In accordance to which Accounting Standard, expenses should be recognized.
CA. sanjeet Kumar Ojha
(Chartered Accountant)
(272 Points)
Replied 31 July 2014
Income is recognised as per AS - 9
For Expenses
Special Expenses
AS - 6 : Depreciation
AS - 11 : Foreign Exchange Fluctuation difference
AS - 15 Employee Benefits (Salary, perquisites etc)
AS - 16 Borrowing Cost (Intt on loan)
Other Expenses
Matching Concent : If you credit income then correspoding expenses must be debited.
Conservatism Concept : Recognise Expenses before income..
Thanks
CAclubindia
