Practicing Success
Which of the following is written off against the profits earned by a business during the year as per Schedule III of the Companies Act 2013? |
Capital Loss Preliminary Expenses Both 1 and 2 None of the above |
Preliminary Expenses |
As per Schedule III of the Companies Act 2013, preliminary expenses are to be written-off completely in the year in which such expenses are incurred. They should be written-off first from securities premium and the balance if any, from statement of profit & loss. |