onerous contract
This query is : Resolved
03 October 2009
A type of contract where the costs involved with fulfilling the terms and conditions of the contract are higher than the amount of economic benefit received.
As per Indian accounting standard - 29
An ‘Onerous Contract’ is a contract in which the unavoidable costs of meeting the obligation under the contract exceed the economic benefits expected to be recovered under it.
According to the International Accounting Standards (IAS), there are two methods for the recognition of a provision for this type of contract: the liability and impairment approaches.
As per Indian accounting standard - 29
An ‘Onerous Contract’ is a contract in which the unavoidable costs of meeting the obligation under the contract exceed the economic benefits expected to be recovered under it.
According to the International Accounting Standards (IAS), there are two methods for the recognition of a provision for this type of contract: the liability and impairment approaches.
04 October 2009
Agree.
In simple words a contract which is difficult to fulfill w.r.t. it's conditions.
In simple words a contract which is difficult to fulfill w.r.t. it's conditions.
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
- Reporting Income under Section 44ADA
- Itr 1 processing
- Building and other construction workers welfare cess act 1996
- ITR 1: Details for showing Exempt Income
- Bank Accounts in Balance Sheet for ITR 3
- ITR validation error - Balance sheet is not filled
- TDS ON CASH WITHDRAWALS...
- Query regarding TDS on EPFO Higher Pension Arrears*
- Bank accounts of Non resident
- ITR Filing Requirement for Partnership Firm Registered but Business Not Commenced
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- Annual return of gst limit
- Delisted shares sold in off market/ Rebate u/s87A
- Error whiling application of GST REFUND (ANNEXURE B)
- While filing GSTR9 accountant couldn't entered the ITC values in Table 6, in 9C it is not accepting
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
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
