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Accounting for right issue

Accountancy

answered on 10-Jun-22 10:26

Theoretically, the value of a company's shares after a right issue must equal the sum of market capitalisation immediately prior to rights issue and the cash flows generated from the rights issue. Please explain

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Thank you

Rinuja TK

Rinuja TK

CA Inter

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558

Accounting for bonus issue and right issue

Accountancy

answered on 09-Jun-22 09:22

What is preferential issue

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preferential issue or allotment is the issue of shares or convertible securities by listed or unlisted or public or such other companies to a selected group of investors but at the same time is not a rights issue or public issue

Rinuja TK

Rinuja TK

CA Inter

10K+

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532

Sale Of Goods On Approval Or Return Basis

Accountancy

answered on 09-Jun-22 06:08

Can Anyone Explain This..?

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Thank You Dharshini Garu..

Vamsi S

Vamsi S

CA Inter

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Accounts

Accountancy

answered on 09-Jun-22 07:25

Accounts

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Old provision means provision given in trial balance and new provision which required is given in adjustment. Effect of these I already explained.

Arun Kochumon

Arun Kochumon

CA Inter

145

7

592

Financial accounting

Accountancy

answered on 11-Jun-22 11:29

Explanation in detail

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I think the answer is D. $2 per unit

Kratika Shukla

Kratika Shukla

CA Foundation

0

2

578

Advance accounts class

Accountancy

answered on 11-Jun-22 11:22

Hello sir, what should be the order in which the advance accounts class to be watched in Indigo learn?

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Start the topics which you might be aware like partnership

vs navin

vs navin

CA Final

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707

Investment

Accountancy

answered on 06-Jun-22 11:13

What is the meaning of cum-right shares? Why In those shares amount of sold right not deduct from the cost of investment?

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Market price, which exists before rights issue, is termed as Cum-right Market Price of the share. Cum-rights shares are thus, whose price include the value of right. Can you be clearer in your second part of question? In these shares, rights sold are reduced from carrying amount if market value of investments immediately after their becoming ex-right is lower than the cost for which they were acquired.

Rakesh Shah

Rakesh Shah

CA Final

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494

Rectification

Accountancy

answered on 06-Jun-22 10:55

For the 1st , can I write ?? Bank Dr.20000 To drawings 20000 And exp acc Dr. 12000 To bank 12000 ?? But answer is : Exp acc Dr. 12000 To drawings acc 12000

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Answer

Reetikaa R

Reetikaa R

CA Final

7K+

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612

Contingent liabilities

Accountancy

answered on 08-Jun-22 09:57

Contingent liability is need to be disclosed in the financial statements or not.

latest answer

Need to be disclosed

Jitendra Kumar

Jitendra Kumar

CA Final

41K+

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509

Profit or loss pre and post incorporation

Accountancy

answered on 05-Jun-22 18:22

Why bad debt recovery has double effect? Please elaborate

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Bad debts recovery is not related to this year so we shouldn't deduct them from bad debt and As the bad debt are recovered they are recovered from PY debtors it's a income so it should be shown as income and it is pre incorporation only

Rinuja TK

Rinuja TK

CA Inter

10K+

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915