As per Accountant standard and Guidance Note Issued by IcaiWhen the Revalued fixed asset is sold in future , the profit on sale is transfered to profit and loss account. when loss on sale is transfered to Revaluation reserve account and unadjusted revaluation reserve is transfered to General reserve.
a. What is the logic is there in Transfered the revaluation reseve to general reserve
b. if transfered whether it is considered as free reserve and used for Dividend payout or payment of managerial remuneration.
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