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This query is : Resolved
05 July 2010
A Pvt. Ltd. company has Paid share application money for SHARES IN other Pvt. Ltd. Company.
Please tell me whether following prentation is correct:
Investment:
ABC Pvt. Ltd. 20 lacs
(share application money)
Please tell me whether following prentation is correct:
Investment:
ABC Pvt. Ltd. 20 lacs
(share application money)
05 July 2010
No. If the ompany has paid as an share application moey to other Private Limited Company and shares were not alloted by the other Private limited Company. It cannot be shown under the head Investment. It should be shown under the head Loand and Advances.
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