ABIR KUMAR DEB (Student-CA FINAL(New)) (153 Points)
11 January 2010Assuming that you are an "HONEST" accountant of a company and that you find a piece of gold in the premises of the company,what accounting entry would you pass to record the piece of gold in the books of your company?
CA Mohd Gouse
(Chartered Accountant)
(497 Points)
Replied 11 January 2010
Forget About Journal Entry......run Away with GOLD.........Let other Person Pass Entry for you in the Book of Co as
Profit & Loss A/c...Dr
To Gold Theft (Loss) A/c....
Enjoy...........
ABIR KUMAR DEB
(Student-CA FINAL(New))
(153 Points)
Replied 11 January 2010
Dear Mr Gouse
First of all i assumed that u r honest and u have proved me wrong
secondly, the journal which the other person will be passing is also incorrect. how can u credit gold theft A/c when the gold does not belong to the company ..........?
CA Aditya
(CA )
(527 Points)
Replied 12 January 2010
| Originally posted by : abir kumar deb | ||
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Dear Mr Gouse First of all i assumed that u r honest and u have proved me wrong secondly, the journal which the other person will be passing is also incorrect. how can u credit gold theft A/c when the gold does not belong to the company ..........? |
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Gold A/c Dr
To Other/Miscellaneous Income A/c
CA Aditya
(CA )
(527 Points)
Replied 12 January 2010
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Dear Abir,
Gold A/c Dr To Other/Miscellaneous Income Ac Correct Me If Iam Wrong.
Regards
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CA Mohd Gouse
(Chartered Accountant)
(497 Points)
Replied 12 January 2010
acha hai u will sure be good Honest accountant in Future best of luck.....
poonam
(professional)
(31 Points)
Replied 12 January 2010
If gold is to be considered as company asset. then entry will be
Gold(asset) a/c Dr.
To capital reserve a/c
CA Dhiraj Ramchandani
(CA, M. com)
(10823 Points)
Replied 12 January 2010
| Originally posted by : poonam | ||
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If gold is to be considered as company asset. then entry will be Gold(asset) a/c Dr. To capital reserve a/c |
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I think this entry justifies the case.... Moreover, the amount considered here should be Rs. 100...
Normaly, we take this amount when we get any business asset in a gift and we record that at Rs. 100 or else any charitable isntitute gets some asset as donation... like hospital getting an ambulance in donation....
But i still say, remain quite, take the gold wid u.... Kisiko pata nai chalega...
sivaram
(Asst Mgr-Taxation)
(6918 Points)
Replied 12 January 2010
Mr Abir Kumar deb,
dont take it seriously
our company purchases gold to give it to qualified dealers as part of sales promotion activities
so Honest Accountant would have already recorded the same in books and if found on the floor will part away with the same
Mohanish Aggarwal
(B.com(H), CA )
(318 Points)
Replied 12 January 2010
We will assume that it's not a co.s asset. And record it in our own books as an abnormal gain. hi hi....
CA. Megha Topiwala
(Job)
(1534 Points)
Replied 12 January 2010
agreed with dhiraj... take up d gold .... by remaining quite....
Duke
(Article Assistant)
(39 Points)
Replied 12 January 2010
No accountant in the world would wait and think about passing a entry he would rather quickly keep it in his pocket.
sanjay kumar
( tax consultant)
(90 Points)
Replied 12 January 2010
| Originally posted by : sanjay kumar | ||
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GOLD A/C Dr TO CAPITAL RESERVE Cr this is because is a capital item and cannot be treated as revenue income .... thanks & regards to the honest accountant sanjay |
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