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Asked Jan 11, 2019
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How to identify net revenue for the current FY?

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Step 1

For identifying the revenue earned during the current year the accrual principle of accounting needs to be followed. Revenues may be in the nature of revenue from sales, provision of services, interest, commission, dividends etc.  For sales revenue, all the customer dispatches made during the year and sale transaction is completed during the year needs to be recorded. If the customer has paid advances against supplies  in the previous periods and goods have been supplied in the current year, sales revenue needs to be booked in the current year. Similarly,if customer advances recieved during ...

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