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Amalgamation

Accountancy

answered on 26-Apr-25 22:35

In certain sums Provision for doubtful debts is showing in balanced sheet under current liabilities head as short term provisions In some questions it is not considered as such, why?

latest answer

In final answer it should be shown as reduction from debtors

Shruthika Bala

Shruthika Bala

CA Inter

6K+

1

101

Partnership

Accountancy

answered on 26-Apr-25 20:33

Partnership not in ca inter ??

latest answer

No

Sushmita Chowdhury

Sushmita Chowdhury

CA Inter

2K+

1

141

AS 19 Leases

Accountancy

answered on 26-Apr-25 07:16

What is the difference between “Lease term” and “useful life”? Isn’t it both the terms referring to the same period?

latest answer

Both are not same. Check the building example i gave you. Useful life is for asset not only for lessee

Girinath A

Girinath A

CA Inter

765

3

124

As27

Accountancy

answered on 14-May-25 12:17

I solved many question but can’t distinguish how to understand reading the question which is JCO JCA JCE ?

latest answer

https://youtu.be/eW0lcEAuFpg

Sushmita Chowdhury

Sushmita Chowdhury

CA Inter

2K+

3

102

Inventory valuation

Accountancy

answered on 21-Apr-25 16:12

in adjustment (i) why aren't we deducting cost of electric fittings from closing inventory? in adjustment (ii) it says there has been no entry in the books for goods taken as free samples. then why are we not deducting goods taken as free samples from inventory? Isn't the entry Advertisement debit to purchases a/c?

latest answer

okay, thank you

Asmita Kar

Asmita Kar

CA Foundation

7K+

2

115

Rectification of errors

Accountancy

answered on 23-Apr-25 11:08

What is the rectification entry

latest answer

If you have specific doubt, we can guide you.

M Pavan

M Pavan

CA Foundation

290

4

109

As4

Accountancy

answered on 14-May-25 12:34

Dividend is non adjusting event and still how is it disclosed at notes on account I.e after balance sheet sign ?

latest answer

Final dividend comes into picture at AGM only. If AGM is delayed, then you may have to include in disclosures.

Sushmita Chowdhury

Sushmita Chowdhury

CA Inter

2K+

7

115

Suspense account

Accountancy

answered on 21-Apr-25 11:59

When we don’t write the entry there is no effect in the trial balance the where did the suspense account come from?

latest answer

It is not that we have not passed the entry. We have passed the entry. But We have not take customer's account to trial balance. Hence the trial balance will not tally and we wil record in suspense account.

Rudransh Aheer

Rudransh Aheer

CA Foundation

3K+

2

128

AS 11

Accountancy

answered on 21-Apr-25 12:02

A company based out of India exported goods worth $10,000 to a customer in the US on 30th June 2017. The customer settled the amount on 30th April 2018. The company closes its financial statements on 31st March of every year. The exchange rate of 30th June 2017 was Rs. 60/$, on 31st March 2018 was Rs. 61/$ and on 30th April 2018 was Rs. 60/$. What is the foreign exchange gain or loss in this transaction to be recognised in the profit and loss account for year ending on 31st March 2019? If you are accounting for gain in the year 2018, arent we overstating revenue to the extent of 10000? as the amount is unrealised. can we account it as gain ?

latest answer

Date | Event | Rate (INR/USD) | Amount (USD) |Amount (INR) | 30-Jun-2017 Sale recorded (initial recognition) ₹60 $10,000 ₹6,00,000 31-Mar-2018 Year-end balance sheet date ₹61 $10,000 ₹6,10,000 30-Apr-2018 Settlement received ₹60 $10,000 ₹6,00,000 Now as on 31st mAr 2018, there is a gain of 10,000 on customer receivable. This gain is recorded. We do not know how much would be the settlement value on 30th April 2018. Also for monetary items - we know that we would be receiving 10,000 $ and current worth of those $ is 6,10,000. Hence a gain of 10,000 is recognised. It like having a foreign currency at hand.

gokul___g _

gokul___g _

CA Inter

9K+

1

103

AS 11

Accountancy

answered on 21-Apr-25 12:16

which exchange rate is usually used when translating net realizable value of an inventory into foreign currency? If it is the rate at which the net realizable is determined. It should be the closing rate right, because usually NRV is determined at the end of financial year? Is that the reason. If yes why does attached MCQ has two options one is closing rate and rate on date on which NRV is determined.

latest answer

Financial statements may be prepared for interim period as well . So you take the date on which NRV was determined.

gokul___g _

gokul___g _

CA Inter

9K+

1

137