Interested to Buy Any Domain ? << Click Here >> for more details...
Answer Posted / kumaraswamy
no, depreciation is not a source of fund. it is a provision
from the profit of the company. it is a sacrifice of the
profit.once the asset value becomes "zero" after
depreciation is sprovided for, the company can replace the
asset with the depreciation reserve.
| Is This Answer Correct ? | 12 Yes | 7 No |
Post New Answer View All Answers
Q5 Prepare a Balance sheet from the following particulars: Gross profit =Rs.80,000 Gross profit to cost of goods sold =1/3 Stock velocity =6 times Opening stock =Rs.36,000 Accounts receivable velocity =72 days (year=360 days) Current assets=Rs.1,50,000 Account payable velocity=90 days Bills receivable =Rs.20,000 Bills payable=Rs.5,000 Fixed assets turnover ratio (on cost of goods sod)=8 times
From the following information you are to prepare a Cash Budget for the period from July to December 2008. (i) The estimated sales and expenses are as follows: June July Aug. Sep. Oct. Nov. Dec. Sales 35,000 40,000 40,000 50,000 50,000 60,000 65,000 Purchases 14,000 16,000 17,000 20,000 20,000 25,000 28,000 Wages & Salaries 12,000 14,000 14,000 18,000 18,000 20,000 22,000 Expenses 5,000 6,000 6,000 6,000 7,000 7,000 7,000 Interest Received 2,000 - - 2,000 - - 2,000 Sale of Fixed Assets - - 20,000 - - - - (ii) Sales are 20% in cash and balance on credit. 50% of the debtors are collected in the month of sales and the remaining in the next month. (iii) The time lag in payment of purchases and expenses is 1 month. However, wages and salaries are paid fortnightly with a time lag of 15 days. (iv) The company maintains a minimum cash balance of Rs. 5,000. The cash balance in excess of Rs. 7,000 is invested in government securities in multiples of Rs. 1,000. Short falls in cash balance are made good by borrowing from banks. The interest received as well as paid is to be ignored.
What is inter-corporate deposits? and where it is shown in balance sheet?
What exactly balance sheet depicts
what is sales life cycle???
please specify some books name in preparing a bank exam apttirutude questions
intorduse your self ? what to say if iam fresher.
Why you want to leave your present job while they offer you with good offer?
explain about mergers & aquisitions? asked on 30/7/09
Hi friends can you send me the Accounting Interview questions with a interview experienced questions please
EXPAND___________NPO
what is cost centre , job costing & Budget control. what is the effect of these.Explain its briefly.
Example for extra ordinary expenditure?
what is the meaning of Processing Vendor/Employee payments
Please define Transaction Type , Movement Type , Asset Transaction Type , Item Type & Document type. Please also give examples of each of them
