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Financial Statements of Companies

Accountancy

where to disclose "Preliminary Expense" if given in 1) Trail balance 2) P&L account ?

Sai Krishna

CA Final

★ 8K+

20-Jan-21 21:45

333

Answers (2)

In Profit and Loss Account :-Â Preliminary Expenditure written off during the year should be shown in notesÂ UnderÂ Â â??Other Expensesâ??. In Revised Balance Sheet :-Â In Revised Balance Sheet it should be shown asÂ â??Other Assetsâ??Â and its amount should be shown in non current Assets column.