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CMA Intermediate · Corporate Accounting and Auditing · Cost Audit

Under section 148(1) of the Companies Act, 2013, the Central Government may direct that certain particulars be included in the books of account of a specified class of companies. Which of the following particulars does the section mention?

Section 148(1) lets the Central Government direct that particulars on utilisation of material or labour, or other prescribed items of cost, be included in the books of account of a prescribed class of companies producing goods or providing services.

  1. AUtilisation of material or labour or other prescribed items of costCorrect
  2. BOnly the closing stock valuation of finished goods
  3. COnly the dividend declared for the year
  4. DOnly the remuneration paid to the statutory auditor

Explanation

Section 148(1) allows the Central Government, by order, to direct that particulars relating to the utilisation of material or labour or other prescribed items of cost be included in the books of account of the class of companies engaged in production of goods or providing services. The other options are not the particulars the section refers to.

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