27 March 2009
Cash system of accounting is being followed by school. It has purchased Assets worth Rs. 100000 /- but has made payment only for RS. 80000 /- in current financial year and balance Rs. 20000 /- is paid on next financial year. Please clarify at what value we have to stand Asset in our books whether at Rs. 80000 /- or at Rs. 100000 /-
28 March 2009
In the School they are preparing Receipts and Payment account there for in the balance sheet they will show only 80000 and when they paid 20k they will show 1 lacs
28 March 2009
Asset will be shown as capital Work in progress at Rs.80,000/- & in the next year it will be trasferred to the asset account after havng treated Rs.20,000/-
CAclubindia
