The company has obtained Institutional Term Loan of $.580 lakhs for modernisation and renovation of its Plant &Machine

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899604
Joined: Mon Aug 02, 2021 8:13 am

The company has obtained Institutional Term Loan of $.580 lakhs for modernisation and renovation of its Plant &Machine

Post by answerhappygod »

The company has obtained Institutional Term Loan of $.580 lakhs for modernisation and

renovation of its Plant &Machinery. Plant &Machinery acquired under the modernisation

scheme and installation completed on 31st March, 2017 amounted to $.406 lakhs, $.58

lakhs has been advanced to suppliers for additional assets and the balance loan of $.116

lakhs has been utilised for working capital purpose. The Accountant is on a dilemma as to

how to account for the total interest of $52.20 incurred during 2016-2017 on the

entire Institutional Term Loan of $.580
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Top
Post Reply

Return to “Archived Questions & Answers”