Amalgamation of companies illustration:6.

answered on 28-Apr-22 16:25

In 9th entry how amount of rs.422500 came in realization and in 10th entry equity shareholders account is transferred for rs.1335500. but amount regarding the same in 9th entry is rs.1375500. balance in realization account is also 382500 for equity shareholders and if 40000 of preference share capital is added to it then 422500 can be arrived as realization balance in 9th entry. Please someone explain

latest answer

Welcome ð?¤?

V U Lakshmi

CA Final

★ 0

3

314

Cash flow statement doubt

answered on 28-Apr-22 15:04

Goodwill / patent /trademark/copyright comes under which activity

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If there is any sales or purchases of these intangible assets, will take place in investing activities. Amortization, being non cash item, should be shown in operating activity as adjustment (indirect method)

Remya Raveendran

CA Inter

★ 270

1

298

Employee Stock Option Plan

answered on 28-Apr-22 11:03

In Study Material Illustration problems (Illustration no. 5 and 6), 2 different approaches are taken regarding recognizing the employee compensation expenses amount. In Ilst. 5, Amount of expense recognized for year 3 is based on the formula: Fair value of options(active options)/Total number of years. In Ilst. 6, Amount of expense recognized in year 2 is by formula: Fair value of options(active options) for proportionate period - cumulative Amount of expenses till previous year. Can I apply the 2nd approach for all situations or is it approach specific?

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Thank you very much Sir. ICAI itself has confused by giving 2 approaches. Thanks for this help.

Rama Sesha Gopal

CA Final

★ 11K+

2

462

NPO - Receipts and payments A/c

answered on 28-Apr-22 12:56

In this attached question, in the paragraph below subscription details it is given as General expenses include insurance prepaid Rs.60. As this 60 is included in the Income and expenditure acc this cannot be amount received this year as prepaid. So then why is 60 added to 500 insted of deducting. Kindly explain. Thank you.

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ok thanks a lot bro

Aswin Chandar

CA Final

★ 40K+

6

357

Employee Stock Option Plan

answered on 30-Apr-22 10:35

Can someone pls explain the Illustration 6 of 'Accounting for Employee Stock Option' chapter.

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You need to take the most prudent approach. If in year 1 it is not met, we assume it would be done in year 2.

Rama Sesha Gopal

CA Final

★ 11K+

3

255

Liquidation of Companies

answered on 28-Apr-22 10:33

Sir, it preparing "LIST H- Deficiency account" important??

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You can prepare as per the workings given in class.

AAYUSH GUPTA

CA Final

★ 2K+

2

291

Amalgamation of companies

answered on 28-Apr-22 10:53

Book back questions number 5(sun and Neptune problem) , is book solution correct 1) purchase consideration includes debentures issued 2) before amalgamation itself debtors and creditors inter adjustment made ...... Kindly assist whether book solution is correct or not professionals.........

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Thanks sir .... I thought debentures were issued to debenture holdersð?¤? It was an misunderstanding on Interpretation of questions

poco m2 pro

CA Inter

★ 3K+

3

305

Provision for Doubtful Debt

answered on 27-Apr-22 10:23

Which provision for doubtful debt is to be deducted from debtors in the balance sheet Only which is required or Both which are given in trial balance and required. for example:- Bad and doubtful debt is given in trial balance is â?¹1650 and Provision for doubtful debt is to be maintained @ 1% of sales (given in additional information) how much amount is deducted from Debtors in the balance sheet? (Sales for the year is â?¹167200)

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If Bad debts are given in trial balance -> It means that the debtor balance is already adjusted. Entry which is already passed Bad Debt Dr. [Expense] To Debtors [Asset] so you are not required to reduce this balance from debtors again. If provision is given in trial balance - this will be reduced from debtors balance.

Jitendra Kumar

CA Final

★ 41K+

4

8K+

Partnership Accounts - Retirement

answered on 27-Apr-22 13:16

Kindly someone help me with the goodwill adjustments entry. I couldn't get the right goodwill table entry. Thank you.

latest answer

ok thanks for the confirmation bro.

Aswin Chandar

CA Final

★ 40K+

2

391

Journal entry

answered on 03-May-22 10:15

Sir, Vehicle insurance of the company is paid by director. Later on the company repaid the director with that amount. In tally which all entries we need to put

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Thanku sir

Sajan Gangadharan

CA Final

★ 9K+

12

344