Borrowed Capital

sunandaC

New member
Borrowed Funds (Long term Liabilities)

These are those outsiders liabilities which are not repayable within a period of 12 months loans taken bay the company should be assumed to be long term unless otherwise given.

Examples : Bank loan

% Debentures

Public deposits

Fixed Deposits

Loans from Directors

Loans from Financial Institutions

Loans form Directors

Loan taken by the Company general public etc.


These long term liabilities carries fixed rate of Interest, which is classified
as Financial Expenses ( in P/L A/c Dr. Side). And these long term liabilities can
further be classified as either secured loan or unsecured loan.

The Loan taken from Banks & Financial Institutions should always be treated as secured loan Unless or
otherwise given.
 

rosemarry2

MP Guru
Borrowed Funds (Long term Liabilities)

These are those outsiders liabilities which are not repayable within a period of 12 months loans taken bay the company should be assumed to be long term unless otherwise given.

Examples : Bank loan

% Debentures

Public deposits

Fixed Deposits

Loans from Directors

Loans from Financial Institutions

Loans form Directors

Loan taken by the Company general public etc.


These long term liabilities carries fixed rate of Interest, which is classified
as Financial Expenses ( in P/L A/c Dr. Side). And these long term liabilities can
further be classified as either secured loan or unsecured loan.

The Loan taken from Banks & Financial Institutions should always be treated as secured loan Unless or
otherwise given.

Hey Dear,

Here I am up-loading Notes on Secured Lending and Borrowers' Riskiness, please check attachment below.
 

Attachments

  • Notes on Secured Lending and Borrowers' Riskiness.pdf
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