i think its post incorporation, because the audit is done afterwords...

plz wait for the seniors reply...

auditors do audit of pre and post period whether they are appointed after incorporation of company. so i think it will be distributed to both period.

thank u dheeraj for ur rply

In my view,should be divided in time ratio.... as audit is always conducted for full period.

if auditor appointed conducts audit for post incorporation period only ...then it would be post incorporation only

Regards

Madhusudan

I think divide it in the time ratio

AUDIT is to be taken to post incorporation...  the pre audit u are talking about is descretionary and there is no substantial work effortsdone in that....... !!!

audit reports are always for the post periods

i had myself audited leela kempinski.. wherin we didnt deal much with the pre incorporation expenses....

and even if we did vouch or interrogate the preincorp.... expenses .. dont forget that it was becauz of  the audit of post incorporation period !!!

All fixed charges like salaries, rent, audit fees, insurance, depreciation, administrative expenses will divide on the basis of time ratio. All expenses which done after incorporation will be charged totally to after 

incorporation.  so it depends on the nature of expenses .

if audit fees is for whole f.y must divide in time ratio vice versa in post incorporation period .

it will be divide in time ratio is right.

yes, most of all giving the correct ans., it should be divided between time ratio.