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Discussing Advance accounting question paper

IPCC 1331 views 12 replies

Manish Kholiya

6 Points Posted on 06 June 2019

Can Amalgamation of firms be solved by opening revaluation account? Or it is compulsory to solve by opening realization account? I solved it by opening revaluation account in today's paper

Replies (12)

Manish

Student

22 Points Posted on 07 June 2019

No you have to solve by opening Realisation Account only

Kishan Thakkar

13 Points Posted on 07 June 2019

nope!! you can solve it by revaluation account too

Hardik Rawal

14 Points Posted on 07 June 2019

it can be done by both ways and anyways it was not required part so don't worry at all

Deep j.Shah

Articleship

28 Points Posted on 07 June 2019

it can be solved by both. don't worry

Anubhav Somani

2 Points Posted on 07 June 2019

yes it can be solved without opening revaluation account through realization account in case of amalgamation questions

there was no specifications in the question that you have to make a realisation account so whatever account you open either it's a revaluation account or realisation account it's part of your working.so if your answer is right it doesn't matter if you solved it by opening a realisation account or revaluation account

Sai Preetam

CA Student

55 Points Posted on 07 June 2019

I have solved by calculating PC without opening realisation a/c is it correct?

LOKANADHAM M N

ipcc

22 Points Posted on 07 June 2019

whenever the going concern is absent we have to open realisation account ,in amalgamation of firms, in the books of selling company we have to open realisation account only

Dhana Sai

244 Points Posted on 07 June 2019

to be honest as per conceptual clarity

even two firms are amalgamating the business remains same so

if u open realization account it means ur business was closed

as per concept it is better to open revaluation account

but in sm and pm icai used both methods more oftenly they used revaluation only

no problem