Hai, I have a doubt.. I usually show purchase of software under fixed assets. My friend says it is an expense because the original right with someone. She says it has to be shown under indirect expense.. Is that true? Pls clarify my doubt..
Bye
SUBHASHINI (Student) (202 Points)
22 April 2008Hai, I have a doubt.. I usually show purchase of software under fixed assets. My friend says it is an expense because the original right with someone. She says it has to be shown under indirect expense.. Is that true? Pls clarify my doubt..
Bye
VARUN KAKKAR
(CA FINAL)
(151 Points)
Replied 23 April 2008
hi friends
purchase of software must be considered to fixed assets
because it will be usefull for more than a year
VARUN KAKKAR
(CA FINAL)
(151 Points)
Replied 23 April 2008
hi friends
purchase of software must be considered to fixed assets
because it will be usefull for more than a year
Anil
(1638 Points)
Replied 23 April 2008
I had similar doubts. One of the CA club members suggested that I refer the below mentioned link :
https://www.caclubindia.net/Judiciary/judiciary_detail.asp?judiciary_id=352
Please refer the above link to give you better understanding of the issue and its resolution.
Harish Arora
(Chartered Accountant)
(52 Points)
Replied 23 April 2008
PLEASE REFER AS-26 INTENGIBLE ASSETS FOR THIS PURPOSE.
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