A Company acquired for its internal use a software on 01.03.2020 from U.K. for 1,50,000....

 

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A Company acquired for its internal use a software on 01.03.2020 from U.K. for £ 1,50,000. The exchange rate on the date was as *100 per £. The seller allowed trade discount @ 2.5%. The other expenditures were: (i) Import Duty 10% (ii) Additional Import Duty 5% (iii) Entry Tax 2% (Recoverable later from tax department). (iv) Installation expenses *1,50,000. (v) Professional fees for clearance from customs 50,000. Compute the cost of software to be Capitalized as per relevant AS. A Company acquired for its internal use a software on 01.03.2020 from U.K. for £ 1,50,000. The exchange rate on the date was as *100 per £. The seller allowed trade discount @ 2.5%. The other expenditures were: (i) Import Duty 10% (ii) Additional Import Duty 5% (iii) Entry Tax 2% (Recoverable later from tax department). (iv) Installation expenses *1,50,000. (v) Professional fees for clearance from customs 50,000. Compute the cost of software to be Capitalized as per relevant AS. A Company acquired for its internal use a software on 01.03.2020 from U.K. for £ 1,50,000. The exchange rate on the date was as *100 per £. The seller allowed trade discount @ 2.5%. The other expenditures were: (i) Import Duty 10% (ii) Additional Import Duty 5% (iii) Entry Tax 2% (Recoverable later from tax department). (iv) Installation expenses *1,50,000. (v) Professional fees for clearance from customs 50,000. Compute the cost of software to be Capitalized as per relevant AS. A Company acquired for its internal use a software on 01.03.2020 from U.K. for £ 1,50,000. The exchange rate on the date was as *100 per £. The seller allowed trade discount @ 2.5%. The other expenditures were: (i) Import Duty 10% (ii) Additional Import Duty 5% (iii) Entry Tax 2% (Recoverable later from tax department). (iv) Installation expenses *1,50,000. (v) Professional fees for clearance from customs 50,000. Compute the cost of software to be Capitalized as per relevant AS.

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