Accountancy

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

19 October 2012 chapter - amalgamation
If account balances are given in the balance sheet of both the companies on liability side , then what is the treatment of account balances in books of old and new company

CA Pooja Agarwal

CA Pooja Agarwal (Expert)
Follow

19 October 2012 can you pls specify which account balances?

Message likes : 1 times

V K Bajaj

V K Bajaj (Expert)
Follow

22 October 2012 Understanding is that you mean that the books of accounts of both the Companies to amalgate show credit balance of each other.

This clearly hints that first do RECONCILIATION of both these accounts and set in Dr and Cr balance with same amount.

contact@vkbajaj.co.in

Upgrade to CAclubindia Pro. Subscribe Now!

Querist : Anonymous

Querist : Anonymous (Querist)

26 October 2012 nothing is specified about the account. only account balances is written on the liability side