Investment 3

IPCC 715 views 9 replies

AKSHIT MALHOTRA

C.A Final Student

1337 Points Joined January 2011

hi guys ipcc exams r approaching & i'm appearing in that.my whole syllabus is finished.

In accounts (group 1) there are only 2 doubts which are as follows :-

1)In Investment chapter i hav not understood the question in which ex-interest amount are given & interest needs to be calculated.In march mock test it was asked.

2)In amalgamation chapter according to my opinion when assets are taken over at their balance sheet values it is in nature of merger.I know other conditions as well but isn't this right.

Looking forward to your valuable reply A.S.A.P.

Replies (9)

ABHISHEK

Student

412 Points Joined November 2011

1 st if nothing is given always assume ex-interest

2nd that condition is right- all assets and liabilities are taken over at book value

AKSHIT MALHOTRA

C.A Final Student

1337 Points Joined January 2011

no no abhishek i'm asking abt a question in part 1.It is there in model test paper.(feb)

ABHISHEK

Student

412 Points Joined November 2011

upload the question plzz

AKSHIT MALHOTRA

C.A Final Student

1337 Points Joined January 2011

o.k abhishek here's the link.

https://220.227.161.86/26335mtpipcc-sr1-gp1a.pdf

question 3 (a)

@ aksh*t: the intrest on investment is to b calculated bcoz d bonds of rs 300000 were held by Mr. Mohan till 1st Oct (sold on).. And he recived d intrest on bonds last on 1st May.. therefor Mr. Mohan is entiled of intrest on the bonds of Rs300000 for 5months (1st May to 30st Sept). so it will b calculated as:

Rs 300000 @ 8% for 5months = Rs 10000

AKSHIT MALHOTRA

C.A Final Student

1337 Points Joined January 2011

THNX A LOT VAWESH.

IN OTHER QUESTIONS THERE WERE SHARES IN PLACE OF BONDS.

I SUPPOSE THIS TREATMENT WILL BE SAME IN CASE OF SHARES ALSO.

Vawesh

CA Student

61 Points Joined April 2011

nope bro it won't b same in case of shares as shareholders are nt entiled of any intrest.. thy r entiled f dividend n that also its nt sure weather thy will get or nt.. so in case f shares u cannot recognise any income 4m dividend until n unless its stated in question...