Dear Experts,
I am auditing an closely held company. We have to calculate EPS for that. They also have issued bonus shares in the middle of the year.
While calculating bonus shares....
We have to deduct the following from the Net Profit as computed in the P&L account.(There are no preference share holders)
Provision for Tax
Deferred Tax Liability (If there is deferred tax asset should we have to add?)
Dividend Distribution Tax
Transfer to General Reserve
With regards,
Rajesh

Oue entity is in the Project Stage.On account of non-compliance of the terms and conditions of a contract,the Bank Guarantee given by the contractor was invoked by us.Can we reduce this amount from the project cost? The matter is subjudice.

SIR,PLEASE SUGGEST ME THE STANDARD FORMULA FOR RETURN ON ASSETS,NET PROFIT,RETURN ON INVESMENT,RETURN ON EQUITY..
IN SOME SUM NET PROFIT AFTER TAX IS CONSIDERED(EAT) WHILE IN SOME SUM NET PROFIT BEFORE INTREST AND TAX (EBIT)IS CONSIDERED...
I M REALLY CONFUSED SO PLEASE SUGGEST THE FORMULA.

Sir
Please Tell me the accounting treatment of following:-

There is Service Tax Recoverable A/C(Dr Bal) amt to Rs.9800 which is standing from A/Y 2007-08 till date.I think now its claim cannot be taken,then what entry should we do to write-off such amt?

Whether it will be disallowed for income tax purpose?

Q1.There is only a single A/C opened for TDS Receivable For A/Y 07-08,08-09,09-10,10-11 whereas seperate A/cs opened for Prvosion for taxation viz.Provision for taxation(AY 07-08) ,Provision for taxation(AY 08-09)and so on

Is it right to operate a single A/C for TDS Recoverable for all years,whether it will create any problem?

Q2.After how many years TDS Recoverable A/C ,Provision for Taxation and advance tax A/c standing from a long priod should be adjusted?It means that for how many yrs should we wait for Income Tax Assessment?

The staff is going out for foreign travel and they withdraw foreign currency from ATMs and make cash payments. The period of travel is around 15-20 days. So what rate of exchange should be taken to reimburse them. Can I take the average rate of the number of days they were out on foreign travel? or there is any other way out?

Can any one tell me which author's book is the best one to study about Excise Duty from a practice angle.
Does V.S. Datey will be sufficient for it.
With regards,
Rajesh.

Please provide me the accounting entry in case where the purchase of Fixed Asset wants to claim Cenvat Credit in that fixed asset.
For example the cost of the Fixed Asset is Rs. 118.56
Base Price = Rs.100
Excise Duty= Rs.14
VAT = Rs.4.56
--------
Rs.118.56
--------
With regards,
Rajesh.

Sir, I've been going through the chapters Amalgamation and Dissolution.
There I met with an account named
"REALISATION A/C".

I saw that Assets and liabilities are transferred to such A/C to know the last Profit or Loss.
But I'm confused regarding its nature. What nature does this A/C hold...Real, nominal or personal....and Why...???

Same is the case of SUSPENSE A/C. I want to know its nature too.

Hello all
can anyone plz tell me about a treatment of TDS to be made in case of CA firms own books of accouting in following situation:

Our firm is maintaining books on CASH basis of accouting. But some of our parties deduct TDs on prof fees on accrual basis in their books of accounts.This TDs is there in Form 26AS in our A/c. But receipts relating to this has been received by us in next year for whICH tds IS showing in current year's 26AS. What should be treatment of TDS for the same?