Quaternary sector: most-used accounting accounts

Activities based on knowledge, innovation and information management. Here the main asset is intangible: software, patents, databases and people’s talent. That is why software and licences, their amortization, the deferred income of subscriptions and investments in other companies stand out.

Activities included

Research and development (R&D)
Information and communication technologies (ICT)
Strategic and scientific consulting
Higher education and specialized training
Advanced financial services (investment banking, risk analysis)
Biotechnology and nanotechnology
Artificial intelligence and big data

Characteristic accounts of this sector

These 26 accounts of the chart best distinguish this sector. Tap one to open its full page: definition, when it is debited and credited, and common mistakes. Account pages are currently in Spanish and show the English and French names.

26 accounts

1Assets 9

2Liabilities 5

3Equity 3

4Income 3

6Expenses 6

Typical entry in this sector

Cash purchase of a software licence for 8,000.

Account	Debit	Credit
Software and licences	8,000.00
Cash at bank		8,000.00
Totals	8,000.00	8,000.00

Monthly amortization of the licence: 200.

Account	Debit	Credit
Amortisation expense	200.00
Accumulated amortisation		200.00
Totals	200.00	200.00

Accounts this chart does not include

This sector usually also needs accounts that are created as sub-accounts or in a specialized chart:

Research and development expenses. Research goes to expense; development may be capitalized (IAS 38).
Intangible assets under development. Software or patent projects not yet in use.
Government grants. Public aid for research and innovation (IAS 20).
Contract asset. Work performed but not yet billed on long-term contracts (IFRS 15).

See the 41 accounts common to all sectors

Almost every business, whatever its sector, uses these accounts: cash and banks, customers and suppliers, taxes, basic payroll, capital and equity, and general expenses.