UrbanPro
true

Find the best tutors and institutes for CA Coaching

Find Best CA Coaching classes

Please select a Category.

Please select a Locality.

No matching category found.

No matching Locality found.

Outside India?

Company Accounts - Preparation of Financial Statements

CA Prashanth Reddy
07/05/2018 0 0

What are the Statutory Provisions relating to the Transfer of Profits to Reserves?

Answer:

As per companies Act, 2013 there is no requirement of minimum transfer of profits to reserves. The company can transfer any amount of profits to reserves as per its own judgement before paying dividends.

 Depreciation is calculated from the period when the asset is put to use as per INCOME TAX Act.

 

Managerial Remuneration: Section 197 AND SCHEDULE V prescribes overall maximum managerial remuneration. Managerial personnel means directors on the board of directors.

Summary of different limits based on net profit of the company is :

Sl. No.

Managerial Personnel

% of Net  Profits U/S  SECTION  198

(Maximum)

1.

Overall (excluding fees for attending meetings)

11%

2.

If there is one managerial personal

5%

3.

If there is more than one managerial personnel

10%

4.

Remuneration of part-time Directors:

(a)  If there is no manager or whole – time director

(b)  If there is a managing director of whole time director

 

3%

1%

 

0 Dislike
Follow 6

Please Enter a comment

Submit

Other Lessons for You

Valuation of Goodwill
This is one of the introductory chapters at the graduation level as well as in professional exams. The brief notes on methods and calculation of goodwill in easy steps are presented below: Methods of...

Gayatri D. | 02 Aug

1 0
0

Preparation of Final Accounts From Incomplete Records or Single Entry System:
Preparation of Final Accounts From Incomplete Records or Single Entry System: There are two methods for the preparation of final accounts from single entry books/ incomplete records. Method 1: Under...

Gayatri D. | 02 Aug

0 0
0

Accounting Policies
Definition: Accounting Policies refer to specific accounting principles and applying those principles adopted by the enterprise in the preparation and presentation of Financial Statements. Need for...

Computation of Salary income
Basic Salary (+) DA (+) Bonus (+) Taxable portion of allowances (+) Advance Salary (+) Fees (+) Commission (+) Taxable value of perquisities (+) Wages (+) Profit in lieu of salary (+) Taxable...

Anand Eriwal | 27 Mar

0 0
0

Meaning of Accounting
MEANING: The process of accounting starts with identifying transactions and events of a financial character and recording them in books of accounts; this will be done in primary books(Journal). After the...
X

Looking for CA Coaching Classes?

Find best tutors for CA Coaching Classes by posting a requirement.

  • Post a learning requirement
  • Get customized responses
  • Compare and select the best

Looking for CA Coaching Classes?

Find best CA Coaching Classes in your locality on UrbanPro

Post your learning requirement

UrbanPro.com is India's largest network of most trusted tutors and institutes. Over 55 lakh students rely on UrbanPro.com, to fulfill their learning requirements across 1,000+ categories. Using UrbanPro.com, parents, and students can compare multiple Tutors and Institutes and choose the one that best suits their requirements. More than 7.5 lakh verified Tutors and Institutes are helping millions of students every day and growing their tutoring business on UrbanPro.com. Whether you are looking for a tutor to learn mathematics, a German language trainer to brush up your German language skills or an institute to upgrade your IT skills, we have got the best selection of Tutors and Training Institutes for you. Read more