No Account Case

Hi,

 

I understand that for no account cases, these four things need to be mentioned :

1. Amount of total sundry debtors                     

2. Amount of total sundry creditors                                              

3. Amount of total stock- in-trade                                               

4. Amount of the cash balance


While I understand the first two, I am not to sure about the third one. In case of IT consultancy, we do not have any stock with us as we provide services. So what goes in this field here - is it zero or will it include the assets value (and/or depreciation) - I am confused??


Also, in case of the 4th one, does it mean only cash in hand or it includes fixed deposits, NSC/ KVP etc too?

Thanks in advance for your time to read this :)

 

Replies (3)
Originally posted by : Kumar



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Hi,
 
I understand that for no account cases, these four things need to be mentioned :
1. Amount of total sundry debtors                     

2. Amount of total sundry creditors                                              
3. Amount of total stock- in-trade                                               
4. Amount of the cash balance

While I understand the first two, I am not to sure about the third one. In case of IT consultancy, we do not have any stock with us as we provide services. So what goes in this field here - is it zero or will it include the assets value (and/or depreciation) - I am confused??

 

- for service providers they use some consumables in course of service, however u dont have to show any "closing stock" if such consumables are not of high value. 

Also, in case of the 4th one, does it mean only cash in hand or it includes fixed deposits, NSC/ KVP etc too?

- KVP/NSC are investments , cash balance is the only cash amount held on the date of balance sheet , i.e 31- march 


Thanks in advance for your time to read this :)
 

cash balance would include the balance in banks too or only cash in hand?

we do have more than 10 computers, furniture and fixtures etc., plus car etc. which are used for business purposes - earlier we used to claim depreciation for this and none of this would be a part of the stock-in-trade then? So, can we put it as nil then?

sequence of assets

 

1) fixed assets ( computers/ furnitures and every fixed asset of business, depriciation available on this )

2) Current Assets a) stock in trade - NIL b) sundry debtors ............

3) Loans and advances to suppliers / security deposit for business ( if any)

 4) Investments ................(NSC/KVP etc)

5) Cash and bank balance a) bank balance b) cash balance.

 

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