As 13 accounting for investment

Accountancy

Why is the sale of right issue not subscribed deducted from the cost of investment. Shouldn't it be charged to the profit and loss account as an income?

Sujitha M

CA Inter

★ 1K+

22-Jul-24 12:43

381

Answers (2)

Some of the very old questions may not be correctly solved. General rule - credit to P&L If the price falls after rights issue - reduced from cost of investment.

CA Suraj Lakhotia

Admin

22-Jul-24 12:44

CA Suraj Lakhotia Admin

Some of the very old questions may not be correctly solved. General rule - credit to P&L If the price falls after rights issue - reduced from cost of investment.

Ok sir thank you very much

Thread Starter

Sujitha M

CA Inter

★ 1K+

22-Jul-24 12:45