Working capital requirements
This query is : Resolved
29 April 2015
hi,I have a doubt in working capital management.In many of the practice manual sums they have calculated debtors on cost of production and not on selling price, they have ignored profit element while calculating it.for example
total cost-25 rupees
profit- 10 rupees
s.p- 35 rupees
they have calculated on 25 rupees.why so?
29 April 2015
The working capital component in debtors will be excluding profit. The profit is the surplus element on which no amount is spent from working capital.
29 April 2015
because working capital means what exactly u requries.. Profit is a part of ur hard work, it doesnt need any source...
it is the reward of that over all cost... its neither an expense
it is the reward of that over all cost... its neither an expense
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
- Post Office RD Interest
- Applicable TDS for Purchase of Flat from NRI
- CG Tax On residential property
- Eway bill for machinery reparing
- Building and other construction workers welfare cess act 1996
- Bank Accounts in Balance Sheet for ITR 3
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- NRI ITR2 account in 2025-26 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,.
- Form 10BD Filling
- TDS ON CASH WITHDRAWALS...
- ESIC- Employee Registration
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- 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
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
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
