Accounting Head : Assets or Expenses or Prepaid expense.

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1. If any Govt. institute purchased curtains amounting to Rs.2/- Lakhs for various buildings, should it be treated as an asset or expense? If it will be an asset then what will be the head of assets? 

2. If an amount of Rs.70/- Lakhs is spent on the installation of the internet infrastructure, then should it be treated as an asset or expenditure? If Assets then what will be the accounting head?

3. If an amount of Rs.20/- lakhs is spent for obtaining a license to operate lab software, should it be treated as assets or expenses or prepaid expenses?

4. If an amount of Rs.35000/- is paid as AMC charges for one year for the day-to-day updation of the website, troubleshooting, etc. then should it be treated as assets or expenses or prepaid expenses?

Thanks

JAGJEET

 

Replies (9)

1.. You should book it as an expense ,.....

2. Infrastructure - if it is like a furniture or modem or even cables you should book it as a fixed asset .

3. I think it's an expense but some people treat it as an asset also. If it is for a specific time period you can book it as a prepaid expense also .

4. It is an expense .    

 

     I Would Love to see what others give the answer .  

 

Government accounting is different. Curtains - All interiors like tiles ceilings fans and curtains and windows are assets. Its like furnitures and fixturez. 

4 . must be treated as deferred revenue expenditure.

4. No need to amortize it based on the pattern of usage. Its like that. An asset / liability need not necessarily be amortised when it comes to deferred revenue

No need to amortize it based on the pattern of usage. Its like that. An asset / liability need not necessarily be amortised when it comes to deferred revenue. World mba's dont know that. 2008 recession was due to mba and uneducated accountants and deferred taxez

I have a doubt but not my abilities. Despite me being honorary on caclub i still didnt get a job because of mba hr. In bangalore, tell me the truth are company ceo's and mba's are s*x workers or what? 

Since spt 2022 ive spent 2 lakhs here. I never even got an interview. Tell me truth hr? Who is doing? 

Irs done by cheap mba managers in bangalor. Thats why i met the labor commissioner this month. Because mba managers and hr has inferiority complex that they are ugly and uneducated need not necessarily mean that ill give up my top level job. But they did t call me for interview.  Most of them are cheap kannadiga unexamined uneducated as accountants. 

With negative marks i got 89/150 and 120/150 in real accounts iq test. Still the kannadiga owners are eating more food drinking kingfisher or maybe having illicit affairs. But hey!! They didnt call me for interview 


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