Meaning of sale value/operating income

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

21 February 2014 Please explain me meaning of
Annual Turnover shall be = Sale Value/Operating Income

Can i Consider the Interest Received on FD in Sale Value (Other Incomes)

And how to calculate please give me the formula for calculation

Vijay Kumar

Vijay Kumar (Expert)
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22 February 2014 Dear Friend,

Interest on FD should be treated as an Other Income.

Any realisation with respect to Sales is always considered as Income from operation.

Making Fixed Deposit is not a regular activity (regular course of business) so, any interest received should be treated as Other Income and should be shown separately with different account head under Indirect Income group.

Regards,

Vijay