My querry
if the company has given the money for applying shares thn how that application money should be shown
can it be shown as investment or as loans and advances?
plz reply soon
Regards
Mohit
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share application money (plz reply soon)
Replies (3)
hai mohit
Firstly shares are investments made in a company to enjoy a dividend benefit & should be treated as investment these are shown under the same head in B/S
Loans or advanes are those which are for specified period and these are interest yeilding elements
ok.............bye for any more query mail me
srinivas
Firstly shares are investments made in a company to enjoy a dividend benefit & should be treated as investment these are shown under the same head in B/S
Loans or advanes are those which are for specified period and these are interest yeilding elements
ok.............bye for any more query mail me
srinivas
DEAR MOHIT,
ACCORDING TO AS-13, INVESTMENTS ARE ASSETS HELD BY AN ENTERPRISE FOR EARNING INCOME BY WAY OF DIVIDENDS, INTEREST.
THERE IS NOT RIGHT TO ENJOY DIVIDEND TILL YOU ARE ALLOTED THE SHARES, HENCE THEY ARE NOT INVESTMENT.
THEY SHOULD BE TREATED AS LOANS AND ADVANCES TILL ALLOTMENT.
REGARDS,
RAMKRUSHNA
ACCORDING TO AS-13, INVESTMENTS ARE ASSETS HELD BY AN ENTERPRISE FOR EARNING INCOME BY WAY OF DIVIDENDS, INTEREST.
THERE IS NOT RIGHT TO ENJOY DIVIDEND TILL YOU ARE ALLOTED THE SHARES, HENCE THEY ARE NOT INVESTMENT.
THEY SHOULD BE TREATED AS LOANS AND ADVANCES TILL ALLOTMENT.
REGARDS,
RAMKRUSHNA
hi
it shall be treated as advance given b/c yet u r not the owner of that part of capital of co (till allotement)
regards
k
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