Dividing the expense for a financial year

no, need to divid exp., u can account entire amount in a day of exp incurred

Nitin,

The answer to your question will change from case to case.If the amount is not material i.e. it contributes only 1-2% of the total expenses debited to profit & loss account then it is not necessary to divide the expenses.

But if constitutes substantial part of your expenses, then it is advisable to divide the expenses.For eg:-insurance of machinery, labourers, etc. constitute a major portion and is divided into the current financial year and next financial.In the current financial year it is shown as prepaid insurance.

Thanks

Fatema is right .Even in case of heavy Advertisement expenditure  a portion of it is taken as Deferred expense as benefits accrue over a period of years and written off accordingly