Written on Nov, 12, 2016 by in

Consignment means:- to send the material by the owner of the material to some one else to sell the material on his behalf. The person who sends the goods is called consignor and the person who receives the goods for sale is called the consignee. In consignment all the payments relating to consigned goods are received on behalf of the …

Written on Oct, 23, 2016 by in

When two or more person jointly start a business, the business firm shall be called as partnership firm and persons who have started the business shall be called as partners of the business firm. As per Indian Partnership Act, 1932 the definition of the partnership firm is as given below:- “Partnership is the relation between persons who have agreed to …

Written on Oct, 23, 2016 by in

It is known as sole proprietorship or sole trader also. Under this system only one natural person owns the firm. He/she only takes the decisions relating to all matters relating to the business. Basically, there is no difference between the owner and business firm. The owner controls all the activities of the firm and he is personally liable for all …

Written on Oct, 22, 2016 by in

When business of a firm grows, it opens the branches to increase the sale and to cover more territory. There are various types of branches like dependent branch which is totally dependent on head office and other one is independent branch which is independent to make any deal in respect of business but as per the guidelines given by the …

Written on Oct, 22, 2016 by in

Cost audit may be defined as the verification of the correctness of cost accounts and a check on the adherence to the cost accounting plan. It is the audit process for verification of the cost of manufacture or production of any article on the basis of accounts relating to utilization of material, labor and other items of costs as maintained …

Written on Oct, 22, 2016 by in

Usually every auditor maintains an audit book. This is because it is not possible for an auditor to remember every thing relating to auditing. During audit work, an auditor may come across many difficulties which he notes down in an audit note book maintained for this purpose. He refers to this audit note book whenever he needs it. Accountants differ …

Written on Oct, 22, 2016 by in

Audit working papers are those papers which contain essential facts about accounts which are under audit. This term ‘working paper’ designates the file of analyses, summaries, comments and correspondence build up by the auditor during the course of the field work of an audit engagement. It is the duty of an auditor to maintain his working papers as they support …

Written on Oct, 22, 2016 by in

An auditor has to report that the balance sheet represents the true and fair state of affairs of the business. He can make such a report only if he verifies not only the assets but also the liabilities shown in the balance sheet. Hence the need for verification of liabilities is as important as the verification of assets to form …

Written on Oct, 11, 2016 by in

Divisible profits are those profits which are arrived at after deducting all the expenses including the taxes payable to the s tate by the company. It is very difficult to define the term divisible profit but some general principles are to be followed to decide the divisible profits:- The provisions of section 205 of the companies act should be complied …

Written on Oct, 11, 2016 by in

OBJECT OF VERIFICATION OF ASSETS:- To ensure that the assets were in existence on the date of the balance sheet. The assets had been acquired for the purpose of the business and under proper authority. The right of ownership of the assets vested in or belonged to the undertaking. To verify that they are free from charges or mortgage. To …


Related pages


continuous audit advantages and disadvantagesadvantages of interim audittally 7.2 setupreceipt voucher sampleconveyance hindi meaningledger and trial balancetally explanationtally accounting packagetds deduction check onlineincome tax sec 80ttabasic p&lwhat goes on a trial balancetds to be deducteddefine sundry creditorstrade discount calculationaccrued meaning in teluguuses of trial balancecreditor definition accountingconveyance allowance meaningcredit interest capitalised in hdfc bankcash advance voucher formatnon company deducteespurpose of the adjusted trial balancedefinition of accrued interesttally configurationdebit and credit entries in trial balancestaff welfare expenses formatdifference of bookkeeping and accountingexamples of miscellaneous expensestrading and p&l accounttrading & profit & loss account formatjournal entry of accrued interestequity accounting entriesaccounting ledger notebookhow to calculate vat returninterest on capital in partnership firmdefinition of payment voucherbrs bank reconciliation statementbasic accounting ledgercash voucher definitionbrs statement formatunsecured loans in balance sheethow to prepare balance sheet from trial balancepartnership firm balance sheet formatsection 87a of income taxformat of general ledgeradvance income tax challangratuity amount is taxable or notcash memo wikipedianarration in bankingsundries defis pension income taxable in indiasection 80 tta income taxformula to calculate vatcommutation pension definitionproforma of profit and loss account and balance sheetreal nominal personal accounts rulesconsignment sales accounting entriesbank reconciliation statement proformacontra entry accounting definitionmanufacturing account format exampletally study materialhow to maintain ledger bookwhat are sundries itemsincome tax slab 2013 14 assessment yeartds to be deductedjournal entry for contingent liabilityjournal entries for accrued incomeaccrued expenses and outstanding expensesvendor meaning in teluguppf illustrationrate of tds on rent