Bank Account
This query is : Resolved
15 July 2020
SIR
A private ltd normally will have its bank account for its business operation. Suppose the director of company have other businesses, can he use the bank account of Private Ltd Company for other business operations?
If yes, whether the transactions of other business should first be accounted in the books of Pvt Ltd Company and then, journals to be passed with other units? OR they should directly be accounted?
thanks in adv
A private ltd normally will have its bank account for its business operation. Suppose the director of company have other businesses, can he use the bank account of Private Ltd Company for other business operations?
If yes, whether the transactions of other business should first be accounted in the books of Pvt Ltd Company and then, journals to be passed with other units? OR they should directly be accounted?
thanks in adv
09 August 2020
I think it is possible. But everything needs to be reported as "RELATED PARTY TRANSACTIONS" with full transparency.
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