Costing

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

19 October 2012 While arriving at the cost/unit of a product,Finance costs like bank charges,commitment charges,Bank commission has to be considered or not.

CA Pooja Agarwal

CA Pooja Agarwal (Expert)
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19 October 2012 no they are not considered while computing cost/unit of a product..these expenses are purely financial in nature and are debited to p/l ac..they do not reflect in cost records

Querist : Anonymous

Querist : Anonymous (Querist)

19 October 2012 But now in cost sheet we need to consider Interest and finance charges before arriving at cost of sales.So it should form part of cost/unit of product.

CA Pooja Agarwal

CA Pooja Agarwal (Expert)
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19 October 2012 is it? i have no idea..can u send me the link or any related provision

Querist : Anonymous

Querist : Anonymous (Querist)

19 October 2012 Kindly check this link and reply back. members.icwai.org/members/CAR/gn-resources.asp

CA Pooja Agarwal

CA Pooja Agarwal (Expert)
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19 October 2012 i cant copy it here,,kindly scrap it in my profile

Querist : Anonymous

Querist : Anonymous (Querist)

19 October 2012 Or else u type in search in google - guidance note of maintenance of cost Accounting records and open the first link