shankar banerjee (self employed) (162 Points)
03 January 2011In respect of a lease arrangement, what are the accounting entries to be passed in the books of a leasor
Please inform
Thanks & regards
Shankar Banerjee
Vivek Raju P
(Manager)
(614 Points)
Replied 03 January 2011
Depends on the kind of lease finance or operating. In case of a finance lease the payments due on the lease will be treated as a receivable and the asset will be removed from the balance sheet.
In case of an operating lease the asset will be carried at cost on the balance sheet and the lease rentals are taken to revenue as they accrue.
25 Hours GST Scrutiny of Return and Notice Handling(With Recording)
Survey, Search and Seizure under Income Tax Act 1961
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