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Mohit JainMohit asked 2 years ago
2 Answers
RaviRavi Staff answered 2 years ago

Hello Mohit 
debtor is financial asset as per AS and Ind AS for accounting purpose. But here in this example asset will be considered of financial nature if it is related to financing business of company. This debtor is outcome of trading business hence not included, advances given can be understood as related to finance business hence it can be included .
hope you got the point I want to make, please comment hear if still it is not clear

Auditaudit Staff answered 2 years ago

got it sir. txx

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