This product examines the Accounting and Taxation issues involved in recording various types of foreign currency transactions. For example, it explains at what value should a transaction be recorded initially, and at the year-end, what kind of adjustments need to be made through the Income Statement or in the Balance Sheet. It also deals with the tax impact of such transactions and adjustments.

The principle underlying this AS is the conservative principle that an enterprise should ensure that its assets are carried on its books at no more than their recoverable amount. The NACAS has adopted this AS under the Companies Act. This product explains the intricacies of this subject as well as compares it with other legal provisions.

This Accounting Standard deals primarily with recognition, measurement and disclosure of provisions, contingent liabilities and contingent assets. Besides, because these are generic accounting concepts, they have implications under several other Accounting Standards and legal provisions. This product deals with all these aspects in simple, easy-to-understand language.