please answer this question with reason its urgent!

A company contracted for laying pipeline for an oil company,deep beneath the earth for Rs.100lakhs on 31st aug 2000.They estimated the cost to be Rs.80lakhs,while doing the boring work in nov 2001 it had met a rocky surface for which it was estimated that there would be extra cost of Rs.50lakhs.What would be its treatment will it be treated as a prior period item as per AS-5 in 2001?

Photocopier Machine purchased on HP from the Company & due to unsatisfactory performance of the Machine ,Repayments not made & the matter pending in Court.
The Company not in existence now .
The Questions arising now:

1. How To Write back the unpaid liability in Books ? Whether it can be writen back in parts in various years ?

2. If the machine shows value higher than its realisable value, Whether the unpaid liability can be adjusted in the Machine Value ?

as per our practice we have shown various exps eg Electricity charges, repairs to building, Repairs to MAchinery and repairs to other assets under the head "Manufacturing exps" Auditor have pointed out that since thereis no manufacturing activity in our unit these exps should be shown under the head of "other Exps"

As there lay off have been declared in our factory manucturing activity is temporarily closed. so please advice what to do?

Dear Experts,
Can anyone clarify me regarding the applicability of Accounting Standard - 22 (Accounting of Taxes on Income) incase of a public limited company where the previous years was loss only for this year it is profit. Previous Year's Deferred Tax Liability/Asset has not been provided in the book.
Please clarify me it is urgent Sir...
With regards,
Rajesh.

A company closed accounting year on 30-6-2001.It was engaged in laying pipeline for an oil company, deep beneath the earth.While doing the boring work on 1-9-2001,it had met a rocky surface for which it was estimated that their would be extra cost to the tune of Rs.80lakhs which would not be recoverable from the oil company.How it would be dealt with in the financial statements for the year ended 30-6-2002? Would Rs.80lakhs be disclosed as prior period item?

please answer this question with reason its urgent!

A company contracted for laying pipeline for an oil company,deep beneath the earth for Rs.100lakhs on 31st aug 2000.They estimated the cost to be Rs.80lakhs,while doing the boring work in nov 2001 it had met a rocky surface for which it was estimated that there would be extra cost of Rs.50lakhs.What would be its treatment will it be treated as a prior period item as per AS-5 in the current year,which is 2001 in this question.

Hi,

I am accounts in charge of leading automobile company. We transact all the foriegn payments currencies through FC A/C .

We normally accumulate the foriegn currecny whenever rate is good and use them when required.

Now , when we buy this foriegn currecny @ what rate we shall book?currently we book it at actual rate now ... pls advice me the currect treatment.

futher, @ what rate we shall book the supplier ? ie. costing the shipment. we use average rate of currency we bought
earlier .

also let me know at what rate we should make the payment for settling supplier ?
we use average rate of currency we bought earlier .

should i close this account every month by appying the actual closing rate and difference transfering to Forex loss/gain a/c?


kindly advice me here or @
Saifuo0209@gmail.com

Regards,
Saifudheen Hamza

My client receives exemption in Sales Tax based on the salary given to the staff for first 5 years of company in existence.

We get the amt. of exemption after 5 years completion.

Now, on year end, the position is that we recd. grant of say Rs. 100 and take set off in Sales tax for Rs. 40 and balance Rs. 60 still stands in VAT Receivable A/c (Govt. Grant).

What is the proper accounting treatment at the time of getting Exemption or Grant , at the time of monthly set off with VAT Payable . How to show Grant in Financial statements?

Basically, I am confused whether it is a revenue grant or capital grant.

i just want to know whether the annual trade discount and scheme discount can be deducted from sales. Can u please show me that deducted along with example or any quoting from the institute guidelines

In case a company give to its dealers some incentive based on targets given in the form of 1)cash/cheque 2)By issuing material free of cost (same items in which the company deals /dealers has purchased )for the incentive amount or issuing credit note by and adjusting the amount from the amount payable by the dealer3)By Gifting some other items like TV,Fridge etc.

--pl reply with regard to applicability of TDS,or any act ,rules which can apply-

In case company outsource this service to a third party for receiving ,processing & settlement of claims & reimbursing that 3rd party the claim amount as well as their commission/charges for services ,what all rules/acts will be applicable for the compnay & for 3rd party agency?