Share application money
This query is : Resolved
19 June 2009
In abstract part of B/s we have to show paid up capital so what will be treatment of share application money, will it be added to paid up capital or reserve & surplus
if not then can we show it separetely after paid up capital??
if not then can we show it separetely after paid up capital??
19 June 2009
Application money for which share has not been alloted shall be shown as advance
19 June 2009
When u prepare ur schedule of capital you will adjust the share application money accordingly. Later on in abstract part the same figure of paid up capital shall be used thus indirectly the amount of share application money should be added to paid up capital.
Regards
Regards
19 June 2009
absolutely agree but how can we add up share application money in paid capital as allotment has not been done??
19 June 2009
You have show it separately.
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