Everything you need to know about business ideas.
There are many land owners who are effected by compulsory purchase works. It might not touch the piece of land which you own, but it might very well effect it. Compulsory purchase works is when legislation allows land owners, to claim compensation for land which they did not give.
Section 10 of the Compulsory Purchase Act 1965; and
Bookkeeping is the process of maintaining records of various transactions of a business. The records include total revenue, gain, loss, expenses, dates of transactions, and many other details. Bookkeeping is the basis of accounting process and it is very important, no matter what business you are in.
There are several advantages of maintaining proper bookkeeping for small businesses. Basically, bookkeeping is legally required for every business. It helps business owners know the exact position of their business anytime they want. Details like gain or loss, the amount due to creditors, dates of transactions, and the amount due from debtors are critical in assessing financial position and bookkeeping helps a great deal in these things. Small businesses have to maintain bookkeeping to be legally and financially sound.
How Secret reserve is created?
A secret reserve is created by the following methods:
1. By under valuation of assets much below their cost or market value, such as investment, stock in trade, etc.
2. By not writing up the value of an asset, the price of which has permanently gone up.
3. By creating excessive reserve for bad and doubtful debts or discount on sundry debtors.
4. By providing, excessive depreciation on fixed assets.
5. By writing down goodwill to a nominal value.
6. By omitting some of the assets altogether from balance sheet.
