Plz rply........ i m in big confusion
This query is : Resolved
13 September 2012
A company issued 15,000 fully paid equity shares of Rs. 100 each for the purchase of the following assets and liabilities from Gupta Ltd.:
Plant Rs. 3,50,000
Stock Rs. 4,50,000
Building Rs. 6,00,000
Creditors Rs. 1,00,000
journalise. (Source T S Grewal which he has copied from the book of SN Maheshwari)
Solution given is a under:
Plant Dr. 3,50,000
Stock Dr. 4,50,000
Building Dr. 6,00,000
Goodwill (bal.fig.) Dr. 2,00,000
To Creditors 1,00,000
To Gupta Bros. 15,00,000
Gupta Bros. Dr. 15,00,000
To share capital 15,00,000
is the above entry is correct..... as in 12th standard there is no amalgamation so how cn v solve it as per amalgamation rule.
Plant Rs. 3,50,000
Stock Rs. 4,50,000
Building Rs. 6,00,000
Creditors Rs. 1,00,000
journalise. (Source T S Grewal which he has copied from the book of SN Maheshwari)
Solution given is a under:
Plant Dr. 3,50,000
Stock Dr. 4,50,000
Building Dr. 6,00,000
Goodwill (bal.fig.) Dr. 2,00,000
To Creditors 1,00,000
To Gupta Bros. 15,00,000
Gupta Bros. Dr. 15,00,000
To share capital 15,00,000
is the above entry is correct..... as in 12th standard there is no amalgamation so how cn v solve it as per amalgamation rule.
14 September 2012
It is not amalgamation rule. it is normal entry. Shares are not issue to machinery. it is issued to suppier of machinery.
16 September 2012
thnx Mr. Vishnu for rplying.
i didnt get u......... i jst confused on goodwill.......... i think there shuld nt b goodwill...... coz there is no purchase consideration given in d question... i m jst asking abt it from 12th standard point of view.... coz there is no topic of amalgamation in the 12th standard..
i didnt get u......... i jst confused on goodwill.......... i think there shuld nt b goodwill...... coz there is no purchase consideration given in d question... i m jst asking abt it from 12th standard point of view.... coz there is no topic of amalgamation in the 12th standard..
16 September 2012
though amalgamation is not there excess amount paid has to be treated as goodwill in any case.
16 September 2012
oh thnx.......... if single machine is purchased and issued shares are more den machine price den wot wuld be answer.....
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- DELIVERY GOLD & SILVER AND OTHER ETF TRADING PROFIT AS BUSINESS INCOME
- GSTR-1A How to update Invoice
- Excess salary payment.
- 3cd- cash system of accounting is allowed?
- Provision for loans that are under Revenue Recovery
- APPLICABILITYOF GST ON STUDENT HOSTEL FEES
- Form 121-contradictory opinions
- Capital gain from sale of house property
- Stamp Paper for partnership firm change new income tax 2025
- Is Personal Guarantee of Director is Compulsory in case of loan to company ??
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
- Updated return in budget 2026
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
