Presentation in Schedules forming of B/S as per Schedule VI

This query is : Resolved

CA Sanjay Baheti (Querist)
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25 June 2010 (i)In case of Private Limited Company a Margin kept in the form of FDR/TDR by Banks against issue of LC/BG(i.e.Non- fund based facility)is to be where shown in schudeles forming part of B/S as per schdule VI requirements as per Companies Act.
(ii) Interest accured/ receivable on FDR with Banks.

My view is both has to be shown under Bank Balances as certain CA's are showing under Loans & Advances schedule while finalising Audited Accounts.

Please comments in this regard.

Aditya Maheshwari

Aditya Maheshwari (Expert)
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25 June 2010 It would really depend upon what has been kept as margin.

If FD with banks have been given in margin then the same will be shown under the head Balance with Schedule bank - in Deposit a/c

Also a note should be given that the same have been given for margin and the purpose of it.

Interest accrued will form part of loans & advances only.