The national accounts in 2014National accounts - Base 2010
Fixed capital and consumption of fixed capital in 2014National accounts - Base 2010
Gross fixed capital
Net fixed capital
Consumption of fixed capital
Fixed capital and consumption of fixed capital
Fixed capital measures the stock of fixed assets acquired in gross fixed capital formation during previous periods that are still used in the production process at the moment when the stock is measured. Fixed assets acquired in the past at different prices are reassessed at the price of new fixed assets of the same kind (replacement price), to obtain gross fixed capital at current price.
Fixed capital cosumption (P51c) measures, for a given period, the loss in value of the stock of fixed capital used by a producer, resulting from time, normal wear and tear, obsolescence or current accidental damages. Consumption of fixed capital is a cost of production.
Net fixed capital is equal to gross fixed capital less fixed capital consumption. It is the value that appears in the balance sheet accounts.
Fixed capital and consumption of fixed capital can be calculated for institutional sectors and branches of activity.