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Rectification of Errors in the next Accounting Period

Accountancy

answered on 19-Sep-23 16:37

Relevant Account, Suspense Account and Profit & loss Adjustment Accounts are used to Rectify the Errors. In what scenario (nature of transaction) we should choose profit & loss Adjustment Account or Suspense Account.

latest answer

Relevant account before TB Suspense account after TB is prepared P&L Adjustment - After P&L is prepared

Siva Raman

Siva Raman

CA Inter

775

2

890

Accounting Process

Accountancy

answered on 26-Sep-23 10:29

All of the following are not considered cash except? A.Postage and stamps B.Securities C.Investments D.Cheques The answer is given as ( D.)Cheques, can anyone explain why?

latest answer

Because cheque is a paper which contains money value

Nidhi S

Nidhi S

CA Inter

4K+

6

539

Foreign operations[ branch accounts, AS11]

Accountancy

answered on 21-Sep-23 20:18

How to identify whether in the question the foreign operation is integral or non integral foreign operation.

latest answer

An integral foreign operation carries on its business as if it were an extension of the reporting enterprise's operations.

Muhesh YM

Muhesh YM

CA Inter

0

5

606

Insurance claims

Accountancy

answered on 21-Sep-23 09:32

What is the upward trend percentage?

latest answer

In this question adjustments are already given.

Ujwal Reddy

Ujwal Reddy

CA Inter

7K+

4

448

As 3

Accountancy

answered on 16-Sep-23 21:18

In this cash outflow towards purchase of plant is 20,000 (120,000-100,000) because for 1,00,000 we issued bonds as consideration. Then in this sum why they reduced 120,000 as outflow towards purchase of plant

latest answer

Point 3 is separate point and point 5 is separate point

Krishnan K

Krishnan K

CA Inter

5K+

5

560

Accounting for special transaction

Accountancy

answered on 21-Sep-23 20:18

Why due date is not entertained in the transaction happened in April 20 as the question has given the invoice as 15.4.2020 which is within the closing date? please answer as soon as possible

latest answer

That is dishonour entry

Divinne Fiona

Divinne Fiona

CA Inter

9K+

2

460

how come outstanding liability is a element of cash flow

Accountancy

answered on 16-Sep-23 12:43

page no. 11.93 and 11.92 of new syllabus illustration no. 6 ryan ltd.

latest answer

As per indirect method, to adjustment of net profit we are showing outstanding liabilities even through no cash flows. But, as per direct method we are not to be shown this type of expenses only cash receipts and cash payments.

Angry Toshniwal

Angry Toshniwal

CA Final

505

3

818

Doubt

Accountancy

answered on 21-Sep-23 09:35

Sir after completing final accounts chapter is it better to start with accounts for incomplete records or shall I start partnership or npo or company accounts?? Please give some tips and guidance 🙏

latest answer

ICAI has not yet released.

sai t

sai t

CA Foundation

2K+

4

517

Buy Back of Equity shares

Accountancy

answered on 16-Sep-23 07:14

“Current maturity of long term borrowings" Is it to be included (or) not to be included while calculation debt equity test

latest answer

Included. Current maturity of long term borrowings are Current liabilities under other Current liabilities

Ashfaq Ahmed

Ashfaq Ahmed

CA Inter

3K+

1

353

Banking companies

Accountancy

answered on 15-Sep-23 13:33

What is the percentage of profit should be transfers to reserve funds in banking companies which applicable for nov 23

latest answer

25%

Sruthi sruthi

Sruthi sruthi

CA Final

640

1

426