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The attached image is Notes to Accounts of Illustration 8 of Unit 1 of chapter 4 of paper 1 Here, how the LOAN FROM STATE FINANCIAL CORPORATION is identified as Term loan...?? Will u please clarify this doubt.? It is not mentioned in question about term loan...
Answers (10)
CA Suraj Lakhotia Admin
Generally loans from financial institutions against hypothecation of fixed assets are for a specific term.
Can we classify all loans against hypothecation as Term loans ??
CA Suraj Lakhotia Admin
It could be working capital loan as well. If say its against stock.
So finally to say,.... If Hypothecation against fixed assets is classified as Term loans And if Hypothecation against stock is Working capital loan
Kumar G
How to calculate Basic pay , I didn't understand the sentence i.e.scale of rs 20000-1000-30000
Starting basic pay 20,000 every year increment 1,000 till basic pay reaches 30,000