Hello, I read Mr. samish's query posted on 26/08/07 regarding pre-operative expenses, and also response to this query posted on 27/8/07.I have doubt in case of treatment of pre-operative expenses which is of a revenue nature.As I understand AS -26(para 56), it should not be amortised over 3-5 years. It has to be written off in the year in which it is incurred. Please clarify on the same.

If a partnership firm gets converted to pvt ltd. co and suppose everything is unchanged except that capital of Rs. 8lacs is not there in luie of that shares of Rs. 5lacs are issued, what will be done of bal 3 lacs. will there be a reseve,if yes what reserve, and if no reserve then how will b/s tally?
Thank you

What can be done to account for the errors made in the previous year's auditted balance sheet?
If the balances of sundry debtors, creditors , bank balances are wrong how can it be rectified in the current year?

what can be done to account for the errors made in the previous year's auditted balance sheet?
if the balances of sundry debtors, creditors , bank balances are wrong how can it be rectified in the current year?

Hi,

We have started accounts outsourcing company and are planning to enter into agreement with 1 of the client for accounts outsourcing. In this regard I would like to know, whether the contract agreement needs to be prepared in stamp paper if yes then what should be the amount of stamp paper. Also I would like to know what should be the other formalities I need to considered before entering into contract.

This is with refrence to Tata Steel this year annual report of Year2006-07. In that words are used in courous finance is Senior Debt what is menat by that please help me.

whether pre operative exps incurred by a company
i)has to be entirely written off in the year when the company starts the production or
ii)in the year where there is adequate profits to absorb the same or
iii)it has to be amortized over a period of time.

In SCH VI, can sales be grossed up and shown. My sales component includes service tax, VAT and Works Contract tax. If only net sales is to be disclosed, is there any reference to substantiate our interpretation

how many accounting standards are applicable for CA Final for nov 2007 attempt?

Dear Experts

The query which I'm posting is related to accounting treatment for waiver of loans specifically waiver of principal amounts.

Lets say A Ltd. took a loan for financing fixed assets and later on A Ltd. turned into loss making company.

Lender i.e. financial institution waiver off certain portion of principal and interest. Now the query is what should be the accounting treatment of waiver of principal in the books of A Ltd.

rgds
hitesh