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Treatment of interim divident

Accountancy

answered on 10-Feb-25 09:05

Is interim dividend an adjusting or non adjusting event?

latest answer

The dividend was declared after the reporting period, it is a non-adjusting event.

Labdhi Jain

Labdhi Jain

CA Inter

180

1

248

Cash sale

Accountancy

answered on 10-Feb-25 09:07

What is the cash sale? detailed explanation

latest answer

The buyer pays immediately after receiving goods or services.

Rishana Ramees

Rishana Ramees

CMA Inter

0

1

229

Account

Accountancy

answered on 07-Feb-25 17:13

In a partnership account -1 the balance sheet in the question is given: Liabilities Sundry creditors:20000 Capitals: A:30000 B:20000 Assets: Sundry debtors:12000 Cash in hand: 3000 Stock:15000 Furniture:10000 Plant and machinery: 30000 Adjustments A,B are capitals C admitted and bought capital of 15000 And goodwill of 5000 for 1/6th share 2. The value of stock reduced by 10% and plant and machinery are appreciated by 10% 3. Furniture is revalued at 9000 4. Provision for doubtful debts is to be created on Sunday debtors at 5 % and rs. 200 is to be provided for an electriciry bill 5. Investment worth 1000( not mentioned in the balance sheet) is to be taken into account 6. A Creditor of rs.100 is not likely to claim his money and is to be written off How and where to written all these amongst revaluation account and partnership account and cash account balance sheet

latest answer

what is your doubt here?

HamsaLekha Tipparaju

HamsaLekha Tipparaju

CMA Foundation

0

1

311

....

Accountancy

answered on 07-Feb-25 13:29

Sir, In the question it clearly said that, Anual rentals are 6lacs per 3years = 18lacs and Residual value guaranteed by Lessee is 2Lacs Total amount paid by Lessee to Lessor = 20lacs At the end of the 3rd year Lessor must get 20lacs where other 3lacs are Unguaranteed. As if we calculate present value, we got net investment as 17,96,980. I'm not understanding that what does Lessor get at the end of 3rd year... Will he get amount of 20lacs Or 17,96,980/- If get 17,96,980 at end of 3rd year... Then, what will happen to difference of 20lacs and 17,96,980 i.e 2,03,020/- Unearned finance income =5,03,020 include of 3lacs of Unguaranteed residual value 5,03,020-3, 00,000=2,03,020..????

latest answer

The total amount received by lessor is 18 lacs and 2 lacs. The difference is accounted as interest income.

Venkatesh Arva

Venkatesh Arva

CA Inter

2K+

1

279

Doubt

Accountancy

answered on 28-Jan-25 14:20

Please explain how to solve this

latest answer

You can ask questions specific to CA/CMA

Shridhara H U

Shridhara H U

CA Inter

550

1

321

AS 26 INTANGIBLE ASSETS

Accountancy

answered on 24-Jan-25 12:03

Why goodwill is not covered under AS 26 , As it is also a intangible asset.

latest answer

Because it cannot be separated and sold. For AS 26, intangible asset must be separable.

Venkatesh Arva

Venkatesh Arva

CA Inter

2K+

1

365

as 12

Accountancy

answered on 31-Jan-25 10:16

sir second question specifically stated that assuming that the company did not charge any depreciation for the year 2019-20. but solution was stating that considered refund of grant at beginning of June month and depreciation for two months already charged. Alternative answer considering otherwise also possible. why did the solution is assuming another when question clearly states sir i didnt considered 2 months depreciation as per the question so will my answer is correct

latest answer

the company has not charged. Now we need to charge

N.V Karthikeyan

N.V Karthikeyan

CA Inter

1K+

5

366

as 12

Accountancy

answered on 27-Jan-25 23:48

sir in refund of grants under deferred gov grant we need to depreciate the asset normally and in proportion to that we charge the deferred gov grant so if we are treating it as normal depreciation we would also deduct the residual value right sir but in this video we didnt why sir cuz we did the same question but in this case rather than cost reduction thats the only different so the residual value is there right sir which is 4l

latest answer

yes sir thank you sir.

N.V Karthikeyan

N.V Karthikeyan

CA Inter

1K+

4

284

as 12

Accountancy

answered on 27-Jan-25 23:49

sir iam confused you said for non depreciable asset we transfer the grant to capital reserve but in the end u said it can also be deducted from such assets cost and also sir for an free asset u said we need to give some nominal price and u can credit any unsensitive accounts right so is there any other possible accounts i can use it for this purpose other than depreciation

latest answer

ok sir so i would just go with capital reserve way then thanks sir doubt cleared

N.V Karthikeyan

N.V Karthikeyan

CA Inter

1K+

4

278

as 12

Accountancy

answered on 28-Jan-25 00:00

sir in this video weve seen that if a non depreciable asset is acquired and for the grant is given and ther eis no future condition is met then transfer it to capital reserve but if there is any future conditions to be met then name it as deferred gov. grant and charge it to p and l in proportion to the future expenses of that condition lets say the land is 1cr and grant is 30l and future condition to be done for 1 year and the cost would be 10l .so here there is a future condition and the asset is non depreciable since it is freehold land so we charge the grant according the proportion of the money incurred but here it is only 10l so do we transfer 20l to capital reserve and charge the 10l to p and l in proportion which is here at one shot since its only 1 year and we incurred the expense of 10l at that 1year

latest answer

sorry sir i didnt stated for non depreciable asset that grant can also be reduced from the asset but rest i stated the same things you stated sir. thanks sir my doubt is clarified

N.V Karthikeyan

N.V Karthikeyan

CA Inter

1K+

4

283