Comptroller's Office
 Policies and Procedures Manual

Effective: 01/01/2000
Revised: 03/09/2012 

CMP 430-24: Capital Equipment


To list and define the capital object and sub-object expenditure codes


Advantage accounting system


Sub-object Code Name Code Number Definition
Object Sub-
Freight/Shipping 7830 05 Shipping or freight charges on capital purchases
Office Machines, Equip. & Furniture 7830 10 Desks, File cabinets, conference tables, typewriters microfilm/fiche equipment. (excludes computer equipment and copiers)
Office Furniture 7830 12  
Classroom Furniture 7830 13  
Conference Room Furniture 7830 14  
Lounge/Commons Furniture 7830 15  
Data Processing/Computer Equip. 7830 20 Mainframe, Personal Computers, Printers, Terminals, Monitors, Scanners, CD ROM, etc. Expansion boards, Memory chips, graphic boards, etc., are considered enhancements and will be capitalized as part of the original host computer system, if ordered on the same Purchase order, regardless of cost. "Betterments" (upgrades or enhancements) are defined as extensions, expansions, or accessories to existing capital assets which extend the useful life, increase the efficiency or change the asset's use, and will be capitalized if the additional costs total $5,000 or more.
Copiers & Educational Equip. 7830 30 Copiers (but not leases) and equipment used for educational purposes. Such as: musical instruments, athletic equipment, potters wheels, etc
Scientific/Medical Equipment 7830 40 Includes all scientific and engineering lab equipment and all medical and dental equipment. Ex., Microscopes, various testing meters, centrifuges, CPR dummies, dental scalers, balances.
Research equipment, tax exempt 7830 42 All equipment purchased for the purpose of performing research. The AZ legislature has exempted research equip. from state sales tax
Video and telecommunication 7830 50 Video related equipment (camcorders, TV monitors, VCR), cameras, projection equipment, sound systems, telephone equipment (central switches, cabinets, nodes, etc.)
Vehicles 7830 60 Motor vehicles (cars, buses, trucks, tractors, boats)
Maintenance and shop equipment 7830 70 Floor cleaning machines, vehicle maintenance machinery, Shop equipment. Ex. : floor buffers, engine analyzers, Plumber snakes, lathes, paint sprayers, band saws, mowers.
Capital installation/Labor 7830 80 Installation charges related to capital purchases only.
Other capital equipment 7830 90 Includes household-type equipment and other types of equip. not clearly defined in other Object/Sub-Obj codes. Ex., dining hall equipment, dormitory furniture, alarm systems
Non-Title Equipment 7830 95 ALL capital equipment purchased by a Sponsored Project acct. in which the granting agency retains title to the equipment and NAU maintains a custodial responsibility for the equip. Contact Sponsored Project Services for additional information. (Only Units starting with 3, R, or W should use this sub-object) 
Library Acquisitions 7840 XX Purchases of library acquisitions materials: reference books, periodicals, books, media, databases, contract binding, contract cataloging, etc. These codes should only be used by Cline Library and NAU Yuma library for additions to their collections. Other departments should use 7322-10, Educational and Classroom M&S.

10 Library Books

20 Periodicals

30 Government Documents

40 Maps

50 Micro film/Text

60 Media

70 Databases-CD

75 Databases-Access

80 Binding

90 Other Library Acquisitions

Collections and museum acquisitions 7850 XX Art objects, displays, and other miscellaneous collections Donations are valued based on appraisal (fair market value at the time of the donation). 

10 Special Collections (Specialized  library holdings not included in the general library holdings) 

20 Art Work

30 Museum Acquisitions

90 Other capitalized collections

Intangible Asset - Purchase/License Cost

(see CMP 140 - Intangible Assets)

7865 10





Non-software Licenses

Intangible Asset Internally Generated Costs

(see CMP 140 - Intangible Assets)

7867 10




Consulting Services


Employee Related Expenses

Other Implementation costs


Accessories or Components
Items purchased that add convenience or additional effectiveness to the primary unit being purchased and are shown as separate line items on the RX document.
Capital Equipment
Movable tangible property having a life expectancy of one year or more and a unit cost of $5,000 or more. All accessories or components with a unit cost of $5,000 or more associated with the host unit are also capitalized. Accessories or components with a unit cost less than $5,000 are charged to an operational object code. Refer to CMP 430-14, Noncapital Equipment, for a listing of noncapital object/sub-object codes.

NAU has established a university standard for microcomputer purchases. The following items are capitalized when ordered on the same purchase order and have an aggregate cost of $5,000 or more:

  1. central processing unit (CPU)
  2. keyboard
  3. monitor


  4. operating system.

    Note: Operating system software does not include application software such as Excel or Word Perfect. These software purchases are charged to object/sub-object code 7320 20.

Intangible Assets - see see CMP 140 - Intangible Assets for capitalization thresholds


For additional assistance with capital equipment accounting concerns and coding, please contact John Rabe in the Comptroller's Office.

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