CAN PRE OPERATIVE EXPENSES BE CAPITALISED? IF YES, HOW CAN
IT BE DONE?

Answer Posted / pawan kumar

pre operative expenses of capital nature are to be
capatalised with cost of fixed assets in relaions to which
they have incurred. whereas pre operative expenses fo
revenue are to be charged aganist profits in which year
buisness has commenced.

Is This Answer Correct ?    107 Yes 31 No



Post New Answer       View All Answers


Please Help Members By Posting Answers For Below Questions

Short Answer on _________Financial accounting

1429


A company acquires new taxi fleets on 1April 2006 with intention to provide services during the World Cup period and thereafter dispose the taxis .The World Cup runs for three months to 30 June 2006.The company's year end is 30 June 2006.how do you account for taxis at initial recognition .

1499


How do we return the loan in equal installments with interest in tally

1663


Who to create a budget on software company

1624


emplementation of accounting standerds in Bangladesh, developing or copieng?

1625






what is mean by provision ? give me examples ..

1548


What do you know about hyd? Tell something about hyd?

1845


3. You are required to show the effect of each of the following changes on profit and Break-Even-Volume from the information given below: Sales 50,000 units Rs. 5.00 per unit Variable cost Rs. 3.00 per unit Fixed cost Rs. 70,000 Changes: (i) Price changes by 20%. (ii) Volume decreases to 40,000 units. (iii) Variable cost increases to Rs 3.50 per unit. (iv) Fixed cost decreases by 10%.

1611


can any one send me payables real time scenarious or any projects

1644


Define `Realisation` Account? Explain the salient features?

2547


what is Accounting Standers?

1703


what are all the formulas used in bank to calculate their economy

1596


(a) Rajesh Ltd. gives you the following information for the year ended 31st March, 2006: (i) Sales for the year Rs. 48, 00, 000. The Company sold goods for cash only. (ii) Cost of goods sold was 75% of sales. (iii) Closing inventory was higher than opening inventory by Rs.50,000. (iv) Trade creditors on 31.3.2006 exceed the outstanding on 31-3.2005 by Rs. 1, 00, 000. (v) Tax paid during the year amounts to Rs. 1, 50, 000. (vi) Amounts paid to Trade creditors during the year Rs. 35, 50, 000. (vii) Administrative and Selling expenses paid Rs. 3, 60, 000. (viii)One new machinery was acquired in December, 2005 for Rs. 6, 00, 000. (ix)Dividend paid during the year Rs. 1,20, 000. (x)Cash in hand and at Bank on 31.3.2006 Rs. 70, 000. (xi) Cash in hand and at Bank on 1. 4.2005 Rs. 50, 000. Prepare Cash Flow Statement for the year ended 31.3.2006 as per the prescribed Accounting Standard. (b) Define the teen "Operating Activities", "Investment Activities" and "Financing Activities" as per NA S-3 Send me this question answer in my mail Address please help me to how solve the question ( deepakgaire@gmail.com) plese plese

1582


duties of bank finance manager

1778


What will your outlook towards maintenance of liquid assets to ensure that the firm has adequate cash in hand to meet its obligations at all times

2075