2012 Unit 5 Profit computation - s

During 32 hksa 11 construction hksa contracts

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: come of a construction contract When can be estimated reliably, estimated Contract revenue (including any money Contract revenue retained under the contract) & Contract costs associated with the Contract construction contract Should be recognised as revenue & expenses Should revenue respectively by reference to the stage of completion of the contract of activity at the completion BS date. BS 33 Valuation of Stock on Cessation of Valuation Business Business Upon cessation of business, Upon cessation Where the trading stock is sold to a person who will Where sold Use the stock in a business carried on in HK & Claim the purchase cost as a deductible Claim expense, expense The actual sale proceeds shall be used in the tax The actual computation. computation. In any other situations, the open market value of the In other the open stock at date of cessation would be taken as its value for tax purpose (s.15C). tax 34 The Principle of Sharkey v. Werhner According to the principle o...
View Full Document

This note was uploaded on 04/02/2013 for the course ECON 20222 taught by Professor Junelau during the Spring '13 term at City University of Hong Kong.

Ask a homework question - tutors are online