Corporate Fin Mgt NDLM.PDF

o Managing Agents Remuneration and Commission

o Audit Fees

o Office General exposes

ó Financial Expenses
o Cash discounts allowed
o Cost of discounting bills
o Interest on Capital
o Interest on borrowed Capital
o Loss in exchange
o Discount on Issue of Debentures
o Preliminary expenses written off.
ó Maintenance and Depreciation
o Repairs and renewals
o Depreciation of Assets

7.7. Faculty may also explain the balancing of Profit and Loss Account and its

effect on the Balance Sheet.

Visual Aid - 8 : Liabilities & Assets

Liabilities Rs. Assets Rs.

Sundry Creditors

ó Bills Payable
ó Open Accounts
ó Wages and Salaries

Capital Accounts

ó Opening Balance

ó Plus: Profit
Minus: drawings

Cash in hand

Cash in Bank

Bills Receivable

Sundry Debtors

Less: Reserve for

Doubtful debts

Less: Reserve for

discounts

Stock-in-Trade

Fixed assets

Minus: depreciation

Land + extensions

Pre-paid

Total Rs. Total Rs.