Answer / vinay & ibbu

capital gain means If we sale our Fixed Assets like
Machinary & Builidings from that if we get profits then it
is capital ganin. Simply we can say that whare incomes
comes from fixed assets. that is called capital gain.

Answer / ma10kumar

Capital gains are our profits out of sale of fixed assets.
We call this as capital gains because these gains do not
result because of our business (in which case we could have
called it as Profit). We earned the gain because we have
purchased them through Capital. Thus the only contributor
to the gain is Capital. Therefore, it is called as capital
gains.

Moreover, adding these kind of gains with the acutal
business profit will dilute the real picture of how did the
organization perform. Therefore, the profit from the sale
of fixed asset should be separated from actual business
profit and put under account head "Capital Gains".

- Ma10kumar, Chennai

expand I T C

7 Answers  

---

taken loan from Private person(Dec'2014) - Rs. 6 lac and already interest paid for the year 115200 but interest taken for A/c Rs.38400/-.(upto March2015). remaining amount for this year i.e. 76800/- how to enter in tally. please clearify

1 Answers   College School Exams Tests,

---

EXPAND_________SEZ

7 Answers  

---

what is the treatment of rent paid more than 10000rs.

2 Answers  

---

What is provision and reserve and how u treat in account

13 Answers   Accenture, ASD Lab, Capital IQ, Ramky,

---

Choose the right answer when cheque given to a creditor dishonour,we have to credit 1.Creditor 2.Bank 3.loss

2 Answers  

---

how many accounting standards in india

12 Answers  

---

what are the methods used to allocate support costs?

1 Answers  

---

How do you value freehold property investment assets?

1 Answers  

---

What is difference between profit, revenue?

1 Answers  

---

what is the accounting conventions

1 Answers   Cognizant,

---

Who will be called as distributor

1 Answers  

---