Investment Accounts

Accountancy

In illustration 5 why didn't they credit the sale of right shares in the investment Account Why is it straightly credited to P&L A/c

Sri Varshini

CA Inter

★ 575

23-Oct-20 23:42

688

Answers (4)

Sale of right entitlement is credited to P&L

CA Suraj Lakhotia

Admin

24-Oct-20 18:23

CA Suraj Lakhotia Admin

Sale of right entitlement is credited to P&L

But in other sum we will credit it in investment account, why don't we credit it in this sum sir

Thread Starter

Sri Varshini

CA Inter

★ 575

24-Oct-20 19:57

1)When we sold RIGHT of right shares we will directly credit the consideration to p&l a/c 2)When we sold the subscribed right shares then we credit investment a/c

Thupalli Ramya

CA Final

★ 15K+

24-Oct-20 23:43

Thupalli Ramya

1)When we sold RIGHT of right shares we will directly credit the consideration to p&l a/c 2)When we sold the subscribed right shares then we credit investment a/c

Thank you

Thread Starter

Sri Varshini

CA Inter

★ 575

24-Oct-20 23:59