accounting query

expense it off!!!

 Capitalisation largely depends upon whether the amount is material though benefit receivable for more than one year,....so treat it as an expense.

STATIONARY ITEM............TREAT IT AS EXPENSE...........NO TWO CONCLUSIONS OVER IT .!!!!!!!!!!!!!!!!!!!

101% agree- Materiality should be considerd while  recording transaction

Calculator is to be considered in stationary and should be expensed.

"Fixed asset is an asset held for an intention of being used for the purpose of producing or providing goods or services and is not held for sale in the normal course of business" - as per AS - 10.  Also it depends upon the value of the assets and the period used for more than one year.  Hence small calculator should be charged as an expense.

It is now cleared that caculator must be accounted as revenue expenses.

You should maintain a seperate record for calculators. As In a corporate houses where many nos of calculators have been purchased and after a year this record will be helpful for you to keep track. 

>> Rajesh 

treat is as expense........

any expense if it is not material in nature my be treated as exp.

,

Treat it as an expense Related To Accouting Standard 1

Materiality concept.

Hello.

It depends upon the value and life of an asset.

If the value is "Material" enough then has to be capitalised and vice - versa.

However, a Calculator can last for more than a year but it does not mean that it has to be capitalized. So main factor remains is that of "Materiality"

Hence if the amount is significant it has to be capitalized, otherwise debit it to P & L A/c.

 Regards

Rahul Gupta

It should be charged to Profit & Loss as an expense because as per  Schedule VI you can charge assets upto Rs. 5000/- to P & L A/c

it should be charged in p&l a/c...

pls tel me- when we wil recognise dividend in our books as income? when co proposes divd or declares????????