I am in construction company, we generally follow practice of showing compund wall expenditure separate from Land expenditure under the head of developement expenses.
Now my question is whether it is right accounting policy or it should be shown as land expenses only.
Please let me know solution for the same with reason.
21 January 2009
Compound wall expenses should be kept separate from land cost and should be added to the cost of construction to claim depreciation on it.
CAclubindia
