Treatment of Abnormal Inventory

answered on 31-Jan-22 09:52

In the two sums attached below from ICAI material they have used 2 different ways to adjust abnormal inventories..Is there any logic behind the difference or do both of these can be applied and give out the same closing inventory value? Thank you!

latest answer

Both can give same closing inventory value, can apply either of it. Gross Profit figures will be however different.

Abishek M

CA Final

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462

Final accounts

answered on 31-Jan-22 10:37

Final accounts

latest answer

Ok thank you so much

Hansika Mahadev

CA Inter

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4

322

Bank Reconciliation Statement

answered on 27-Jan-22 10:37

Can u explain BRS ?

latest answer

Feel free to check out our detailed YouTube video on same. https://youtu.be/fFSVqf4DisY

Anu Vorsu

CA Foundation

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2

301

Bank Reconcilation

answered on 27-Jan-22 10:34

A quarry only What is adjusted cash book

latest answer

Cash book which adjusts all the errors (in correct entries in cash book) and omissions (bank or interest charges directy charged by bank, dishonoured cheque which was not shown in cash book, direct / receipt or payment by bank). Basically BRS in such situations will only show timing differeneces and the effect of errors in pass book.

Jaswant Vyas

CA Foundation

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314

Queries regarding AS 3

answered on 25-Jan-22 12:43

So here by i want to clarify my doubt regarding study of AS-3 Because in study mat they have provided AS-3 twice i.e., one in overview of Accounting Standards and other in chapter 4 unit 2 but the lecture is load of 7hrs. Whether we should learn AS-3 now or read during Chapter 4(preparation of financial statements)

latest answer

Do it along with financial statements

Sugam SM

CA Foundation

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292

Depreciation

answered on 25-Jan-22 12:43

Pls find below a statement which I've marked in the image wherein it is stated that depreciation of an asset could be included in carrying amt of another asset. How is it? Explain

latest answer

Ok sir. Thank you

Sibi Srinivasan

CA Final

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293

Interest/Rebate calculation

answered on 27-Jan-22 00:35

Should we calculate interest/rebate of a bill with respect to it's "expiry/due date" or "date of maturity of bill"?As we know date of maturity of bill includes Grace days.Thank you

latest answer

I think soo

Abishek M

CA Final

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415

Average due date

answered on 25-Jan-22 15:14

How to compute interest and find due date

latest answer

When you doing ADD u should careful with date.... ARE V... important

Jaswant Vyas

CA Foundation

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6

333

Pl ac

answered on 24-Jan-22 15:29

Is dividend paid part 9f pl ac

latest answer

No

PANTH PANCHOLI

CA Inter

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261

Bank reconciliation

answered on 24-Jan-22 12:12

Adjustment Bank balance as per pass book amount to rs 2600 difference being on account of bank charges rs 1600 debit to customers account by the bank In trial balance Cash at bank as per cash book 4200 What effect on final account

latest answer

Thanks sir

Gaurav Suthar

CA Foundation

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2

350