09 March 2009
Hi, Can any one guide me how to do accounting for windmill income. The units generated from windmill is adjusted in the electricity bill and so how the accounting treatment would be. Whether we have to show gross amount of income from electricity units generated from windmill on the credit side and then gross electricity exps on the debit side. Pls guide me
10 March 2009
As per schedule you should show them individually, they can not be adjusted. Similar cased is asked in which a food company provides free meal to his employees. Held the income can not be adjusted with expenses on account of same nature. The income and expenses should be disclosed clearly. The income is direct income but expense in indirect and any indirect expenses must not affect GP ratio and gross earning
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