Project Report of BBS (Depreciation Policy)

A CASE STUDY ON DEPRECIATION POLICY

OF

SIDDHESWORI TEXTILE

Ratnanagar, Chitwan

A Fieldwork Report

Submitted to:

Chijkumar Bishnukumari Campus

Dumre, Tanahun

Prepared by

Deepak Bahadur Kumal 

BBS Third Year

T.U. Regd No. 7-2-876-1-2010

Symbol No. 8760001

Dumre, Tanahun

In the partial fulfillment of the requirement for the degree of bachelor of bussines studies

Project management.

"Depreciation may be defined as the permanent decrease in the value of assets due to use and or the lapse of the time"

-          Terminology of institute of cost and accountant, England

"Depreciation may be defined as the decrease in the value of assets an account of natural wear and tear or efflux ion of time."

-          Tendon B.N.

"Depreciation may be defined as the permanent decrease in the value of assets through wear and tear in use or the passage of time."

-          R.S.N. Pillai and Bangavathi

"In practical, the term depreciation in commonly used in a very wide sense, covering diminution in the value of assets caused by outside fluctuation in realizable and replacement value and also the amortizalion in cost of an assets over the period of its use."

-          F.R.M. De Paula

At last depreciation means a tall in the quantity, efficiency/quality or value of an assets, depreciate in that sooner or later the assets will be become useless. thus depreciation is the decreases in financial value of assets due to various causes.

1.3. Statements of problems identification.

            There are many practical problems in every research, before any study being conducted, it is essential to create inquisitiveness up on. the question thus referred here were the primer motive with the researcher conducted this fieldwork study.

Ø  What is the problem of depreciation faced by the company?

Ø  Whether the provision for depreciation is really suitable or not?

Ø  How the purchase of new assets is executed?

Ø  What is the market position of Siddheswori Textile Pvt. Ltd.?

Ø  Does this company manage to provide satisfactory product in the market?

Ø  Was it changing depreciation is according to prescribed a rate and policy?

1.4. Purpose and objectives of fieldwork report.

            Every study is done to achieve certain and specific objectives. Siddheswori Textile is one of most popular towel industries in Ratnanagar, Tandi. The main objectives of this fieldwork are to study the important accounting aspect relating to the depreciation of this company and other objective of this fieldwork study are mentioned as follows.

Ø  To know depreciation policy of the company

Ø  To analyze the depreciation policy of this company and to study the problem faced by the entire project.

Ø  To study practically, how and in which extent the depreciation policy is used in the company.

1.5. Limitation of the study

            Every study must have the characteristics of limitation. In the other word, to study deeply in various sectors of any organization there should be time, cost and resources barriers. If a study were including several aspects, it would be difficult to analyze every aspect deeply and widely. similarly, different individuals interpret the same thing differently, this study was also barred with certain the and prescribed formed.

Ø  This report has ignored all of other aspects of Siddheswori Textile but only depreciation policy.

Ø  These conclusions were based on the secondary data provided by company which might not be exact or an accuracy or this report is up to extend or data availability.

1.6. Signification of fieldwork study.

            This research study has focused on the system adopted by industry regarding the depreciation and the subsequent procedure made in the subject matter of this study. This fieldwork study will help to provide a clear picture about maintain depreciation and how their accounts were kept. It will provide a practical knowledge to the procedure and the principle of depreciation in the real life situation.

BIBLIOGRAPHY

Ø  Batliboi J.R. (1973). "Advance Accounting" Bombay. The standard Accountancy publications Pvt. Ltd. ]

Ø  Depanla, F.R.M. (1998), "Principle of Auditing" London: pitman and Son.

Ø  Dongol, Ratnaman and Prajapati K.P. (2057), "Financial Analysis and Planning Accounting" Kathmandu, Taleju Prakashan.

Ø  Pant, Prem R. (1998), Field assignment and report writing, Kathmandu: Vena Academic Enterprises.

Ø  Pillai, R.S.N. and Bagavthi (1993), "Advance Accounting" Delhi Konrk Published Pvt. Ltd.

Ø  Tondon, B.N. (1993) "Fieldwork Assignment an report writing" Kathmandu : Vena Academic Enterprises.