what is provision in accounts
Answers
Answered by
1
provision is made for known liablity but the amount is not known.
It is made from profits .And it is a charge against profits i.e; it is neccesary to made provision
It is made from profits .And it is a charge against profits i.e; it is neccesary to made provision
Answered by
1
Provision is a amount which is set offside from profit to face any uncertainty and to meet any obligation. Company have to make many provision to meet its future obligation without any delay or problem.
It is part of profit, which is retained (in other words).
Similar questions