End Of the year, say 2012 we create bad debt provision in this manner

1.) Doubtful Debts dr
To Debtors a/c Cr.

2. Bad Debts A/c
To Provision for Bad Doubtful A/c

In the same year, we transfer the provision created for earlier years upto 2009

Provision for Bad Doubtful a/c
To Doubtful Debt

So basically we are first creating provision and it is fully written off in subsequent years.

So if someone is questioning which year loss is written off, will it be 2009 or 2012

Dear Sir,

My client ltd. co has purchased inventory in foreign currency for a plant prior to commencement of operations on 12.5.12

At the time of purchase price was Euro 12500 i.e Rs. 787500. (1 euro = 63 Rs.)

On 31st March 1 Euro = 73

At the time of payment on 13.5.13 it was 1 euro = 71

Company does not make P&L account for the plant as it is not in operation yet.

Please tell me the accounting treatment for stock and Foreign Exchange Gain and Loss as per AS 11.

I have a construction business, I have purchased a Agriculture Land on loan. I'm paying interest on it Amounting Rs. 2,50,000/-..

Now how will I treat the interest in Books of Accounts Weather To Capitalise it or to treat is as expenses ...

And also how Should I show This Agriculture Land In my Book Of accounts ...

Note : I am using this agriculture Land For Agriculture Purpose only..

if the ownership is transferred to the buyer but goods are still with seller and a fire broke out in the factory due to which goods are lost ,who is responsible to loss ?whether the seller or buyer

WHAT IS THE MEANING OF FINAL ACCOUNT

Dear Friends


Can a Section 25 Company maintain its books of accounts on cash basis???


Because as per the Companies Act Companies are required to maintain the books of accounts on accrual basis

however generally Non for profit organisation maintains the accounts on cash basis only

Please advice

Dear Sir,
we have one scrap machinery for the period 12-13 for rs.563814 my question is how to treat the scrap value assets in a/cs (as per IT also)

Construction of Laboratory including electrical fittings is done on the rented premises and then the premises was handed back to the landlord with all the modifications, please suggest the accounting treatment.

Pls let me inform how to calculate the figure of consumption in case of manufacturing industry??
(Op stock + Purchases - Cl stock)
Is there any different formula exist to calculate such figure in case of manufacturing industry??
Pls reply

Thanks alot..

Dear Experts, Please advice to me in following case:

A Ltd, year ended on 31/03/2013
there was fire in godown as on 05/05/2013, and major capital assets and inventory burnt in fire, insurance policy covers only inventories and only two capital assets.


Now how to disclouser made in FS of A Ltd. of above event in the FS year ended 31/03/2013.