As an auditor, I would suggest that Company A should recognize the profit of ₹10 lakh immediately. In this scenario, Company A has sold the machinery to Company B for ₹50 lakh, even though the written-down value (WDV) of the machinery was ₹40 lakh. The difference of ₹10 lakh between the selling price and the WDV represents a profit on the sale of the machinery. Since the leaseback arrangement is in the nature of an operating lease, and not a finance lease, Company A should recognize the entire profit of ₹10 lakh immediately at the time of the sale. Operating leases are typically treated as normal rental agreements, and any profit or loss on the sale should be recognized upfront.
The concept of extension education process was given by ______.
The unripe fruits and few vegetables contain an insoluble stiffening material called_____. It gives firm texture to unripe fruits. As fruit ripens, some...
World Forestry day is celebrated on:
Citrus canker is _____ disease.
Which type of grafting is also known as stone grafting?
Type of silviculture system which can regenerate through seeds and majority have a long life is ___
Which among the following is generally known as twin deficit?
In the process of micropropagation, plantlets are gradually acclimatized before plantation in farm
Under Micro-Economics study of?
The planting of sugarcane by trench method ______
