06 July 2012
How to draft notes to accounts of a company which is getting closed in the following year? What other things need to be considered in accounting treatment, etc.?
12 July 2012
Check if the financials can be presented using going concern assumption.
Guest
Guest
(Querist)
12 July 2012
Sir I know going concern assumption will not hold good but apart from that what should be presented in the notes to accounts. I have decided to report under AS-24 discontinuing operations but it is not mandatory for the client as he is not listed so I will be using it on a recommendatory basis.
12 July 2012
I assume all other condyions are also no applciable such as subsidiary of listed entity or previous yera turnover 50 cr or curren period debt of 10 cr.
Check the board resolutions for suhc plan. What is the reason for closure. assess if it existed on balance sheet date.
If not on March 31 then you may dislcose in subsequent event.
Need more information to conclude.
Guest
Guest
(Querist)
12 July 2012
Sir after 31st march the company has closed the factory and it has made the closure compensation pay to its employees in the month of Feb so it was pre-decided that the operations will be closed
CAclubindia
