1-service provided for free by a gaming center of the inauguration ceremony it is recorded as ??
2- does accounting in case of service sector is same as in case of trading/Manufactuing sector ??
Yasaswi Gomes new
(Finance )
(4487 Points)
Replied 24 October 2022
On your inaugauration, if someone performs for free, its nothing. You dont have to record it not until you have tax consequence. Next query, reporting is the same for alll sectors and it does report expenses, losses, assets liabilities and equity. But its a differnt analysis in costing and they follow different methods and variables will change in the control acoiunts.
Ks
(Ac)
(138 Points)
Replied 24 October 2022
i didn't understand please explain in detail sir
happy diwali
prasad Nilugal
( GST Practitioner & Accounts )
(14260 Points)
Replied 25 October 2022
1. No entry in the Books of accounts for services provided free , as per the money measurement concept .
2.Bit of difference like direct expenses , stock in Trade between service industry and Trading and Manufacturing , otherwise Income, expenses, Assets, Liability, Capital are almost same.
( No Direct Expenses / Factory Expenses and Stock in Trade in service industry) .
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