Please pardon my English and accounting knowledge
I have two Types of indirect expenses, related to current year, but that will only due next year (not Bad Debts & Discounts and first one repeats every year and sconnd one only once and no more).
I can’t forecast the exact amount of these expenses right now.
Do I have to make any provision/out standing a/c in current year to meet these expenses? Then how I assume the volume of provision?
What are the entries to be made in current year and next year of account books up to the payment of these expenses? After the payment, if any excess/short in provision a/c, what will be the entries to clear it?
your ealry reply will highly be appreciated