How to enter and calculate Term Liability in CMA Software
Insert all your liabilities in your balance sheet under the categories
“short-term liabilities” If It is
due in a year or less
or “long-term liabilities" If it is
due in more than a year
Add all your liabilities, both short and long term, to find your total liabilities.
How to enter Term liability in CMA Software: -
Open the CMA/FM Tools software
– Transaction --> Profit and Loss a/c
given in the menu bar.
Double click on “interest” option and select option Term Loan Interest
Now Put detail of loan
issued by a bank for a fixed amount and fixed repayment schedule with either a fixed or floating interest rate. And check mark box “Link with profit and loss account”
Now value of term liability will auto calculate in balance sheet.
Go to Transaction >Balance sheet > “term liability”
Here Closing of term liability is total of Term loan and other current liabilities (Installment (<1 Years))
According to the picture below, here is the closing balance of term loan is 108000 in year 31/03/2021.
And in balance sheet closing balance on 31/03/2021 is 96000 (term loan) + 12000 (Installment (<1 Years) = 108000