Auditguru Auditguru Frequently Asked Questions(FAQ) Auditguru Auditguru
 Meet Us Here
Konami asked 1 year ago
1 Answers
RaviRavi Staff answered 1 year ago

Cash & Cash equivalent is always treated as current.If there are restrictions to withdraw more than 12 months then it will be treated as non-current.

Bank Deposit is can be withdrawn on demand so it will always go in cash and cash equivalent.

If bank deposit is more than 12 months then it is shown in cash and cash equivalent only but it should be disclosed as separate line item under heading cash and cash equivalent. 

Bank Deposit will always go in cash and cash equivalent irrespective of tenure because it is withdrawable on demand.

RaviRavi Staff replied 1 year ago

Bank Deposit

Tenure

Less than 3 months — Under Cash & Cash Equivalent — Sub Heading “Balance with Bank”

More than 3 months upto 12 months — Under Cash & Cash Equivalent — Sub Heading “Balance with Bank”

More than 12 months — Under Cash & Cash Equivalent — Sub Heading “Bank Deposit with maturity more than 12 months”

Call Back Request