Dear All,
I am very confused when to use MERGER METHOD and Purchase Method for accounting for Amalgamations. PLEASE explain with example. THANKS
AMALGAMATION
HIT ANSH (PCC STUDENT) (181 Points)
16 December 2009
Varsha
(Accountant)
(564 Points)
Replied 16 December 2009
there r 5 conditions which are given in every book...
if any of these condition is present in question than it is purchase method otherwise merger....
Hareesh H Sharma
(Cleared IPCC..now article)
(894 Points)
Replied 16 December 2009
hey friend..even i had the same doubt..and varsha abt the condition of AS 14 they are mere theory..If u check out the problems in tulsian it shows that these conditions arent reliabe for doing the problems...