Abstract: With the numerous scandals that have been in the limelight and various manipulations that have been taking a round in the corporate sector, there arose an urge to bring transparency in financial statements. This has been brought up by a much-awaited attempt made by the Ministry of Corporate Affairs by bringing changes in the format of the Balance Sheet and Statement of Profit and Loss so as to maintain consistency with international standards which would further benefit the end users of the financial statements thereby bringing more transparency and understanding. The revised schedule is compulsory to be adopted uniformly by all firms except certain categories of industries which are regulated through their own acts.The Balance sheet and now termed as Statement of Profit and Loss have been prescribed with a specific vertical format. The format changes have been brought up for better clarity and categorization of the same. The most important of all is the introduction of operating cycle for every industry thereby leading the map towards realism. Many of the concepts or the basic details that were kept under wraps have been made explicit in the revised schedule VI.
Keywords: Financial statements, Companies Act 2013, Balance Sheet, Profit and Loss Statement. JEL Classification: G34, G38, M48, K20.
Title: Financial Statements as per Revised Schedule VI- An overall view
Author: Ms. Snigdha
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
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