Please explain the accounting procedure involved in PC and LC

Dear Sir,

Please clarify the disclosure requirement of working capital loans such as Packing credit Loans/Bill discounting loans etc.,in case of an exporting comapany.

1.Whether it should be disclosed under "Current Liabilities" or "Secured Loans".

As it is paid back from the current assets realisation,and most probabily within a year,is it a current liability for working capital calculations ?.

Should we include it in current liabilities for the calculations of CURRENT RATIO.

Or sepearate treatment for "working capital" and "Current ratios".

2.Can it be considered as long term loans ,as working capital loans are treated as running account and when exhausted again availed and the amount outstanding at the year end may be kept more or less same level as the business is continued.


Please clarify the above points with regards to Schedule VI disclosure
requirements.

Thanks in advance.

What is the procedure of LC ?
We paid a party through LC, Bank Charge Bank charges.
And interest on the same.
What happened if party get it discounted and if not.

Hello Sir,
I just wnats to know the accounting treatment of the EEFC account maintained with the bank dealing in foreign curreny at the year year end in the books of the company.If we translate the amount at the closing rate or as the case may be at the avg rate prevailing on the year end, then there will be diffence in the balance in INR as per bank book and bank statement be cause the bank statement wiill be in INR.

Please specify the proper accounting treatment for the said account. Is it as good as cash in hand in foreign currency??

Please guide.

Dear Sir,


Thanks for your Reply. But Actuly my problem is not comlete here, because P.F & Esic both are Employees contribution is paid to the goverment & employers contribution is Shown in Profit & Loss Account.


Here is problem create if i create ledger pf & Esic under Current liablities it appear in balance Sheet not P/L Account.

is depreciation to be provided on asset when it is in the period of Trail run?

1)Please provide me what are the forms or returns (monthly, quarterly and annually)along with the due dates to be filed with respect to the following.
2)Also whether it is possible to electronically file if yes what is the website?

(a) Provident Fund
(b) Employees State Insurance
(c) Bonus
(d) Gratuity
3) Please also provide me the challon number for making these monthly payments.
Thanks for the experts guiding me!!
With regards,
Rajesh

im really confused about when to calculate opening stock reserve in departmental accounts.
In some questions it is written
Opening stock ( at cost to concerned departments)
in some
simply opening stock
in some
opening stock ( at cost)
in which case we calculate opening stock reserve?
Also in some questions in the absence of any information opening stock reserve is not calculated and in some we calculate stock reserve on Closing stock - opening stock.
im really very confused pls help me out and explain me this concept.

A managing director of a company, has got employment in a overseas Co. by staying and working in india for a salary payable in foreign curreny. Earlier as Managing diredctor he was paid 1.5 lakhs Per month. Can he continue to be MD. and also be employed for a foreign co. If he is employed in foriegn co. can he be paid salary as MD kinldy guide

Suppose A Company HAs 200000 as provision for Tax on Liability side of and has 230000 as Advance Tax On Asset Side of earlier years Say from 1996-97 to 2002-03...,,,nd nw th company is a loss making co...nd no chances of revival


If th company write-off advance tax against provision thinking no refund will bw obtained and pass th following journal entry...

P & L A/c. Dr 30000
Provision 4 Tax A/c. 200000
To Adv. Tax 230000

What will b its implication on Th operating activities cash flow?