Economic essence and classification of financial assets as objects of accounting observation in State-financed organizations

Subject. This article explores the nature of financial assets, which are complex accounting objects in public sector organizations, as well as their classification for presentation in accounting (financial) reporting. Objectives. The article aims to summarize and systematize information on financial assets in the System of National Accounts, examine the procedure for their accounting in State (municipal) budgetary and autonomous institutions in accordance with the Russian Accounting Standard for Government Finance (FSBU GF) – Financial Instruments, and identify problems in the formation and presentation of information on financial assets in reporting. Methods. For the study, we used the methods of observation, comparison, generalization, and interpretation. Results. The article finds that the System of National Accounts serves as a methodological basis for presenting information on financial assets when determining national wealth. The article offers an original definition of financial assets for accounting in the public sector. It reveals that the requirements of the Russian Accounting Standards for Groups of Assets regarding disclosure in reporting are unfeasible, and the theoretical classification of financial assets according to these standards does not correspond to the practice of preparing the balance sheet. Conclusions. The category Financial Asset is complex at the micro level due to the combination of heterogeneous accounting items. The concept of Financial Asset in FSBU GF is effectively replaced by a list of assets. The classification according to FSBU GF (based on the purposes of acquiring assets) does not coincide with the classification for the balance sheet of a State-financed institution. The presentation of data by FSBU GF groups is only possible in the notes to the financial statements.