09 July 2009
According to AS 14 in case of amalgamation in the nature of merger the purchasing co takes over all the assets & liabilities...Does it include even fictitious assets???? If not what will b the adjustment regarding that...I m a PCC student...Looking forward to ur help...
10 July 2009
you have to just leave such ficticious assets while takenover....only balance things will be booked......such balance(Dr/Cr) will be adjusted in CR of sellin /Purchasin co as per pooling f interest method...
or will be adjusted to CR or Goodwill.....to the extent of such ficticious items....
CAclubindia
