If audit has been completed for the financial year 11-12 then u have to pass the entry in current year year , entry will be
prior period expenses A/c Dr.
To Cash
As i assumed that non recording of that expense is due to error or Omission, as As 5 says that if an transaction has not recorded due to error or omission either intemtionally or inadvertently then such transaction will be recorded in books by passing the entry with prior period expenses .
the reason behind the treatment is because of this expenses is related with past year so we have to disclose it seperately in P/l so the impact can be perceived .
Respected Sir
apne audit kra liyea hai to aur balance sheet sign ho gaya hai to expenses ko ush year mein nahe le skta hai. lena hai to balance sheet revise karna padaga. ap ush expenses ko next year mein book kar skta hai. but ush bill ke date change karwakar.kyuki jab audit hoga to auditors question raise kar skta hai yeah bill previous year ka tha apne esh year mein expenses book kar rakh hai.
if balance sheet is not prepared , then can it be taken in last year.
You need to take into account whether the Balance sheet is completed and signed on 15th May.If So then either the Balance Sheet and P & L should be revised if the impact is significant.Other wise it can be accounted in the next financial year with significant Notes showing the Impact and the reasons therefor.
CAclubindia
