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Amalgamation

Accountancy

In these question , it's mentioned as amalgamation in nature of merger , but Liquidation expenses are debited to Goodwill A/c, it should be debited to P&L or General reserve in case of merger , only if it's in the nature of purchase it should be debited to Goodwill/Capital reserve , is the above points correct ?

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Prethivi Rajan

Prethivi Rajan

CA Final

9K+

24-Mar-23 00:17

153

Answers (3)

First they charged in Goodwill A/c then They transfer to Profit and Loss A/c. You can transfer directly or the way Study material used. But I prefer only Study Material. ICAI follow only Study Material.

Screenshot_20230324-013725_1FIN by IndigoLearn.jpg

Kalai Selvan

Kalai Selvan

CA Final

940

24-Mar-23 01:39

Directly charge it off to P&L


CA Suraj Lakhotia

CA Suraj Lakhotia

Admin

24-Mar-23 09:19

CA Suraj Lakhotia Admin

Directly charge it off to P&L

Thanks Sir


Thread Starter

Prethivi Rajan

Prethivi Rajan

CA Final

9K+

24-Mar-23 09:40

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