M.S.Nathan (service) (75 Points)
22 December 2010Dear sir,
An enterprise is a private limted company. Its annual turnover is more than 50 crores. AS per accounting standard 18, EPS and Diluted EPS to be shown below the balance sheet.
Whether the private limited companies are required to publish the annual financial reports to public. ?, If not , how AS 18 will apply to them.
Pl. clarify.
regards
Devi jegatha
sivaram
(Asst Mgr-Taxation)
(6918 Points)
Replied 22 December 2010
Private Companies Financial Staements are not made public.AS-18 being a Disclosure Standard it is applicable to Private Ltd Comapanies
Pradeep Kamath
(Chartered Accountant)
(134 Points)
Replied 23 December 2010
Mr Shanmuganathan,
AS 20 deals with EPS, as per the AS, basic and diluted EPS are reqd to be disclosed in the face of the profit and loss account (and not balance sheet), and the accounting standard is mandatory for all companies (refer AS 20 under the Companies Accounting Standards Rules, 2006). The question of whether such FS are reqd to be disclosed to the public is irrelevant in this context.
CAclubindia
