CHAPTER 706 - MOTOR CARRIERS

NAC 706.636 “Replacement asset” and “replacement property” defined. (NRS 706.8818, 706.8829) “Replacement asset” or “replacement property” means an asset or property which will perform substantially the same functions or serve a purpose similar in nature to the asset or property …

NAC 706.639 “Salvage value” defined. (NRS 706.8818, 706.8829) “Salvage value” means: 1. The amount received for property retired or disposed of, less the cost of disposition. 2. An arbitrary value set up for accounting purposes on resalable, usable or depreciable property. [Taxic…

NAC 706.642 “Service life” defined. (NRS 706.8818, 706.8829) “Service life” means the period of time between the date when property is placed in service and the date of its retirement from service. [Taxicab Auth., Uniform System of Accounts Reg. Definitions § 29, eff. 12-24-70]

NAC 706.645 “Service value” defined. (NRS 706.8818, 706.8829) “Service value” means the difference between the book cost and the salvage value of property owned by the company. [Taxicab Auth., Uniform System of Accounts Reg. Definitions § 30, eff. 12-24-70]

NAC 706.648 “Straight-line method” defined. (NRS 706.8818, 706.8829) “Straight-line method,” as applied to depreciation accounting, means the plan under which the service value of property is charged to depreciation expense and credited to depreciation reserves through equal peri…

NAC 706.651 Records required. (NRS 706.8818, 706.8829) 1. Each company must keep its books of account and all other books, records and memoranda which support the entries in its books of account and be able to furnish readily full information as to any item included in any accoun…

NAC 706.654 Accounting method and period. (NRS 706.8818, 706.8829) 1. Each entry in the uniform system of accounts for taxicab operations must be made by the “double-entry” method of bookkeeping and each account must be maintained on an “accrual basis.” If bills covering such tra…

NAC 706.657 Accounting method: Interpretation. (NRS 706.8818, 706.8829) To maintain uniformity of accounting, companies shall submit questions of doubtful interpretation to the Authority for consideration and decision. [Taxicab Auth., Uniform System of Accounts Reg. Gen. Instruct…

NAC 706.660 Item lists. (NRS 706.8818, 706.8829) Lists of “items” appearing in the texts of the accounts or in NAC 706.558 to 706.855, inclusive, are for the purpose of more clearly indicating the application of the prescribed accounting. The lists are intended to be representati…

NAC 706.663 Functional divisions of accounts. (NRS 706.8818, 706.8829) Functional divisions of accounts have been set up in NAC 706.558 to 706.855, inclusive, and all such accounts must be used if applicable to the company’s operations. [Taxicab Auth., Uniform System of Accounts …

NAC 706.666 Inventory requirements. (NRS 706.8818, 706.8829) 1. Physical inventories must be taken on the last day of each calendar year, or in lieu thereof, during the last week of the calendar year, of all materials and supplies which affect the operational, repair or maintenan…

NAC 706.669 Fixed assets. (NRS 706.8818, 706.8829) The accounts must include the original cost of all property which: 1. Is owned by the company and devoted to the company’s taxicab operations; 2. Has an estimated service life of more than 1 year; and 3. Had an original cost of o…

NAC 706.672 Depreciable assets. (NRS 706.8818, 706.8829) 1. To insure that all records for preparing financial reports forwarded to the Taxicab Authority are maintained on a comparable basis, the requirements regarding depreciation for reporting and regulatory purposes are shown …

NAC 706.675 Gain or loss on dispositions. (NRS 706.8818, 706.8829) 1. Account 596, Gain or Loss on Disposal of All Automotive Equipment, must include all gains or losses as appropriate on the disposition of taxicabs of the company devoted to its taxicab operations. 2. This accoun…

NAC 706.678 Payroll and payroll costs. (NRS 706.8818, 706.8829) 1. Salaries, wages, or other compensation, including reasonable salaries paid to officers and proprietors, and payroll costs applicable to such compensation, must be maintained on a functional division basis and char…

NAC 706.681 Current assets: Items not to be included. (NRS 706.8818, 706.8829) Any item, the amount or collectibility of which is not reasonably assured, must not be included in the group of accounts designated as current assets, unless an adequate provision for possible loss has…

NAC 706.684 Current assets: Account for cash on hand. (NRS 706.8818, 706.8829) The account for cash on hand includes all undeposited money, in cash or checks, as of the close of business at the year’s end. Proper credit must be made to the accounts for which this money was receiv…

NAC 706.687 Current assets: Account for cash in banks. (NRS 706.8818, 706.8829) The account for cash in banks includes all money on deposit in a banking institution to the credit of the company. Special cash deposits for payment of interest, dividends, payroll taxes or other spec…

NAC 706.690 Current assets: Account for petty cash. (NRS 706.8818, 706.8829) 1. The account for petty cash includes all money used to facilitate disbursements for small expenditures and to avoid the drawing of many small checks. It also includes any money used for check-cashing a…

NAC 706.693 Current assets: Account for accounts receivable-trade. (NRS 706.8818, 706.8829) 1. The account for accounts receivable-trade includes any amounts that may be due the company arising from or attributable to the company’s taxicab operations, for which payment has not be…

NAC 706.696 Current assets: Accounts for employees’ and officers’ accounts receivable. (NRS 706.8818, 706.8829) 1. The account for accounts receivable—employees includes any amounts that may be due the company from its employees, exclusive of officers, for which payment has not b…

NAC 706.699 Current assets: Account for notes receivable. (NRS 706.8818, 706.8829) 1. The account for notes receivable includes the book cost, not includable elsewhere, of all collectible obligations in the form of notes, drafts and similar evidences of money due the company. 2. …

NAC 706.702 Current assets: Account for other accounts receivable. (NRS 706.8818, 706.8829) The account for other accounts receivable includes any amounts that may be due the company that are not attributable to the company’s taxicab operations, for which payment has not been rec…

NAC 706.705 Current assets: Account for bad debts. (NRS 706.8818, 706.8829) Provision for any actual or probable losses under the accounts described in NAC 706.693 to 706.702, inclusive, must be credited to the account for bad debts with a corresponding charge to the account for …

NAC 706.708 Current assets: Account for inventory supplies. (NRS 706.8818, 706.8829) 1. The account for inventory supplies includes the inventories of all gasoline and other fuel in storage tanks at the end of the calendar year, using the lower of cost or market method to compute…

NAC 706.711 Current assets: Account for prepaid expenses. (NRS 706.8818, 706.8829) 1. The account for prepaid expenses includes amounts representing prepayments, for example, insurance, rents, taxes and other items, and must be maintained and supported in such manner as to disclo…

NAC 706.714 Current assets: Account for refundable deposits. (NRS 706.8818, 706.8829) The account for refundable deposits includes all refundable deposits with federal, state, county or municipal authorities as well as fiscal agents or others for the fulfillment of obligations. […

NAC 706.717 Current assets: Account for miscellaneous current assets. (NRS 706.8818, 706.8829) The account for miscellaneous current assets includes the book cost of all other current assets not provided for elsewhere, appropriately described and supported so as to show the natur…

NAC 706.720 Accounts for fixed assets. (NRS 706.8818, 706.8829) 1. Accounts for fixed assets include the original cost of property owned by the company which is devoted to the company’s taxicab operations, having an estimated service life of more than 1 year and a cost of $100 or…

NAC 706.723 Fixed assets: Land account. (NRS 706.8818, 706.8829) 1. The land account includes the cost of all land devoted to the company’s taxicab operations. In addition to the original price of the land, this account must include all costs incidental to the purchase when acqui…

NAC 706.726 Fixed assets: Buildings account. (NRS 706.8818, 706.8829) The buildings account includes the cost of all buildings devoted to the company’s taxicab operations. The cost of buildings includes the cost of fixtures attached to and forming a permanent part of the building…

NAC 706.729 Fixed assets: Account for leasehold improvements. (NRS 706.8818, 706.8829) The account for leasehold improvements includes the cost of all additions to and improvements of property leased from others. All entries must be made with sufficient detail to permit ready ide…

NAC 706.732 Fixed assets: Account for shop and garage equipment. (NRS 706.8818, 706.8829) The account for shop and garage equipment includes the cost of all hoists, electric motors, lathes, drill presses, air compressor equipment, tire changing equipment, wheel alignment equipmen…

NAC 706.735 Fixed assets: Account for furniture and office equipment. (NRS 706.8818, 706.8829) The account for furniture and office equipment includes the cost of all office furniture, business machines and equipment not permanently attached to the building, which are used in the…

NAC 706.738 Fixed assets: Taxicab account. (NRS 706.8818, 706.8829) The taxicab account includes the cost of all taxicabs devoted to the company’s operations, including the cost of painting and the first set of accessory equipment necessary to fit the taxicab for service, except …

NAC 706.741 Fixed assets: Account for other automotive equipment. (NRS 706.8818, 706.8829) The account for other automotive equipment includes the cost of all motor vehicles, other than taxicabs, which are used in connection with the operations of a taxicab company. [Taxicab Auth…

NAC 706.744 Fixed assets: Account for air conditioners. (NRS 706.8818, 706.8829) The account for air conditioners includes the cost of any air conditioner that is added to a taxicab, and is not part of the original cost of the taxicab as included in the taxicab account described …

NAC 706.747 Fixed assets: Taximeter account. (NRS 706.8818, 706.8829) The taximeter account includes the cost of each taximeter owned by the company and devoted to the company’s taxicab operations, including the cost of its original installation on a taxicab and its accessories. …

NAC 706.750 Fixed assets: Account for fuel conversion kits. (NRS 706.8818, 706.8829) The account for fuel conversion kits includes the cost of each fuel conversion kit including the cost of its original installation on a taxicab and any necessary accessories. This account must be…

NAC 706.753 Fixed assets: Account for fuel conversion plants. (NRS 706.8818, 706.8829) The account for fuel conversion plants includes the cost of setting up a fuel conversion plant in order to convert natural gas to a liquid state for use as fuel in the operation of taxicabs. In…

NAC 706.756 Fixed assets: Account for radio and telephonic equipment. (NRS 706.8818, 706.8829) The account for radio and telephonic equipment includes the cost of all radio and telephonic equipment owned by the company and devoted to the company’s taxicab operations, including th…

NAC 706.759 Account for other fixed assets. (NRS 706.8818, 706.8829) The account for other fixed assets includes the cost of all tangible property and equipment devoted to the company’s taxicab operations for which a separate account has not been provided. All entries in this acc…

NAC 706.762 Account for total depreciation and amortization allowance. (NRS 706.8818, 706.8829) 1. For the purpose of general ledgers, the account for total depreciation and amortization allowance must be treated as a single composite provision for depreciation and amortization. …

NAC 706.765 Accounts for organizational expense and deferred charges. (NRS 706.8818, 706.8829) 1. The account for organizational expense includes the original cost of organizing the company. 2. The account for deferred charges includes all debits not provided for elsewhere, such …

NAC 706.768 Accounts for other assets. (NRS 706.8818, 706.8829) 1. The investment account includes the book cost of investments made for a period or periods to exceed 1 year in duration in securities, notes, mortgages and other items, of both associated and nonassociated companie…

NAC 706.771 Current liabilities. (NRS 706.8818, 706.8829) Current and accrued liabilities are obligations which have matured or become due within 1 year after the date thereof. Items such as bonds or receivers’ certificates must not be entered in a current and accrued liabilities…

NAC 706.774 Accounts for notes payable. (NRS 706.8818, 706.8829) 1. The account for short-term notes payable includes amounts owing on notes, drafts, acceptances or other similar evidences of indebtedness which are payable on demand or within 1 year from the date of issuance or a…