Interested to Buy Any Domain ? << Click Here >> for more details...
what is the difference between PROVISION & RESERVE ?
- 3 Answers
- 16699 Views
- Capital IQ, FactSet Systems, HDFC, IQ, I also Faced
- E-Mail Answers
Answer Posted / guest
PROVISION : Provision is a charge to P&L a/c.
RESERVE : Reserve is an appropriation of profit.
provision : it is because of legal necessity.
reserve : it is a matter of finavial prudence.
provision : creation of provision decreases the funds of
the business.
reserve : creation of reserve increases the working capital
of the business.
provision : can be made irrespective of profit / loss
reserve : cannot be made when there is loss.
provision : are made against expected losses.
reserve :safe guard against unexpected losses and there by
to strengthen the financial position of the company
| Is This Answer Correct ? | 94 Yes | 6 No |
Post New Answer View All Answers
What is Issued Capital?
How Does The Single Supervisory Mechanism Operate?
What is foreign exchange?
Mention what are the options available in Account Books Menu in Tally ERP 9?
Explain debt equity ratio. What are its components?
can anybody help me to tell me about the questions that could be asked in axis bank interview?
Explain share capital & reserves and surpluses.
How To Associate Users With A Group?
Do you know the basics of monetary policy? If yes, tell them.
Fill in the blank- The argument that the need for a new monetary policy to ---------demand outweighs the need to ------budget deficits its persuasive.
What are the various services provided by a commercial bank?
According to narasimham committee what is the minimum amount of money that is statutorily required by the nbfc’s for registration?
Reasons of Nifty Fluctuation in details ?
What is non-scheduled bank?
As a student of Arts/ Science or Commerce why didn't you applied for higher studies?
