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Petrol expenses are recorded in the profit and loss account under the category of operating expenses or cost of goods sold (COGS), depending on their nature. If petrol is used directly in the production of goods, it may be classified under COGS. Otherwise, it is typically listed as a selling, general, and administrative expense (SG&A). Proper categorization helps in accurately assessing the company's profitability.
What else can I help you with?
Why is profit not always cash in accounting?
WHY IS PROFIT NOT ALWAYS CASH Profit is the excess of turnover over cost and expenses. Profit is not cash always because a company can have its financial statements to be exhibiting large amount as profit whiles it has nothing in its pocket. Cash on the other hand, is called a reality by me. It is a language which a small boy or girl understands unlike profit. Profit most of the time come about through the application of accounting concepts and tools. Because of this, an account prepared in Ghana which uses the IFRS will be different from the profit figure computed in India which uses the India GAAP.
What things come under nominal account?
All the expenses and incomes are recorded in nominal accounts, whether capital or revnue nature
What is the procedure of finalisation of accounts?
Check all the ledger account post the Jv in the respective accounts come out with final balance of the ledger account then start putting figures in trial balance & then prepare trading, profit & loss account & balance sheet for the respective year.
Which expenses come under direct expense?
staff
Does Sales promotion expenses come in income statement?
All expenses comes in income statements same as sales promotion expenses are also shown in income statement.
What are the expenses that come in indirect expenses?
The expenses those come in the debit side of the Profit & Loss Account of the Company are all indirect expenses.
What should be the disclosure requirement in case of depreciation in the Profit and Loss Account of a company?
Depreciation is an expanse on fixed asset for the period ended and is recorded in profit and loss accounts at year ended. it will come in operating expenses and should be deducted from gross profit of the company.
Petty cash account details?
when we use laundry and cleaning expenses,meals and entertainment expenses,office expenses,pantry items expenses,travelling expenses etc.. what are the expenses will come each cotogories
How do you increase profit in a non profit organisation?
Similar to the for profit world, the way to increase profit is to reduce expenses or increase income. Non profit's income tends to come from contributed income, program fees, or grants.
Why is profit not always cash in accounting?
WHY IS PROFIT NOT ALWAYS CASH Profit is the excess of turnover over cost and expenses. Profit is not cash always because a company can have its financial statements to be exhibiting large amount as profit whiles it has nothing in its pocket. Cash on the other hand, is called a reality by me. It is a language which a small boy or girl understands unlike profit. Profit most of the time come about through the application of accounting concepts and tools. Because of this, an account prepared in Ghana which uses the IFRS will be different from the profit figure computed in India which uses the India GAAP.
What things come under nominal account?
All the expenses and incomes are recorded in nominal accounts, whether capital or revnue nature
Provision is an asset or a liability?
yes its come under Assets Account.if you are make provision for Expenses which may occurred in next few month (less than 12 month) the provision account come under Current Assets. (Just like Prepaid expenses)
Is cash account real account?
yes cash account is a real account cause it wll not come under persanal account ( consist of bank and peoples account) and not a nominal account( consist of incomes and expenses)
What all expenses will come under staff welfare expenses?
head of staffwelfare
Where do hydrocarbons in petrol and diesel come from?
fossil fuels
What is the procedure of finalisation of accounts?
Check all the ledger account post the Jv in the respective accounts come out with final balance of the ledger account then start putting figures in trial balance & then prepare trading, profit & loss account & balance sheet for the respective year.
Where did the word petrol come from?
Petrol is originated from to Latin words: Petra + Olium Petra = rocks Olium = Oil
