Is p&l required prior to commencement


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Querist : Anonymous

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Querist : Anonymous (Querist)
02 January 2014 WHETHER PROFIT & LOSS ACCOUNT IS REQUIRED TO BE PREPARED WHERE NO COMMERCIAL ACTIVITY IS COMMENCED.

02 January 2014 Not required to prepare statement of profit and loss if company not yet started its commercial activities

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Querist : Anonymous

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Querist : Anonymous (Querist)
02 January 2014 WHERE THE FOLLOWING EXPENSES ARE TO BE REFLECTED IN THE FIRST YEAR:
AUDIT FEES.
BANK CHARGES.
COMPANY INCORPORATION EXPENSES.

02 January 2014 yes as for companies accural method of accounting is to be followed.

02 January 2014 will BE TREATED AS PRELIMINARY AND PRE INCORPORATION EXPENCES UNDER OTHER CURRENT ASSETS

02 January 2014 Such Exp needs to be amortized.


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