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Monthly balancesheet

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(Querist)
17 June 2016 Dear all,

I am going to prepare monthly P&L, Balance sheet in this depreciation charges for monthly is also charge or not. How our current industry prepare P&L monthly for reporting to management about profit of every month please suggest.
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CA Amrita Chattopadhyay

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CA Amrita Chattopadhyay (Expert)
18 June 2016 If the monthly balance sheet is prepared it will be prepared in the same manner as yearly balance sheet is prepared but the period will be only for a month. However, if the same is used for reporting to management, it depends on management requirement. The profit can be calculated before the calculation of depreciation or PBIT (Profit before interest and Tax) or PBT (Profit before Tax) etc.
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