Deduction of Interest Revenue from Capital Work in progress

Deepak Dadhich (CA) (24 Points)

05 June 2009  

Hi

a company can reduce the interest income on surplus amount invested (amount ment for development of property) from CWIP.

What would be the treatment of the INterest revenue if the CWIP is less than Interest Income i.e. after reducing the interest income if the CWIP becomes negative than what should be the accounting treatment??