Note in balance sheet
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
06 October 2014
In balance sheet, below line "loan from Bank" I had put a note
that such loan is secured by hypothecation of plant, machinery.
furniture, computer
As far as sanction letter is concerned, it is written therein that
loan is secured by moveable assets, land & building.
Query is"
Whether plant & machinery is covered in moveable assets.
Management has contented that plant or machinery is
not covered by sanction letter.
If management contention is right, then I will delete the word
plant & machinery in balance sheet for period ended on 31/03/14 before signing the same from our auditors.
As far as balance sheet of period ended on 31/03/13, 31/03/12
is concerned , I had put the same note. Whether I have to give any note in
balance sheet of 31/03/14 about use of plant or machinery in earlier balance sheets.
Please advise.
that such loan is secured by hypothecation of plant, machinery.
furniture, computer
As far as sanction letter is concerned, it is written therein that
loan is secured by moveable assets, land & building.
Query is"
Whether plant & machinery is covered in moveable assets.
Management has contented that plant or machinery is
not covered by sanction letter.
If management contention is right, then I will delete the word
plant & machinery in balance sheet for period ended on 31/03/14 before signing the same from our auditors.
As far as balance sheet of period ended on 31/03/13, 31/03/12
is concerned , I had put the same note. Whether I have to give any note in
balance sheet of 31/03/14 about use of plant or machinery in earlier balance sheets.
Please advise.
CA Parul Saxena
(Expert)
06 October 2014
Plant and machinery come under movable asset as it can be installed somewhere else too.so your note is right.
CA R SEETHARAMAN
(Expert)
06 October 2014
Go as per sanction letter and loan agreement signed. As per sanction letter the loan is secured by movable assets,land and building.
Plant and machinery is a movable asset. Any how you can word it as per loan agreement as movable asset.
Plant and machinery is a movable asset. Any how you can word it as per loan agreement as movable asset.
Rupesh Jain
(Expert)
07 October 2014
plant and machinery come under the movable assets and its cover under loan security.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Transfer of Physical Stock Between Two Proprietorship Concerns
- MSME disclosure and disallowance
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- EPF ECR NEW RULES Sep 17th 2026
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
