Our Organisation in Business of Supply Chain Management of Agricultural Commodities.We are Purchasing the commodities on behalf of Client but title of goods with us till the date of delivery.We have charging interest @ 12% on Cost of Purchase of goods from client for diffrence in Date of Purchase to Date of Dispatch(i.e Sale/Transfer).Should we recongnise interest income for Unsettled transaction i.e Closing Stock of Purchase lying with us for our Sixmonthly Closing of Bookes of Account.Please clarify above issue using relevent Accounting Standard with examles. 
Menu
urgent AS 9
Replies (2)
revenue can be recognised if certainity of payment and the amount of interest that you could earn is ascertainable.
and the interest you are charging to your client shall not be termed as interest but commission.
wel if dis int/comm is mentioned in ur contract wid ur client....den d right to recieve payment is established....n u cn take it into ur account oderwise nt.
Recent Topics :
- Is there any faculty taking chapterwise test in CA
- Late Fees and Interest
- HDFC Bank’s Bureaucracy: The Nightmare of Fl
- Running a CSC Center, Maha E-Seva Kendra, Setu Ken
- GSTR-9 Table 8A issue
- CA Inter Coaching institutes at Hyderabad
- Looking for practising CA
- TDS return filing
- Need formats of FS as per Co act 2013 in soft copy
- Remittance to italy
Related Topics :
CAclubindia
