Foreign exchange gain in store consumables
This query is : Resolved
30 April 2014
Dear Experts,
A company has imported some store consumables from Korea,having exchange gain of RS 2000 on purchases of 200000. can company can pass a jv entry :
forex gain A/c dr. 2000
To stores& spheres A/c 2000
or it has to transferred to P&L A/c
A company has imported some store consumables from Korea,having exchange gain of RS 2000 on purchases of 200000. can company can pass a jv entry :
forex gain A/c dr. 2000
To stores& spheres A/c 2000
or it has to transferred to P&L A/c
30 April 2014
Hello,
Transfered to statement to profit and loss account.
Transfered to statement to profit and loss account.
Message likes :
1 times
30 April 2014
Thanks prashanth for your help
01 May 2014
Foreign Exchange Gain recognised on purchase has to be credited to Profit & Loss Accounts.
Refer Accounting Standard 11.
Exchange differences arising on the settlement of monetary items or on reporting an enterprise’s monetary items at rates different from those at which they were initially recorded during the period, or reported in previous financial statements, should be recognised as income or as expenses in the period in which they arise.
Refer Accounting Standard 11.
Exchange differences arising on the settlement of monetary items or on reporting an enterprise’s monetary items at rates different from those at which they were initially recorded during the period, or reported in previous financial statements, should be recognised as income or as expenses in the period in which they arise.
Message likes :
1 times
01 May 2014
Thanks for explanation it was really helpful.
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
- REGARDING GST ON COMMERICIAL PROPERTY
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- TDS U/S. 194NF
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- Applicable TDS rate for sale of property in Nov 2024
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- Is online PGCE worth it?
- ITC c/f from FY2022-23 to FY2023-24 entered the same in table 8C of GSTR9 of FY 2022-23, in FY23-24
- Late filling fees Demand by gst office
- IGST Credit-Show cause notice issued-confusion
- Short and Excess provision of expenses
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
