Is p&l required prior to commencement

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

02 January 2014 WHETHER PROFIT & LOSS ACCOUNT IS REQUIRED TO BE PREPARED WHERE NO COMMERCIAL ACTIVITY IS COMMENCED.

Ganeshbabu K (Expert)
Follow

02 January 2014 Not required to prepare statement of profit and loss if company not yet started its commercial activities

Message likes : 1 times

Querist : Anonymous

Querist : Anonymous (Querist)

02 January 2014 WHERE THE FOLLOWING EXPENSES ARE TO BE REFLECTED IN THE FIRST YEAR:
AUDIT FEES.
BANK CHARGES.
COMPANY INCORPORATION EXPENSES.

CS,CA F,Numrologi TusharSampat (Expert)
Follow

02 January 2014 yes as for companies accural method of accounting is to be followed.

Ganeshbabu K (Expert)
Follow

02 January 2014 will BE TREATED AS PRELIMINARY AND PRE INCORPORATION EXPENCES UNDER OTHER CURRENT ASSETS

Message likes : 1 times

CS,CA F,Numrologi TusharSampat (Expert)
Follow

02 January 2014 Such Exp needs to be amortized.

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Unanswered Queries

view all classess