What is nonexpendable property (ARC-N)?

What is nonexpendable property (ARC-N)?

• A. Property that is consumed in use.
• B. Property not consumed and requires formal accountability.
• C. Property used for training purposes.
• D. Property that is temporarily assigned.

Answer: (B)

Nonexpendable property refers to durable items that are not consumed in use and must be tracked through formal accountability. These assets stay in the inventory, even as they are issued or transferred, and require formal records, tags or serial numbers, and regular inventories to manage their lifecycle from issue to disposition. That combination—not being consumed and needing formal accountability—is what distinguishes nonexpendable property. Explain why the other ideas don’t fit: items consumed in use are expendable and don’t require the same formal accountability as nonexpendable property; training-only items or those temporarily assigned describe usage or loan status rather than the accounting category itself.

Nonexpendable property refers to durable items that are not consumed in use and must be tracked through formal accountability. These assets stay in the inventory, even as they are issued or transferred, and require formal records, tags or serial numbers, and regular inventories to manage their lifecycle from issue to disposition. That combination—not being consumed and needing formal accountability—is what distinguishes nonexpendable property.

Explain why the other ideas don’t fit: items consumed in use are expendable and don’t require the same formal accountability as nonexpendable property; training-only items or those temporarily assigned describe usage or loan status rather than the accounting category itself.