16 November 2011
hii . my query is in respect of chit fund business .. the assessee has a chit fund business . the monthly collection is Rs. 50,000 . for which the entry is Cash A/c To Chit Collection A/c . the assessee holds an auction of the chit every month for the members .the assesse pays the amount to the successful bidder . in this case he has paid rs 35,000 . so the entry is Chit Advance A/c To Cash .. i want to know if the above accounting treatment in respect of chit funds is correct thank you .
16 November 2011
so Chit collection a/c & Chit Recoverable A/c will be having the same balance as at the end of the year , with Chit Collection A/c showing cr balance & Chit Recoverable A/c showing debit balance ?
16 November 2011
also wht bout the commission & premium (i.e surplus) ? is the following entry correct : Chit Collection A/c To Commission A/c To Premium A/c
16 November 2011
also wht bout the commission & premium (i.e surplus) ? is the following entry correct : Chit Collection A/c To Commission A/c To Premium A/c
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