VISHAL SHRIVASTAVA (Accounts Professional) (32 Points)
04 April 2019please explain the year closer entry of uncleared cheques against capital expenses, where books of accounts has been maintained according on cash basis ( cash accounting system).
Expenses on Building construction
cheque payment date 25/03/2019
cheque clearing date in bank 05/04/2019
books closed on 310.3.2019
kindly suggested
regards
Mukesh Sodhi
(owner)
(286 Points)
Replied 05 April 2019
When cheques already issued, it will be credited against Bank Reconciliation acc. No change in capitalization of expenses.
CAclubindia
