Why should we prepare profit

Answers were Sorted based on User's Feedback



Why should we prepare profit..

Answer / spsiva.mba

The main purpose of preparing a Profit and Loss
Appropriation account is "Distribution of profits".

Is This Answer Correct ?    154 Yes 12 No

Why should we prepare profit..

Answer / spsiva.mba

The main purpose of preparing a profit and loss
appropriation account is Distribution of profits.

Is This Answer Correct ?    55 Yes 11 No

Why should we prepare profit..

Answer / dron bharadwaj

In respect of Companies , P & L Appropriation is made to
show how the profits of companies have been appropriated (
To set apart for a specific use ).
For example - Net Profit transffered to General Reserve ,
proposed dividend etc.
These items show how the profit is assigned to different
purposes .

Is This Answer Correct ?    35 Yes 9 No

Why should we prepare profit..

Answer / spsiva.mba

The main purpose of preparing a profit and loss
appropriation account is to distribution of profits.

Is This Answer Correct ?    26 Yes 6 No

Why should we prepare profit..

Answer / jay kuamr

In partnership firm "p\L A\C approciatoin" will prepare to
distribution of profit or loss

In corporated company prepare to adjust the suspence a\c
amount or transfer to next year it will happn in the case
of while preparing final accounts any difference will come
transfered to suspense a\c it will happen at that time
suspense amt will rectify with preparing p\L Appropriation
A\C

Is This Answer Correct ?    46 Yes 29 No

Why should we prepare profit..

Answer / gopal sharma

The main purpose of preparing a profit and loss
appropriation account is to distribution of profits

Is This Answer Correct ?    17 Yes 2 No

Why should we prepare profit..

Answer / arvind kumar jain

Actally Profit and loss appropriation account is prepared to
accertain the balance of net profit for distribution after
making due enteries of general reserve, proposed dividend,
partners salary, comm, interest and taxes like fbt....

Is This Answer Correct ?    14 Yes 1 No

Why should we prepare profit..

Answer / hussain

the main purpose of prepare p&l apprn. a/c is to
distribution of profits

Is This Answer Correct ?    12 Yes 2 No

Why should we prepare profit..

Answer / gyanender nehra

Profit & loss app. a/c is prepared to show the
Appropriations of the Profits.
The aim of preparing Profit & Loss app. a/c is to allocate
the those Profits for which a Company has no
obligation,these profits are transferred to Gen Reserve,or/
and avail as proposed dividend to Share Holders.

Is This Answer Correct ?    7 Yes 0 No

Why should we prepare profit..

Answer / sweet name

Profit & loss appropriation A/c is prepared to know the
appropriation of funds in the business and to adjust the
balances if any in profit & loss A/c.

Is This Answer Correct ?    5 Yes 2 No

Post New Answer

More Accounting AllOther Interview Questions

what is the accounting period ?

16 Answers   Wipro,


What is deferred revenue Expenditure.

2 Answers   Indiabulls, Wipro,


How to make an adjustment entry for the variation of physical asset Vs book value of asset. For example: As per asset register there are 1000 computers where as 950 computers are available in stores. How to make an adjustment entries for the difference of 50 quantities?

0 Answers  


company accounts introduction?

0 Answers  


EXPAND___________NRI

3 Answers  






Expand-------ATBN

0 Answers   ACS,


Clasify capital

0 Answers  


what is importance of accounting?

3 Answers  


Why closing stock wont appear in the Trial Balance?

3 Answers  


what is the difference between horizontal and vertical balance sheet.

0 Answers  


expand T R P

3 Answers   Concentrix,


sir.i jitendra surati have a query.aboutloss settelment. i have loss of capital rs 26000/ and mr friend have loss of rs106000/- as capital. how to compensate the loss by sharing?how many i have to give to my friend ? (A)26000+106000=132000 and i have to give him 66000? or 40000 rs?

1 Answers  


Categories