Commodity Transactions

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Dhanraj (Querist)
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08 June 2011 Our client which is a manufacturing company is doing commodity transactions through MCX such as 150 kgs SILVER(March 11), 2 lot GOLD(April-11),etc. Are such transactions future contracts? How should these transactions be accounted for in books? Is AS 30 applicable?

Please help

Thanks

CA Sumat Singhal

CA Sumat Singhal (Expert)
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09 June 2011 Although such contracts are derivative in nature and derivatives contacts come within perview of AS 30 but this AS excludes commodity derivatives from its perview....