12-02-2009, 11:35 PM
AOA
I have the following queries regarding Advances given to employees.
our company gives interest free loan to employee for motorcycles please tell me the accounting entries that should be passed in order to fulfill the requirements of IAS 39, so please answer the following example;
Company X has given an interest free loan of amounting Rs. 20,000 to Mr. A for motorcycle; Mr. A will return this loan by paying 250 per month. Company's effective cost of borrowing is 10% P.a.
I shall be extremely thankful for early response.
Regards
