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apurva (Querist)
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08 September 2009 1. what is meant by the cost of acquisition of the shares?
2. why is nominal value of the shares, debentures always Rs.10/- or Rs.100/-?

CA Vanesh Nadar

CA Vanesh Nadar (Expert)
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08 September 2009 Cost of Acquisition means, the cost at which we actualy acquire from Share Market(For Shares) e.g. RIL @ 2014/- p.s so that would be the aquisition cost of that particular share.

The Nominal Value need not be Rs.10/- or Rs.100/- it could be any amount as stipulated by the company and approved by the Roc.

Kaustuv

Kaustuv (Expert)
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10 September 2009 to add, cost of acquisition is the consideration paid in cash or money equivalent of the payment in kind added with directly attributable expenses related to the acquisition.

nominal value can be any amount except fraction of a rupee.

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