Financial statements will help you in how you should manage your company, and the accuracy of the financial statements is very important before financial analysis. The data in the trial balance should be accurate and the income and expense figures should be accounted for in the required accounts. For us to manage our company correctly,…
Companies prepare financial statements (income statements, balance sheets, etc.) at the end of the fiscal year. Every company is obliged to report its business performance and financial position to the stakeholders of the company, such as shareholders and creditors. If each company freely prepares financial statements, even if the current performance of each company…
Accounting is a scientific field that has an important role in various things. In practice, accounting science can help companies, organizations, investors, and government agencies to make decisions in allocating available resources. To provide the required information, an accountant will usually record, summarize, and analyze the financial data that has been collected. After these…
The Indian Accounting Standards also known as Ind AS and are structured in line with the International Financial Reporting Standards (IFRS). The nomenclature for the naming and numbering of Ind AS is same as that of IFRS. Overall, the accounting changes introduced by Ind AS are positive for foreign firms operating in India. Implementation of…
Since Indian companies have a far wider global reach now as compared to earlier, the need to converge reporting standards with international standards was felt, which has led to the introduction of Ind AS (Indian Accounting Standard). These new standards ensure that Indian accounting standards (Ind AS) are in lines with globally accepted standards, IFRS. Therefore,…
Under the existing rules as per IND AS 17 (Lease), lessees account for leases either as operating leases or as finance leases, depending on complex rules and tests. These, in practice, use ‘bright-lines’ resulting in all or nothing being recognized on-balance sheet for lease transactions that are sometimes economically similar. New rules as per IND AS…
