RAHUL JOSHI (Doing articleship) (229 Points)
02 May 2013what is the treatment of preliminary expenses in revised schedule vi if there is no profit & loss a/c(Cr.).
if there is no p & l a/c,do i need to show it in non current assets ?
RAJESH PARAMU
(FC)
(24 Points)
Replied 02 May 2013
| Originally posted by : RAHUL JOSHI | ||
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what is the treatment of preliminary expenses in revised schedule vi if there is no profit & loss a/c(Cr.). if there is no p & l a/c,do i need to show it in non current assets ? |
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under non currenct assets
CA Apoorva Gaurav
(CA)
(368 Points)
Replied 02 May 2013
Dear Rahul
plzz do elaborate the question
what does "NO P&L" means ????
how could there be no p&l even if it is a non-operating entity u will have to put on certain expenditures lyk for printing&stationery and auditors remuneration
and even in the cases entity hasn't commenced its operation u will have to prepare "Statement of Pre-operative" expenses
so plzz elaborate what are u asking for....
RAHUL JOSHI
(Doing articleship)
(229 Points)
Replied 03 May 2013
Mr. Apoorva-yar u know that in books there are few questions where no p and l a/c is given.
this is not a real life situation.B.T.W thanx.
thanx Mr. Rajesh.
Jibin Thomas
(CA Final,B COM(H))
(109 Points)
Replied 03 May 2013
guys as per sch 6,when p & l debit bal is shown in reserves & surplus as a negative item,in the same preliminary exps would be shown as negative item in r & s head....since their is no profits to set off the expense the treatment would be same......correct me if iam wrong...but i think this would be way....regards
CA Apoorva Gaurav
(CA)
(368 Points)
Replied 04 May 2013
Ya then ...In any case you will have to keep it under
Current Assets
NOn Current assets XXX
you can't change the classificantion on account of mere absence of something in question
Yamuna Vasant
(CA Final Student)
(35 Points)
Replied 15 June 2013
Apoorva that is not "Non Current Assets" under CURRENT ASSET head. its "Other Current Assets" under the head CURRENT ASSET
sanjana
(article)
(80 Points)
Replied 15 June 2013
It shud be classified as other non current assets,
krishna ram phaiju
(article assitant)
(30 Points)
Replied 31 March 2014
It should be classified on
Prelimenery Exp extent to the extent not W/o
NON CURRENT ASSETS
Other Non Current Assets
and Preliminery exp w/o
Preliminery Exp W/o A/c Dr
To Prelimenery Exp extent to the extent not W/o( ie . Profit and Loss )
Chandra Prakash Garg
(CA Final)
(83 Points)
Replied 08 September 2014
CAclubindia
