Forums
Back
AS-29
Accountancy
Pls confirm whether the answer to this question is correct or not
Answers (12)
Thread Starter
Sri Ram TOk,If it's the right calculation, then why a similar sum is calculated differently
Both look similar to me. Can you specify where did you find it different?
CA Suraj Lakhotia Admin
Both look similar to me. Can you specify where did you find it different?
Yes sir,In the second sum they took less than 1 year's provision rate i.e. 2% for calculation of invoice amount of 40000 when it should be taken 3% because the invoice date of that invoice is more than 1 year to 31-3-2012
CA Suraj Lakhotia Admin
Both look similar to me. Can you specify where did you find it different?
Sorry sir, i was confused because of the material i am following, but still my doubt was why they took less than 1 year's rate of provision when they should have taken more than 1 year's rate
Thread Starter
Sri Ram TYes sir,In the second sum they took less than 1 year's provision rate i.e. 2% for calculation of invoice amount of 40000 when it should be taken 3% because the invoice date of that invoice is more than 1 year to 31-3-2012
Read the Q again, you have to calculate provision for the balance remaining period
Himanshu Somani
Read the Q again, you have to calculate provision for the balance remaining period
Sorry to prolong this but i still didn't get it because if we count the remaining balance period from 19-1-11 to 31-3-12 it is more than 1 year as at 31-3-12 and the below sum is calculated in the way I am saying
CA Suraj Lakhotia Admin
Now i got your point. As on 31-Mar-12 Fir first sale of Jan, less than 1 year left. So 2%.
Thank you sir, I finally got it, there's a printing mistake(i just checked) of rates in the 3rd sum i posted which led to all of this.
Your Reply