I welcome members opinion on the accounting aspects related to the following. transaction.

Date of Sales Contract - 15th April 2012
Nature: Supply of Cotton -1 lac bales @ USD 3.5/bale on or before 1st May 2012
Exchange Rate on 15th April 2012: 1 USD = INR 50
Forward Cover booked on 15th April for 1 USD = Rs. 50.5


Date of Sales: 1st May 2012 ( relating to the above sales contract)
Invoice Value : USD 3,50,000/- (1 lac cotton bales @ USD 3.5/ bale)
Exchange Rate on 1st May 2012 : 1 USD = INR 53 ( as per Bill if lading - customs quoted rate)

Payment Received Date : 15th May 2012
Amount Received : USD 3,50,000
Amount realised : INR 1.7676 crore ( Based on forward cover taken on date of contract)
Exchange Rate on 15th May : 1 USD = Rs. 54

My questions:
1. What is the exchange rate to use for booking the sales? Is it the exchange rate on date of sale ( i.e Rs. 53 )or is it the rate for which forward cover is booked?

2. Since the sales contract precedes the actual sales transaction, and forward cover is taken on the date of sales contract itself, is there an accounting entry required to show the liability and receivables in the books once the sales contract is booked?


Please advise on the scheme of accounting entries in such a situation.

Regards

Can i include perquisites like Car Lease, Driver Salary, Professional Attire, Entertainment reimbursements etc in salary structure for partners of a firm. Monthly pay around 50 K

Paid towards Health Card Typing Chrages to Typing & Document Copying Center

Can u suggest me appropriate accounting GL Head

how to record cash purchase and cash sales in purchase and sales register if needed also I want to know if this purchase or sale made through one of aperson advance account that is when he settling his account with cash sales or purchase we need the person account should be decresed for purchase expense and also that purchase in the respective registers

Can house rent which is not used for business purpose claimed as a business expense...???

Dear Sir,

Kindly let me know how much % or amount transfer to Reserve & Surplus out of Profit & loss Account
thanx

Dear Sir,

Kindly let me know how much % or amount transfer to Reserve & Surplus out of Profit & loss Account
thanx

My company has received some grant which is of revenue nature.
I want to show it as a deduction in P & L A/c in reporting the related expense.
But my expense is less then grant amount, say my expense is 100 but my grant is 120. So can i show in P&L A/c on expense side as
Expense 100
Grant -120
Net Expense -20
Is it possible to show on expense side the grant figure as negative.

whether it is mandatory in revised schedule vi to mention the no. of shares issued, premium etc. under share application money pending allotment

Dear Sir,

Pl.let me know the diff.between REvised Schedule VI and Past one.