Best companies law summary notes
companies law The companies act, 2013 Working knowledge only at foundation level Meaning and characteristics of a company Corporate veil theory and lifting of corporate veilClasses of companies Incorporation of companyMemorandum of association and articles of association Scope of new companies act 2013. 470 sections, seven schedules included in 29 chapters.Preceded by the companies act, 1956. Purpose of new companies act 2013. Changes in the national and international economic environmentExpansion and growth of our economyImprove corporate governance Simplify regulationsStrengthen the interests of minority investors First time legislates the role of whistle-blowers Applicability of the companies act, 2013: Companies incorporated under this act or under any previous company law.Insurance companies – insurance act, 1938 or the IRDA act, 1999)Banking companies – Banking regulation act, 1949)Companies engaged in the generation or supply of electricity – Electricity Act, 2003)Company governed by any special act for the time being in force. LIC, UTI etc.Incorporated by any act for time being in force, as central government notified Meaning of a company Professor Haney “a company is an incorporated association, which is an artificial person created by law, having a separate entity, with a perpetual succession and a common seal.” Section 2(20) of the companies act, […]
what is statistics and its applications ca cpt foundation
Under this chapter we learn following topics Statistics and its applications Data collection technique Distinction between primary and secondary data Presentation of data in textual and tabular Cumulative frequency and frequency distribution Graph using histogram, frequency polygon and pi chart Use of statistic : Statistic is used in all subjects like management, commerce, mathematics, social sciences etc. It also used in public service like defence, banking, insurance, tourism, police, military, hospitality etc. It collects the data, analyses it and apply in statistic inferences It has universal application Government, businessman, political party and research scholar use the statistics Hence it is required to study History There are various views for its origin This word was used in ancient and medieval period. Its origin may be from any of the following term. Latin- status, Italian- statista, German- statistik, French- statistique Then it is known as a state because it collects and maintains data of the people belonging to the state. In the 4th century B.C. , Kautilya had written Arthashastra during Chandragupta’s reign. In the 16 century A.D. , Abu Fazl had written Ain-i- Akbari on agriculture Definition It can be used in singular or plural sense […]
consignment accounting
Consignment It is a principal and agent relationship. Person who sends goods will be consignor. Person who receive the goods will be consignee. Performa invoice – consigner provides to consignee for the details of goods like quantity, price etc. Account sales – periodically consignee sends details of transaction to consignor. Risk of goods will be borne by consignor. Consignee will receive following three types of commission. Normal commission – on actual sales. Del creder commission – risk of bad debt will be born by consignee. If question is silent it will be paid on total sales. If specifically given in question then on credit sales. Overriding commission : If consignee sales goods over and above fixed price, excess commission will be paid to consignee. Normal loss : It is unavoidable loss like petrol lost in atmosphere. It is uncontrollable.Cost of normal loss will be borne by good units. E.g. 100 kgs. Price Rs. 10, normal loss 10% Cost per unit = 100*10/90=11.11111 Abnormal loss : it is due to accident or negligence, like fire, road accident etc. Loss on abnormal reason will be transferred to profit and loss account. In the books of consignor following […]
inventory
Inventory Meaning : Held for sale in ordinary course of business. Used as a material in production Consumed in the production or maintenance -oil, Greece etc. It also includes loose tools , supplies and spare parts. Under construction project of builder is also a inventory. Standby equipment of Fixed asset is also fixed asset. At this level we will study valuation of inventory for trading concern and raw material of manufacturing concern. Techniques of valuation of inventory Historical methods: Not interchangeable – specific identification method Interchangeable –FIFO, LIFO, WEIGHTAGE ETC Inventory will be valued at cost or NRV which is less. NRV means net realizable value selling price –cost yet to be incurred. Objectives of inventory valuation Correct determination of income Closing stock overstated – profit is increased Under stated – profit decrease Opening stock Over stated – profit decrease Under stated – profit increase true and fair financial position It is part of current asset which will be shown in balance sheet. liquidity analysis It is part of current ratio statutory compliance companies act and AS can be satisfied with correct valuation. Cost of purchase includes purchase cost, non refundable duties and taxes, other expenses incurred for reaching up […]
bill of exchange
BILL OF EXCHANGE There are various types of negotiable instruments like bill of exchange, promissory notes and cheque etc. Bill of exchange : A orders to B pay to C . A is drawer, B is drawee, acceptor and payer while c is payee. It is an unconditional order to pay a sum of money in writing to a definite person. It should be stamped. Inland bill : if bill is written in india but payable either in India or to a person resident in India. Example : A writes bill in Bombay payable to Modi at America. A writes bill in Bombay payable to Obama at india. A writes bill in Bombay payable to modi at india. Foreign bill : if bill is written outside india but payable any where. if bill is written in india but payable outside india to non resident person. Example : A writes bill in America payable to any person any where A writes bill in Bombay payable to Obama at America. It should be in triplicate, but pay only of them. It should be noted and protested. Promissory note : A promises to B for payment of 1,00,000. A is drawer, acceptor […]
bank reconciliation statement
Bank reconciliation statement In modern times, bank transactions are increased and cash transactions are decreased due to increase in volume of business, safety, and compliance of law. Bank is a financial institute established as per RBI norms doing following functions. Discount promissory notes, B/E etc Allows the facility of Bank overdraft Collects dividend and interest on securities. Provides loan for various purpose. Provides security and guarantee to customers Provides letter of credit and travel cheque. Makes the payment of various expenses, and purchase or sale of various securities. Bank pass book is a copy of customer account in the books of bank. Date particular Withdrawal Dr. Deposit Cr. Balance Dr/Cr Bank provides a statement or pass book to its customer periodically. Debit balance as per passbook means over withdraw hence bank over draft Credit balance as per pass book means excess deposit hence bank balance. Cash book : Bank column of cash book will be reverse of pass book or vice versa. It is similar to ledger like bank account. Cash book (bank column) Date particulars Rs Date particulars Rs Increase in bank balance, cheque received or due to deposit, it is debited. Decrease in bank balance, cheque issued, withdrawal it […]
Accounting for overheads
Meaning : It is the aggregate of indirect material,indirect labour and indirect expenses which cannot be identified with particular job, product or cost centre. Classification of overheads By function Production overheads Administration overheads Selling overheads Distribution overheads By behavour Fixed overheads Variable overheads Semi variable overheads By element Indirect labour Indirect material Indirect expenses Classification of cost due to behavour Fixed cost – in total will be same Per unit will decrease Variable cost – per unit will be same Total variable cost will increase Semi variable cost – it is changed level wise, e.g. upto 1000units – per unit – Rs. 5000 above 1000 upto 2000 – Rs. 9000 … Methods of segregation semi variable overheads into fixed and variable overheads 1 comparison by level of activity method 2 high and law point range method In above 2 methods Variable element per unit = change in amount of semi variable overheads/change in level of activity Fixed overhead = total semi variable overheads – total variable elements at this level 3 least squre method like byx Analytical method: Under this method, decide proportion of variable and fixed cost on the basis of past experience Graphical method: under this […]
Accounting for labour cost
Accounting for labour cost Labour is a essential factor used in the process of production arise from human resources. It can be classified in two parts Direct and indirect Tailor, carpenter etc it is a part of prime cost Indirect labour Such cost can not be identified with per units of production Time keeping department , pay role, security department etc, it is part of overheads. Time study and motion study It is a measure at which reasonable skill and ability will be studied It involves observation of movement of body which is not necessary Time study is useful fair day rate for work Motion study eliminates wasteful movement. Time study is possible with stop watch while motion study is possible through movie camera. Job evaluation and merit rating Job evaluation – Assessment of worth of job in job hierarchy Gives ranking for job Used for rational wages Merit rating – Assessment of worth of job holder Gives ranking to job holder Used for scientific base for fair wages Idle time : Time for which payment made but no direct production or benefit is obtained Treatment of idle time in cost account Normal and controllable As a part of cost […]
income under head salary
income under head salary Free domestic servant provided by employer : Watchman, sweeper or Gardner provided by employer – cost incurred by employer will be vlue of perquisite. Gas, electricity and water supply provided by employer owned by employer- manufacturing cost purchase by employer -market price or purcahse cost Note : If unfurnished or furnished house owned by employer and provided as perquisite nothing is taxable it is included in value of house. But if house is hired by employer cost of gardener will be value of perquisite. Gas, electricity and water supply provided by employer Notes : Value of perquisite = WDV calculated as Above –Recovered (sale value) Depreciation is calculated for the completed years only. Electronic Items include computer, devices but exclude house hold Family includes Spouses, children dependent brother, sister and parents only. No grand parents allowed. Provident fund : SPF RPF URPURPF PPF Employer’s contribution E E Up to 12 % of salary E NA Employee’s contribution Already Taxed Already Taxed Already Taxed Already Taxed Interest E E up to 9.5 % Excess will be taxable. E E 80C Y Y […]
accounting for underwriting commission
It is contract between a company and other party, if public will not subscribe issued shares or debentures, underwriters will purchase. They can charge commission in case of debentures up to 2.5% and shares 5%. Marked applications: If name of underwriter is shown by applicant against which he is applied known as a marked application. Un Marked applications: If name of underwriter is not shown by applicant against which he is applied known as a un marked application. Marked applications will be directly credited to underwriter. Unmarked applications will be credited in the gross liabilities ratio. Firm under writing: When underwriters purchase shares by themselves. Credit is given – if firm underwriting is treated as a marked application. Credit is not given – if firm underwriting is treated as a unmarked application.
accounting for material cost
Accounting for material cost Term material related to all commodities supplied to undertaking it can be direct or indirect Advantages Effective control in costly items Save time for non important items Optimum investment is possible Minimum total cost High inventory turn over Re order quantity or economic order quantity: No of units ordered is treated as a reorder quantity if quantity is ordered in such a way that total cost will be minimized such re order quantity will be EOQ At EOQ level total of ordering and carrying cost is minimum as well as both are equal. Ordering cost: Above cost is incurred for acquiring the input. Placing an order, transportation, inspection etc. There is a inverse relationship between cost and size of order. If size of order are increased, no of order reduced hence ordering cost reduced or vice versa Carrying cost Cost incurred in maintaining a given level of inventory. Storage space, insurance and salary of staff etc. Relationship between the size and carrying cost is positive if order size is larger, carrying cost is higher and vice versa. Formula: EOQ =2AO/C under root A = annual consumption O = ordering cost per order C = carrying cost […]
single entry / incomplete records
Single entry Incomplete accounting records means at present it is not maintained on the basis of double entry system or records are lost due to fire, theft etc. Although all records are lost but bank statement, cross ledger from creditors And debtors will be available. Statement of affairs (balance sheet before adjustment) 1 Ascertain closing capital by preparing a statement of affairs at the end of accounting period. 2 Add the amount of drawing to the closing capital 3 Deduct additional capital introduced from closing capital 4 Ascertain opening capital by preparing a statement of affairs at the beginning of the accounting period 5 Ascertain profit or losses by deducting opening capital from adjusted closing capital Adjusted closing capital Closing capital + Drawings – additional capital 6 make adjustment for items not yet adjusted While calculating closing capital. From opening and closing balance sheet find opening capital and closing capital afterwards prepare capital account . Balancing figure net profit for the year. Difference between statement of affairs and balance sheet. Statement of affairs Balance sheet Based on estimated ledger – on actual ledger Balance of capital account – balance of capital Will be calculated already available Asset […]
bonus and right shares
Bonus shares: Shares issued by company free off, it means without consideration to existing shareholders. It is a capitalization of free reserves. Free reserve means not for specific purpose, profit available for dividend, like profit and loss account, general reserve etc. it excludes unrealized gain like revaluation reserves. There are two types of bonus shares: Conversion of partly paid up shares to fully paid up Issue new fully paid up bonus shares. Conditions for issue of bonus shares Authorized by article of association Resolution in general meeting with recommendation of board Not default in payment of interest and deposit or statutory dues, First issue bonus element to partly paid up shares Journal entries: Fully paid up bonus shares issued Profit and loss account dr. General reserve account dr. Capital redemption reserve account dr. Security premium account dr. To bonus to share holder account Bonus to share holder account Dr. To equity share capital account Partly paid up shares converted in to fully paid up shares by way of bonus. Profit and loss account dr. General reserve account dr. To bonus to share holder account Equity share final call account dr. To equity share capital account Bonus to share […]
Redemption of preference shares
Redemption of preference shares Redemption of preference shares Meaning Preference shares: priority in payment of dividend and capital at the time of liquidation. Redemption means repayment of capital Provisions of companies Act (section 55 ) for redemption of preference shares: Only fully paid up preference shares can be redeemed Redemption is possible out of free reserve or new issue of shares. If redemption is made with premium, premium on redemption of preference shares will be written off against free reserves or security premium. If redemption is made from free reserves, amount equivalent to face value of redemption will be transferred to Capital redemption reserve. CRR can be used for fully paid up bonus shares only. New issue is considered as below if reserve is short. If bank is short while considering new issue only bank will be considered. Journal entries: Preference share capital a/c Dr. To preference share holder Preference share holder a/c Dr. To Bank Profit and loss account Dr. General Reserve Account Dr. To CRR Bank a/c Dr. To Equity share capital To preference share capital While solving above question always prepare following chart: Redemption of Preference Shares | India | Accounting
dissolution of firm
dissolution of firm best summary notes Dissolution of firm Meaning Dissolution of relationships between partners along with termination of business. At the time of dissolution, all assets will be realized and liabilities should be repaid. For dissolution following accounts will be prepared. 1 realization account 2 partners capital account 3 cash/bank account 1 realization account : All assets and liabilities will be transferred at book value. Provisions and reserves should be shown separately in realization account. Don’t net off. Debtors will be debited and provision for debtors will be credited. Firm’s debt vs. personal debt Any partner becomes insolvent only after realizing all assets as well as firm’s share of asset. From private property, partner first pay private debt, then only balance will bring in firm’s business as well as from firm’s assets first pay firm’s debt and then only from excess private debt can be paid. If Any partner is unable to pay any debt, he will become insolvent. All partners become insolvent, firm will be insolvent. Deficiency in case of insolvency: When insolvent partner is unable to pay firm’s debt, outstanding balance of such partner is called deficiency which will be borne by solvent partner in agreed capital […]
debenture redemption accounting
Redemption of debentures When it is issued : Bank account debit To debenture account But when it is redeemed Debenture account debit To bank account But at the time of redemption fund may not be sufficient. Hence sinking fund investment will be Used. Journal entries Appropriation : Profit and loss appropriation account debit To debenture fund or sinking fund Sinking fund created Investment purchase Debenture sinking fund investment account debit To bank account In first year only principal amount will be invested Second and subsequent years Bank account debit To debenture sinking fund Interest on sinking fund is received Profit and loss appropriation account debit To debenture fund or sinking fund Sinking fund created Debenture sinking fund investment account debit To bank account Principle and interest both are invested Last year Interest received Bank account debit To debenture sinking fund Contribution Profit and loss appropriation account debit To debenture sinking fund In a last year there is no new investment but existing investments are sold Bank account debit Loss on sale of investment account debit – if exist To debenture fund investment To profit sale of investment – if exist Debentures repaid. Debenture account debit To debenture holder Debenture holder […]
insurance claim
best summary notes It is contract of indemnity it covers two types of contract: Loss of stock Loss of profit Joint policy of stock and profit also allowed. Stock on the date of fire is required to calculate. For the calculation of stock memorandum trading account will be prepared. Average clause: When closing stock is more than amount of policy, apply average clause. Amount of claim: Closing stock : loss Amount of policy : ? 4 while preparing trading account, only normal sales will be considered, ignore abnormal sales. Abnormal sales means goods sold at other than pre-determined price. Stock should be considered at cost, while applying normal GP rate. Hence in memorandum trading account stock at net realizable value is deducted. If goods are sold at abnormal price, cost of such goods will be deducted from opening stock or purchase. Sale of such goods also excluded from sale then GP rate can be applied. If goods not sold up to date of fire it would be added in stock as per trading account for insurance claim, Loss of profit: Due to fire or other natural calamities, Business will be discontinued and transfer at any other place, […]
share capital transactions
Share Capital Transactions A company is an artificial judicial person created by law and liquidated by law having common seal, perpetual succession etc. Journal entries: Application money received: Bank A/c Dr. To equity share application account Resolution passed: Equity share application account Dr. To Equity share capital account Allotment resolution: Equity share allotment A/c Dr. To Equity Share Capital Allotment money received Bank account Dr. To Equity share allotment A/c Equity share first and final call : Equity share first and final call Dr. To equity share capital Call money received: Bank account Dr. To Equity share first and final call Shares are issued with security premium Equity share allotment Account Dr. To equity share capital account To security premium account Bank account Dr. To equity share allotment Share forfeiture : When any allotment or call money is not received by company after due reminder, company can forfeit the shares. Journal entries when share are issued at par: Equity share capital account DR. To equity share allottment To Equity share call account To share forfeiture account Journal entries when share are issued with premium and premium is received: Equity share capital account DR. To […]
financial statement of company
Managerial remuneration as per companies act 2013 : Section 197 provides maximum limit of managerial remuneration in case of profit or inadequate profit maximum 11% WTD/MD 1 – 5% More than 1 10% Other director With WTD/MD 1% No WTD/MD 3% MANAGER 5% If inadequate profit –maximum remuneration Effective capital (crores) Limit in lakhs Negative or less than 5 60 More than 5 less than 100 84 More than 100 less than250 120 Above 250 120+.01%of excess of 250 Effective capital = equity share + preference shares + Reserves – profit and loss debit balance Profit and loss as per 198 of companies act. Credit is given – government subsidies Credit is not given Securities premium Capital profit – forfeiture of shares, sale of capital assets, immovable properties, undertakings etc. Revaluation of asset and liabilities Allowable expenses: Usual operating expenses Director’s remuneration Bonus commission of employee Special taxes Interest on loan and debentures Repairs, Allowable contributions Depreciation as per companies act Losses arise after commencement of act Compensation of breach of contract due to legal liabilities, Insurance paid, bad debt etc. Not Allowable expenses: Income tax Compensation paid voluntary Capital nature loss Loss arise due to […]
depreciation
best summary notes Depreciation Meaning it is allocation of capital expenditure during useful life of an asset. Depreciable asset: Held for use and having useful life exceeds one year and having limited life only. Land has unlimited life hence it is a non depreciable asset. Causes/reasons for deprecation Normal wear tear(use) Efflux of time Change in technology use of mines. Objectives of depreciation Correct income measurement( true profit and loss account) True position statement (balance sheet) Funds for replacement(sinking fund) True cost of production Factors affecting depreciation Cost of asset =purchase cost and incidental expenses incurred before put to use. Useful life – asset produces expected output. Scrap value: realized at the end of useful life. Methods of depreciation: Straight line method Written down value method Sum of years of digit method Annuity method Sinking fund method Machine hour method Depletion method Straight line method: Under this depreciation is similar in each year. Depreciation = cost of asset-scrap value/useful life Rate of depreciation= straight line depreciation*100/cost of asset This method is used for trademark, patent and copyright etc. having equal utility during useful life. Benefits : Easy to calculate Easy to understand. At the end of useful […]
joint venture summary notes
joint venture summary notes and practical questions Each co – venture keeps records of own transactions only Under this method following two accounts are prepared separately, there is no double entry. Memorandum joint venture account Joint venture with other co-venture account Memorandum joint venture account is a similar profit and loss account, in this account income will be credited and expenses will be debited. Profit and loss will be calculated. No party or bank account is used but name of income or expense account will be used while preparing this account. Joint venture with other co-venture account It is a personal account, records only own transactions like goods sold, expenses incurred, goods purchased or supplied etc. own profit of MJV will be transferred to this account, remittance to coventure will be calculated. Any transactions of other co venture will not be recorded any where in this account. A and B are coventures having profit and loss ratio 3:2. A contribute 10,000 and B 20,000 A supplied goods of 3,000 and B 2,000. Firm incurred expenses freight 500, cartege 1,000. Firm purchase goods of Rs. 20,000. A incurred expenses […]
rectification of error
Method 1 errors are rectified before preparation of trial balance: To write the note for single effect error. Method: 2 Errors are rectified after trial balance but before preparation of balance sheet. To pass journal entry by using suspense account or write the note as method 1 In above both methods, two effect mistake, journal entry will be passed. Method 3 Errors are rectified in next year: In preceding year, all income and expenses account are closed. Hence not possible to rectify respective accounts But ultimately all income and expense accounts are transferred to trading, profit and loss account. Hence in next year all income and expenses rectify through profit and loss adjustment account.
partnership accounts
Fixed and fluctuating capital Permanent addition or deduction of capital will be recorded in fixed capital. While interest on capital, interest on drawing, drawings, profit or loss for the year, remuneration of partners – regular nature transactions will be recorded in fluctuating capital account, Interest on capital: If it is mentioned in deed then only it can be paid. In case of insufficient profit, available profit will be distributed in capital ratio. In case of loss if deed silent interest will not be paid. But specifically given in deed although there is a loss, interest on capital will be paid. It must be paid in loss also. Interest on drawings : if mentioned in deed then only it will be paid. Beginning of month multiply 78/12 End of month multiply 66/12 Middle of month multiply 72/12 If date of drawing is not given interest of 6 month will be paid. Effective capital actual utilization period will be considered, product method can be used, Monthly or day product will be used. A and B partners: capital as on 01.01.2010 1,00,000 and 2,00,000. introduce A 1.4.10 – 50.000 B 20,000 withdraw 1.10.10 A – 20,000 B 10,000 effective capital A To 1.1/ 3 months*100000 = […]
Average due date
Average due date It is the date on which debtor can pay all the amount due without gain or loss of interest. It is a date on which single payment can be realized against various dues. If actual payment is made earlier than ADD, gain or rebate will arise, while after ADD loss or interest expenses should be paid. Steps for solution: Step 1 determine base date (generally it is a first due date of the debt) Step 2 consider the no of days from the base date to due date of each debt. Step 3 multiply no of days and amount due. It is called product of each debt . Step4 make sum of various product Step 5 no of days from the base date = sum of the product / sum of debt Step 6 ADD = base date +step no 5(days) Calculation of ADD in case of loan transactions; Similar to earlier steps will be followed. 1st installment due will be base date. Days/month/year from 1st installment to each […]
ACCOUNT CURRENT
Account current It is a running statement of transaction between parties for a given period of time which is used for calculation of net interest payable or receivable. It is in the form of account given below: X in account current with Y. Dr. cr. Methods of account current current Interest table method Under this method interest will be calculated for each transaction in above format. Instead of product column, interest column will be prepared. This method is used when there is a higher value transactions Product method: Under this method interest on net product will be calculated. Net product = Dr. product- Cr. Product Interest of the product will be written at the reverse side of cr product. So that we can calculate correct amount due or payable. This method is used in industries like oil and sugar etc. Product of balance method: Under this method instead of net product at the end of period, product will be calculated at the time of each transaction. This method is used in banking sector. Under this method, interest on debit product and interest on credit product will be calculated separately because rate of interest on debit and credit product will be […]
best partnership act summary notes
Chapter 3 The Indian Partnership 1932 Introduction: Various form of business. In partnership two or more person hence misunderstanding may arise. No single person is responsible. To control rights and duties of partners, partnership and person dealing, above act is required. It is a branch of agency, it means every partners is a general agent of partnership He is liable for firm’s transactions in his ratio of sharing of profit, hence he is also principal. Unit -1 General nature of partnership Meaning: Section: 4 Two or more persons agreed to share the profits of business carried by all or any one of them acting for all. All elements must co – exist. Essential elements of partnership Agreement: Arise from contract not from status like HUF. Two types of HUF: Dayabhaga west Bengal son will get right after death of father. Kansh may be king after death of Ugrasen. Mitaksha Son will get right in family business with the birth only. It may be express or implied. It may be oral or in writing. Sharing profit of business: No partnership no business or no intention of sharing profit. Co ownership of land is not business. Charitable trust, club cannot form partnership […]
contract act best summary notes
Contract Act Introduction Business law is wider than Mercantile and Commercial laws. It is divided in Contract, Sale, Agency, Bailment, Negotiable Instrument, and partnership. It’s origin is in English law with some changes. It control to trade and commerce. In daily life we are entering infinite contracts. Since morning to night – newspaper, to eat ice cream, It came into force on the first day of September 1872 Applies to whole of India except Jammu Kashmir It will not affect to usage or custom It is inclusive – other conditions also allowed Chpter 1 – Nature of contract Introduction : In simple words contract means give and take It is a private law. It means terms and condition can be determined by the parties It provides Limited principles under which Right and duties of the parties are determined It is the exchange of promises by two or more parties. Contract – 2(h) An agreement enforceable by law. Agreement – 2(e) Every promise or set of promise forming consideration for each other. Enforceable – can sue in court in case of non performance. Social agreements are not contract. Obligations arise due to status not covered. To maintain wife and children due to […]
sale of goods ca foundation or cpt summary
Chapter 2 sale of goods Introduction: Included in chapter vii of Indian contract act 1872. Came into force 01.07.1930. Sale of goods silent, contract act will be applicable – capacity of contract etc. It applies to goods only. Mortgage, pledge, actionable claim and immovable property – transfer of property act apply. Chapter 1 formation of contract of sale Buyer and seller express conditions in Sale hence it is typical bargaining controlled by law. Definitions: Buyer and seller: it includes a person who buys or agrees to buy or who sells or agrees to sale. Both are complementary. Goods: It means movable property which includes stock, shares, ship, fixed deposit, old coin or old money, intangible assets, growing crops, grass and things attached with land which is severable before sale. It excludes actionable claim, current money, debt and immovable property. In english law, it excludes share, stock but includes ship. Existing goods: Owned and possessed by seller at the time of contract,. Future goods: Produce or acquired after contract. Potatoes to be grown in field. It will be agreement to sell. Specific goods: Identified at the time of contract. Generic or unascertained goods: not identified at the time of contract. Goods in deliverable state: buyer bound to […]
contract act in simple words
contract actContract act : Introduction Business law is wider than Mercantile and Commercial laws. It is devided in Contract, Sale, Agency, Bailment, Negotiable Instrument, and partnership. It’s origin is in English law with some changes. It control to trade and commerce. In daily life we are entering infinite contracts. Since morning to night – newspaper, to eat ice cream, It came into force on the first day of September 1872 Applies to whole of India except Jammu Kashmir It will not affect to usage or custom It is inclusive – other conditions also allowed Nature of contract Introduction : In simple words contract means give and take It is a private law. It means terms and condition can be determined by the parties It provides Limited principles under which Right and duties of the parties are determined It is the exchange of promises by two or more parties. Contract – 2(h) An agreement enforceable by law. Agreement – 2(e) Every promise or set of promise forming consideration for each other. Enforceable – can sue in court in case of non performance. Social agreements are not contract. Obligations arise due to status not covered. To maintain wife and children […]
Motivational Speech by Tejwani sir for 12th Commerce Student
motivational speech by tejwanisir for 12th commerce students for ca foundation after 12th commerce, students must decide goal for their life. with out goal man is equal to animal. during vacation improve your language. tejwanisir explain the hurdles of CA and it can be overcome.
TDN Registration in India
List of required documents for Tax Deduction Number Registration in India. Acknowledgement of Online Registration Done at Commercial Tax Site Application Letter PAN Card, Electricity Bill, Telephone Bill Submit to JC for more details contact on Dept. No. 0281-2450675
Document Checklist for TAN Registration
DOCUMENTS REQUIRED FOR TAN APPLICATION: Firm PAN card of Firm Office address Seal of Firm Individual Pancard copy Resident Adress
Provident Fund PF Registration in India
List of required documents for PF Registration in India Present Partnership Deed/Memorandum and Articles of Association while the firm was established. List of Employees showing Father’s Name, and DOB List of Directors/Partners. Proof of Bank Account. (Two Cancelled Cheque or Bank Certificate). Copy of Current month bank statement Residential Proof of the Employer (Driving License/Ration Card/Passport/Identity Card). Copy of Rent Agreement. Copy of C.S.T. / vat Registration Certificate/ Service tax registration / Shop act License Copy of Income Tax PAN No. /Copy of Application applied for PAN No. Two copy of work Order Letter Heads. Digital sign
KYC Document Checklist
Know Your Customer (KYC) Document checklist for both, individual & company. Individuals Identity Proof (Any 1) Pan Card Voters Identity Card Address Proof (Any 1) Bank Statement Electricity bill Telephone bill Or (Any 1) Valid Passport Driver’s License Aadhar Card Companies Address Proof (Any 1) (in the Company name) Bank Statement Electricity bill Telephone bill
How to apply for 12A and 80G
12a & 80g Registration List of required documents Dully filled in Form – 10A for registration u/s 12A registration; Dully filled in Form – 10G for registration u/s 80G registration; Registration Certificate and MOA /Trust Deed (two copies – self attested by NGO head); NOC from Landlord (where registered office is situated);\ Copy of PAN card of NGO; Electricity Bill / House tax Receipt /Water Bill (photocopy); Evidence of welfare activities carried out & Progress Report since inception or last 3 years; Books of Accounts, Balance Sheet & ITR (if any), since inception or last 3 years; List of donors along with their address and PAN; List of governing body I board of trustees members with their contact details; Original RC and MOA /Trust Deed for verification; Authority letter in favour of NGO Factory; Any other document I affidavit / undertaking I information asked by the Income Tax department
DOCUMENT CHECKLIST FOR TRUST DEED
Here is the required documents for Trust Deed in India COPY OF PAN CARDS OF ALL THE TRUSTEES Name of Author Name of trust Address of trust Objects of trust
Checklist for GST Registration in India
Document List for GST Registration Passport Photo Active Email ID Current Mobile No. Individual Pan card Adhar Card Office Address (Electricity Bill, Landline Bill, Municipal Tax Bill Xerox, Lease Agreement (If space is for Rent), Consent letter, Any Certificate or Record) Individual Address (Electricity Bill, Landline Bill, Municipal Tax Bill Xerox, Lease Agreement (If space is for Rent), Consent letter, Any Certificate or Record) Registration Certificate / Shop ACt Licence (SSI) Passbook First Page or Bank Statement Digital Signature Certificate (only for Companies & LLP) Authority Letter (only for Partnership) Main Commodities Date of Commencement of Business Note: PIN will be sent to email and mobile number for verification. Please verify that you have update your mobile number with AADHAR Card. Validation process might take 3 working days.
Copyright & Trademark Registration in India
In this post, you can get all details about Copyright & Trademark registration process in India. Requirements for filing a trademark application The name, address and nationality of the applicant. If the applicant is a partnership firm, the names of all the partners. Also mention whether any minor is a partner If the applicant is a company, the country or state of incorporation. A list of goods and/or services for which registration is required. Soft copy of the trademark to be registered. If the mark contains or consists of non-English words, a translation of those words into English is required. If the application is to claim priority from an earlier filed convention application, details of that application is also required (application number, filing date, country and goods/services). A certified priority document or its duly notarized copy is to be submitted. If the certificate is not in English, a certified/notarized English translation is also required. If it is not readily available, the application can be filed based on the basic application number, date of the application and country of the application. A copy of the priority document can be submitted within 1 month from the filing date of the application. Date […]
Documents for VAT Registration
Pan card Address proofs of business place (at least 3 proof like; bank statement, telephone bill,light bill, house tax receipt etc.) (of firm) Residential address proof (Like; driving license, voter id etc. of all the partners) Photos (4 Copies) Documents for Import Export License Pan card (of all inc. firm) Photo (1) Bank Certificate Exporter must have a Net banking account with one of the following designated banks a) HDFC BANK b) ICICI BANK c) BANK OF INDIA d) STATE BANK OF INDIA e) CENTRAL BANK OF INDIA f) PUNJAB NATIONAL BANK g) IDBI h) UTI/AXIS BANK i) UNION BANK OF INDIA Deposit 25000 for VAT deposit 10000 for vat security 10000 for cst security 7000 our fee for both 6500 our fees only vat
Documents for Import Export License
Check List of Documents to apply for IEC Code Covering Letter on your company’s letter head for issue of new IEC Code Number. Two copies of the application in prescribed format (Aayaat Niryaat Form ANF 2A) must be submitted to your regional Jt.DGFT Office. Each individual page of the application has to be signed by the applicant. Part 1 & Part 4 has to be filled in by all applicants. In case of applications submitted electronically. No hard copies of Part 1 may be submitted. However in cases where applications are submitted otherwise, hard copy of Part 1 has to be submitted. Only relevant portions of Part 2 need to be filled in. Rs 250.00 Bank Receipt (in duplicate)/Demand Draft/EFT details evidencing payment of application fee in terms of Appendix 21B. Certificate from the Banker of the applicant firm in the format given in Appendix 18A. Self certified copy of PAN issuing letter or PAN (Permanent Account Number) Card issued by Income Tax Authority. Two copies of passport size photographs of the applicant duly attested by the Banker of the applicant. Self addresses envelope with Rs.25/- postal stamp for delivery of IEC certificate by registered post or challan/DD of Rs.100/- […]
DOCUMENT CHECKLIST FOR REGISTRATION OF 12A
COPY OF PAN CARD OF TRUST COPY OF PAN CARDS OF ALL THE TRUSTEES CERTIFIED COPY OF TRUST DEED MEMORANDUM OF ASSOCIATION OF TRUST IN ENGLISH PERSONAL DETAILS OF ALL TRUSTEES LIKE, NAME, ADDRESS, DOB, PAN NO. IN EXCEL SHEET ADDRESS PROOF OF TRUST REGISTRATION CERTIFICATE OF TRUST MAIN OBJECT LIST OF TRUST DOCUMENTARY EVIDENCE OF CHARITABLE ACTIVITY COPY OF LAST 3 YEARS’ AUDIT REPORT, RETURNS AND BANK STATEMENT.
Welcome to Tejwani Institute
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