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Replacement Fund

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Replacement Fund 

the part of the total social product used to replace consumed means of production. In a physical sense, the replacement fund comprises the equipment, tools, and materials used by labor. In value terms, it is embodied labor in the form of the amortization fund and the value of the circulating productive capital used to replace the materials consumed in the production process. The other part of the total social product, the part remaining after expenditures for replacement have been made, constitutes the national income.

With advances in science and technology and increases in the productivity of labor, it becomes possible to use the replacement fund as a resource not only for simple replacement but also for accumulation (investment). In 1975 the replacement fund accounted for 57.9 percent of the total social product in the USSR.

P. V. TAL’MINA



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The city council funding of pounds 600,000 ends on March 31 and a replacement fund, from which CAB can bid, will not be available until August at the earliest.
The new fund allowed departments to better account for computer equipment costs in the annual budget process and insured that the county's equipment would be replaced on an ongoing basis with current technology In later years, additional objectives were added to the computer replacement fund to stabilize departmental operating budgets.
Therefore the onus falls on the advisor to be vigilant about understanding the potential pitfalls of each income replacement fund offering.
 
 
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