Premium payable on Buyback

answered on 18-May-20 08:54

Why premium on buyback adjusted against securities premium but not with free reserves ? Why securities premium not considered as free reserve?

latest answer

Free reserves are reserves which are available for distribution as dividends. Securities premium cannot be paid as dividends and hence not a free reserves. The premium on buy back is first set off against securities premium as securities premium has limited use. If SP balance is not sufficient, P&L is used.

Ramya kudupudi

CA Inter

★ 2K+

1

373

Insurance claims for loss of stock and loss of profit

answered on 22-May-20 14:17

Dear sir in video class 17, ie illustration 7 (11) sir discussing solution without QUESTION

latest answer

Rectified. Thanks for your support

SUMANTH MANNAVA

CA Inter

★ 5K+

4

388

Another error in animated text

answered on 17-May-20 17:07

In video 9 "illus 1 part 1"of liquidation of companies at around 8:00 some weird number in lakhs is written after the text "Deficiency ranking as unsecured". Something like Rs 108840 or something Can you please explain how did that happen? To avoid such uncanny errors and mistake I will suggest Sir solves the whole sums using his own handwriting.

latest answer

It is not amount. It is the time stamp for the video. You may pls ignore it.

Kumarjit Dey

CA Inter

★ 4K+

1

436

Vertical balance sheet

answered on 01-Jun-20 12:41

Is vertical balance sheet compulsory for all chapters in accounts?

latest answer

No

Boomi Raja

CA Final

★ 23K+

3

401

Advance account

answered on 17-May-20 22:09

Any ammendment in accounting standard

latest answer

No.

Nivetharaman Raman

CA Inter

★ 11K+

1

411

Right share

answered on 23-May-20 23:19

What is the Maximum amount at which a right can be sold?plz explain with numericals!

latest answer

You can also track the live price of Reliance Rights entitlement during market hours on Tuesday [Monday markets are closed]. https://www1.nseindia.com/live_market/dynaContent/live_watch/get_quote/GetQuote.jsp?symbol=RIL-RE&illiquid=0&smeFlag=0&itpFlag=0

lakshmi kollipara

CA Inter

★ 1K+

6

457

Cenversion of partnership

answered on 22-May-20 10:26

Can someone explain how pc would be calculated in this question

latest answer

Sundry creditors have been settled by way of issuing equity shares. Settlement happens after amalgamation, that is why the value at balance sheet is considered as agreed value. If you notice the same is the case with Loan creditors.

Amit Verma

CA Final

★ 510

11

497

Closing inventory of stationery

answered on 17-May-20 07:22

Should we not disclose the closing inventory of stationery in its ledger

latest answer

Thank you Sriharsha

lithish kumar

CA Final

★ 3K+

6

473

Bank or cash A/C

answered on 18-May-20 09:29

"Started business with a capital of â?¹50,00,000" What to record as bank or cash a/c in the above when journalising. Can we take any one(cash or bank) or we consider particularly one.

latest answer

Thanks a lot ð???

Hari Krishna

CA Foundation

★ 1K+

4

419

Independent branch

answered on 16-May-20 20:20

In illustration 13 - can you explain working note no 02 and then why we transfer the amount of branch stock reserve in the books of kp manufacture balance sheet

latest answer

For your reference

Yazhini Priya

CA Inter

★ 5K+

9

451