priti shaw (Student CA IPC / IPCC) 19 January 2020
Suppose the contract value is Rs 1000000 and SD will be deducted @ 10% from each bill. The SD will refunded after 12 months from the date of completion of contract.How will we treat the refundable security deposit in A Ltd books (service provider). Contact completion period 15 months.What journal entry will be passed in A Ltd books. How will we treat the interest on the SD , will it accounted at the time of receiving the SD or on monthly basis?