The document compares the old and revised formats of Schedule VI of the Companies Act, 1956 regarding the balance sheet and statement of profit and loss. Some key changes highlighted include:
- The revised format only allows for a vertical presentation compared to both vertical and horizontal previously
- Headings were changed from "Sources of Funds" and "Application of Funds" to "Equity & Liabilities" and "Assets"
- Additional line items were added under shareholders' funds, non-current liabilities, current liabilities, non-current assets, and current assets.
- Definitions and disclosure requirements for items like share capital, reserves and surplus, borrowings, and receivables were expanded in the revised format
The document discusses the applicability, objective, benefits and differences between Indian Accounting Standards (Ind AS) and existing Accounting Standards (AS). It states that certain large companies must adopt Ind AS from 2016 onwards in a phased manner to improve transparency and comparability with IFRS. Ind AS convergence aims to standardize financial reporting, facilitate comparisons and enhance transparency of Indian companies. Key differences are that Ind AS are aligned with IFRS whereas AS were formulated by India.
Profit and loss account of banking companiesAnand Saran
The document outlines the key components of a profit and loss account for banking companies in India. It discusses that a profit and loss account summarizes revenues, costs, and expenses over a financial year to calculate profit or loss. It then describes the various schedules that make up a bank's profit and loss account, including interest earned and expended, other income, and operating expenses. The profit or loss is then appropriated to reserves, dividends, or transferred to the balance sheet.
The document discusses accounting concepts related to provisions and reserves. It defines a provision as an amount written off to account for depreciation or known liabilities. Provisions for doubtful debts are created by debiting the profit and loss account and crediting the provision for doubtful debts account. Reserves are amounts appropriated from profits that are not meant to cover specific liabilities and help strengthen a company's financial position. The key differences between provisions and reserves are that provisions directly impact taxable profits while reserves do not, and provisions are for certain liabilities while reserves strengthen the balance sheet. Revenue and capital reserves are also discussed along with their uses.
The document provides an overview of mergers and acquisitions in India, including:
1) It describes different types of mergers such as horizontal, vertical, congeneric, and conglomerate mergers. It also describes different types of acquisitions such as friendly, hostile, leveraged buyouts, and bailout takeovers.
2) It explains the legal and regulatory process for M&As in India, including the letter of intent, due diligence, transition agreements, representations and warranties in the agreement, and confidentiality agreements.
3) Key steps in the M&A process include negotiating a letter of intent, conducting due diligence, drafting the merger agreement to address issues found in due dilig
This document provides an overview of leasing. It discusses the history and meaning of leasing, including definitions from experts. It outlines the steps in a typical leasing process and describes various types of leases. The advantages to lessors include assured regular income, preservation of ownership, tax benefits, and high profitability. Advantages to lessees are use of capital goods, tax benefits, cheaper financing, and technical assistance. Disadvantages are also presented, such as inflation risk for lessors and compulsory payments even if the asset is not needed for lessees. In summary, the document defines leasing, outlines the leasing process, and discusses the pros and cons from the perspectives of both lessors and les
This is the comprehensive and latest presentation on Indian Corporate Bond market. It starts with basic features, 3 Main pillars of Indian Corp bond market ecosystem & its importance. It then covers Primary Placement, Valuation/MTM as per RBI/FIMMDA norms, Valuation using excel IRR() function with example, Credit rating scales, Market timing & Reporting.
It also covers few topics like ISIN & ends with challenges and Limitation of India corp bond market.
1. Scheduled banks in India refer to banks included in the second schedule of the Reserve Bank of India Act of 1934. These include private, foreign, and nationalized banks operating in India.
2. Commercial banks provide services like accepting deposits, making loans, and offering investments. Major types are public sector banks (where government holds over 50% stake), private sector banks (where majority shares are held privately), foreign banks, and regional rural banks focused on serving rural areas.
3. Public sector banks include the State Bank of India and its associates, as well as other nationalized banks like Allahabad Bank, Bank of Baroda, Canara Bank, and more. Private sector banks have majority private ownership instead
The document discusses various types of leases including financial leases, operating leases, sale and leaseback arrangements, and international leasing. It defines key lease terms and parties. It also outlines the regulatory framework for leases under contract law and discusses lease documentation and agreements.
The document discusses the applicability, objective, benefits and differences between Indian Accounting Standards (Ind AS) and existing Accounting Standards (AS). It states that certain large companies must adopt Ind AS from 2016 onwards in a phased manner to improve transparency and comparability with IFRS. Ind AS convergence aims to standardize financial reporting, facilitate comparisons and enhance transparency of Indian companies. Key differences are that Ind AS are aligned with IFRS whereas AS were formulated by India.
Profit and loss account of banking companiesAnand Saran
The document outlines the key components of a profit and loss account for banking companies in India. It discusses that a profit and loss account summarizes revenues, costs, and expenses over a financial year to calculate profit or loss. It then describes the various schedules that make up a bank's profit and loss account, including interest earned and expended, other income, and operating expenses. The profit or loss is then appropriated to reserves, dividends, or transferred to the balance sheet.
The document discusses accounting concepts related to provisions and reserves. It defines a provision as an amount written off to account for depreciation or known liabilities. Provisions for doubtful debts are created by debiting the profit and loss account and crediting the provision for doubtful debts account. Reserves are amounts appropriated from profits that are not meant to cover specific liabilities and help strengthen a company's financial position. The key differences between provisions and reserves are that provisions directly impact taxable profits while reserves do not, and provisions are for certain liabilities while reserves strengthen the balance sheet. Revenue and capital reserves are also discussed along with their uses.
The document provides an overview of mergers and acquisitions in India, including:
1) It describes different types of mergers such as horizontal, vertical, congeneric, and conglomerate mergers. It also describes different types of acquisitions such as friendly, hostile, leveraged buyouts, and bailout takeovers.
2) It explains the legal and regulatory process for M&As in India, including the letter of intent, due diligence, transition agreements, representations and warranties in the agreement, and confidentiality agreements.
3) Key steps in the M&A process include negotiating a letter of intent, conducting due diligence, drafting the merger agreement to address issues found in due dilig
This document provides an overview of leasing. It discusses the history and meaning of leasing, including definitions from experts. It outlines the steps in a typical leasing process and describes various types of leases. The advantages to lessors include assured regular income, preservation of ownership, tax benefits, and high profitability. Advantages to lessees are use of capital goods, tax benefits, cheaper financing, and technical assistance. Disadvantages are also presented, such as inflation risk for lessors and compulsory payments even if the asset is not needed for lessees. In summary, the document defines leasing, outlines the leasing process, and discusses the pros and cons from the perspectives of both lessors and les
This is the comprehensive and latest presentation on Indian Corporate Bond market. It starts with basic features, 3 Main pillars of Indian Corp bond market ecosystem & its importance. It then covers Primary Placement, Valuation/MTM as per RBI/FIMMDA norms, Valuation using excel IRR() function with example, Credit rating scales, Market timing & Reporting.
It also covers few topics like ISIN & ends with challenges and Limitation of India corp bond market.
1. Scheduled banks in India refer to banks included in the second schedule of the Reserve Bank of India Act of 1934. These include private, foreign, and nationalized banks operating in India.
2. Commercial banks provide services like accepting deposits, making loans, and offering investments. Major types are public sector banks (where government holds over 50% stake), private sector banks (where majority shares are held privately), foreign banks, and regional rural banks focused on serving rural areas.
3. Public sector banks include the State Bank of India and its associates, as well as other nationalized banks like Allahabad Bank, Bank of Baroda, Canara Bank, and more. Private sector banks have majority private ownership instead
The document discusses various types of leases including financial leases, operating leases, sale and leaseback arrangements, and international leasing. It defines key lease terms and parties. It also outlines the regulatory framework for leases under contract law and discusses lease documentation and agreements.
This document provides an introduction and overview of a research project on comparative analysis of mutual fund schemes. It includes sections on the certificate, declaration, acknowledgement, index, and beginning of the introduction. The introduction provides background on mutual funds in India, including the structure of the Indian financial system and history of the mutual fund industry. It discusses advantages of mutual fund investment, importance of mutual funds, types of mutual funds, and risks associated with mutual funds.
This document provides an overview of securitization, including:
- Securitization is the process of converting illiquid assets into liquid assets by pooling them and selling securities backed by the pooled assets.
- The key participants are originators, special purpose vehicles, investors, and servicers. Assets like mortgages, credit cards, auto loans can be securitized.
- Benefits include off-balance sheet financing for originators and returns for investors. Risks include collateral, structural, legal, and third party risks.
- India has taken steps to regulate securitization but lacks a comprehensive framework and standardization.
The document provides acknowledgements and thanks to various people who helped with the project. It thanks the project guide for their assistance and support. It also thanks library staff members and seniors who helped with collecting and processing data and resources for the project. The project is dedicated to all those who provided assistance.
Mutual funds pool money from investors and invest it in a portfolio of securities like stocks, bonds, and other assets. Investors share the income and capital gains or losses proportionate to their investment. Mutual funds offer diversification, professional management, affordability, and liquidity. Some risks include potential underperformance, costs, and taxes on capital gains. In India, the Association of Mutual Funds promotes and protects the interests of mutual funds and investors. Long-term capital gains from mutual funds are tax exempt.
The document discusses the rules for set off and carry forward of business losses under the Income Tax Act. It can be summarized as follows:
1) Section 70 allows for set off of losses from one source of income against profits from another source within the same head. Section 71 allows set off of losses under one head against income under another.
2) Business losses can be carried forward for 8 years and set off against future profits of any business. Speculation losses can be carried forward for 4 years against future speculation profits only.
3) Capital losses can be carried forward for 8 years against capital gains. House property losses can be carried forward for 8 years against future house property income. Losses from specified businesses
The document discusses the Insurance Regulatory and Development Authority (IRDA) of India. It was established in 1999 by an act of Parliament to regulate and promote the insurance industry. The IRDA aims to protect policyholders' interests, ensure the growth of ethical insurance practices, and foster an orderly insurance market. It has the power to license insurers and other industry bodies, enforce conduct standards, and adjudicate disputes. The IRDA is headed by a 10-member board including a Chairperson and whole-time members appointed by the central government.
The document discusses debentures, which are a type of creditor security issued by companies to borrow funds. Debentures acknowledge a debt and provide the holder with a fixed rate of interest. They are issued for purposes like setting up new projects, expansion, or mergers. There are various types of debentures, including secured/unsecured, redeemable/perpetual, and convertible/non-convertible debentures. Debenture holders are creditors and do not have ownership or voting rights in the company. While debentures provide benefits like a steady return, there are also risks if the company defaults on interest or principal payments.
The document summarizes the evolution of leasing in India from 1973 to the present. It discusses key milestones such as the establishment of the first leasing company in 1973, the entry of banks and financial institutions into leasing in the 1980s and 1990s, changes in regulations in the 1990s and 2000s, and the increasing presence of foreign lessors in recent years. It also compares leasing to hire purchase and notes that historically the two were treated separately but distinctions have blurred over time as regulations and tax treatment have converged.
The document is a project report on mergers and acquisitions in the banking sector of India. It includes an abstract, introduction, objectives, scope and coverage, literature review, research methodology, and conceptualization of mergers and acquisitions. Specifically, it discusses the difference between mergers and acquisitions, with mergers involving the combination of two companies into one new entity under companies law and the court, while acquisitions refer to one company gaining controlling interest in another without combination under SEBI regulations. The report focuses on studying the merger between Global Trust Bank and Oriental Bank of Commerce in 2004.
This document provides a training report submitted by a student to fulfill requirements for a post-graduate degree in commerce. It includes an introduction to mutual funds, a profile of the company where the training took place (State Bank of India), objectives and methodology of the research project on consumer preferences regarding investment in mutual funds, analysis and findings of the research, and suggestions. The student undertook the training and research project at State Bank of India to study consumer preferences around mutual fund investments.
The PPT contains information about CIBIL - leading rating agency in India. It tells you about the shareholding pattern, CSR, management and other relevant info
The document discusses capital adequacy norms for banks. It explains that capital acts as a cushion for banks against losses from risks like credit, market, and liquidity risks. The amount of capital a bank needs depends on the risks it takes and is assessed by regulators. There are two tiers of capital - Tier 1 includes equity and reserves, while Tier 2 includes provisions, revaluation reserves, and subordinated debt. The Basel Committee on Banking Supervision issues guidelines on capital adequacy requirements to help banks manage risks.
The document is a questionnaire about non-performing assets (NPAs) from a bank's perspective. It contains questions about:
1) The definition of an NPA and the timeline for classifying a loan as non-performing.
2) The percentage of NPAs at the respondent's branch and trends in NPAs at their bank.
3) Reasons for assets becoming non-performing and strategies to reduce NPAs, including proper lending processes, recovery methods, and impact of external factors.
Lease financing involves a lessor allowing a lessee to use an asset by paying periodic rentals, with ownership remaining with the lessor. There are two main types of leases: finance leases transfer substantially all risks and rewards of ownership to the lessee, while operating leases do not. Lease financing provides advantages like assured income for lessors and tax benefits for lessees, but also disadvantages such as double taxation for lessors and lack of ownership for lessees.
The document discusses the mergers of public sector banks in India. It lists the top 10 public sector banks and outlines several major mergers that have taken place or are planned, including the merging of Oriental Bank of Commerce and United Bank of India. The main reasons given for the mergers are to improve operating efficiency and governance, facilitate monitoring, and integrate weaker banks with stronger ones. Potential benefits of mergers include economies of scale, increased efficiency, filling business gaps, and upgrading talent. However, mergers also carry dangers such as poor culture fit, lack of commitment, negative customer impact, and inconsistent compliance and risk management. The conclusion states that while consolidation can have long-term benefits, it should only be done selectively with proper safeguards.
The document discusses debentures, which are debt instruments issued by companies to raise funds. It covers the meaning and types of debentures, the distinction between debentures and shares, and accounting entries for issuing debentures under different scenarios such as when issued at par, premium, or discount and redeemable at par, premium or discount. The key learning points are types of debentures, features of debentures, differences between debentures and shares, and journal entries for issuing debentures in various situations.
A Study of Mutual Funds in India- ReportSyril Thomas
This document is a report submitted by Mundakathil Syril Thomas to IBS Hyderabad as part of an internship at Stock Holding Corporation of India Limited. The report studies the growth of mutual funds in India. It provides details about Stock Holding Corporation, including its products and services. It also discusses the history and classification of mutual funds in India. The report analyzes indicators of growth for mutual funds such as assets under management and shift from traditional investments to mutual funds. It describes the research methodology used for a survey on consumer preferences related to investing. The findings of the survey and conclusions on the future of mutual funds in India are also summarized.
Helps customer find the best policy according to their suitable needs
Features,pros,cons and suitability of various policies are given :-
1. Term Policy
2. Whole Life Policy
3. Unit Linked Insurance Policy (ULIP)
4. Money Back Policy
5. Endowment Policy
Comparison between old and new schedule viSumat Singhal
The document provides a comparison of the key differences between the old and revised Schedule VI regarding the presentation of financial statements in India. Some of the major changes highlighted include:
- The revised Schedule VI only allows for a vertical presentation format versus both horizontal and vertical in the old.
- Additional disclosure requirements have been specified for items like share capital, cash and cash equivalents, borrowings, among others.
- Guidance is now provided around classifying assets and liabilities as current or non-current in the balance sheet.
A balance sheet shows a business's assets, liabilities, and net worth. It breaks down assets into fixed assets (long-term assets like machinery and buildings) and current assets (short-term assets that can be converted to cash within a year like inventory). Fixed assets are depreciated over their useful life. Liabilities include current liabilities (due within a year) and long-term liabilities. The balance sheet provides a snapshot of a company's financial position on a given date.
This document provides an introduction and overview of a research project on comparative analysis of mutual fund schemes. It includes sections on the certificate, declaration, acknowledgement, index, and beginning of the introduction. The introduction provides background on mutual funds in India, including the structure of the Indian financial system and history of the mutual fund industry. It discusses advantages of mutual fund investment, importance of mutual funds, types of mutual funds, and risks associated with mutual funds.
This document provides an overview of securitization, including:
- Securitization is the process of converting illiquid assets into liquid assets by pooling them and selling securities backed by the pooled assets.
- The key participants are originators, special purpose vehicles, investors, and servicers. Assets like mortgages, credit cards, auto loans can be securitized.
- Benefits include off-balance sheet financing for originators and returns for investors. Risks include collateral, structural, legal, and third party risks.
- India has taken steps to regulate securitization but lacks a comprehensive framework and standardization.
The document provides acknowledgements and thanks to various people who helped with the project. It thanks the project guide for their assistance and support. It also thanks library staff members and seniors who helped with collecting and processing data and resources for the project. The project is dedicated to all those who provided assistance.
Mutual funds pool money from investors and invest it in a portfolio of securities like stocks, bonds, and other assets. Investors share the income and capital gains or losses proportionate to their investment. Mutual funds offer diversification, professional management, affordability, and liquidity. Some risks include potential underperformance, costs, and taxes on capital gains. In India, the Association of Mutual Funds promotes and protects the interests of mutual funds and investors. Long-term capital gains from mutual funds are tax exempt.
The document discusses the rules for set off and carry forward of business losses under the Income Tax Act. It can be summarized as follows:
1) Section 70 allows for set off of losses from one source of income against profits from another source within the same head. Section 71 allows set off of losses under one head against income under another.
2) Business losses can be carried forward for 8 years and set off against future profits of any business. Speculation losses can be carried forward for 4 years against future speculation profits only.
3) Capital losses can be carried forward for 8 years against capital gains. House property losses can be carried forward for 8 years against future house property income. Losses from specified businesses
The document discusses the Insurance Regulatory and Development Authority (IRDA) of India. It was established in 1999 by an act of Parliament to regulate and promote the insurance industry. The IRDA aims to protect policyholders' interests, ensure the growth of ethical insurance practices, and foster an orderly insurance market. It has the power to license insurers and other industry bodies, enforce conduct standards, and adjudicate disputes. The IRDA is headed by a 10-member board including a Chairperson and whole-time members appointed by the central government.
The document discusses debentures, which are a type of creditor security issued by companies to borrow funds. Debentures acknowledge a debt and provide the holder with a fixed rate of interest. They are issued for purposes like setting up new projects, expansion, or mergers. There are various types of debentures, including secured/unsecured, redeemable/perpetual, and convertible/non-convertible debentures. Debenture holders are creditors and do not have ownership or voting rights in the company. While debentures provide benefits like a steady return, there are also risks if the company defaults on interest or principal payments.
The document summarizes the evolution of leasing in India from 1973 to the present. It discusses key milestones such as the establishment of the first leasing company in 1973, the entry of banks and financial institutions into leasing in the 1980s and 1990s, changes in regulations in the 1990s and 2000s, and the increasing presence of foreign lessors in recent years. It also compares leasing to hire purchase and notes that historically the two were treated separately but distinctions have blurred over time as regulations and tax treatment have converged.
The document is a project report on mergers and acquisitions in the banking sector of India. It includes an abstract, introduction, objectives, scope and coverage, literature review, research methodology, and conceptualization of mergers and acquisitions. Specifically, it discusses the difference between mergers and acquisitions, with mergers involving the combination of two companies into one new entity under companies law and the court, while acquisitions refer to one company gaining controlling interest in another without combination under SEBI regulations. The report focuses on studying the merger between Global Trust Bank and Oriental Bank of Commerce in 2004.
This document provides a training report submitted by a student to fulfill requirements for a post-graduate degree in commerce. It includes an introduction to mutual funds, a profile of the company where the training took place (State Bank of India), objectives and methodology of the research project on consumer preferences regarding investment in mutual funds, analysis and findings of the research, and suggestions. The student undertook the training and research project at State Bank of India to study consumer preferences around mutual fund investments.
The PPT contains information about CIBIL - leading rating agency in India. It tells you about the shareholding pattern, CSR, management and other relevant info
The document discusses capital adequacy norms for banks. It explains that capital acts as a cushion for banks against losses from risks like credit, market, and liquidity risks. The amount of capital a bank needs depends on the risks it takes and is assessed by regulators. There are two tiers of capital - Tier 1 includes equity and reserves, while Tier 2 includes provisions, revaluation reserves, and subordinated debt. The Basel Committee on Banking Supervision issues guidelines on capital adequacy requirements to help banks manage risks.
The document is a questionnaire about non-performing assets (NPAs) from a bank's perspective. It contains questions about:
1) The definition of an NPA and the timeline for classifying a loan as non-performing.
2) The percentage of NPAs at the respondent's branch and trends in NPAs at their bank.
3) Reasons for assets becoming non-performing and strategies to reduce NPAs, including proper lending processes, recovery methods, and impact of external factors.
Lease financing involves a lessor allowing a lessee to use an asset by paying periodic rentals, with ownership remaining with the lessor. There are two main types of leases: finance leases transfer substantially all risks and rewards of ownership to the lessee, while operating leases do not. Lease financing provides advantages like assured income for lessors and tax benefits for lessees, but also disadvantages such as double taxation for lessors and lack of ownership for lessees.
The document discusses the mergers of public sector banks in India. It lists the top 10 public sector banks and outlines several major mergers that have taken place or are planned, including the merging of Oriental Bank of Commerce and United Bank of India. The main reasons given for the mergers are to improve operating efficiency and governance, facilitate monitoring, and integrate weaker banks with stronger ones. Potential benefits of mergers include economies of scale, increased efficiency, filling business gaps, and upgrading talent. However, mergers also carry dangers such as poor culture fit, lack of commitment, negative customer impact, and inconsistent compliance and risk management. The conclusion states that while consolidation can have long-term benefits, it should only be done selectively with proper safeguards.
The document discusses debentures, which are debt instruments issued by companies to raise funds. It covers the meaning and types of debentures, the distinction between debentures and shares, and accounting entries for issuing debentures under different scenarios such as when issued at par, premium, or discount and redeemable at par, premium or discount. The key learning points are types of debentures, features of debentures, differences between debentures and shares, and journal entries for issuing debentures in various situations.
A Study of Mutual Funds in India- ReportSyril Thomas
This document is a report submitted by Mundakathil Syril Thomas to IBS Hyderabad as part of an internship at Stock Holding Corporation of India Limited. The report studies the growth of mutual funds in India. It provides details about Stock Holding Corporation, including its products and services. It also discusses the history and classification of mutual funds in India. The report analyzes indicators of growth for mutual funds such as assets under management and shift from traditional investments to mutual funds. It describes the research methodology used for a survey on consumer preferences related to investing. The findings of the survey and conclusions on the future of mutual funds in India are also summarized.
Helps customer find the best policy according to their suitable needs
Features,pros,cons and suitability of various policies are given :-
1. Term Policy
2. Whole Life Policy
3. Unit Linked Insurance Policy (ULIP)
4. Money Back Policy
5. Endowment Policy
Comparison between old and new schedule viSumat Singhal
The document provides a comparison of the key differences between the old and revised Schedule VI regarding the presentation of financial statements in India. Some of the major changes highlighted include:
- The revised Schedule VI only allows for a vertical presentation format versus both horizontal and vertical in the old.
- Additional disclosure requirements have been specified for items like share capital, cash and cash equivalents, borrowings, among others.
- Guidance is now provided around classifying assets and liabilities as current or non-current in the balance sheet.
A balance sheet shows a business's assets, liabilities, and net worth. It breaks down assets into fixed assets (long-term assets like machinery and buildings) and current assets (short-term assets that can be converted to cash within a year like inventory). Fixed assets are depreciated over their useful life. Liabilities include current liabilities (due within a year) and long-term liabilities. The balance sheet provides a snapshot of a company's financial position on a given date.
Sustainable e learning courses moodleposium2013Penny Neuendorf
Penny Neuendorf presents tips for building sustainable e-learning courses. She discusses three types of sustainability: teacher, student, and institute. Her key tips include using forums sparingly with clear goals and guidelines, peer-led feedback, clear and crisp design that stimulates the senses, using a range of tools like Articulate Storyline and Adobe Captivate, controlling document size and quality through tools like Dropbox and YouTube, reusing and repurposing content from places like Khan Academy, using self and peer assessment, incorporating student-generated content, recording sessions for future use, and keeping courses well-contained through features like progress bars and clear instructions. The overall message is that instructors have the power to create sustainable
A Basic Guide to infrastructure business development investment and financing...atulpkhekade
This document provides an overview of infrastructure business, investing, and financing in India. It discusses the size and investment needs of India's infrastructure industry, key sectors like transportation and power, contract types such as EPC and BOT, areas of focus for infrastructure companies, and financing options including equity, debt, bank lending guidelines, and policies for international banks. The purpose is to educate businesses and investors on opportunities in infrastructure and how to leverage financing to benefit from India's growth and infrastructure boom.
The revised schedule VI of the Companies Act provides new guidelines for financial statement disclosures. Key changes include:
1. Assets and liabilities must now be classified as current or non-current rather than grouped together.
2. Additional line items are required, such as separate disclosure of share warrants and application money.
3. Components of assets and liabilities must be broken out, for example tangible and intangible fixed assets.
4. Treatment of certain items has changed, such as lease deposits now disclosed as non-current assets and losses shown under 'Surplus' rather than expenditures.
The document outlines India's vision to become a developed country by 2020. It discusses key areas of focus including education, agriculture, industry, infrastructure, and information technology. The former President of India, APJ Abdul Kalam, identified these five areas as critical to transforming India, along with reducing problems like poverty, illiteracy, population growth, unemployment, and lack of infrastructure. Many initiatives are underway in areas like education reform, agricultural development, industrial growth, infrastructure projects, and expanding IT and communication networks to achieve the goal of making India a developed nation by 2020.
The document discusses how Schedule III of the Companies Act 2013 provides increased transparency and easier comparison of financial statements for general investors. It analyzes and compares the balance sheets and profit/loss statements of Grasim Industries and Century Textiles using various financial ratios like P/E ratio, profitability ratios, and liquidity/solvency ratios. The analysis finds that while Grasim Industries has stronger profitability, Century Textiles has higher debt levels. Overall, Schedule III and analysis of financial statements through ratios helps investors evaluate companies.
The document discusses the key components and purpose of a balance sheet. It provides definitions for assets, liabilities, and equity. It also outlines the various sections that must be included in a balance sheet according to the Companies Act of India from 1956, such as fixed assets, current assets, equity, and various types of liabilities. The purpose of a balance sheet is to disclose the values and nature of a company's assets and liabilities, provide information about its solvency, liquidity, and other financial details. However, balance sheets also have limitations as the values reported may not reflect current market prices.
Role of infrastructure in economic developmentKashif Hussain
This document discusses the role of infrastructure, including economic and social infrastructure, in economic development. It defines economic infrastructure as facilities like transportation, energy and communications that support industry, and social infrastructure as facilities like education, health and housing that support human development. The document explains that well-developed infrastructure boosts economic growth by expanding industry's productive capacity and stimulating aggregate demand. It also discusses how social infrastructure like education and health are important for labor productivity and economic growth, but may require government support and investment. The conclusion states that infrastructure development can be an effective way to reduce poverty by improving access to opportunities.
How to Change Text to Diagrams (infodiagram visualization)Peter Zvirinsky
The document discusses using diagrams to replace text in presentations. It provides examples of different types of diagrams including three-tier systems, graphs, and flow charts. The benefits of using diagrams are that they are fast to read and understand and simple to create while also clearly showing context. Recommendations are provided for resources to learn more about creating diagrams.
Infrastructure in india ,Indian InfrastructureShubham Jain
The document discusses infrastructure in India. It notes that while India is the fourth largest economy, lack of proper infrastructure has slowed GDP growth by 1-2% annually. Key sectors of infrastructure in India include energy, transport, communication, education and health. However, India faces problems developing its infrastructure like issues with land acquisition, funding constraints, and delays in approvals. While India aims to invest $500 billion in infrastructure by 2012, it still lags behind China which spends 11% of its GDP on infrastructure and has been increasing spending by 25% annually. Improving infrastructure is important for India's continued economic growth and development.
The document provides an overview of key changes introduced in the Companies Act 2013 as compared to the previous Companies Act 1956. Some of the major changes highlighted include:
1. The Act has been reorganized into 29 chapters compared to 13 parts under the previous act. The number of sections has been reduced from 658 to 470.
2. New concepts such as one person companies, registered valuers, and national company law tribunal have been introduced.
3. Requirements around incorporation such as minimum and maximum number of members for private companies, and commencement of business have been modified.
4. Key managerial personnel has been defined to include whole-time director, CEO, company secretary and C
The document discusses infrastructure development in India. It covers sectors like power, roadways, railways, oil and gas, and telecommunications. Some key points:
1. India plans major investments to expand infrastructure like doubling spending on infrastructure to $1 trillion under the 12th Five-Year Plan.
2. The power sector faces a large demand-supply gap and needs over 150,000 MW of additional generation capacity. Reforms are expected to boost growth across generation, transmission and distribution.
3. Road and rail projects include expanding national highways, building the Golden Quadrilateral network, developing high speed rail, and the Delhi-Mumbai Industrial Corridor project.
4. Oil and
This short PowerPoint presentation shows five great ways to get the attention of your audience during your speech or sales pitch.
Try them out in your next speech and you will see how you can engage your audience with these simple tips.
This presentation was created 100% in PowerPoint by my presentation design agency Slides. We are based in Spain (Europe) but have clients worldwide.
Drop me an email and we will discuss your project.
We held the largest ever Virtual SlideShare Summit a week back, if you missed it here's your chance to hear from the experts once more on some of the takeaways on presentation design and SlideShare Marketing
The document provides examples of standard, boring presentation templates and encourages the creation of unique, visually appealing templates instead. It emphasizes using fewer words and more images per slide, varying fonts and colors, and breaking content into multiple slides to keep audiences engaged. Inspiration sources like design blogs and galleries of infographics and slide designs are recommended for making impactful presentations that attract and impress audiences.
Revised Schedule VI of Companies Act, 1956Ankur Chaplot
Presented by CA. Ankur Chaplot in Seminar on Changes in Revised Schedule VI of The Companies Act, 1956 organised by Ratlam Branch of CIRC of ICAI. Awarded as Best Submission at Ratlam Branch 2012-13.
This document is the question paper for an accounting exam with 71 multiple choice questions worth a total of 100 marks. The questions cover a range of accounting concepts, principles, statements and analysis including fixed/current assets, the accounting equation, balance sheet presentation, liquidity ratios, revenue recognition, and financial statement analysis.
This document is an accounting exam question paper containing 71 multiple choice questions worth a total of 100 marks. The questions cover a range of accounting concepts and topics, including the categorization of assets, the accounting equation, balance sheet presentation, financial statement analysis, international accounting standards, and ratio analysis. The full document provides an accounting exam for students to test their knowledge across different areas of accounting principles and practices.
This document is the question paper for an accounting exam with 71 multiple choice questions worth a total of 100 marks. The questions cover a range of accounting concepts, principles, statements and analysis including fixed/current assets, the accounting equation, balance sheet presentation, liquidity ratios, revenue recognition, and financial statement analysis.
The document provides guidance on preparing balance sheets and profit and loss statements under the revised Schedule VI in India. It outlines the required format and key highlights for balance sheets, including current/non-current classifications of assets and liabilities. Equity and liabilities must be shown in the order of shareholders' funds, non-current liabilities, current liabilities. Assets are divided into non-current assets like fixed assets and investments, and current assets such as inventories, receivables, cash equivalents. Detailed disclosure requirements and classifications are provided for items like investments, loans, provisions.
The document summarizes the key changes between the old Schedule VI and the revised Schedule VI to the Companies Act applicable from the 2011-2012 financial year. Some of the major changes include:
1) The revised Schedule VI requires financial statements to be presented only in the vertical format, whereas the old Schedule VI allowed horizontal or vertical presentation.
2) Fixed assets are now bifurcated between tangible and intangible assets under non-current assets in the revised format.
3) Borrowings are separated into non-current and current liabilities in the revised format instead of being grouped together.
4) Investments and loans & advances are no longer separate heads and are instead bifurcated between non-
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This document outlines the curriculum for teaching Principles of Accounts to students in Forms 3 through 5 based on the Caribbean Secondary Education Certificate Syllabus. It breaks down the syllabus content over three years and provides guidance on teaching strategies and assessment methods. The topics covered include the accounting cycle, books of original entry, financial statements, adjustments, and accounting concepts, principles and processes.
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The document contains 30 multiple choice questions testing accounting concepts and terminology. Key concepts covered include:
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- Fixed assets include items like goodwill.
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Asset Liability Management (ALM) is a dynamic process of managing a bank's assets and liabilities to maintain profitability and liquidity. It aims to match assets and liabilities based on maturities and interest rates to minimize risk from volatility. Key components of ALM include gap analysis, liquidity management, and interest rate risk management. Gap analysis involves grouping assets and liabilities into maturity buckets to identify mismatches. Liquidity management ensures sufficient funds are available to meet obligations. Interest rate risk management monitors how changes in interest rates impact earnings and economic value. Together, these components help stabilize earnings and ensure long-term sustainability of the bank.
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Check your progress module c treasury managementVinayak Kamath
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Similar to Old v/s New Schedule VI Comparison (20)
Recording of Special Transactions of Accounting in Saparate books, includes :
1."Cash Book" for Cash, Bank & Discount transactions
2. "Purchase Book" for Credit purchases of goods
3. "Returns Outward Book" for Return of Credit purchases goods
4. "Sales Book" : Credit Sale of goods
5."Return Inwards Book" for Return of Credit Sold goods; 6. "Bills Receivable" book: Details of Bills drawn &
7. "Bills Payable" Book.
8. "Journal Proper": for the remaining Transactions.
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Humans can make unintentional errors, but in Accounting, there is an option to make a Rectification entry for the errors.
Some errors affect the Trial Balance, some not
Rectification of errors depends on the timing of its detection:
1.Errors detected before preparation of Trial Balance are corrected by
"Writing a Narration" for Single Sided Errors &
" Rectified entry for Double Sided Error"
2. Errors detected after Trial Balance : by
" Opening Suspense A/C for Single Sided Errors"
" Rectification Entry"
3. Errors detected in Next accounting period :
Through P&L Adjustment Accounts
Recording of Special Transactions of Accounting in Saparate books, includes :
1."Cash Book" for Cash, Bank & Discount transactions
2. "Purchase Book" for Credit purchases of goods
3. "Returns Outward Book" for Return of Credit purchases goods
4. "Sales Book" : Credit Sale of goods
5."Return Inwards Book" for Return of Credit Sold goods; 6. "Bills Receivable" book: Details of Bills drawn &
7. "Bills Payable" Book.
8. "Journal Proper": for the remaining Transactions.
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The document discusses the key financial statements prepared for a sole proprietorship business, including the trading account, profit and loss account, and balance sheet. It explains that the trading account shows direct revenues and expenses related to goods sold, while the profit and loss account includes indirect expenses and incomes. Finally, the balance sheet presents the accumulated assets and liabilities of the business over time based on the accounting equation of assets equaling liabilities plus owner's equity.
Depreciation accounting involves allocating the cost of a fixed asset over its useful life. Common methods for calculating depreciation include straight line, reducing balance, units of production and annuity. The cost basis for depreciation includes expenses for acquisition, installation and commissioning of the asset. Revaluation of assets, upward or downward, affects the depreciation calculation and associated accounting entries.
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Treatment of a Transaction depends on the duration of its effect, i.e Long term or short term. The long term effect transaction i.e Capital Transactions & the short term
A bank reconciliation statement is prepared to reconcile the differences between the balances as per the cash book and as per the bank statement/pass book. It identifies timing differences in recording transactions as well as errors in the cash book or pass book. When preparing a bank reconciliation statement, all errors and omissions in the cash book as well as timing differences between the two statements are taken into consideration.
This topic will provide you the Basic meaning of accounting. The Definitions of Accounting, Transactions & Events has been discussed. The Accounting process/cycle has been explained elaborately. The accounting users, Characteristics of Accounting, its limitations & its sub fields have been discussed.
The laws/framework behind the Accounting that explains the Procedure of Accounting in different scenarios, that brings the Uniformity in Accounting i.e Accounting Standards have been discussed. The objectives, benefits & limitations of Accounting standards has also been discussed.
The document discusses accounting standards in India. It provides definitions, objectives, benefits and limitations of accounting standards. It notes that accounting standards are issued by the Institute of Chartered Accountants of India and are mandatory for companies. It lists 31 accounting standards and provides brief descriptions of some key standards including AS-1 on disclosure of accounting policies, AS-2 on valuation of inventories, AS-3 on cash flow statements, and AS-9 on revenue recognition. It also discusses converged Indian accounting standards (Ind AS) applicable to certain companies.
Accounting Standards are Rules and Regulation of Financial Accounting set by ICAI (Institute of Chartered Accountant of India) which Cover the Treatment, Recognition, Measurement, Disclosure etc. It include the Objective, Benefits and Limitation of AS (Accounting Standard)
Total 32 Accounting Standards are issued by ICAI.
The document provides information about the Financial Risk Manager (FRM) certification program, which involves passing two exams to demonstrate knowledge of financial risk management. It details the requirements to obtain the FRM charter, including work experience and education qualifications. Key details are provided around the exam dates and locations, registration fees, course structure and duration, and payment options for an upcoming training program in India to prepare candidates for the FRM exams.
Takshila provides a variety of finance and business-related courses through both in-person and virtual formats. It was established in 2009 by professionals from IT, telecom, and education to provide cutting-edge training solutions. Courses include those in finance, accounting, taxation, soft skills, and more for students, professionals, and corporate clients. Takshila aims to help trainees achieve their career goals through qualified faculty and innovative learning approaches like virtual live classes. They strive for excellence through values like ethics, innovation, and passion.
The document discusses the Certified Public Accountant (CPA) qualification from the United States. Some key points include:
- The CPA is the highest accounting qualification in the world, similar to the CA qualification in India. It is administered by the American Institute of Certified Public Accountants (AICPA).
- The CPA exams are based on real-life case studies, unlike the pattern in India. Appearing again costs 2-3 lakhs. Technical expertise is required to solve simulations.
- Takshila provides end-to-end support for students pursuing a CPA, including visa assistance, airport pickup, accommodation in the US, and both face-to-face and online classes
1. Just four Exam ,2. 15 Full Days Classes (Only on Sundays), 3. 120hrs of Revision Online Classes is free , 4.) Face to Face or Online Live both mode, 5. Equivalent Qualification to CA, 6.) Highest Accounting Qualification, 7.) Faculty is working with Big4 in US Advisory Service.
Takshila Learning Provide Best Coaching for Dip.IFRS it Include:- 1). 9 Full Days Classes(Only on Sundays), 2. Also 72 hrs Online Revision Class, 3). Face to Face or Online Classes both, 4) Faculty with IFRS Implementation exp. 5) ACCA Platinum Approved GTG Study Material, 6) Faculty OWN Notes, 7.) Documentation Support, 8.) 1 Day Practical Training on IFRS.
The document describes a training program to help finance and accounting students transition to working in an ERP-based accounting environment. The program covers key finance and accounting concepts, ERP systems and processes like accounts payable, accounts receivable, and record to report. It aims to help candidates gain the skills and knowledge needed to get an entry-level job in companies like multinational corporations or financial outsourcing firms. The training includes hands-on exercises, mock interviews and assessments to evaluate participants and provide certification. The goal is to reduce the gap between academia and industry expectations to benefit both job seekers and employers.
The document provides information about the Certified Public Accountant (CPA) designation, which is the highest accounting qualification in the world administered by the American Institute of Certified Public Accountants. It describes the CPA qualification process, including details about the 4-part Uniform CPA Examination, exam structure and format, and the skills assessed. The document also discusses the career opportunities and benefits of obtaining the CPA designation globally.
1. A comparative study - Schedule VI of the
Companies Act, 1956.
Old v/s Revised (2011)
The Ministry of Corporate Affairs (MCA) on Tuesday, the 1st day of March
notified Schedule VI (Revised). The revised Schedule VI has been framed
as per the existing non-converged Indian Accounting Standards notified
under the Companies (Accounting Standards), Rules, 2006 and has no link
with the converged Indian Accounting Standards, 35 in all notified by the
MCA. It has been mentioned on the website of the Ministry of
Corporate Affairs that the Revised Schedule VI shall apply uniformly
to all companies for the financial year 2010-11 and onwards.
The Revised Schedule VI is flexible in the case of applicability of Accounting
Standards and the Act. Where compliance with the requirements of the Act
including Accounting Standards (as applicable to the companies) require
any change in the treatment of disclosure in the financial statements or
statements forming part thereof, the same shall be made and the
requirements of the Schedule VI shall stand modified accordingly.
The disclosure requirements specified in Schedule VI are in addition to the
disclosure requirements of the Companies Act as well as the Accounting
Standards. Hence, all disclosures as required by the Companies Act and
Accounting Standards shall be made in the notes to accounts in addition to
the requirements set out in this Schedule.
We, at Kantilal Patel & Company have put in efforts to simplify this
notification for better understanding by the corporates. In this regard, we
have prepared a comparative chart between the old and revised format of
Schedule VI. The chart is divided in two parts:
Part I: Balance Sheet
Part II: Statement of Profit and Loss
All the major changes have been highlighted accordingly using green font-
colour and the major omissions are highlighted using red font-colour.
Compiled and Prepared by Kantilal Patel & Company Page 1 of 23
2. Schedule VI (OLD) Schedule VI (Revised – 2011)
PART I
BALANCE – SHEET
I. SOURCES OF FUNDS I. EQUITY & LIABILITIES
(1) Shareholders’ Funds (1) Shareholders’ Funds
(a) Capital (a) Share Capital
(b) Reserves & Surplus (b) Reserves & Surplus
(c) Money received against share warrants
(2) Share application money pending allotment
(2) Loan Funds (3) Non-current Liabilities
(a) Secured Loans (a) Long-term borrowings
(b) Unsecured Loans
(3) Deferred Tax Liabilities (Net) (b) Deferred tax liabilities (Net)
(c) Other long term liabilities
(d) Long-term provisions
(3) Current Liabilities & Provisions (Reclassified) (4) Current Liabilities
(a) Liabilities (a) Short-term borrowings
(b) Provisions (b) Trade payables
(c) Other current liabilities
______________ (d) Short-term provisions ______________
TOTAL ______________ TOTAL ______________
II. APPLICATION OF FUNDS II. ASSETS
(1) Fixed Assets (1) (a) Fixed Assets
(a) Gross Block (i) Tangible Assets
(b) Less: depreciation (ii) Intangible Assets
(c) Net Block
(d) Capital Work-in-Progress (iii) Capital Work-in-Progress
(iv) Intangible Assets under development
(2) Investments (Long term and Current) (b) Non-current Investments
(3) Deferred Tax Assets (Net) (c) Deferred tax assets (net)
(4) Current Assets, Loans and advances (d) Long-term loans and advances
(e) Other non-current assets
(2) Current Assets
(a) Current Investments
(a) Inventories (b) Inventories
(b) Sundry debtors (c) Trade Receivables
(c) Cash and Bank balances (d) Cash and Cash equivalents
(d) Loans & Advances (e) Short-term loans and advances
(e) Other current Assets (f) Other current assets
(5) (a) Miscellaneous expenditure to the extent not written
off or adjusted.
(b) Profit and Loss Account ______________ _______________
TOTAL ______________ TOTAL _______________
Compiled and Prepared by Kantilal Patel & Company Page 2 of 23
3. PART I
I. SOURCES OF FUNDS I. EQUITY & LIABILITIES
Permitted both Vertical and Horizontal forms of Permits only VERTICAL form of presentation.
presentation.
Used “Sources” and “Application of Funds” as Uses “Equity & Liabilities” and “Assets” as
Headings in the Vertical Form. Headings.
SHAREHOLDERS’ FUNDS
(1) Shareholders’ funds were classified as - (1) Shareholders’ funds are classified as –
a. Capital a. Share Capital
b. Reserves & Surplus b. Reserves & Surplus
c. Money received against Share Warrant.
(a) Share Capital (a) Share Capital
For each class of Capital – For each class of Capital –
(a) Authorized (a) Authorized
(b) Issued (b) Issued
(c) Subscribed (c) Subscribed & Fully paid up
(d) Subscribed & not fully paid up
(d) Par value per share (e) Par value per share
(e) Calls unpaid (f) Calls unpaid
By Directors By Directors
By Others By Officers
(f) Forfeited shares (Amount originally (g) Forfeited shares (amount
paid – up). Any Capital profit on originally paid-up)
reissue of Forfeited shares should be
transferred to Capital Reserve.
(h) A reconciliation of the number of
shares outstanding at the
beginning and at the end of the
reporting period.
(g) Terms of redemption or conversion (i) The rights, preferences and
(if any) of any redeemable restrictions attaching to each class
preference Capital to be stated, of shares including restrictions on
together with the earliest date of the distribution of dividends and
redemption. the repayment of capital.
Particulars of the different classes of Terms of any securities
Preference shares to be given. convertible into equity/preference
shares issued along with the
earliest date of conversion in
descending order starting from the
farthest such date.
(h) In case of Subsidiary companies, the (j) Shares in respect of each class in
number of shares held by the the company held by its holding
Compiled and Prepared by Kantilal Patel & Company Page 3 of 23
4. holding company as well as by the company or its ultimate holding
ultimate holding company and its company including shares held by
subsidiaries must be separately subsidiaries or associates of the
stated. holding company or the ultimate
holding company in aggregate.
(k) Shares in the company held by
each shareholder holding more
than 5 percent shares specifying
the number of shares held.
(l) Shares reserved for issue under
options and
contracts/commitments for sale of
shares/disinvestment, including
the terms and amounts.
(m) For the period of five years
immediately preceding the date as
at which the Balance Sheet is
prepared:
(i) Shares allotted as fully paid, Aggregate number and class
pursuant to a contract, for of shares allotted as fully
consideration other than cash, paid up pursuant to
should be separately shown. Shares contract(s) without payment
allotted as fully paid-up, by way of being received in cash.
Bonus shares (specifying the source Aggregate number and class
from which such Bonus shares are of shares allotted as fully
issued e.g., Capitalization of Profits paid up by way of bonus
or Reserves or from Share Premium shares.
Account) Aggregate number and class
of shares bought back.
(b) Reserves and Surplus (b) Reserves and Surplus
(a) Capital Reserves (a) Capital Reserves
(b) Capital Redemption Reserve (b) Capital Redemption Reserve
(c) Share Premium Account (c) Securities Premium Reserve
(d) Debenture Redemption Reserve
(e) Revaluation Reserve
(f) Share Options Outstanding Account
(d) Other Reserves specifying the nature (g) Other Reserves – (specify the
of each Reserve and the amount in nature and purpose of each
respect thereof. reserve and the amount in respect
thereof)
Surplus i.e. the balance in the Profit and Loss Account Surplus i.e. the balance in the balance in the
after providing for proposed allocation, viz. Dividend, statement of Profit & Loss disclosing allocations and
Bonus or Reserves. appropriations such as dividends, bonus shares and
transfer to/from reserves etc.
Debit balance in the Profit & Loss Account shall be Debit balance of statement of profit and loss shall be
shown as a deduction from the uncommitted reserves, if shown as a negative figure under the head ‘Surplus’.
Compiled and Prepared by Kantilal Patel & Company Page 4 of 23
5. any. If debit balance of Profit & Loss is in excess of Similarly, the balance of “Reserves and Surplus”,
uncommitted reserves, the same shall be shown under after adjusting negative balance of surplus, if any,
“ASSETS” as Profit & Loss. shall be shown under the head “Reserves and
Surplus” even if the resulting figure is in the
negative.
Additions and deductions since the last balance-sheet to Additions and deductions since the last balance-
be shown under each of the specified heads. sheet to be shown under each of the specified heads.
SINKING FUND A reserve specifically represented by earmarked
The word “fund” in relation to any “Reserve” investments shall be termed as a ‘fund’.
should be used only where such Reserve is specifically
represented by earmarked Investments.
Proposed additions to Reserve.
(2) (2) Share application money pending allotment
LIABILITIES
Secured Loans (SL) Non – Current Liabilities (NCL)
Unsecured Loans (UL) Current Liabilities (CL) (See note below)
Current Liabilities and Provisions (CLP)
(3) Secured Loans; Unsecured Loans; Current Liabilities & (3) Non – Current Liabilities (4) Current Liabilities
Provisions.
(a) Long term borrowings (a) Short term
(sub-classify as Secured borrowings
Loans/Unsecured loans)
(a) Debentures (SL/UL) (a) Bonds/Debentures
(b) Loans & Advances (SL) Short-term Loans and (b) Term Loans Loans Repayable on
Advances (UL) Demand
From Banks From Banks From Banks From Banks
From Others From Others From Others From Others
(c) Deferred Payment
Liabilities
(d) Fixed Deposits (UL) (d) Deposits Deposits
(e) Loans and Advances from Subsidiary (SL/UL) (e) Loans and Advances from Loans and Advances
Related Parties from Related Parties
(f) Long term maturities of
Finance lease obligations
(g) Other Loans & Advances (SL/UL) – Specify Nature (g) Other Loans & Advances Other Loans &
(Specify Nature) Advances (Specify
Nature)
NOTE:
A liability shall be classified as current when it satisfies
Compiled and Prepared by Kantilal Patel & Company Page 5 of 23
6. any of the following criteria:
(a) It is expected to be settled in the company’s normal
operating cycle;
(b) It is held primarily for the purpose of being traded;
(c) It is due to be settled within twelve months after the
reporting date; or
(d) The company does not have an unconditional right to
defer settlement of the liability for at least twelve
months after the reporting date. Terms of a liability
that could, at the option of the counterparty, result in
its settlement by the issue of equity instruments do
not affect its classification.
All other liabilities shall be classified as non-current.
EXPLANTIONS EXPLANATIONS
(a) Loans are classified under Secured and Unsecured. (a) Borrowings to be sub classified as Secured and
Nature of security to be specified in each case. Unsecured. Nature of security shall be specified
separately in each case.
(b) Loans guaranteed by the director – a mention thereof (b) Loans guaranteed by the directors and others –
shall also be made and also the aggregate amount of aggregate amount of such loans under each head shall
such loan under each head. Loans from Directors and be disclosed.
Managers to be shown separately.
(c) Terms of Redemption or conversion (if any) of (c) Bonds/debentures (along with the rate of interest and
debentures issued to be stated together with the earliest particulars of redemption or conversion, as the case
date of redemption or conversion. may be) shall be stated in descending order of
maturity or conversion, starting from farthest
redemption or conversion date, as the case may be.
Where bonds/debentures are redeemable by
installments, the date of maturity for this purpose
must be reckoned as the date on which the first
installment becomes due.
(d) Particulars of any redeemed debentures which the (d) Particulars of any redeemed bonds/ debentures which
company has power to issue must be shown. the company has power to reissue shall be disclosed.
(e) Terms of repayment of term loans and other loans
shall be stated.
(f) Period and amount of continuing default as on the
balance sheet date in repayment of loans and interest,
shall be specified separately in each case.
(b) Deferred Tax Liabilities (Net) (b) Deferred Tax Liabilities (Net)
As a separate line item after unsecured loan. Under the head Non-Current Liabilities.
(c) Current Liabilities (c) Other Long Term (c) Other Current
Liabilities Liabilities
(a) Creditors (CL) (a) Trade Payable - A payable (a) Current maturities
MSMED shall be classified as a trade of long-term debt
Others payable if it is in respect of
the amount due on account
of goods purchased or
Compiled and Prepared by Kantilal Patel & Company Page 6 of 23
7. services rendered in the
normal course of business.
(b) Acceptances (b) Others (b) Current maturities
of finance lease
obligations
(c) Interest Accrued but not due on loans (CL) (c) Interest Accrued but
not due on borrowing
(d) Interest accrued and due (SL/UL) to be included under (d) Income accrued and
appropriate sub-heads. due on borrowings.
(e) Advance payments and unexpired discounts for the (e) Income received in
portion for which value has to be given (CL) advance
(f) Unpaid dividend (CL) (f) Unpaid dividend
(g) Unpaid application money received by the companies for (g) Application money
allotment of securities and due for payment. (CL) received for allotment
& securities and due for
refund & interest
accrued thereon.
(h) Unpaid matured deposits (CL) (h) Unpaid matured
deposits and interest
accrued thereon.
(i) Unpaid matured debentures (CL) (i) Unpaid matured
debentures & interest
accrued thereon.
(j) Interest accrued on the above (f-i) (CL)
(k) Other liabilities (k) Other Payables
(specify Nature)
PROVISIONS
(d) Provisions (d) Long term Provisions (d) Short term
Provisions
(a) Provident Fund Scheme (a) Provision for employees’ (a) Provision for
(b) Insurance, Pension and other similar staff benefit benefits. employees’ benefits.
schemes (b) Others (Specify Nature) (b) Others (Specify Nature)
(c) Provision for Taxation
(d) Proposed Dividend
(e) For Contingencies
Compiled and Prepared by Kantilal Patel & Company Page 7 of 23
8. II. APPLICATION OF FUNDS II. ASSETS
Non-Current Assets
(1) (a) Fixed Assets (1) (a) Fixed Assets
(i) Tangible Assets-Classification
Land Land
Building Building
Plant & Machinery Plant & Machinery
Furniture & Fitting Furniture & Fitting
Vehicles Vehicles
Office Equipments
Others (Specify Nature)
Railway Sidings
Development Property
Live Stock
Leasehold
Note: Assets under lease shall be separately specified for
each class of Assets.
(ii) Intangible Assets-Classification
Goodwill Goodwill
Trademarks Brands/Trademarks
Computer Software
Mastheads & Publishing Titles
Mining Rights
Patents Copyrights & Patents
Recipes, Formulae
Licenses & Franchise
Others (Specify Nature)
Capital Work-in-Progress (iii) Capital Work-in-Progress
(iv) Intangible Assets under development
EXPLANATIONS EXPLANATIONS
(a) Where any sum has been written off on a reduction of Where sums have been written off on a reduction of capital
capital or revaluation of assets, every balance sheet or revaluation of assets or where sums have been added on
subsequent to such reduction or revaluation shall revaluation of assets, every balance sheet subsequent to
show the reduced figures and the date of the date of such write-off, or addition shall show the reduced
reduction. For a period of five years, the amount of or increased figures as applicable and shall by way of a
the reduction made shall also be stated. note also show the amount of the reduction or increase as
applicable together with the date thereof for the first five
years subsequent to the date of such reduction or increase.
(b) Where sums have been added by writing up the asset,
each subsequent balance sheet should show the
increased figures with the date of the increase. For a
period of five years, the amount of the increase shall
also be stated.
Compiled and Prepared by Kantilal Patel & Company Page 8 of 23
9. PRESENTATION
Gross: Gross:
Opening Balance Opening Balance
Additions Additions
Acquisitions through
Business combination
Other Adjustments _______________
Sub-total
Less: Disposals _______________ Less: Disposals _______________
Gross Block at year end _______________ Gross block at year end _______________
Less: Depreciation/Amortization
Opening depreciation/amortization
Depreciation/Amortization of the year
Impairment loss/Reversal of
Total Depreciation written off/ Provided ______________ Impairment Loss ______________
upto the year end _______________ Total depreciation at year end ______________
Net Block Net Carrying Value
INVESTMENTS
(b) Investments (b) Non-Current Investments
Investments were classified as: Non-current Investments to be classified as:
1. Trade Investments 1. Trade Investments
2. Other Investments – and further classified as:- 2. Other Investments – and further classified as:-
(a) Immovable Property (a) Investment Property
(b) Investment in shares-Distinguishing the different (b) Investment in Equity Instruments
classes of shares. (c) Investment in Preference Shares
(c) Investment in Government or Trust Securities. (d) Investment in Government or trust securities.
(d) Invests in Bonds/Debentures (e) Investments in debentures or bonds.
(e) (f) Investments in Mutual Funds
(f) Investment in Capital of Partnership Firms (g) Investment in Partnership firms.
Balance of unutilized monies raised in issues. Other Non-current Investments (Specify Nature)
NOTES
(a) A statement of Investments (whether shown under (a) Under each classification, details shall be given of
‘Investment’ or under ‘Current Assets’, a stock-in- names of the bodies corporate (indicating separately
trade) separately classifying trade investments and whether such bodies are (i) subsidiaries, (ii) associates,
other investments should be annexed to the balance- (iii) joint ventures, or (iv) controlled special purpose
sheet, showing the names of the bodies corporate entities) in whom investments have been made and the
(indicating separately the names of the bodies nature and extent of the investment so made in each
corporate under the same management) in whose such body corporate (showing separately investments
shares or debentures, investments have been made which are partly-paid). In regard to investments in the
(including all investments, whether existing or not, capital of partnership firms, the names of the firms
made subsequent to the date as at which the previous (with the names of all their partners, total capital and
balance-sheet was made out) and the nature and extent the shares of each partner) shall be given.
Compiled and Prepared by Kantilal Patel & Company Page 9 of 23
10. of the investment so made in each such body
corporate; provided that in case of an investment
company, that is to say, a company whose principal
business is the acquisition of shares, stock, debentures
or other securities, it shall be sufficient if the statement
shows only the investments existing on the date as at
which the balance has been made out. In regard to the
investments in the capital of partnership firms, the
names of the firms, (with names of all their partners,
total capital and the shares of each partner) shall be
given in the statement.
(b) Investments: Mode of Valuation – For example, COST (b) Investments carried at other than COST should be
or MARKET VALUE separately stated specifying the basis for valuing them.
(c) The following shall also be disclosed: (c) The following shall also be disclosed:
(i) Aggregate amount of company’s quoted (i) Aggregate amount of quoted investments and
investments and also the market value thereof shall market value thereof;
be shown.
(ii) Aggregate amount of company’s unquoted (ii) Aggregate amount of unquoted investments;
investments shall also be shown.
(iii) Aggregate provision for diminution in value of
investments
(d) All unutilized monies out of the issue must be (d) Where in respect of an issue of securities made for a
separately disclosed in the Balance Sheet of the specific purpose, the whole or part of the amount has
company indicating the form in which such unutilized not been used for the specific purpose at the balance
funds have been invested. sheet date, there shall be indicated by way of note how
such unutilized amounts have been used or invested.
(c) Deferred Tax Assets (Net) (c) Deferred Tax Assets (Net)
As a separate line item after Investments. Under the head Non-Current Assets.
(d) Current Assets, Loans & Advances (d) Long Term Loans & Advances
(a) Capital Advances
(b) Security Deposits
(c) (i) Loans and Advances to Subsidiaries (c) Loans and Advances to Related Parties (giving
(ii) Advances and Loans to partnership firms in details thereof)
which the company or any of its subsidiaries is
a partner.
(d) Other Loans & Advances (Specify Nature)
NOTES
Particulars to be given separately of: To be separately sub-classified as:
(a) Secured, considered good (a) Secured, considered good
(b) Unsecured, considered good (b) Unsecured, considered good
(c) Doubtful or Bad (c) Doubtful
Allowances for bad and doubtful loans & Advances shall
be disclosed under relevant heads separately.
Loans & Advances due from directors or other officers of Loans and advances due by directors or other officers of
the company or any of them either severally or jointly with the company or any of them either severally or jointly with
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11. any other person or debts due by firms or by private any other persons or amounts due by firms or private
companies respectively in which any director is a partner companies respectively in which any director is a partner
or a director or a member, to be separately stated. or a director or a member should be separately stated.
Loans & Advances due from other companies under the
same management within the meaning of sub-section (1-B)
of section 370, to be disclosed with the names of the
Companies.
The maximum amount due by directors or other officers of
the company at any time during the year to be shown by
way of a note.
(e) Sundry Debtors (e) Other Non-Current Assets
(i) Long term Trade Receivable (Including trade
receivable on defined credit terms)
(ii) Others (Specify Nature)
NOTE
CLASSIFICATION CLASSIFICATION
Particulars to be given separately of: To be separately sub-classified as
(a) Secured, considered good (a) Secured, considered good
(b) Unsecured, considered good (b) Unsecured, considered good
(c) Doubtful or Bad (c) Doubtful
Allowances for bad and doubtful debts shall be disclosed
under relevant heads separately
(2) (2) Current Assets (See Note Below)
(a) Current Investments
Current Investments to be classified as:
(a) Investment in Equity Instrument
(b) Investment in Preference Shares
(c) Investment in Government or trust securities
(d) Investments in debentures or bonds.
(e) Investments in Mutual Funds
(f) Investment in Partnership firms.
(g) Other Investments (Specify Nature)
Under each classification, details shall be given of
names of the bodies corporate (indicating separately
whether such bodies are (i) subsidiaries, (ii) associates,
(iii) joint ventures, or (iv) controlled special purpose
entities) in whom investments have been made and the
nature and extent of the investment so made in each
such body corporate (showing separately investments
which are partly-paid). In regard to investments in the
capital of partnership firms, the names of the firms
(with the names of all their partners, total capital and
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12. the shares of each partner) shall be given.
The following shall also be disclosed:
(a) The basis of valuation of individual investments
(b) Aggregate amount of quoted investments and
market value thereof
(c) Aggregate amount of unquoted investments
(d) Aggregate provision made for the diminution in
value of investments.
NOTE:
An asset shall be classified as current when it satisfies any
of the following criteria:
(a) It is expected to be realized in, or is intended for sale
or consumption in, the company’s normal operating
cycle;
(b) It is held primarily for the purpose of being traded;
(c) It is expected to be realized within twelve months after
the reporting date; or
(d) It is cash or cash equivalent unless it is restricted from
being exchanged or used to settle a liability for at least
twelve months after the reporting date.
All other assets shall be classified as non-current.
(b) Inventories (b) Inventories
CLASSIFICATION CLASSIFICATION
(a) Raw-Materials (a) Raw-Materials
(b) Work-in-Progress (b) Work-in-Progress
(c) (c) Finished Goods
(d) Stock-in-Trade (d) Stock-in-Trade (in respect of goods acquired for
trading)
(e) Stores and Spare Parts (e) Stores and Spares
(f) Loose-tools (f) Loose tools
(g) Others (Specify Nature)
NOTES: NOTES:
(i) (i) Goods in transit shall be disclosed under the relevant
sub-head of inventories.
(ii) Mode of valuation shall be stated. (ii) Mode of valuation shall be stated.
(c) Sundry Debtors (c) Trade Receivables
(i) Debts outstanding for a period exceeding six months (i) Aggregate amount of Trade Receivable outstanding
for a period exceeding six months from the date they
are due for payment should be separately shown.
(ii) Sundry Debtors particulars to be given separately of: (ii) Trade-Receivable shall be sub-classified as
(a) Secured-Considered good (a) Secured-Considered good
(b) Unsecured-Considered good (b) Unsecured-Considered good
(c) Doubtful or Bad. (c) Doubtful
(iii) (iii) Allowances for bad and doubtful debts shall be
disclosed under the relevant heads separately.
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13. (iv) Debts due by the directors or other officers of the (iv) Debts due by directors or other officers of the
company or any of them either severally or jointly company or any of them either severally or jointly
with any other person or debts due by firms or private with any other person or debts due by firms or
companies respectively in which any director is a private companies respectively in which any director
partner or a director or a member to be separately is a partner or a director or a member should be
stated. separately stated.
Debts due from other companies under the same
management within the meaning of sub-section (1-B)
of section 370, to be disclosed with the names of the
Companies.
The maximum amount due by directors or other
officers of the company at any time during the year to
be shown by way of a note.
The amount to be shown under sundry debtors shall A receivable shall be classified as a “Trade Receivable” if
include the amounts due in respect of goods sold or it is in respect of the amount due on account of goods sold
services rendered or in respect of other contractual or services rendered in the normal course of business.
obligations but shall not include the amounts which
are in the nature of loans or advances.
(d) Cash And Bank Balances (d) Cash and Cash Equivalents
Classified as Classified as:
(a) Bank Balances: (a) Balances with Bank
(I) with scheduled banks Unpaid Dividend
Current account Margin Money
Call account Bank deposits with more than 12 months maturity
Deposit account
(II) With others (with names)
Current Account
Call account
Deposit account
(b) (b) Cheque, Drafts on hand.
(c) Cash balance on hand (c) Cash-on-Hand
(d) (d) Others (Specify)
Note: The name of the bankers other than scheduled
banks and maximum amount outstanding at any time
during the year from each such banker.
The nature of the interest, if any, of any director or his
relative in each of the bankers (other than Scheduled
Banks).
(e) Loans & Advances (e) Short-Term Loans & Advances
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14. (a) (i) Advances and loans to subsidiaries (a) Loans and advances to related parties (giving details
(ii) Advances and Loans to partnership firms in thereof)
which the company or any of its subsidiaries is a
partner.
(b) (i) Bills Of Exchange (b) Others (specify name)
(ii) Advances recoverable in cash or kind or for
value to be received, e.g., Rates, Taxes,
Insurance etc.
(iii) Balances on current account with Managing
Agents or Secretaries and Treasurers.
(iv) Balances with Customs, Port Trust, etc. (where
payable on demand)
Some particulars to be disclosed: Sub-classification:
(i) Loans & Advances particulars to be given separately of: (i) The above loans & advances shall be sub-classified as
(a) Secured-Considered good (a) Secured-Considered good
(b) Unsecured-Considered good (b) Unsecured-Considered good
(c) Doubtful or Bad. (c) Doubtful
(ii) (ii) Allowances for bad and doubtful loans & advances
shall be disclosed under the relevant heads
separately.
(iii) Loans & Advances due by the directors or other (iii) Loans & Advances due by directors or other officers
officers of the company or any of them either severally of the company or any of them either severally or
or jointly with any other person or debts due by firms jointly with any other person or debts due by firms
or private companies respectively in which any or private companies respectively in which any
director is a partner or a director or a member to be director is a partner or a director or a member should
separately stated. be separately stated.
Debts due from other companies under the same
management within the meaning of sub-section (1-B)
of section 370, to be disclosed with the names of the
Companies)
The maximum amount due by directors or other
officers of the company at any time during the year to
be shown by way of a note.
(f) Other Current Assets (f) Other Current Assets
Interest accrued on investment. Incorporates current assets that do not fit into any
other asset category. (Specify Nature)
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15. Miscellaneous Expenditure (to the extent not written
off or adjusted)
(a) Preliminary expenses
(b) Expenses including commission or brokerage on
underwriting or subscription of shares or
debentures
(c) Discount allowed on the issue of shares or
debentures
(d) Interest paid out of capital during construction (also
stating the rate of interest)
(e) Development expenditure not adjusted
(f) Other items (specifying nature)
Profit & Loss Account
Footnotes to the Balance Sheet Contingent Liabilities and Commitments (to the extent not
provided for)
A footnote to the balance-sheet may be added to show (i) Contingent Liabilities
separately Contingent liabilities classified as:
(a) Claims against the company not acknowledged as (a) Claims against the company not acknowledged as
debts. debt.
(b) (b) Guarantees.
(c) Other money for which the company is contingently (c) Other money for which the company is
liable. The amount of any guarantees given by the contingently liable.
company on behalf of directors or other officers of
the company shall be stated and where practicable,
the general nature and amount of each such
contingent liability, if material shall also be
specified. (ii) Commitments to be classified separately as:
(d) Estimated amount of contracts remaining to be (a) Estimated amount of Contracts remaining to be
executed on Capital account & not provided for. executed on Capital Account and not provided for.
(e) Uncalled liability on shares partly paid. (b) Uncalled liability on shares and other investments
which are partly paid.
(c) Other commitments (Specify Nature)
The amount of dividend proposed to be distributed to
equity and preference shareholders for the period and the
related amount per share shall be disclosed separately.
Arrears of fixed cumulative dividends Arrears of fixed cumulative dividends on preference
shares shall also be disclosed separately.
If in the opinion of the Board, any of the current assets, If, in the opinion of the Board, any of the assets other
loans and advances have not a value on realization in than fixed assets and non-current investments do not have
the ordinary course of business at least equal to amount a value on realization in the ordinary course of business at
at which they are stated, the fact that the Board is of least equal to the amount at which they are stated, the fact
that opinion shall be stated. that the Board is of that opinion, shall be stated.
Compiled and Prepared by Kantilal Patel & Company Page 15 of 23
16. PART II
Schedule VI (OLD) Schedule VI (Revised – 2011)
PROFIT AND LOSS ACCOUNT STATEMENT OF PROFIT AND LOSS
Form of Statement of Profit & Loss
(I) The Profit and Loss Account shall set out the various (I) Revenue from Operations
items relating to the income and expenditure of the
company engaged under the most convenient heads
and in particular shall disclose the following
information in respect of the period covered by the
account :-
(i) Turnover, i.e. the aggregate amount for which Sales (i) Revenue from operations in respect of non-finance
are affected by the company, giving the amount of company:
Sales in respect of each class of goods dealt with by (a) Sale of Products
the company, indicating the quantities of such sales for (b) Sale of Services
each class separately. (c) Other Operating Revenues
Less: Excise Duties
(ii) Revenue from operations in respect to Finance
company:
(a) Interest
(b) Other Financial Services
Revenue under each of the above heads shall be disclosed
separately by way of notes to Accounts to the extent
applicable.
In case of companies rendering or supplying services, the In case of company rendering or supplying services, gross
gross income derived from services rendered or supplied. income derived from services rendered or supplied under
broad-head.
In case of other companies, the gross income derived under In case of other companies, gross income derived from
different heads. broad heads.
II. Other Income II. Other Income
(a) Interest Income, specifying nature of the income. (a) Interest income (other than a finance company)
(b) Dividend from subsidiary company. (b) (i) Dividend from subsidiary companies
(ii) Dividend Income
(c) (i) Profit or Loss on investments (showing distinctly (c) Net Gain/Loss on sale of investment.
profit/loss earned/incurred from partnership firm)
(ii) Amount of income from investments,
distinguishing between Trade Investments and
other investments.
(d) Profit or Losses in respect of transactions of a kind, (d) Other non-operating income (net of expenses directly
not usually undertaken by the company. attributable to such income)
(e) Miscellaneous income (e) Adjustments to the carrying value of investments
(Write-back)
(f) Net gain/loss on foreign currency translation and
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17. transaction (other than considered as finance cost)
NOTE: 1. Amount of income-tax deducted on (a) and (c)
above, if the gross income is stated.
2. Dividends declared by the subsidiary
companies after the date of balance-sheet should not be
included unless they are in respect of period which closed
on or before the date of balance-sheet.
(IV) EXPENSES
(i) In case of manufacturing companies,- (i) Cost of Materials consumed (Manufacturing
The value of the raw materials consumed, giving item- Companies) – Raw Materials under broad heads. In
wise break-up and indicating the quantities thereof. In this case, if a company falls under more than one
this break-up, as far as possible, all important basic category, it shall be sufficient compliance with the
raw materials shall be shown separately. The requirements, if purchases, sales and consumption of
intermediates or components procured from other raw material and gross income from services rendered
manufacturers may, if their list is too large to be is shown under broad-heads.
included in the break-up, be grouped under suitable
headings without mentioning the quantities, provided
all those items which in value individually account for
10 per cent or more of the total value of raw material
consumed shall be shown as separate and distinct
items with quantities thereof in the break-up. In this
case, if a company falls under more than one category,
it shall be sufficient compliance with the requirements,
if the total amounts are shown in respect of the
opening and closing stocks, Purchases, Sales and
Consumption of raw materials with value and
quantitative break-up and the gross income from
services rendered is shown.
(ii) In case of trading companies, the purchases made and (ii) Goods purchased (Trading Companies) – goods traded
the opening and the closing stocks, giving break-up in in by the company under the broad-head.
respect of each class of goods traded in by the
company and indicating the quantities thereof.
(iii) In case, if a company falls under more than one (iii) In case, if a company falls under more than one
category, it shall be sufficient compliance with the category, it shall be sufficient compliance with the
requirements, if the total amounts are shown in respect requirements, if purchases, sales and consumption of
of opening and closing stocks, purchases, sales and raw materials and gross income from services
consumption of raw materials, with value and rendered is shown under broad heads.
quantitative break-up and the gross income from
services rendered is shown.
(iv) In case of Work-in-Progress, the amounts for which (iv) In case of Work-in Progress, Work-in-Progress under
such works have been completed at the broad heads.
commencement and at the end of the accounting
period.
Note 1: The quantities of raw materials purchases, stocks
and the turnover shall be expressed in quantitative
denominations in which these are normally purchased or
Compiled and Prepared by Kantilal Patel & Company Page 17 of 23
18. sold in the market.
Note 2: For the purpose of items for which the company is
holding separate industrial licences shall be treated as a
separate class of goods, but where a company has more
than one industrial licence for production of the same item
at different places or for expansion of the licensed
capacity, the item covered by all such licences shall be
treated as one class.
Note 3: In giving the break-up of purchases, stocks and
turnover, items like spare parts and accessories, the list of
which is too large to be included in the break-up, may be
grouped under suitable headings without quantities,
provided all those items, which in value individually
account for 10 per cent or more of the total value of the
purchases, stocks or turnover, as the case may be, are
shown as separate and distinct items with quantities
thereof in the break-up.
Expenditure incurred on each of the following items, Employee benefits expense shall disclose information
separately for each item:- regarding aggregate expenditure on:-
(a) Salaries, Wages & Bonus (a) Salaries and Wages
(b) Contribution to Provident & other funds. (b) Contribution to Provident & Other Funds
(c) Expense on employee stock option scheme (ESOP)
and Employee Stock Purchase Plan (ESPP)
(d) Workmen & Staff Welfare expenses. (d) Staff Welfare Expenses.
Amount of Interest Finance Cost
(a) On company’s debentures (a) Interest Expense
(b) On other fixed loans (b) Other borrowing costs
(c) Interest paid to the managing director and to the (c) Applicable net gain/loss on foreign currency
manager, if any. translations & transactions.
Expenses on each of the following items, separately for Expenses on each of the following items, separately for
each item: each item:
(a) Consumption of Stores & Spares. (a) Consumption of Stores & Spares.
(b) Power & Fuel (b) Power & Fuel
(c) Rent (c) Rent
(d) Repairs to Building (d) Repairs to Building
(e) Repairs to Machinery (e) Repairs to Machinery
(f) Insurance (f) Insurance
(g) Rates & Taxes (excluding Income Tax) (g) Rates & Taxes (excluding Income Tax)
(h) Miscellaneous Expenditure (h) Miscellaneous Expenditure
Note: Any item under which expenses exceed 1 per cent Note: Any item under which income or expenses exceed 1
of total revenue or Rs. 5,000 whichever is higher, shall be per cent of revenue from operations or Rs. 1,00,000
shown separately and distinct item against an appropriate whichever is higher, shall be shown separately and distinct
account head in P&L account and shall not be combined item against an appropriate account head in P&L account
with any other item under” Miscellaneous Expenditure” and shall not be combined with any other item.
(i) Net loss on foreign currency transaction and
translation (other than considered as finance cost)
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19. (i) Payment to Auditor (j) Payment to Auditors
As Auditor As Auditor
Taxation Matters For Taxation Matters
Company Law Matters For Company Law Matters
Management Services For Management Services
In any other manner For Other Services
For Expenses For reimbursement of expenses.
(k) Provision for losses of Subsidiary companies.
(l) Adjustment to the carrying amount investments.
(m) Net loss on sale of investments.
(n) Details of exceptional and extraordinary items.
(o) Prior period items
(j) (i) The aggregate, if material, of any amounts set aside (p) (i) The aggregate, if material, of any amounts set aside
or proposed to be set aside, to reserve, but not or proposed to be set aside, to reserve, but not
including provisions made to meet any specific including provisions made to meet any specific
liability, contingency or commitment known to exist liability, contingency or commitment known to
at the date as to which the balance-sheet is made up. exist at the date as to which the balance-sheet is
made up.
(ii) The aggregate, if material, of any amounts (ii) The aggregate, if material, of any amounts
withdrawn from such reserves. withdrawn from such reserves.
(k) (i) The aggregate, if material, of the amounts set aside (q) (i) The aggregate, if material, of the amounts set aside
to provisions made for meeting specific liabilities, to provisions made for meeting specific liabilities,
contingencies or commitments. contingencies or commitments.
(ii) The aggregate, if material, of the amounts withdrawn (ii) The aggregate, if material, of the amounts
from such provisions, as no longer required. withdrawn from such provisions, as no longer
required.
STATEMENT OF PROFIT & LOSS
(FACE REPORTING)
Profit before exceptional and extraordinary items
XXX
and tax
Shall disclose every material feature, including credits or Exceptional items
receipts and debits or expenses in respect of non-recurring (XXX)
transactions or transactions of an exceptional nature.
Profit before extraordinary items and tax XXX
Extraordinary items (XXX)
Profit Before Tax XXX
The amount of charge for Indian Income tax and other Tax Expense
Indian taxation on profits, including, where practicable, a. Current Tax XXX
with Indian income-tax any taxation imposed elsewhere to b. Deferred Tax XXX (XXX)
the extent of the relief, if any, from Indian Income tax and
distinguishing where practicable, between income tax and
other taxation.
Profit/(Loss) for the period from continuing
XXX
operations.
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20. Profit/(Loss) from discontinuing Operations XXX
Tax expense on discontinuing operations (XXX)
Profit/(Loss) from discontinuing Operations (after
tax) XXX
Profit/(Loss) for the period XXX
Earnings per equity share
1. Basic XXX
2. Diluted XXX
BY WAY OF A NOTE the following information shall be BY WAY OF A NOTE the following information shall be
disclosed. disclosed.
a) Value of imports calculated on C.I.F basis by the a) Value of imports calculated on C.I.F basis by the
company during the financial year in respect of – company during the financial year in respect of –
I. Raw materials; I. Raw materials;
II. Components and spare parts; II. Components and spare parts;
III. Capital goods; III. Capital goods;
b) Expenditure in foreign currency during the financial b) Expenditure in foreign currency during the financial
year on account of royalty, know-how, professional year on account of royalty, know-how, professional
and consultation fees, interest, and other matters; and consultation fees, interest, and other matters;
c) Value of all imported raw materials, spare parts and c) Total value of all imported raw materials, spare parts
components consumed during the financial year and and components consumed during the financial year
the value of all indigenous raw materials, spare parts and the total value of all indigenous raw materials,
and components similarly consumed and the spare parts and components similarly consumed and
percentage of each to the total consumption; the percentage of each to the total consumption;
d) The amount remitted during the year in foreign d) The amount remitted during the year in foreign
currencies on account of dividends, with a specific currencies on account of dividends, with a specific
mention of the number of non-resident shareholders, mention of the total number of non-resident
the number of shares held by them on which the shareholders, the total number of shares held by them
dividends were due and the year to which the on which the dividends were due and the year to which
dividends related; the dividends related;
e) Earnings in foreign exchange classified under the e) Earnings in foreign exchange classified under the
following heads, namely:- following heads, namely:-
I. Export of goods calculated on F.O.B. basis; I. Export of goods calculated on F.O.B. basis;
II. Royalty, know-how, professional and II. Royalty, know-how, professional and
consultation fees; consultation fees;
III. Interest and dividend; III. Interest and dividend;
IV. Other income, indicating the nature thereof IV. Other income, indicating the nature thereof
Compiled and Prepared by Kantilal Patel & Company Page 20 of 23
21. OTHER DISCLOSURES
(a) Commission paid to sole selling agents within the
meaning of section 294 of the act.
(b) Brokerage and discount on sales, other than the usual
trade discount.
(c) The amount provided for depreciation, renewals or
diminution in value of fixed assets.
If such provision is not made by means of a
depreciation charge, the method adopted for making
such provision.
If no provision is made for depreciation, the fact that
no provision has been made shall be stated and the
quantum of arrears of depreciation computed in
accordance with section 205(2) of the Companies Act
shall be disclosed by way of a note.
(d) The profit & Loss account shall also contain or give
by way of a note detail information showing
separately, the following payments provided or made
during the financial year, to the directors (including
managing directors or managers, if any, by the
company, the subsidiaries of the company and any
other person):-
(1) The managerial remuneration u/s 198 of the
act paid/payable during the financial year to
the directors (including managing directors
or manager, if any)
(2) Other allowances and commissions
including guarantee commission.
(3) Any other perquisites or benefits in cash or
in kind.
(4)
(i) Pensions
(ii) Gratuities
(iii) Payment from Provident funds, in excess of own
subscriptions and interest thereon.
(iv) Compensation for loss of office
(v) Consideration in connection with retirement fron
office.
(e) The Profit & Loss account shall contain or give by way
of a note, a statement showing the computation of net
profits in accordance with section 349 of the act with
relevant details of the calculation of the commissions
payable by way of percentage of such profits to the
directors (including managing directors) or manager, if
any.
(f) The amounts reserved for-
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22. Repayment of share capital and
Repayment of loans.
(g) The aggregate amount of the dividends paid, and (g) The amount of dividends proposed to be distributed to
proposed, and stating whether such amounts are equity and preference shareholders for the period and
subject to deduction of income-tax or not. the related amount per share shall be disclosed
separately.
(h) Amount, if material, by which any items shown in the
profit and loss statement, is affected by any change in
the basis of accounting.
(i) In case of manufacturing companies, the profit and
loss account shall also contain, by way of a note in
respect of each class of goods manufactured, detailed
quantitative information in regard to the following
namely:-
(i) The licensed capacity (where license is in
force)
(ii) The installed capacity and
(iii) The actual production
Note-1: The licensed capacity and the installed
capacity of the company as on the last date of the year
to which the profit and loss account relates, shall be
mentioned against items (i) and (ii) above respectively.
Note-2: Against item (iii), the actual production in
respect of the finished products meant for sale shall be
mentioned. In cases where semi-processed products
are also sold by the company, separate details thereof
shall be given.
Note-3: For the purpose of this paragraph, the items
for which the company is holding separate industrial
licenses shall be treated as separate classes of goods
but where a company has more than one industrial
licence for production of the same item at different
places or for expansion of the licensed capacity, the
item covered by all such licences shall be treated as
one class.
(j) The Central government may direct that a company
shall not be obliged top show the amount set aside to
provisions other than those relating to depreciation,
renewal or diminution in value of assets, if the Central
Government is satisfied that the information should
not be disclosed in the public interest and would
prejudice the company, but subject to the condition
that in any heading stating an amount arrived at after
taking into account the amount set aside as such, the
provision shall be so framed or marked as to indicate
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23. that fact.
(k) Except in the case of the first profit and loss account (k) Except in the case of the first Financial Statements laid
laid before the company after the commencement of before the Company (after its incorporation) the
the Companies Act, the corresponding amounts for the corresponding amounts (comparatives) for the
immediately preceding financial year for all items immediately preceding reporting period for all items
shown in the profit and loss account shall also be shown in the Financial Statements including notes shall
given in the profit and loss account. also be given.
(l) The figures in the balance sheet may be rounded off as (l) Turnover Rounding off
under:
Less than Rs. 100 crores : to the nearest hundreds Less than one hundred crore to the nearest
or thousands or decimal thereof hundreds, thousands, rupees lakhs or millions, or
decimals thereof.
One hundred crore rupees or more to the nearest,
Between Rs. 100 crore or more, but less than Rs. lakhs, millions or crores, more or decimals thereof.
500 crores : to the nearest hundreds, thousands,
lakhs or millions or decimal thereof
Rs. 500 crores or more, to the nearest hundreds,
thousands, lakhs, millions or crores or decimal
thereof.
Once a unit of measurement is used, it should be
used uniformly in the Financial Statements.
PART III – Interpretations
PART IV – Balance Sheet abstract and a company’s
general business profile
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