Define Reserve & Provision?
Answers were Sorted based on User's Feedback
Answer / vellingiri
Reserve:
Reserve is created out of the profit of a company for the
purpose of distribution of divident and redemption of
shares/debentures etc.
Provision;
Provision is created for a particular purpose for
example income tax provision. So that particular provision
can be utilized for that particular purpose.
Is This Answer Correct ? | 32 Yes | 3 No |
Answer / adit
reserve is a part of divedent which company kept for itself for future growth and expansion.
Is This Answer Correct ? | 14 Yes | 5 No |
Answer / ashok
Reserve
Reserve is Created to Meet Future Unexpected Exp. or
Liability
provision
provison is Created to meet Expected expenses (but unknown
figure)of Accounting Period in Future.
Is This Answer Correct ? | 13 Yes | 6 No |
Answer / vijayakumar
Spelling of dividend not divident
In American accounting they use only the term provision or allowance In India now people use both in the same sence
Is This Answer Correct ? | 0 Yes | 0 No |
Depreciation?
What do you mean by / what is fund management..?
What are different types of reports made in tally
Give three examples of P/V ratio?
What Is The Limitation Of Remuneration Allowed If Book Profit Is 375850 In A Business Firm And In A Professional Firm?
Is Goodwill a Intangible or Fictitious Asset ?
why closing balance do not come in trial balance?if it is in which case it comes?
is outstanding items (either expences or incomes) comes in trial balance? if so how to treat them in financial statements
What does stand for EPD,MIS? Can anyone tell me briefly n clearly about this?
what are concepts and conventions of accounting
25 Answers CDLE, Infosys, Netco, TCS,
Expand BEMS
N N SALES: DEPT A 150000 DEPT B 2500 100000 newspaper 1000 rates 500 elect 250 salary 10000 stock 1/4/92 :dept A 2300 DEPT B - stock :1/4/93 dept A 1200 dept B 700 newspaper 300 prepare trading profit and loss account. thanx