade -

a way of expressing property in monetary terms.

Balance sheet liability -

part of the balance sheet in which property is determined by the sources of its formation in monetary value.

Chart of Accounts –

a systematic list of synthetic accounting accounts.

Initial cost of fixed assets

- the amount of actual expenses of the organization for the acquisition, construction and production of fixed assets, with the exception of value added tax and other taxes.

Cash flows

— inflow and outflow of cash and other equivalents.

Balance sheet profit

- the amount of profit from the sale of products (works, services), fixed assets, other property and income from non-sales operations, reduced by the amount of expenses for these operations.

Profit -

an economic category expressing the financial results of an organization’s economic activities, i.e. the excess of income over expenses, losses and damages for the reporting year.

Profit in trading

— the difference between revenue and the cost of goods at purchase prices and distribution costs excluding VAT and sales tax.

Profit from the sale of products (works, services) and goods -

the difference between the proceeds from the sale of products in current prices without VAT, excise taxes, export duties, sales tax and other similar payments and the costs of its production and sale.

Accounting Principles

- the basis, the basic position of accounting as a science, which predetermines all subsequent statements arising from it.

Placement of an issue-grade security—

alienation of issue-grade securities by the issuer (first owner) by concluding civil transactions.

Organization expenses

— a decrease in economic benefits as a result of the disposal of assets (cash, other property) and (or) the emergence of liabilities leading to a decrease in the organization’s capital, with the exception of a decrease in contributions by decision of participants (owners of property).

Checking account

— an organization’s account in a banking institution, intended for storing available funds and conducting current payments in cash and non-cash form.

Reserve capital

— the total amount of reserves formed from profit after tax.

Resident

- a legal or natural person who is not a foreigner in a given country.

Renovation

— the process of renewal, replacement of fixed assets retired as a result of physical and moral wear and tear (depreciation) with new ones.

Head of the organization

- the head of the executive body of the organization or the person responsible for conducting the affairs of the organization.

Balance

— balance of the accounting account. The balance is divided into initial (C1) and final (C2).

Product cost

— valuation of natural resources, raw materials, materials, fuel, energy, fixed assets used in the production process of products (works, services), as well as other costs for its production and sale.

Synthetic accounting

— accounting of generalized accounting data on types of property, liabilities and business transactions according to certain economic characteristics, which is maintained on synthetic accounting accounts.

Complex accounting entries

- an accounting entry in which one account is debited and several accounts are credited, or several accounts are debited and one account is credited.

Own sources of property

– the material base of the organization in monetary terms: capital, depreciation, funds, reserves, profit, budget financing, receiving funds as a gift.

Red reversal method

(negative entry) - used to correct erroneous correspondence of accounts or entry of a larger amount than it should have.

Balance Sheet Items -

lines of assets and liabilities of the balance sheet, characterizing certain types of property of the organization and its liabilities.

Subaccount

- intermediate accounts between synthetic and analytical, intended for additional grouping of analytical accounts within a given synthetic account, expressed in natural and monetary measures.

Analytical accounts

detail the content of synthetic accounts for certain types of property and transactions, expressed in natural, monetary and labor measures.

Synthetic accounting accounts

- generalized indicators of property and operations for economically homogeneous groups, expressed in monetary terms.

Current (replacement) cost of fixed assets

- the amount of money that must be paid at the present time if it is necessary to replace any object. This assessment is used mainly when revaluing an item of fixed assets.

Current market value (sales value) of fixed assets

- the amount of money that can be received as a result of the sale of an object or when the deadline for its liquidation occurs.

Authorized capital

- the totality of contributions of the founders to the property of the organization upon its creation in monetary terms.

Accounting policy of the organization

— a set of accounting methods (primary observation, cost measurement, current grouping and final generalization of the facts of economic activity).

Discount rate

— interest rates at which the Central Bank of the Russian Federation provides loans to commercial banks.

Accounting register

- cards, statements, ledgers intended for accounting.

FIFO

- a method of accounting for inventory, according to which they are fixed in monetary terms at the price of the first incoming batch of these goods.

Accounting Form

— a set of accounting registers that predetermine the connection between synthetic and analytical accounting, methods and techniques for registering business transactions, technology and organization of the accounting process.

Economic accounting

- a system for observing, measuring and recording material production processes in order to control and manage them under the conditions of a specific system.

Check

- a special document according to which cash is issued from bank accounts and with the help of which non-cash payments are made for goods and services.

Net profit (net loss)

- the final financial result, composed of the financial result from ordinary activities, as well as other income and expenses, including emergency ones.

Issuer

- a legal entity, executive authority or local government body that bears, on its own behalf, obligations to the owners of securities to exercise the rights assigned to them.

Functions

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The main functions of accounting include the following elements:

• The control function involves fully ensuring control over the availability, safety and continuous movement of means of labor, objects of labor, money, as well as the timeliness and correctness of payments to the state and its individual services. It is worth noting that three types of control are carried out through accounting, including preliminary, current and subsequent control.
• The information function is one of the main ones, because in accordance with it, accounting is considered a source of information both for all divisions of the company and for higher institutions. It must be borne in mind that the data must certainly be prompt, timely, reliable and objective.
• Ensuring the safety of the company's property apparatus. It should be noted that the implementation of this function largely depends on the current accounting system, as well as on the availability of warehouse space and specialization. Warehouses, one way or another, must be equipped with organizational technology.
• The feedback function assumes that accounting generates and subsequently transmits feedback information.
• The analytical function implies the disclosure of existing errors and shortcomings in the system. Through it, methods for improving the activities of the structure and its individual divisions are reflected and analyzed.

Meters in accounting

You should know that accounting primarily involves the quantitative measurement of the objects listed in the previous chapters. This is precisely the goal pursued by the use of accounting meters, which are labor, natural and monetary. Natural meters are used to display processes with mass (tons, kilograms, etc.), measure, counting (number of pairs, pieces, etc.), and other parameters in a natural key.

Labor meters are used to record the amount of working time spent, usually calculated in minutes, hours or days. It must be borne in mind that labor meters, together with natural ones, can be used to calculate the amount of wages, identify its productivity, and also to determine production standards.

The monetary meter occupies a central position in accounting. It is used to reflect a variety of economic phenomena and summarize them in a single material assessment. It should be remembered that only through a monetary meter can one calculate the total value of an organization’s heterogeneous property apparatus (materials, machines, buildings, and so on). The expression of this meter is relevant in rubles and kopecks (in the Russian Federation). It is necessary, in particular, for calculating the cost of a product, calculating losses or profits of a company, and reflecting the results of the economic activity of an enterprise.

What is included in the basic principles of accounting

The table below presents the basic accounting principles:

Legal documents

• Federal Law “On Accounting” dated December 6, 2011 No. 402
• By Order of the Ministry of Finance of the Russian Federation No. 94n dated October 31, 2000