Depreciation

Dear friend ,

  let me know about Depreciation adjustment of a Company .

Our Company having maned XYZ Pvt Ltd. where Balance Sheet is signed in that name, but having TWO Unit one is Hotel Business(Existing Busines)   & anather is Steel Plant , which is under construction . Depreciation of hotel business to be charged to P/L Accounts but my doubt is how deprecition of some Machinary like JCB Earth Mover of  steel plant project is accounts for.

 

Whether propotionate Dep'n of Steel Plant project charged to  PRE Operative exp  or indivisual B/S to be made and dep'n of Steel Plant charge to PRE opetative Exp then Consolidiate both the B/S into One.

 

Replies (1)

Shouldn't we capitalize this amount of depriciation in cost of steel plant (asset) ? Refer para 10.1 with 9.2 Of AS-10

This is a specific Overhead specially for construction of steel plant therefore in my opinion it should be capitalized

 

JCB Earth mover

 To depriciation

 

Depriciation

To CWIP

 

CWIP

To fixed asset

 

 

 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
13 October 2026
Accountant

Zerdi & Co. Chartered Accountants

Pune

B.Com

View Details
Company
12 October 2026
AUDIT , ACCOUNTS AND TAXATION

KDSS

New Delhi

B.Com

View Details
Company
08 October 2026
Accounts and Tax Associate

POOJA R TELI & CO

Pune

CA Inter

View Details
Company
18 September 2026
Accounts & Finance Specialist

ULTRA CHEMICAL WORKS

Thane

CA Final

View Details
Company
19 September 2026
Finance Manager

Mugdha Art Studio

Hyderabad

CA

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
05 October 2026
Senior Accountant

Vision IT Peripherals Pvt Ltd

Mumbai

B.Com

View Details
Company
ARTICLESHIP 21 September 2026
CA Article Assistant

KK & Company Chartered Accountant

Pune

CA Inter

View Details