what is bifurcation of capital account

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Querist : Anonymous

Querist : Anonymous (Querist)

19 December 2009 An individual on approaching a Bank for loan, the Banker has asked for details of Capital account. As per Balance Sheet, in liabilities side, capital account, sundry creditor and loan recd. is shown, and tallied with assets side, with few amount available as cash in hand, at bank and balance in land and buldings. Now banker is asking for details of capital account. How to show and what does he mean by that Kindly guide me. This is urgent please.

Murtaza I Bhagat

Murtaza I Bhagat (Expert)

19 December 2009 I think Bank is finding your investment goods or your working capital.but which loan you are requesting to bank. is it persnoal loan,CC,OD or Housing loan.. its makes different.

Querist : Anonymous

Querist : Anonymous (Querist)

19 December 2009 it is for housing loan for an individual

Querist : Anonymous

Querist : Anonymous (Querist)

19 December 2009 the business is proprietory and the loan is for purchase of house. In the balance sheet, the profit was not shown as added to capital account. Only capital account was shown which included the profit. NOw how to show the revised balance sheet. Should I prepaare a new balance sheet and show to he banker

CA Sanjeev Kr Jain

CA Sanjeev Kr Jain (Expert)

20 December 2009 details may be provided on plain paper as an attachment of the balance sheet

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