Investment

How can we  treat  the permanent diminution in the value of a investment which is not brought into books.?

The investment made by a company in partnership firm, turns out to be a loss and thus shows a debit balance in book of the firm. So far this has not been brought into the books of company. Now during audit finalisation , this loss needs to be booked.But the face value of investment is there in the books of the company. Now when we recognize this loss in Profit & loss account as per AS 13, what should be the entry?

Replies (1)

Impairment shall be done in the books of account.

Entry:

Imapirment exp. Dr

Provision for diminution in value of investments. Cr

 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
19 September 2026
CA/Semi-CA/BCom

Pravin Sarvaiya

Mumbai

CA Inter

View Details
Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
08 October 2026
SALES TELECALLER

HIRE NOVA

Lucknow

Graduate (Any)

View Details
Company
ARTICLESHIP 21 September 2026
CA Article Assistant

KK & Company Chartered Accountant

Pune

CA Inter

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
12 October 2026
Finance

I-Genext Consulting Private Limited

New Delhi

CA

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details