19 December 2011
Financial statements are records that provide an indication of an individual’s, organization’s, or business’ financial status.financial statements are used to provide insight into a company’s assets and debts at a particular point in time.The non monetary assets you are talking about must have been purchased or leased on some monetary basis or on some future monetary obligation. As such the assets are of prime importance which finalising financial statements because they are by one or the other way linked with the monetary gains of the company. These Non Monetary assets help the organisation to make Monetary gains and as and when they are written off they leave the company with monetary gains. So their carryforwardness is very important for stating the actual financial position of a business.
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