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sumit aggarwal

sumit aggarwal (Querist)
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16 October 2013 why liabilities shown on left side and assets on right side

Ganeshbabu K

Ganeshbabu K (Expert)
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16 October 2013 i can only give reply as below...hope it will satisfy you some extent

For Assets the Closing balance will be the Debit Balance and it has to be the opening balance of the next year and so the asset item in the Balance has to be shown in the Right side.

Where as the Liablities Closing balance will be the Credit Balance and its opening balance will be in the debit side and so the Balance has to be shown on the Left side.