what is the diff btw charge and appropriation
Answer Posted / lakshmana.n
UP ON MY OPINION CHARGE MEANS REDUSING THE ASSET VALUE
THROUGH DEPRECIATION.
APPROPRIATION MEANS EXPENDITURE IT SHOULD BE GIVE
FUTURE RETURNS TO THE FIRM
| Is This Answer Correct ? | 4 Yes | 3 No |
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I renders interior Services, consider one project cost Rs.500000/- Scenario 1 - Material purchased on my Firm Name Material - 300000 -300000 On party behalf Labour - 200000 -150000 My expenses for Labour Contracts Profit - 50000 My Profit Scenario 2 - Material purchased by client Labour - 200000 -150000 My expenses for Labour Contracts Profit - 50000 My Profit In both Profit is same Rs. 50000/-. which is beneficial for me in terms of turnover or tax matters. and if I have to raise a bill to party as per both scenario, how it will affect bill and tax, where will I suffer loss?
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