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Liquidation of companies

Accountancy

In illustration 6 the adjustment w.r.t equity shareholders, I didn't get Can u explain ? How did this become net take away and net to be bought ? (The logic behind)

Swathi Krishna

CA Final

★ 8K+

16-Sep-20 23:27

307

Answers (3)

On a fully paid basis 37.25 is payable. The shareholders have to bring arrears amount. So it is settled on a net basis.

CA Suraj Lakhotia

Admin

18-Sep-20 12:39

Sir,I understood the logic behind 2500 shares (logic),but in case of 7500 shares, why do they have to bring in 2.35rs I didn't get the logic behind it(7500 shares) ?

Thread Starter

Swathi Krishna

CA Final

★ 8K+

18-Sep-20 19:08

Total loss is 62.35 per share. Those who paid 60 need to pay additional 2.35 Those who already paid 75 will get back 12.35

CA Suraj Lakhotia

Admin

19-Sep-20 15:22