Please Revert Back Soon

IT is an employee cost to the company, which means its a PURE expense.

AND SHOULD BE TRETAED AS A PRIOR PERIOD EXPENSES...!!!!

It is not event occuring after B/S date if the annual a/c has been layed before Board/Governing body. for the year ended 31/03/2002...!!!!!!

It should be Profit or Loss from Ordinary Activities as per AS-5 para 14 and should be charged to Revenue at the year ended 31/03/2003

Originally posted by : Hitesh Jogani
	IT is an employee cost to the company, which means its a PURE expense. AND SHOULD BE TRETAED AS A PRIOR PERIOD EXPENSES...!!!!

As per para 4 of AS5:

Prior period items are income or expenses which arise in the current period as a result of errors or omissions in the preparation of the financial statements of one or more prior periods.

As there is no error or ommissins........it is not a Prior period Item jee....!!!!!!!!!!

Court decision will not make the entity for any error or omission .!!!!!!!!!!

it is an ordinary item. it cant be treated as prior period exp as there is no error or omission in previous year. so no specific disclosure is required will be treated as normal expenditure.

thanks people..for rectifying me...

peace..

Hi,

Treat as Prior period item expense.

Thanks