My company is engaged in construction of buildings. One of the construction contracts specifies that the building should be completed before 12.04.2008 and it is specifically stated in the contract that "time is the essence of the contract". The building could not be completed as yet and construction is expected to be completed within 6 months and there is no document with the company evidencing extension of time period.
The contract also contains a clause which gives right to the company to charge interest on late payments.

The issue is that whether the interest income is to be recognised even when the party can refuse to pay the contract amount on account of late complition?

Whether Interest on income tax (234 B & C) should be included in provision for income tax in P&L a/c?
Is there ICAI Clarification?
Please make reference, if any?

I Need detail about Letter of Credit,(Procedures of open LC , requirement to open LC, Document required to open LC, payment, ETC )

Dear Sir,

i have appeard in CPT, result vl b announce upto 15 Jan.

I just want to know the best reference book for IT/COST/FM/ACCOUNTS ...

i just want to concentrate on study material and only a singal reference book for my practice...

suppose a co. has taken loan of $10000 at 10% interest p.a with exch.rate-$1=Rs40 on 1.1.09. exch.rate on 31.3.09-$1=Rs 45. Now what amount will be charged to P/L and what amount will be treated as borrowing cost.

While preparing cash flow statement in last year balance sheet proposed dividend is 100000 & in current years it is 200000,
then what shld we do in such a case?
I mean wat & where shld we do add & less also With reason y so?

I am using Tally 9.3

Up to the last financial year i had maintained inventory in tally. But for the current financial year i am not maintaining inventory in tally. now for the finalisation purpose, i need to update the stock value in the tally. How can i do this??????
Please Help!!!!!!!!!!!!!!

Dear Experts,

our company have purchased some pan drive for out office staff for their official working.
Is this is part of printing & Stationery or not. Total 5 pan drive purchased cost of Rs.2000/- please advice what would be proper exp head.

Is purchase of foxed assets deducted & sale of fixed assets added in cash flow statement in investing activities?
If yes then why?

Dear Sir/Mam,

A Co. is imported material, at the time of payment they are debited/credited the exchange diff. in respective material a/c. When i told to them that according to AS-11 this diff. should be debited/credited to P&L a/c instead of Material a/c , but they said that purchase a/c is also a part of P&L a/c.
So now tell to me that whether it should debit or credit in respective material a/c or in P&L a/c?
Also they are doing same treatment with Sale.