In a problem of Banking Company, the following information is given:
Interest & Discount on bills (net)= Rs.100000 , Rebate on bills- Rs.5000.
Should I deduct Rebate on bills from Interest & Discount on bills for the purpose of Schedule-13? If so, why ?
| Originally posted by : Souvik Kumar Ghosh | ||
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In a problem of Banking Company, the following information is given: Interest & Discount on bills (net)= Rs.100000 , Rebate on bills- Rs.5000. Should I deduct Rebate on bills from Interest & Discount on bills for the purpose of Schedule-13? If so, why ? |
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The opening balance oof rebate on bills will be Added back and the closing balance will be deducted from the Interest/discount on bills......!!
Because in the hands of bank the rebates on bills are lick Expeses.......!!!!!!!!!!!!
Download the attached file and solve the all questions given with solution it will clear your understanding to the best level.....!!!!!!!!!!!!!
| Originally posted by : Suresh_Smiter | ||
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Originally posted by : Souvik Kumar Ghosh In a problem of Banking Company, the following information is given: Interest & Discount on bills (net)= Rs.100000 , Rebate on bills- Rs.5000. Should I deduct Rebate on bills from Interest & Discount on bills for the purpose of Schedule-13? If so, why ? The opening balance oof rebate on bills will be Added back and the closing balance will be deducted from the Interest/discount on bills......!! Because in the hands of bank the rebates on bills are lick Expeses.......!!!!!!!!!!!! Download the attached file and solve the all questions given with solution it will clear your understanding to the best level.....!!!!!!!!!!!!! |
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I understand that but as Interest & discount on bills is given as net does't it mean that opening & closing Rebate has been duly adjusted?
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