Accounting entry

Originally posted by : Bhargav
	Friends can u plz help me on.... what is the entry for making bids thru DDs to GOVT in the construction companies? And the effect of the entries in Final statements.

Assuming that the bid did not capitalize on the date of finalization of accounts or before the signing of the financial statement by the board of directors or then respective governing authority, no entry need to be passed and the said transaction will not have any effect on the final statements.  Pls do correct me if i am wrong.

It can be accounted as follows:

EMD - if its EMD (Assets)

Deposits Others - Deposit amount alone - not the Bank Chares.

Since the amount will be refunded at a later point