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Accounting for Employee stock option
Accountancy
answered on 02-Jun-21 08:37
In these two problems in illustration 5, when the unvested options lapsed they reversed the liability in respect of the 4000shares that had accured till date..but in the other problem they dont do that but just recognise the excess liabilty that is to be made...I cant get the reason behind it, why is there two different treatments? I mean if what is followed in ill5 is to be followed in ill 6 then we should have recognised the entire 910000 as on 31.3.X3 and revesed the ESOS Acc to the extent of 515000 to general reserve isnt it?
latest answer
Yes. Prefer net basis as all other illustrations than 5, does it.
Venkatesh Rathinam
CA Final
★ 15K+
5
607
If brs is given on 31 December in question should we prepare amended cash book?
Accountancy
answered on 01-Jun-21 12:17
How should we know year ending if it is given on 31 sr December? When should we prepare amended cash book if it is not mentioned in question?
latest answer
Yes. When to be prepared depends on the question.
MATURU HAMSA GAYATRI
CA Final
★ 23K+
1
614
5 th question d point
Accountancy
answered on 31-May-21 21:32
In 5 th question d point whether it is deposit cheque or issue cheque?
latest answer
Issued cheque because question says "drawn by her"
MATURU HAMSA GAYATRI
CA Final
★ 23K+
1
531
AS-18
Accountancy
answered on 31-May-21 15:57
Can transaction between employer and employee treated as related party transactions?
latest answer
Thank you sir!
srinidhi srinivas
CMA Final
★ 8K+
2
551
Consolidation
Accountancy
answered on 01-Jun-21 17:04
Sir Do i want to read cross holding sums in consolidation in inter level?
latest answer
No. Cross-holding sums shall not be asked at Inter level
Pradeep Ravikumar
CA Final
★ 1K+
3
628
AS 22
Accountancy
answered on 31-May-21 14:53
Sudharsan: Dear sir, My doubt is how the (1) question is deferred tax liability Income tax depn is less than a/cing depn so, pay now save later then it must be deferred tax asset only But they tell it is a dtl Depn low as per tax records = profits more = tax pay high= Save in future =so DTA According to my thought, but i didn't know whether it is correct
latest answer
https://youtu.be/WMJWDyKp3X0 Please watch the above video to understand it better
Suriya M
CA Final
★ 31K+
3
613
Bonus issue
Accountancy
answered on 30-May-21 20:11
In authorised capital, whether we have to add issue of bonus share(subscribed) or issue of bonus share(authorised), because SM gave different treatment to different answers.Kindly clarify.
latest answer
Oh thankyou sir.
Madhaan S
CA Final
★ 14K+
3
619
Rectification of error
Accountancy
answered on 04-Jun-21 09:44
Goods worth 1,000 were sent on sale or return basis to a customer and entered in the Sales Book. At the close of the year, the customer still had the option to return the goods. The sale price was 25% above cost. Plz explain
latest answer
Deducted the sales and customer as per sir answer and added to stock on cost value
Gopal Garg
CFA L1
★ 5K+
2
640
Doubt
Accountancy
answered on 31-May-21 21:31
In redemption of preference shares, when we redeem it by using the divisible profit for using that why dont we pass any entry by debiting the p&l account but we dr. The p&l account for transfering it to CRR? Pls clarify where do i misunderstood the concept..
latest answer
Ok sir thank u
Sri kanaga Varshini
CA Final
★ 3K+
6
592
Rectification of error
Accountancy
answered on 31-May-21 11:17
A bad debt of 1,560 had not been written off and provision for doubtful debts should have been maintained at 10% of Trade receivables which are shown in the trial balance at 23,390 with a credit provision for bad debts at â?¹2,320. Plz explain.
latest answer
Will not be postponed until the institute takes a call.
Gopal Garg
CFA L1
★ 5K+
3
5K+