GeekInterview.com
Series: Subject: Topic:
Question: 180 of 214

What is the Fictitious assets?

Asked by: Interview Candidate | Asked on: Jun 15th, 2006
Showing Answers 1 - 20 of 20 Answers
tanuja

Answered On : Jun 18th, 2006

these assets are bogus assets.

  
Login to rate this answer.
Tejinder Khatkar

Answered On : Aug 18th, 2006

These are like intangible assets which cannot be seen or touched. Actually these are not assets but some expenditures which cannot trf to profit and loss account of a particular perid that is why these items are shown on assets side of balance sheet to be written off to P&L account in reasonable years

  
Login to rate this answer.
daeswar

Answered On : Oct 21st, 2006

View all answers by daeswar

Fictitious Assets are not assets which are tangible and visible like buildings, machinery , computer but the expenditure on some activity which is considered as a Capital expenditure instead of Revenue expenditure. When expenditure incurred amount is not debited to Profit and Loss A/C but shown as Fictitious asset and over a period the amount is writtenoff or debited to Pand L account. For example Share issue expenses by a Corporate, This is not debited to P& L A/c in the year in which it is incurred but debited in instalments as decided by Management over few years.  

  
Login to rate this answer.
daeswar

Answered On : Oct 21st, 2006

View all answers by daeswar

Fictitious assets are the expenses incurred by a Corporate which are not charged to P& L A/c in the same year like Share Issue and Management expenses,These expenses are charged to Pand L A/C over a period of 3 to 5 years. As assets cannot be seen physically but the benefit of such expenditure spreads over a period such expenses are known as Fictitious assets

  
Login to rate this answer.
govi

Answered On : Oct 27th, 2006

Ficticious assets are imaginary assets, they are not real.

  
Login to rate this answer.
anu

Answered On : Dec 1st, 2006

they are the assets which cannot be visible

for example :  prelimenary expenses

  
Login to rate this answer.
Sandeep

Answered On : Jul 7th, 2007

There are certain expenditures/expenses, the benefit of which is not limited to one particular year. Therefore, the whole of these expenses cannot be charged to the profit and loss account at once and hence they are deferred.

For e.g. Share Issue Expenses, Discount of Issue of Debentures, etc.

Also the debit balance of Profit and Loss Account (loss) is a Fictitious Asset. It is to be cancelled out or adjusted with profit of subsequent years or reserves.

  
Login to rate this answer.
ARVIND VERMA

Answered On : Dec 12th, 2011

Fictitious assets are those assets which we cannot touch and see that means fictitious assets are intangible assets.

  
Login to rate this answer.
VIJEN PAINULY

Answered On : Jan 10th, 2012

Fictitious assets are not assets these are capital expenditure which is done by owner before starting the business its benefits long term so we say it is assets like advertising

  
Login to rate this answer.
pushpa c bonal

Answered On : Jun 7th, 2012

These are not the assets in reality, but are shown as such under certain occasions for exp advt exp not yet written off , promotional exp

  
Login to rate this answer.
Rajkumar

Answered On : Jun 10th, 2012

These are assets not represented by tangible possession or property . eg: preliminary expenses

  
Login to rate this answer.
satish kumar

Answered On : Jun 24th, 2012

These assets are not real assets, these assets are only imaginary assets.

  
Login to rate this answer.
chetan arora

Answered On : Jul 29th, 2012

This is a heavy expenditure.it can not be transfer to p&l ac.so this is way it goes in balance sheet in Assets side.ex-advertisement exp.

  
Login to rate this answer.
Mohammad Solaiman

Answered On : Jul 31st, 2012

This is not a real assets. This is just created for accurate calculation of Profit or Loss of an organization. Mostly these expenses incurs before commencement of a business.

Amortization of Fictitious Assets are: (Take Preliminary Exp as fictitious assets as example)

PL Account Dr
to Preliminary Expense.

In the balance sheet, the amount will be deducted from the Asset-Preliminary Expense

  
Login to rate this answer.
sudhakar

Answered On : Aug 26th, 2012

It is an asset which we does not exist but represent cash expenditure such as miscellaneous expenditure.

Yes  1 User has rated as useful.
  
Login to rate this answer.
sameer husain

Answered On : Sep 6th, 2012

fictitious asset is not a asset...its a heavy expenditure when a company start..and that y he not showing in p&l account..because its showing p&l this effected balance sheet.heavy loss.that's why its show in asset side in balance sheet....

  
Login to rate this answer.
himani verma

Answered On : Sep 11th, 2012

Fictitious assets are not real assets.this is obtained just for the calculation of profit and loss of organization and these are not represented as an tangible assets.

  
Login to rate this answer.
General Accounting Information

Answered On : Sep 28th, 2012

1. Fictitious assets are not real assets, these assets are only imaginary assets.

2. Fictitious are assets not represented by tangible possession or property. Eg: preliminary expenses

  
Login to rate this answer.
Arvind chandela

Answered On : Oct 24th, 2012

Asset created by an accounting entry (and included under assets in the balance sheet) that has no tangible existence or realizable value but represents actual cash expenditure. The purpose of creating a fictitious asset is to account for expenses (such as those incurred in starting a business) that cannot be placed under any normal account heading. Fictitious assets are written off as soon as possible against the firms earni

  
Login to rate this answer.
chelu

Answered On : Feb 21st, 2014

fictitious assets are called intangible asset, the assets which is not having physical presence and which cannot touch it, only we can feel and realize. Ex: Goodwill, copy rites and patents etc.,

  
Login to rate this answer.
Narasimhaprasad K

Answered On : Feb 24th, 2014

Fictitious Asset mean is an asset which can added as advantage for instance a preliminary expenses for registration of asset and copy right and trade mark expenses is called fictitious Asset...

  
Login to rate this answer.

Give your answer:

If you think the above answer is not correct, Please select a reason and add your answer below.

Related Open Questions

Ads

Connect

twitter fb Linkedin GPlus RSS

Ads

Question Categories

Accounting Reports

Accounts Payable Interview Questions

Accounts Receivables Interview Questions

Audit Interview Questions

Cashier Interview Questions

Cost Accounting Interview Questions

Fixed Assets Interview Questions

General Ledger Interview Questions

Payroll Interview Questions

Supervisory Interview Questions

Interview Question

 Ask Interview Question?

 

Latest Questions

Interview & Career Tips

Get invaluable Interview and Career Tips delivered directly to your inbox. Get your news alert set up today, Once you confirm your Email subscription, you will be able to download Job Inteview Questions Ebook . Please contact me if you there is any issue with the download.