Details

Case

Super Travels Private Limited

Muntazar Bashir Ahmad

INDUSTRY : Service

AREA : Finance

ORGANIZATION : Super Travels Private Limited

LENGTH : 10

LUMS No : 02-179-89-1

PUBLICATION YEAR : 1989

KEYWORDS:

Super Travels,Private Limited,Finance,Service,Tourism,Financial Statements,Finance,Service

DESCRIPTION:

Late in January, 1991, Tan veer Hussain, Managing Director of Supertravel, was dismayed on reviewing his draft of financial statements for the last financial year. The draft accounts for the year ended December 30, 1990 showed a profit of Rs 42,400 a figure that Mr Hussain considered very low. He was under the impression that the company was making a profit of Rs 10,000 per month at least. Mr Hussain suspected that the low profit figure reported was because his accountant did not have a sufficient grasp of the fundamentals of accounting. He had noticed a few accounts recorded in a manner which he considered incorrect, but he himself was unsure, of the correct method to be adopted. He wanted to know what the profit would be if all the accounts were recorded properly.

LEARNING OBJECTIVES:

SUBJECTS COVERED:

Finance