PRINCIPLES OF BOOK

KEEPING.
 DEFINITION AND SCOPE
ACCOUNTING STANDARDS.
• ACCOUNTING IS LANGUAGE OF BUSINESS.
• OOMMUNICATE THE RESULT OF BUSINESS
OPERATIONS AND ITS OTHER ASPECTS.
• ACCOUNTING IS AN ART OF RECORDING
CLASSIFYING AND SUMMARIZING IN A
SIGNIFICANT MANNER AND IN TERMS OF
MONEY TRANSACTIONS AND EVENTS
WHICH ARE IN PART AT LEAST OF
FINANCIAL CHARACTER AND
INTERPRETING THE RESULTS THEREOF.
 DIFFERENCE BETWEEN
ACCOUNTANY AND
•
BOOKKEEPING.
BOOK KEEKPING IS MERELY RECORDING THE BUSINESS
TRANSACTIONS IN BOOKS AND LEDGERS .
• ACCOUNTANCY IS WIDER CONCEPT: COMPLIATION OF
ACOUNTS IN SUCH A WAY THAT ONE IS IN A POSITION
TO UNDERSTAND STATE OF AFFAIRS OF BUSINESS.
• USERS OF FINANCIAL STATEMENTS ARE INCOME TAX
DEPAREMENT, ST DEPARMENT SHAREHOLDERS,
INVESTORS ,BANKS AND FIS AND SO ON.
• IT IS IN THE INTEREST OF ALL THAT FINANCIAL
STATEMENTS REFLECT TRUE AND FAIR VIEW OF STATE
OF AFFIAIRS OF AN ENTITY.
 ACCOUNTANCY
• ACCOUNTANCY INVOLVES:
• SYSTAMATIC CLALSSIFICATION OF
BUSINESS TRANSACTIONS IN TERMS
OF MONEY AND FINANCIAL
CHARACTER.
• SUMMARIZING : TRAIL BALANACE AND
B/S
• INTERPRETING THE FINANCIAL
TRANSACTIONS.
PURPOSE OF ACCOUNTANCY
• TO KEEP A SYSTAMATIC RECORD
• TO ASCERTAIN THE RESULTS OF
OPERATIONS
• TO ASCERTAIN FINANCIAL POSITION OF
BUSINESS.
• TO FACILITATE RATIONAL DECISION
MAKING
• TO SATISFY REQUIREMENT OF LAW AND
USEFUL IN MANY RESPECTS.
 CONCEPTS OF
ACCOUNTANCY.
• COST CONCEPT: BUSINESS TRANSACTIONS ARE
RECORDED IN BOOKS AT COST PRICE.
• FIXED ASSETS ARE KEPT AT COST OF PURCHASE
AND NOT AT THEIR MARKET PRICE.
• EVERY TRANSACTION IS RECORDED WITH
PRESENT VALUE AND NOT ANY FUTURE VALUE.
• UNREALIZED GAINS ARE IGNORED.
• COST OF AN ASSET THAT HAS LONG BUT LIMITED
LIFE IS SYSTAMATICALLY REDUCED BY A
PROCESS CALLED DEPRECIATION. BUT SUCH
DEPRECIATION HAS NO RELATION TO MARKET
VALUE OF ASSET.
 MONEY MEASUREMENT
CONCEPT
• MONEY MEASUREMENT CONCEPT:
EVERY TRANSACTION IS MEASURED
IN TERMS OF MONEY. VIZ
PRODUCTION/SALES/WAGES ETC
ALL CONVERTED TO MONEY.
• INFLATION OR DEFLATION NOT
INCLUDED IN VALUE OF ANY ASSET.
BUSINESS ENTITY CONCEPT
• THIS CONCEPT SEPARATES THE ENTITY OF
PROPRIETOR FROM THE BUSINESS TRANSACTION.
• CAPITAL CONTRIBUTED BY THE OWNER IS LIABILITY
FOR BUSINESS BECAUSE BUSINESS IS DIFFERENT
FROM OWNER.
• ANY MONEY WITHDRAWN BY PROP. IS DRAWINGS.
• PROFIT IS LIABILITY AND LOSS IS AN ASSET.
• ALL ENTRIES ARE KEPT FROM THE POINTOF VIEW OF
BUSINESS AND NOT FROM OWNER.
• AN ENTERPRISE IS ECONOMIC UNIT SEPARATE FROM
OWNER.
 REALISATION CONCEPT.
• THIS CONCEPT TELLS US WHEN REVENUE IS
TREATED AS REALISED OR EARNED. IT IS
TREATED AS REALIZED ON THE DATE WHEN
PROPERTY IN GOODS PASSES TO BUYER
AND HE BECOMES LEGALLY LIABLE TO PAY.
• NO FUTURE INCOME IS CONSIDERED.
• GOODS SOLD ON APPROVAL WILL BE
INCLUDED IN SALES BUT ON COST ONLY.
GOING CONCERN CONCEPT
• BUSINESS IS A GOING CONCERN AND
TRANSACTIONS ARE RECORDED ACCORDINGLY.
• IF AN EXPENSE IS INCURRED AND UTILITY IS
CONSUMED DURING THE YEAR, THEN IT IS
TREATED AS AN EXPENSE OTHERWISE IT IS
RECORDED AS AN ASSET.
• RESERVES AND PROVISIONS ARE CREATED FOR
ANY FUTURE LIABILITY.
• DEFERRED REVENUE EXPENDITURE IS
WRITTEN OFF OVER NUMBER OF YEARS.
 DUAL ASPECT CONCEPT
• EVERY TRANSACTION HAS DOUBLE
EFFECT.
• ACCOUNTING EQUATION: ASSETS=
CAP+ LIABILITY.
 ACCOUNTING PERIOD
CONCEPT.
• BUSINESS WILL RUN THROUGH LONG PERIOD.
HENCE ACCOUNTS OF EACH PERIOD IS RECORDED.
• RESULTS OF OPERATIONS CAN BE KNOWN
PRECISELY ONLY AFTER BUSINESS CEASES TO
OPERATE AND ENTIRE ASSETS ARE SOLD AND
ENTIRE LIABILITIES PAID.
• BUT ONE IS INTERESTED IN PERIODICAL
OPERATING RESULTS OF BUSINESS SAY YEARLY OR
HALF YEARLY OR QUARTERLY.
• HENCE ALL THE EXPENSES OR INCOME DURING
THIS ACCOUNTING PERIOD HAS TO BE TAKEN INTO
CONSIDERATION IRRESPECTIVE OF WHETHER THEY
ARE REALISED IN CASH OR PAID IN CASH.
 ACCOUNTING FOR FULL
DISCLOSURE
• DISCLOSURE OF MATERIAL FACTS.
• ( MATERIAL AND IMMATERIAL FACT
IS MATTER OF JUDDGEMENT)
• CONTINGENT LIABILITY
• MARKET VALUE OF INVESTEMENTS.
 CONVENTION OF
CONSERVATISM
• ALL POSSIBLE LOSES TO BE TAKEN
INTO CONSIDERATION AND ANTICIPTED
PROFITS TO BE IGNORED.
• CREATION OF PROVISION FOR
DOUBTFUL DEBTS.
• VALUE OF STOCK
• CONVENTION OF CONSISTENCY:
METHOD OF DEPREICATION.
 DOUBLE ENTRY SYSTEM
• SCIENTIFIC SYSTEM:
• EVERY TRANSACTION HAS TWO
ASPECTS.
• CRUX OF ACCOUNTANCY IS TO FIND
OUT WHICH TWO ACCOUNTS ARE
EFFECTED AND WHICH IS TO BE
DEBITED AND WHICH IS TO BE
CREDITED.
 JOURNAL
• JOURNAL RECORDS EACH AND EVERY
RECORD.
• BUT TO FIND OUT A TRANSACTION
EFFECTING A PERSON, EXPENSES ACCOUNT
OR ASSET ONE HAS TO TURNOVER ALL
PAGES OF JOURNAL .
• HENCE TRANSACTIONS ARE POSTED FROM
JOURNAL TO PARTICULAR PAGES OF
LEDGER.
• HENCE JOURNAL CONTAIN A COLUMN L.F
 JOURNAL FORMAT
DATE PARTICULAR L.F DEBIT RS. CREDIT RS.
S
 CASH BOOK
• CASH BOOK KEEPS RECORDS OF ALL
CASH TRANSACTIONS I.E CASH
RECEIPTS AND CASH PAYMENTS.
• ALL RECEIPTS ARE RECORDED ON
RIGHT SIDE AND ALL PAYMENTS ON
LEFT SIDE.
• CASH BOOK IS BOOK OF ORIGINAL
ENTRY.
 CASH BOOK FORMAT
DR. CR

DATE PARTI R.NO L.F CASH BANK DISCO DATE PARTI VR.NO LF CASH BAJK DISCO
CULAR UNT CULAR . UNT
S S
 RECORD KEEPING BASIS
• RECORDING: JOURNALISING AS AND WHEN TRANSACTION
TAKES PLACE. JOURNAL IS BOOK OF ORIGINAL OR FIRST
ENTRY.

• CLASSIFYING: ALL ENTRIES IN JOURNAL OR SUBSIDARY

BOOKS ARE POSTED TO LEDGER ACCOUNT(POSTING) TO
FIND OUT AT A GLANCE THE TOTAL EFFECT OF ALL SUCH
TRANSACTIONS. LEDGER IS BOOK OF SECONDARY ENTRY.
 RECORD KEEPING CONTD..
• SUMMASRISING: LAST STAGE IS TO PREPARE THE TRIAL
BALANCE AND FINAL ACCOUNTS WITH A VIEW TO
ASCERTAIN THE PROFIT OR LOSS DURING PARTICULAR
PERIOD.
• IT IS CUSTOMARY TO USE TO AND BY WHILE POSTING
LEDGER.
• BALANCING AN ACCOUNT MEANS EQUALIZTING TWO SIDES.
• IF DEBIT SIDE OF ACCOUNT EXCEED CREDIT SIDE,
DIFFERENCE IS PUT ON CREDIT SIDE AND IT IS SAID TO
HAVE DEBIT BALANCE AND VICE VERSA..
 LEDGER

DR CR

DATE PARTIC J.F AMOUN DATE PARTIC J.F AMOUN

ULARS T(RS) ULARS T RS.
 Questions.
• CREDIT BALANCE IN CAPITAL
ACCOUNT IS LIABILITY OR AN ASSET:
• A. LIBILITY
• B. A REVENUE
• C. AN EXPENSE
• D. NONE OF THESE.
 QUESTION
• AMOUNT BROUGHT IN BY
PROPRIETOR IN BUSINESS SHOULD
BE CREDITED TO
• A. PROPRIETORS ACCOUNT
• B.DRAWINGS ACCOUNT
• C.CAPITAL ACCOUNT
• D.ASSET ACCOUNT
 QUESTIONS
• WAGES PAID TO RAJU TO BE DEIBED
TO
• A. RAJU
• B WAGES
• C. CASH
• D. BANK
 QUESTIONS.
• Q. CREDIT SALES MADE TO ROHIT
TO BE DEIBTED TO
• A. SALES
• B. PURCHASE
• C. CASH
• D. ROHIT
 QUESTIONS
• FURNITURE PURCHASED BY ISSUING CHEQUE
• WHAT ENTRIES TO BE PASSED
• A. DEBIT FURNITURE AND CREDIT BANK
ACCOUNT
• DEBIT BANK ACCOUNT AND CREDIT
FURNITURE
• DEBIT FURNITURE AND CREDIT CASH.
• DEBIT BANK AND CREDIT FUNITURE SHOP
ACCOUNT
 QUESTIONS
• RETURN OF GOODS SHOULD BE
CREDITED TO
• A. SALES RETURN
• B PURCHASE RETURN
• C.CUSTOMER ACCOUNT
• D. GOODS ACCOUNT
 MATCH FOLLOWING
A B

A RAMESH 1 REAL

B DENA BANK 2 PERSONAL

C RENT 3 NOMINAL

D COMPUTER 4 REAL

E LAND 5 NOMINAL

F DISCOUNT 6 PERSONAL
 QUESTION
• WHAT IS JOURNAL ENTRY
• A. ORIGINAL ENTRY
• B. DOUBLE ENTRY
• C DUPLICATE ENTRY
• NONE
 QUESTION
• TRANSACTION IN BANK COLUMN ON
CREDIT SIDE OF THREE COLUMNAR CASH
BOOK INDICATE
• A. AMOUNT WITHDRAWN FROM BANK
• C .AMOUNT DEPOSITED IN BANK
• D .BOTH A AND B
• E. NONE
 QUESTION
• PASS JOURNAL ENTRY:
• RENT PAID FOR OFFICE PREMISES
RS.30000 OUT OF WHICH PART
AMOUNT OF RS.10000 PAID BY
CHEQUE AND REST BY CASH.
 QUESTION
• PASS JOURNAL ENTRY:
• PURCHASED 100 SHARES OF
CENTRAL BANK OF INDIA FOR
RS.100 PER SHARE.
 QUESTIONS
• PASS JOURNAL ENTRY:
• SOLD GOODS TO TENDULKAR
RS.15000
 QUESTIONS
• PASS JOURNAL ENTRY:
• DRAVID INVOICED GOODS FOR
RS.12000 TO US.
 QUESTIONS
• PASS JOURNAL ENTRY:
• RECEIVED DUE AMOUNT FROM
TENDULAKAR AND ALLOWED HIM
DISCOUNT OF 10%
 QUESTIONS
• PASS JOURNAL ENTRY:
• PAID SALARY AND RENT RS.1200
AND 1500 RESPECTIVELY.
 QUESTIONS
• PASS JOURNAL ENTRY:
• KIRAN BECAME INSOLVENT. HE HAD
TO PAY 10000 TO US. BUT WE
RECEIVED ONLY 25 PAISE A RUPEE.
 QUESTION
• PASS JOURNAL ENTRY:
• PAID MONTHLY CAR INSTALMENT OF
PROPRIETOR’S PERSONAL CAR
RS.12000
 QUESTION
• PASS JOURNAL ENTRY:
• BOUGHT FURNITURE FROM GODREJ
& BOYCE CO. LTD AND PAID BY
CHEQUE RS.50000
 QUESTION
• PASS JOURNAL ENTRY:
• DEPOSITED CASH IN BANK RS.1000
 QUESTION
JOURNALIZE FOLLOWING:
COMMENCED BUSINESS WITH
Rs.15000 OF WHICH RS.5000 WAS
BORROWED FROM HIS WIFE AT 12%
INTEREST P.A.
 QUESTIONS
• PASS JOURNAL ENTRY:
• PURCHASED GENERATOR FROM
RAMA & CO. RS.50000
 QUESTIONS
• PASS JOURNAL ENTRY:
• PAID CARRIAGE AND CARTERAGE
ON GOODS SOLD TO NAYAN ON HIS
BEHALF.
 QUESTION
• PASS JOURNAL ENTRY:
• BOUGHT GOODS FROM SATISH AT
ONE MONTHS CREDIT RS.6000
• OUT OF WHICH HALF WAS INVOICED
TO MR. RAM AT 30% ABOVE COST.
ACCOUNTING STANDARDS.
• INSTITUTE OF CHARTERED ACCOUNTANTS
OF INDIA RECOGNISING THE NEED TO
HARMONISE THE DIVERSE ACCOUNTING
POLICIES AND PRACTICES CONSTITUTED
AN ACCOUNTING STANDARDS BOARD IN
THE YEAR 1977.
• ASB FORMULATE ACCOUNTING STANDRDS
SO THAT COUNCIL OF ICAI MAY MANDATE
SUCH STANDARDS.
 OBJECTIVES QUESTIONS ON
ACCOUNTING STANDARDS
• Q. MANDATORY ACCOUNTING
STANDARD IF NOT FOLLOWED REQUIRES
AUDITORS WHO ARE MEMBERS OF ICAI
TO :
• A. QUALIFY THEIR AUDIT REPORTS.
• B. INFORM TO MANAGEMENT OF
COMPANY
• C. INFORM TO ICAI
• D. NEED NOT REPORT ANYTHING.
 QUESTIONS
• SEBI AND COMPANY’S ACT REQUIRE
AUDITORS TO QUALIFY AUDIT REPORTS
THAT
• A. THAT DO NOT CONFORM TO
MANDATORY ACCOUNTING STANDARDS.
• B. CONFORM TO MANDATORY
ACCOUNTING STANDARDS.
• C. DO NOT CONFORM TO ACCOUNTING
STANDARDS.
• D . NO RESPOSIBILITY ON AUDITORS.
 QUESTIONS.
• Q WHICH SECTION OF COMPANIES ACT
CAST RESPONSIBILITY ON BOARD OF
DIRECTORS TO COMPLAY WITH
MANDATORY ACCOUNTING STANDARDS:
• A. SECTION 217(2AA)
• B. SECTION 215
• C. SECTION 125
• D. SECTION 44.
 ACCOUNTING STANDARDS
• AS -1
• ALL SIGNIFICANT POLICIES ADOPTED IN
PREPARATION OF FINANCIAL
STATEMENTS SHOULD BE DISCLOSED.
• ANY CHANGE IN ACCOUNTING POLICIES
WHICH HAS MATERIAL EFFECT IN
CURRENT PERIOD OR IN LATER PERIOD
SHOULD BE DISCLOSED.
 AS 2
• DEALS WITH DETERMINATION OF
VALUE AT WHICH INVENTORIES ARE
CARRIED/VALUED
• INVENTORIES TO BE VALUED AT
LOWER OF COST OR NET REALISABLE
VALUE.
• AVERAGE COST OR FIFO METHODS
ARE PERMITTED IN CASE WHERE
GOODS ARE INTERCHANGEABLE.
 AS-3
• PREPARATION OF CASH FLOW
STATEMENT AND ITS PRESENTATION
ALONGWITH FINANIAL STATEMENTS
• CASH FLOW TO BE CLASSIFIED BY
OPERATING/INVESTING/FINANCING
ACTIVITIES.
 AS 4
• TREATMENT OF CONTINGENCIES AND EVENTS IN
FINANCIAL STATEMENTS.
• EG. CASES IN HIGH COURT OR PENALTY
PROCEEDINGS UNDER LAW.
• CONTINGENCIES MUST BE PROVIDED IF LOSSES
CAN BE ESTIMATED.
• EVENTS AFTER BALANCESHEET DATE AND
BEFORE APPROVAL OF BOARD OF DIRECTORS
SHOULD BE APPROPRIATELY ADJUSTED IN VALUE
OF ASSETS AND LIABILITIES.
• IF INSUFFECIENT EVIDENCE, DISCLOSURE TO BE
MADE
• CONTINGENT GAINS ARE NOT RECOGNIZED.
 AS-5
• DEALS WITH TREATMENT OF PRIOR PERIOD
AND EXTRAORDINARY EVENTS.
• DEBITS OR CREDITS WHICH ARISE IN
CURRENT YEAR OR AS A RESULT OF
OMMISSION/MISTAKES IN PRIOR YEAR.
• ALSO EXTRAORDINARY ITEMS LIKE WRITING
OFF IVENTORIES.
• DISPOSAL OF FIXED ASSETS.
 AS -6
• DEPRECIATION IS MEASURE OF WEARING
OUT ASSETS.
• DEPRECIATION METHOD SHOULD
CAREFULLY BE SELECTED AND
CONSISTENCY APPLIED FOR YEAR TO YEAR.
• TREATMENT FOR REVALUATION OF ASSETS
• DEPRECIATION METHOD TO BE DISCLOSED.
 AS-7
• ACCOUNTING OF CONSTRUCTION CONTRACTS
.CONTRACT FOR CONSTRUCTION EXCEED ONE
YEAR OR SO.
• ACCOUNTING ISSUES OF REVENUE, TREATMENT
OF ADVANCE RECEIVED, WORK IN PROGRESS, IN
FINANCIAL STATEMENTS.
• TYPES OF CONTRACTS: FIXED PRICE CONTRACT +
ESCALATION COST OR COST PLUS A FIXED FEE.
• AMOUNT AND METHOD USED TO DETERMINE
REVENUE RECOGNIZED.
 AS-8
• STAND DELETED FROM 1.4.03 R&D
EXPENSES ARE NOW COVERED ON
AS-10
 AS-9
• BASIS FOR RECOGNITION OF
REVENUE I.E INCOME AND TIME
WHEN INCOME IS SAID TO HAVE
ARISEN
• WHEN REVENUE RECOGNITION
POSTPONED , DISCLOSURE OF
CIRCUMASTANCES TO BE MADE.
 AS-10
• ACOUNTING OF FIXED ASSETS AND DISCLOSURE
THERE OF.
• COMPONENTS OF COST.
• PURCHASE PRICE: + IMPORT
DUTY+TAXES+DIRECT COST TO BRING ASSET TO
ITS WORKING CONDITION-TRADE DISCOUNTS.
• FINANCING COST TO THE EXTENT SUCH COST
RELATE TO PERIOD AFTER SUCH ASSETS ARE
READY TO USE-NOT TO BE CAPITALIZED.
• TEST RUN EXPENSES CAPITALIZED.
 AS-11
• TRANSLATION OF ACOUNTING
TRANSATION IN FOREIGN CURRENCIES IN
REPORTING CURRENCY.
• FINANCIAL STATEMENT OF FOREIGN
OPERATIONS
• FORWARD EXCHANGE CONTRACTS.
• EXCHANGE DIFFERENCE INCLUDED I.E
PROFIT OR LOSS TO BE DISCLOSED.
 AS-12
• GOVERNMENT GRANTS RECEIVED BY
AN ENTITY.
• SUBSIDIES/CASH INCENTIVE/DUTY
DRAWBACK
• DOES NOT INCLUDE ANY TAX
EXEMPTION OR TAX HOLIDAY.
 AS-13
• ACCOUNTING FOR INVESEMENTS
MADE BY AN ENTITY.
• CURRENT AND LONG TERM.
 AS-14
• AMALGAMATION OF TREATMENT OF
RESULTANT GOODWILL OR
RESERVES
• TAKE OVER OF EXISTING BUSINESS
AND FORMATION OF NEW BUSINESS.
 AS-15
• ACCOUNTING OF RETIREMENT BENEFIT
TO EMPLOYEES IN FINANCIAL
STATEMENTS
• PF/PENSION/GRATUIITY LEAVE
ENCASHMENT POST RETIREMENT
WELFARE SCHEME
• METHOD BY WHICH RETIREMENT
BENEFITS VALUED.
 AS-16
• CAPITALIZATION OF BORROWING
COST ATTRIBUTABLE TO
ACQUISITION/CONSTRUCTION OR
PRODUCTION WHERE QUALIFYING
ASSET TAKES SUBSTANTIAL PERIOD
TO GET IT READY FOR INTENDED
USE OR SALE.
 AS-17
• SEGMENT REPORTING
• REPORTING OF INFORMATION ABOUT
DIFFERENT TYPES OF PRODUCT AND
SERVICES OF AN ENTERPRISE AND ITS
OPERATIONS IN DIFFERENT
GEOGRAPHICAL AREAS.
• FOR ASSESSING RISK AND RETURN OF
DIVERSIFIED OR MULTILOCATIONAL
ENTERPRISE.
 AS-18
• REPORTING OF RELATED PARTY
RELATIONSHIP AND TRANSACTIONS
BETWEEN A REPORTING ENTERPRISE
AND RELATED PARTY.
• NAME OF RELATED PARLTY AND
RELATIONSHIP WHERE CONTROL
EXIST TO BE DISCLOSED.
 AS-19
• LEASE: A LEASE IS AN AGREEMENT WHEREBY
THE LESSOR CONVEYS TO THE LESEE IN
RETURN FOR A PAYMENT OR SERIES OF
PAYMENTS THE RIGHT TO USE AN ASSET FOR A
AGREED PERIOD.
• ACCOUNTING POLICIES FOR LESSOR AND
LESSEE AND DISCLOSURE IN RELATION TO
FINANCIAL LEASE AND OPERATING LEASE.
 AS-20
• PRINCIPLES & DETERMINATION OF
EARINGS PER SHARE
• COMPARISON BETWEEN
ENTERPRISES.
• NET PROFI(LOSS)/ WEIGHTED
AVERAGE NUMBER OF SHARES.
 AS 21
• CONSOLIDATED FINANCIAL
STATEMENT OF PARENT AND
SUBSIDARIES.
 AS-22
• METHOD OF DETERMINATION OF
AMOUNT OF EXPENSES OR SAVING
RELATING TO TAXES ON INCOME IN
RESPECT OF AN ACCOUNTING
PERIOD.
• DEFERRED TAX ASSETS AND
LIABILITIES SHOULD BE
DISTINGUISHED FROM CURRENT TAX
ASSETS AND LIABILITIES
 AS-23
• ACCOUNTING FOR INVESTMENT IN
ASSOCIATES.
 AS-24
• DISCONTINUATION OF OPERATION
OF PARTICULAR SEGMENT.
• DISCLOSURE OF PRE TAX PROFIT OR
LOSS FROM ACTIVITIES
ATTRIBUTABLE TO DISCONTINUING
OPERATIONS.
 AS-25
• INTERIM REPORTING WHICH IS NOT
FOR COMPLETE REPORTING PERIOD.
• CONDENSED B/S
• CONDENSED P&L
• CONDENSED CASH FLOW
STATEMENT
• EXPLANTORY NOTES.
 AS-26
• OTHER THAN INTANGIBLE ASSETS COVERED IN AS-
22( DEFERRED TAX ASSETS)
• RELATE TO START UP COST ( EG ADVT ETC)
• R&D
• PATENTS AND COPY RIGHT
• GOODWILL
• DISCLOSURE: USEFUL LIFE OR AMORATIZATION
RATE
• AMORATIZATION METHOD.
 AS-27
• TWO OR MORE PARTIES UNDER TAKE
ECONOMIC ACTIVITY WITH JOINT
CONTROL
• ACCOUNTING FOR JOINT VENTURE IN A
CONSOLIDATED FINANCIAL STATEMENT.
• DISCLOSURE: ANY CONTINGENT LIABILITY
INCURRED BY VENTURER AND ITS SHARE.
• ANY CAPITAL COMMITMENT AND ITS
SHARE.
 AS-28
• EQUITY OR DEBT LISTED
• TURNOVER EXCEED RS.50 CRORES
• PRINCIPAL OF THIS AS IS TO ENSURE
CARRYING COST OF ASSET IS NOT MORE
THAN RECOVERABLE ASSET.
• NOT APPLIED TO INVENTORIES -AS 2
• CONSTRUCTION CONTRACT AS 7
• FINANCIAL ASSETS AS 13 & DEF TAX AS
22
• THANK YOU.