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Accounting standard as1

AS 824 views 2 replies

Punit Doshi

Student CA IPC / IPCC

32 Points Joined July 2013

This is the questn from May 2016 RTP IPCC regarding AS1. I am not able to understand the question. Can someone please simplify it. I have provided screenshots of the question and answer.

ANSWER:

This is the questn from May 2016 RTP IPCC regarding AS1.

I am not able to understand the question. Can someone please simplify it.

I have provided screenshots of the question and answer.

Replies (2)

CA Raj Doshi

Practising CA

8944 Points Joined December 2013

Q.1.a. Accounting standards bring uniformity among the various policies and practice by different companies thereby addressing the needs of users of financial statements.

CA Raj Doshi

Practising CA

8944 Points Joined December 2013

Q.1.b. A disclosure is not a remedy for an incorrect accounting treatment. The company should make a provision and /or disclose the amount ( ascertain the amount to the extent possible ) and nature of contingent liability in respect of overdue interest claims. The treatment of company is incorrect.