LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

PROJECTED STATEMENTS

PANDIAN BRIGHT (TAX CONSULTANT) (316 Points)

13 May 2020

My Client Needs Projected Financial Statements for 3 years. Because he applied for Bank OD facility of Rs.1 crore. Here I disclose the Bank OD of Rs.1 crore as Current liabilities under liability side of balance sheet. My query is how to tally the 1 crore against the asset side?

Reply
Follow
Share

11 Replies

sabyasachi mukherjee (26047 Points)
Replied 13 May 2020

°Either the bank od is mistakenly shown.

or
OTHERWISE.

PANDIAN BRIGHT (TAX CONSULTANT) (316 Points)
Replied 13 May 2020

No. Not mistaken. He is going to get OD. So the bankers asked him to prepare projected statement for 2020-21, 2021-22 &2022-23.

PANDIAN BRIGHT (TAX CONSULTANT) (316 Points)
Replied 13 May 2020

So I want to know how to tally the balance sheet . because liability side is 1 crore OD. and what should be disclose in asset side to tally the balance sheet

sabyasachi mukherjee (26047 Points)
Replied 13 May 2020

Ok send me the details.

CA Muskan Jain (NA) (364 Points)
Replied 13 May 2020

You have to make projection of Rs.1 Crore showing where you want to spend this amount, for example you are planning to purchase fixed assets, or may be you are planning to purchase raw materials etc.