Sir,
I am accounting for sub contractor for gov.roads,bridges etc.The firm is individual he has cc of rs.30,00,000 and other secured loans.While accounting bank ac loan process fees,search report etc such charges bank has charged how should i account in p/L (bank charges OR loan process fess) & in bank statement 100,000.00 & 50,000.00 these amounts has been debited saying Share Capital (how should it be accounted in tally)

Is servicetax applicable for sub contractor (for gov schme: for roads,bridges,dranage)his turnover is min rs 1,00,00,000

Dear sir,

our's is a private trust running an management training for MBA courses conducted by IASE university.

Our Director (Chairman & Trustee) went for official trip to delhi & jaipure. Meantime he incurred the expenses which is purely for his personal purposes.

What is the nature of treating that personal expenses in the books of accounts.

Please show me the journal entry to be passed in the books of account.

with regards,

R. Gurucharan.

In case of a lease transaction, who has the right to capitalise the asset?,lessee or the lessor. In this regard, is there any contradiction b/w AS and income tax act. To be precise in IT we treat lessor as the legal owner of the asset though he donot capitalise it. Please give me an expert opinion.

In case of a lease transaction, who has the right to capitalise the asset?,lessee or the lessor. In this regard, is there any contradiction b/w AS and income tax act. To be precise in IT we treat lessor as the legal owner of the asset though he donot capitalise it. Please give me an expert opinion.

In my one of the co., we have received the income in foreign remittance, and i have raised the bills for each month last date, so, how should i book the income into my books of account and at which rate it should be consider ?

Regards
Mihir Bhagat

Suppose we are manufacturing company which have given payments for some purchases of goods as well as store items. The material were used in this financial year. But the bills are not yet come till date. The crediors are showing DR balances. We want to finalise our accounts and audit and cannot wait for the bills to come. The payments made to creditors without bill booked for the above are shown as advance s in our books. Their would be no impact on profits for goods as the same would be adjusted in Consumption of Raw material. But for stores item purchased, Profit would be shown higher due to the non booking of bills.

I wanted to Know whether the treatment of showing advances and adjusting the same in consumption of raw material is correct?

Whether purchases are to be booked on basis of arrival of bills or use of material?

Secondly is their any other way to account this purchases without bills being received for same. Please suggest for Goods as well as services separately.

This relates to accounting for Unbilled Revenue where transaction takes place in foreign currency (USD).
Scenario goes like this:
ABC Ltd. is a service provider having number of domestic and foreign clients. It does billing to Z Co. Ltd in USD while base currency for ABC continues to be INR.

As per Billing cycle, the bill to Z Co. shall be raised on 15th April 09 for work done for the period Jan'09 to Feb'09.
ABC wants to put entries for Unbilled Revenue on a monthly basis (Jan to Mar).
In this example billing for each month is $1000 (Jan to Mar) and for that of Apr is $500 (till 15th Apr). Also, the currency conversion rate is different at all month ends (as on 31st Jan Rs.45, 28th Feb Rs.47, 31st Mar Rs.46 and 15th Apr (Rs.50). Please help me with the accounting entries for the Unbilled Revenue, complying with the Indian Accounting Standards and business scenario.

Following is what our system is doing right now which seems to be bit dicey:

Accrual 31st Jan Unbilled AR Dr. $1000 Rs.45000 Conversion Rate - Rs.45
Revenue Cr. $1000 Rs.45000

Reversal 1st Feb Revenue Dr. $1000 Rs.45000
Unbilled AR Cr. $1000 Rs.45000


Accrual 28th Feb Unbilled AR Dr. $2000 Rs.94000 Conversion Rate - Rs.47
Revenue Cr. $2000 Rs.94000

Reversal 1st Mar Revenue Dr. $2000 Rs.94000
Unbilled AR Cr. $2000 Rs.94000


Accrual 31st Mar Unbilled AR Dr. $3000 Rs.1,38,000 Conversion Rate - Rs.46
Revenue Cr. $3000 Rs.1,38,000

Reversal 1st Apr Revenue Dr. $3000 Rs.1,38,000
Unbilled AR Cr. $3000 Rs.1,38,000

And Finally, the actual billing happens on 15th April. Nowhere in the above flow of transaction does Currency Exchange Gain/Loss appears which seems to be incorrect. Please guide with appropriate accounting of the above transaction.

Which chapters are very important & have weightage from exam point of view.
My attempt is : nov.09 Pcc ,
please tell about both Advanced accounts & company accounts.

Dear Sir/Madam,
Please clarify me - what is the maximum renumeration amount the partners can draw from a partnership firm?
Advance thks,
kind regards,
S.Babu.

The co.(like film co.) initially depsosit the amount in a person (production manager) bank account/given him cheque.

further he incur expenses & provide the actual original bill to the said co.

he has no proof of same.

the said person incurs expenses on some items & Bribe.

how we pass entry.

As these amount are neither his income nor his expenses.

like
may be passed

but not showing

1. Bank a/c dr. 50000(salary)+100000(for expneses)
To media co.

2. expenses dr. 50000
To bank 20000
To Bribe 40000