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In a private limited company,if owner/shareholder withdraws different amounts from company account, then where should be that amount be accounted for/in which head of account that amount should be placed????
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Answer / tapan kumar roy
IN PVT LTD COMPANY ARE THE OWNER OF SHAREHOLDERS. EITHER EQUITY SHAREHOLDERS OR PREFERENCE SHAREHOLDERS,EQUITY SHAREHOLDERS WILL GET THE DIVIDED END OF THE YEAR WHICH IS RECOMEND BY BOARD OF DIRECTORS IN THEIR AGM,PREFERENCE SHAREHOLDERS EILL GET THE AMOUT AS PER THEIR AGREEMENT WHICH THEY AGREED THE PERCENTENGE EITHER IT IS 8% OR 9% WHATEVER IT IS AND IT WILL GET IF COMPANY HAS NO PROFIT EVEN THE COMPANY IN LOSS. ANOTHER PART IS DIRECTOR SO EXECUTIVE DIRECTOR WILL GET THEIR REMUNERATION EVERY MONTH LIKE EMPLOEE AND IT WILL ACCOUNTED AS DIRECTORS REMUNERATION.AND IT IS A PROFIT & LOSS ITEM
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