IndigoLearn

Forums

Modified cash basis of accounting

Do debtors and creditors accounts appear in modified cash basis of accounting as fixed assets accounts appear in it. To what extent accrual system is used in modified cash basis?? Please clarify this for me.....


VIJAYA SARADHI MAGANTI

VIJAYA SARADHI MAGANTI

CA Foundation

850

04-Sep-20 03:46

27

Answers (7)

Best Answer

Only Fixed Assets. Items in income statement are recorded on cash basis.


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Sep-20 10:41

Then only fixed assets, cash and capital will be seen in the balance sheet??


VIJAYA SARADHI MAGANTI

VIJAYA SARADHI MAGANTI

CA Foundation

850

04-Sep-20 11:30

Yes. Also creditors pertaining to fixed asset (if any)


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Sep-20 11:37

Is there any classification in capital and revenue (expenditure and income) while calculating profit in modified cash basis??


VIJAYA SARADHI MAGANTI

VIJAYA SARADHI MAGANTI

CA Foundation

850

04-Sep-20 11:40

Is there any classification in capital and revenue (expenditure and income) while calculating profit in modified cash basis??

It is not used much and is not relevant in the current times.


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Sep-20 17:06

What is the accounting that generally used by governments??


VIJAYA SARADHI MAGANTI

VIJAYA SARADHI MAGANTI

CA Foundation

850

04-Sep-20 17:10

What is the accounting that generally used by governments??

Cash. But most governments are gradually moving to accrual


Suraj Lakhotia

Suraj Lakhotia

Admin

05-Sep-20 12:14

Happy Mother's Day
IL Pass percentages
Tally Free
Quote
Refer
EMI
Lazypay
Past_Exams