Difference between Provisions and reserves

Answer Posted / vivek

Provision is a charge against incomes whereas reserves is an appropriation of profits.
provision is to be created even when there is no profit whereas reserves can be created only out of profits.

Is This Answer Correct ?    18 Yes 0 No



Post New Answer       View All Answers


Please Help Members By Posting Answers For Below Questions

Apportionment of expenses

1834


What is the provision?

646


informance about performance is disclosed by

1802


if co. (proprietorship). purchase mobile phone for employees than mobile phones under off. equipment .we have rec. purchase bill gst applicable how shows entry

990


journal entry for prepaid insurance and salary outstanding

1143






{in tally}in inventory info what is (stock group, stock categori, stock item,reorder levels) why we has to prepare them?

1833


How do you prepare a balance sheet from a trial balance?

644


hai everone,can anyone send me the accounting ,finance,general interview questions for mba freshers plz.....urjent

2254


cash credit taken from bank then what is the general entry?

1573


how to calculate accrued interest on fdr?how to see from bank statement????basic procedure plz advice..

3739


What software applications have your used for accounts receivable?

580


i have selected jr. accountant/ auditor in ssc graduate level 2008 scheme b. but i have not yet received deptt. memo and also appointment letter. when it will be come??? how much time???

1521


Tell me did you use accounting applications at your previous companies or prefer working manually?

650


What is vendor?

672


how much cash transaction to single transport company per day and also per year

1118