I. GENERAL

This series of G/L accounts should be charged for all supplies and materials used by departments of Duke, except items purchased for resale. Purchases for resale should be charged to the 65xxxx, Cost of Goods Sold, Transferred or Issued G/L accounts.

Items with an expected life of more than two years are considered "plant and equipment", not supplies and materials, and should use G/L accounts 66xxxx, Plant and Equipment Acquisition to be Capitalized if the cost is $5,000 or more or 67xxxx, Plant and Equipment - Minor Acquisitions. if the cost is less than $5,000.

For additional guidance on the most appropriate G/L account to use for expenses within this range, please review the Recommended G/L Accounts for Common Purchases Matrix(link is external).

II. G/L ACCOUNT DEFINITIONS