Interested to Buy Any Domain ? << Click Here >> for more details...
Treatment of P&L A/c balance(either profit or loss)??
- 2 Answers
- 5614 Views
- I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / abhijeet jain`
Neha ur ans is only partial u have spoken only of the
result n not the treatment which d Q sought to have
asked....coming to d treatment if its a profit it shall be
added to d reserves & suplus on the liabilities side of the
BS and in case of loss it shall be shown on the assets side
under the heading Misc. exps.
| Is This Answer Correct ? | 14 Yes | 4 No |
Answer / neha
Treatment of P & L a/c is totally depend upon its balance.
If the balance is credit then it is a profit & if the
balance is debit then it is a loss.
| Is This Answer Correct ? | 8 Yes | 5 No |
what is subsidiary company, explain brief?
Benjamin O'Henry has owned and operated O'Henry's Data Services since its beginning ten years ago. From all appearances, the business has prospered. In the past few years, you have become friends with O'Henry and his wife. Recently, O'Henry mentioned that he has lost his zest for the business and would consider selling it for the right price. You are interested in buying this business, and you obtain its most recent monthly unadjusted trial balance which follows: O'Henry's Data Services Unadjusted Trial Balance November 30, 20XX Cash……………………………… $9,700 Accounts receivable……………………… 7,900 Prepaid expenses………… 2,600 Furniture, fixtures, & equipment 151,300 Accumulated depreciation $15,600 Accounts payable………… 3,800 Salary payable……………… Unearned service revenue 6,700 Benjamin O'Henry, capital 137,400 Benjamin O'Henry, withdrawals 2,000 Service revenue………… 14,300 Rent expense…………… Salary expense………… 3,400 Utilities expense……… 900 Depreciation expense Supplies expense…… Total…………………………………………. $177,800 $177,800 Revenues and expenses vary little from month to month, and November is a typical month. Your investigation reveals that the unadjusted trial balance does not include the effects of monthly revenues of $2,100 and monthly expenses totaling $2,750. If you were to buy O'Henry's Data Services, you would hire a manager who would require a monthly salary of $3,000. The most you would pay for the business is 20 times the monthly net income you could expect to earn from it. Compute this possible price. The least O'Henry will take for the business is his ending capital. Compute this amount. Under these conditions, how much should you offer O'Henry? Give your reason. I have the mathimatical part ok , please give reasons on how much and why I they would offer him the amount.
where will be effect the amount of depreciation in company final account? If it will effect in P&L A/c & Balance Sheet also than will amount be same in both sheet?
Does provisions need to be subtracted from reserves if net worth is calculated on the basis of share capital based method
STATE & EXPLAIN THE IMPACT OF GLOBAL FINANCIAL CRIS ON CEMENT SECTOR IN INDIA:
What is Fund Management & Project Finance
What is Amalgamation
What should be the answere when asked "tell me about your self".
sir i want aao lic exam model question paper
what is the difference between public company and private company
can a shareholder or promoters waive his or their right for dividend ? if yes then how and when before or after book closure or in the AGM ? what will be its treatment in accounts?should any provision be there in the Articals of Company for that?
Is the premium amount included in the subscribed capital of the company.
Audit 
