Bank fd in revised schedule vi

Please tell where Bank FDR will be shown in Revised Schedule VI. It will be maturing after 3 years.

 

Thanks 

Replies (11)
It would be shown under the head 'Cash and Cash Equivalents'

but cash and cash equialents is current assets and one of the rule for current asset is need to liquidate with in 12 month from balance sheet date so if 3 years FDR means can we put on cash and cash equilents sir kindly clarify

 

my view is though FD will take three years to convert in to cash it can easily be convered to cash hence you can show it under cash and cash equivalents only.

my view is though FD will take three years to convert in to cash it can easily be convered to cash hence you can show it under cash and cash equivalents only.

Originally posted by : praveen

my view is though FD will take three years to convert in to cash it can easily be convered to cash hence you can show it under cash and cash equivalents only.


Correct...

it has be shown under cash and cash equivalents as follows:

 

 

 

 
 Cash and cash equivalents 
 Balance with banks on current accounts 
 Cash on hand  
 
 
 Other bank balances :
 Deposit with original maturity of more than one year 
 Margin money deposit accounts 
 
 Amount disclosed under non-current assets

 

 

It Will be Showned Under Cash & Cash Equivalents...if Fd is of 1Year or less...............

We can take bank fd with maturity of 3 years under "other non current asset.",because bank fd with 3 years maturity hasnt fulfil the conditions of cash equivalent as per AS-3.Conditions as per accounting standard prevails schedule 6.....

it will be shown under the cash & cash equivalent because as per revised shedule VI, the whole assets are devided into two categories i.e. current and non-current. As per the guideliness FD in a bank is a current assets and it will be shown under cash & cash equivalent. Years of maturity is immaterial for the purpose of recording FD in balance sheet.

agreed with yogesh bhandari
other non current assets..

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