Para 12.61 — MSO (A&E)
Original Rule Text
12.61 The instructions in sub-paragraph
(i) of paragraph 12.44 apply mutatis mutandis to the annual closing of accounts under the Hand Posting Method. The interest figure in each individual account, including interest paid during the year on closed accounts, should be posted in the Broadsheet relating to that particular ledger account and the total of the unit Broadsheet carried to the consolidated Broadsheet. Immediately after the accounts for March Final are closed, the balance at credit of each subscriber on 31st March including interest for the year should be worked out in the ledger as well as in the unit Broadsheet and the totals of the latter compared and agreed with the figures in the consolidated Broadsheet where closing balance of each unit Broadsheet should be calculated similarly. Necessary modification in the figures of balances upto March Final Accounts should be made in the unit and consolidated Broadsheets after the closure of the March Supplementary Accounts. After both the unit and consolidated Broadsheets have been
What This Means
For annual closing under the hand posting method, the instructions from Para 12.44(i) apply with necessary modifications. Interest for each individual account — including interest on accounts closed during the year — must be posted in the Broadsheet for that particular ledger. Unit Broadsheet totals are carried to the consolidated Broadsheet. After March Final accounts close, the closing balance (including interest) is calculated for every subscriber in both the ledger and unit Broadsheet, and these totals must agree with the consolidated Broadsheet. After March Supplementary Accounts, necessary modifications are made, and the final closing balance is verified against the Book Department figures.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Annual closing for hand-posted accounts follows Para 12.44(i) with modifications
- 2Interest on all accounts (including closed ones) must be posted in the unit Broadsheet
- 3Unit Broadsheet totals flow to the consolidated Broadsheet
- 4Closing balance = credits + interest + opening balance - debits
- 5Both unit and consolidated Broadsheets must be 'squared' (balanced)
- 6Census of ledger folios may be conducted when carrying forward balances to the new year
Practical Example
During annual closing, the Accountant calculates interest for all 800 subscribers in the Home Department's GPF ledger. Three accounts were closed during the year, and their interest is also posted to the Broadsheet. After March Final, each subscriber's closing balance is computed: e.g., Subscriber No. 100 had an opening balance of Rs. 2,00,000, subscriptions of Rs. 36,000, and interest of Rs. 15,200, minus a withdrawal of Rs. 50,000 = closing balance of Rs. 2,01,200. The unit Broadsheet total of Rs. 18.5 Cr matches the consolidated Broadsheet entry for the Home Department, which in turn agrees with the Book Department.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What does 'squaring' the Broadsheet mean?▼
Why are March Supplementary Accounts mentioned separately?▼
When is the census of ledger folios conducted under hand posting?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.