Long term borrowing
This query is : Resolved
Reshma Golani
(Querist)
09 June 2014
How to bifercate the amt of borrowing in current & non current portion as per revised schedule VI
PRADEEP KUMAR VATS
(Expert)
10 June 2014
Hi Reshma
As you read the condition i.e.,four condition for showing any assets or liabilities as current liabilities otherwise its a non current.
One condition for current liabilities is that
- if the liability is to be settled within 12 months from the reporting date i.e.Balance sheet date then we will consider it current liabilities.
Now for example:
If any company has borrowings such as Term loan of Rs.20lakhs & out of which Rs.5 lakhs installment due for payment within 12 months from the reporting date then
We will show Rs.15lakhs under line items of Non current liabilities & else under current liabilities.
Regards
Pradeep Kumar
As you read the condition i.e.,four condition for showing any assets or liabilities as current liabilities otherwise its a non current.
One condition for current liabilities is that
- if the liability is to be settled within 12 months from the reporting date i.e.Balance sheet date then we will consider it current liabilities.
Now for example:
If any company has borrowings such as Term loan of Rs.20lakhs & out of which Rs.5 lakhs installment due for payment within 12 months from the reporting date then
We will show Rs.15lakhs under line items of Non current liabilities & else under current liabilities.
Regards
Pradeep Kumar
PRADEEP KUMAR VATS
(Expert)
10 June 2014
Hi Reshma
As you read the condition i.e.,four condition for showing any assets or liabilities as current liabilities otherwise its a non current.
One condition for current liabilities is that
- if the liability is to be settled within 12 months from the reporting date i.e.Balance sheet date then we will consider it current liabilities.
Now for example:
If any company has borrowings such as Term loan of Rs.20lakhs & out of which Rs.5 lakhs installment due for payment within 12 months from the reporting date then
We will show Rs.15lakhs under line items of Non current liabilities & else under current liabilities.
Regards
Pradeep Kumar
As you read the condition i.e.,four condition for showing any assets or liabilities as current liabilities otherwise its a non current.
One condition for current liabilities is that
- if the liability is to be settled within 12 months from the reporting date i.e.Balance sheet date then we will consider it current liabilities.
Now for example:
If any company has borrowings such as Term loan of Rs.20lakhs & out of which Rs.5 lakhs installment due for payment within 12 months from the reporting date then
We will show Rs.15lakhs under line items of Non current liabilities & else under current liabilities.
Regards
Pradeep Kumar
PRADEEP KUMAR VATS
(Expert)
10 June 2014
Hi Reshma
As you read the condition i.e.,four condition for showing any assets or liabilities as current liabilities otherwise its a non current.
One condition for current liabilities is that
- if the liability is to be settled within 12 months from the reporting date i.e.Balance sheet date then we will consider it current liabilities.
Now for example:
If any company has borrowings such as Term loan of Rs.20lakhs & out of which Rs.5 lakhs installment due for payment within 12 months from the reporting date then
We will show Rs.15lakhs under line items of Non current liabilities & else under current liabilities.
Regards
Pradeep Kumar
As you read the condition i.e.,four condition for showing any assets or liabilities as current liabilities otherwise its a non current.
One condition for current liabilities is that
- if the liability is to be settled within 12 months from the reporting date i.e.Balance sheet date then we will consider it current liabilities.
Now for example:
If any company has borrowings such as Term loan of Rs.20lakhs & out of which Rs.5 lakhs installment due for payment within 12 months from the reporting date then
We will show Rs.15lakhs under line items of Non current liabilities & else under current liabilities.
Regards
Pradeep Kumar
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