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Bank fd in revised schedule vi

Amit Kumar Verma (CA Final CS Professional) (501 Points)

03 December 2012

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

Thanks

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11 Replies

CA Parul Saxena (CA) (8426 Points)
Replied 03 December 2012

It would be shown under the head 'Cash and Cash Equivalents'

1 Like

ANAND S (student) (162 Points)
Replied 03 December 2012

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

praveen (Chartered Accountant) (6971 Points)
Replied 03 December 2012

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.

praveen (Chartered Accountant) (6971 Points)
Replied 03 December 2012

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.

Yogesh Bhandari (CA FINAL Student) (429 Points)
Replied 03 December 2012

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...

CA Pooja Agarwal (Chartered Accountant) (3228 Points)
Replied 04 December 2012

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

1 Like

CA Suryakant Dubey (CA ) (931 Points)
Replied 04 December 2012

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

CA ABEY ABRAHAM (FINANCE) (62 Points)
Replied 04 December 2012

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.....

Anuj jain (CA Final Student) (163 Points)
Replied 04 December 2012

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.