Yasaswi Gomes new (Finance ) (4514 Points)
18 August 2023Hi
Yesterday I had an incident. I got a contractor to do repairs and paid 50,000/- advance and after the work is completed he's asking me his balance 1,50,000/- ASAP???? WHY? all companies run on credit as per working capital. I cleared it today. My question, is there any under section that I can explain a contractor in the future that establishing credit days is mandatory as per the statutory acts. Plus I'm holding payments to improve my working capital.
Txs
prasad Nilugal
( GST Practitioner & Accounts )
(14801 Points)
Replied 19 August 2023
Yasaswi Gomes new
(Finance )
(4514 Points)
Replied 19 August 2023
No one believes in going concern with adequate working capital ratio I guess.
When going is a concept, finance laws must be amended.
Basil also doesn't address cause it's out of their purview.
CAclubindia
