Q/ What is motto of preparing a shareholder a/c in amalgamation?
Swapnil Jain
(Finance - FP&A)
(564 Points)
Replied 08 October 2011
only for the sake of understanding the funda assume instead of Amalgamation, dissolution is taking place....
at time of dissolution the surplus is distributed among equity shareholders....!!!
similarly at time of amalgamation (merger or purchase method) the surplus (cash or shares in amalgamated company) is the right of Shareholders and hence debited to shareholder account...
and personally my funda was that if in the Shareholder a/c debit side do not equal with credit side I have made a mistake....
because whatever it is .. profit or loss during amalgamation the shareholder a/c is sure to be tallied... coz realisation balance is transfered to shareholder a/c
SANYAM ARORA
(“It's hard to beat a person who never gives up.”)
(20168 Points)
Replied 08 October 2011
jUST TO FIND OUT AMOUNT PAYABLE OR DIE TO SHAREHOLDER.......!!!!!!
@ ! @
srishty mittal
(Entrepreneur- Manufacturing Sector)
(78 Points)
Replied 09 October 2011
To find shares/debentures/cash or combination of these,etc.. etc.. payable to shareholders.
Ateeq
(CA - Final)
(213 Points)
Replied 10 October 2011
To ascertain the liabilities towards the shareholder which are to be adjusted and for an appropriate trail.
Further in accounts for every entry we require its ledger.
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