Activities of Multinational Enterprises in Canada

Gross fixed capital formation of establishment, category

Gross fixed capital formation refers to the value of producers' acquisitions of new and existing products of this type, in a particular category of fixed asset, less the value of their disposals of fixed assets of the same type. The costs of ownership transfer are treated as gross fixed capital formation. They are attributed to the purchaser or seller of the asset according to which unit bears the responsibility of meeting the costs.

Establishment refers to the level in the statistical hierarchy below the company in the Business Register statistical hierarchy, and at which the accounting data required to measure production are available (principal inputs, revenues, salaries and wages). The establishment is defined as the most homogeneous unit of production for which the business maintains accounting records. From these records, it is possible to assemble all the data elements required to compile the gross value of production (total sales or shipments, and inventories), the cost of materials and services, and labour and capital used in production.

The data for this variable are reported using the following classifications and/or lists:

• Components of Real Gross Fixed Capital Formation