Accounting Entry

This query is : Resolved

Murtaza I Bhagat (Querist)
Follow

14 January 2010 Dear Experts,
I want your help of below matter,
I have 2 firm in two different place first one (super trading) is where I am living rightnow second (master sales corporation) is in my father's town with same nature of business.
after I decided to close master sales corportation and transfered their capital to my super trading after settlement of my all a/c. so how I do the entry ?

Thanks in advance

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

14 January 2010 Super Trading a/c
To Capital a/c

CA CS CIMA Prakash Somani

CA CS CIMA Prakash Somani (Expert)
Follow

14 January 2010 Assets Dr
Liabilities Cr
master sales corportation Cr

Upgrade to CAclubindia Pro. Subscribe Now!

CA.Pujah

CA.Pujah (Expert)
Follow

15 January 2010 It's like absorption/ amalgamation in nature of purchase.
Assets Dr
Liab Cr
Cash/ Capital Cr (depending on how you pay for)
Difference if any would be goodwill/ capital reserve)

Murtaza I Bhagat

Murtaza I Bhagat (Querist)
Follow

15 January 2010 THANKS FOR REPLY
I WANT TO KNOW ABOUT THE STATUS OF MASTER SALES CORPORATION THAT IS OF F.Y. 07-08 GIVEN BELOW OK
ASSETS 11520
POST INVESTMENT 19500
CLOSING STOCK 2469662
DEBTORS 12118
OTHER INVESTED CAPITAL 153596
CASH 2675
BANK 4384
OTHERS 1014538
TO CAPITAL 663408
TO LOAN A/C 1544409
TO CREDITORS 1480176

NOW NEXT YEAR WE HAVE TO CLOSED THIS FIRM AND TRANSFERED CAPITAL OF RS.600000 TO SUPER TRADING ON JULY WHAT WILL BE THE EXACT POSITION

PLS GUIDE ME IN THIS CASE I AM ALOT THANKFUL TO ALL THE EXPERTS.

THANKS IN ADVANCE