Sir. In your lectures regarding class 3. You forgot to talk about a point. And I am not able to understand that. "the auditor should also take into consideration the loan transaction that have been squared up during the year and report such transactions under this clause" please explain this sentence and the meaning of squared up in this context

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Sir. In your lectures regarding class 3. You forgot to talk about a point. And I am not able to understand that. "the auditor should also take into consideration the loan transaction that have been squared up during the year and report such transactions under this clause" please explain this sentence and the meaning of squared up in this context

Questions › Category: CARO › Sir. In your lectures regarding class 3. You forgot to talk about a point. And I am not able to understand that. "the auditor should also take into consideration the loan transaction that have been squared up during the year and report such transactions under this clause" please explain this sentence and the meaning of squared up in this context

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Himanshu Bhutani asked 5 years ago

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Ravi Staff answered 5 years ago

loan which is given and recovered back it is called squared up loan
so basically loan which is “nil” is squared up loan
when balance or transaction is nullified it is called squared up
it must be explained in further clauses
so this sentence means auditor should check even those loans which are settled as on balance sheet date