Old jewellery now to be shown in balancesheet??
This query is : Resolved
09 November 2013
my aunty has a old jewellery of around 3 years back , she now want to show in her balance sheet the jewellery can that be possible if yes how will the balance sheet be adjusted.
09 November 2013
That can be possible and the entry will be ;
Jewellery Dr.
PL a/c Cr.
and the disclosure is required to this effect as per AS-4.
Why PL a/c is to credited :
The reason is that, this case is as good as rectification entry that should had been passed three year back, and now it is to account for. Further, the value of above should be after notional depreciation of three year.
I think you don't have practical exposure, PL /ac is part of capital a/c.. Don't you know that PL a/c is added to capital a/c as last..
Jewellery Dr.
PL a/c Cr.
and the disclosure is required to this effect as per AS-4.
Why PL a/c is to credited :
The reason is that, this case is as good as rectification entry that should had been passed three year back, and now it is to account for. Further, the value of above should be after notional depreciation of three year.
I think you don't have practical exposure, PL /ac is part of capital a/c.. Don't you know that PL a/c is added to capital a/c as last..
09 November 2013
how could jewellery entry pass through p/l a/c
09 November 2013
It should be by addition into capital account .. in personal accounting adjustments can be done via capital account.
jewellary ac dr.
to capital a/c
jewellary ac dr.
to capital a/c
09 November 2013
thanks CA. Sanjeev Kumar
09 November 2013
Jewellery is not an income. Its addition to capital. Hence to be taken to balance sheet directly. No depreciation to be charged and has to be shown at historical cost. Market value may be shown in brackets as on balance sheet date.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- ITC temporary reversal and reclaim
- TDS U/S. 194NF
- GST on export of services and Input Credit
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- Import license renewal
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding einvoice taken on nil rated sales
- Strategical investment in Public listed company
Trending Online Classes
CAclubindia
