Amalgation( absorption)
This query is : Open
Querist : Anonymous
Querist :
Anonymous
(Querist)
20 March 2012
in case of amalagamation in the nature of MERGER ..whether we should deduct provision for dividend from total assets while calculating intrinsic value ?
21 March 2012
no,it should not be deducted from assets. proposed dividend is not a liability to outsider. it is distribution of profit earned.
Message likes :
1 times
Querist : Anonymous
Querist :
Anonymous
(Querist)
24 March 2012
thank you sir,in opinion too it shouldn't be.
but in a solution to a question it is deducted..and B/s after MERGER matches !!
i think solution is wrong !
but in a solution to a question it is deducted..and B/s after MERGER matches !!
i think solution is wrong !
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