Answer / suhail bashir

The account through which annual net profit or loss of a business is ascertained, is called profit and loss account. Gross profit or loss of a business is ascertained through trading account and net profit is determined by deducting all indirect expenses (business operating expenses) from the gross profit through profit and loss account. Thus profit and loss account starts with the result provided by trading account.

The particulars required for the preparation of profit and loss account are available from the trial balance. Only indirect expenses and indirect revenues are considered in it. This account starts from the result of trading account (gross profit or gross loss). Gross profit is shown on the credit side of the profit and loss account and gross loss is shown on the debit side of this account. All indirect expenses are transferred on the debit side of this account and all indirect revenues on credit side. If the total of the credit side exceeds the debit side, the result is "net profit" and if the total of the debit side exceeds the total of the credit side, the result is net loss. As the net profit or net loss of a certain accounting period is determined through profit and loss account.

What will be entry for that: Busines strarted with brrowed cash Rs. 25000 from Mr. X. if capital will be creadit. ???????????????????????WHY????????????????

5 Answers   IAS,

---

Give Journal Entry for "Interest Received from Bank" and give description with Accounting rules

27 Answers   ABC, GEE, Genpact,

---

what is the difference between trial balance and the balance sheet.?

1 Answers   CTS,

---

what is Investment Fluctuation Fund? is it reserve or provison?

9 Answers   Colgate,

---

Purchases book records: (a) All cash purchases. (b) All credit purchases. (c) Credit purchases of goods in trade. (d) None of the above.

3 Answers  

---

How to pass workscontract sale invoice which includes WCT & VAT.

0 Answers  

---

WHAT IS CRR, REPORATE, REVERSE REPO RATE

1 Answers   FCI,

---

define contra entry?

8 Answers  

---

when we have to use form 12ba in income tax with example

2 Answers   Genpact,

---

Spinoff,Spelloff

0 Answers   Capital IQ,

---

I want to know accounting information in oracle apps projects costing module. i.e Which account is cr and which account db. Please help me.

0 Answers  

---

WHAT IS A CREDIT NOTE AND DEBIT NOTE IN RESPECT TO A TRADING COMPANY?

3 Answers  

---