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BOOK KEEPING OBJ:
Depreciation is defined as the reduction of recorded cost of a fixed asset in a systematic manner until the value of the asset becomes zero or negligible.
(v) tangible Assests
(i)Fixed assets are shown in the Balance Sheet at their book value (Historical cost — Depreciation to date). A conventional Balance Sheet does not reflect the original value of assets.
(ii)As fixed assets are shown in the Balance Sheet at their book value, therefore, it does not have any relationship with the market value
(iii)Balance Sheet cannot reflect the value of certain factors which serve like assets, such as skill and loyalty of the staff.
(iv)conventional Balance Sheet may mislead the untrained readers in inflationary situations.
(i)Less paperwork to get started.
(ii)Easier processes and fewer requirements for business taxes.
(iii)Fewer registration fees.
(iv)More straightforward banking.
(v)Simplified business ownership
A suspense account is an account used temporarily or permanently to carry doubtful entries and discrepancies pending their analysis and permanent classification.
(i) Owners and investors
(iv) Trade creditors or suppliers
(i) Always Compliant with the Law
(ii) It Is Easier to Plan
(iii) Instant Reporting
(iv) Better Relations with Banks and Investors.
(v) Better Tax Prediction
(vi) Faster Business Response Time
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