Administration Manual - B.E.S.T. Undertaking.

(3) Suspense Accounts –
133
Suspense Accounts are clearing accounts. Since, the receipts and expenditure
accounts of the Undertaking under Revenue and Capital are classified according to the
Budget Heads included in the Budget Estimates, receipts and payments of all other
accounts are grouped under Suspense Accounts.
Most of these Suspense Accounts are adjustment account, and the amounts
received or payments made are ultimately transferred to appropriate revenue or capital
accounts. The balance if any, under the suspense accounts at the close of the financial
year is included in the Annual Balance Sheet.
Suspense Accounts are maintained for :
Departmental Work-in-progress,
Outstanding dues from Employees
Advances to staff;
Issue of Materials to staff;
Issue of Grains to staff;
Advance for purchase of motor cars and motor cycles
Standing advances to Heads of Departments for Contingent Expenses
Urgent Cash Advances to Department;
Advances to Solicitors, Pleaders, etc.
Advance payments to suppliers for stores materials;
Value of material advanced to contractors for building of Bus Bodies, Civil Engg.
Works, etc.
Electric Supply Debtors;
Stores Account Stock
These accounts appear on the assets side of the Balance Sheet.