Can anyone please explain me why premium on redemption of preference shares is not adjusted in operating activities in FM (May 2011) paper.......Please also explain the share premium A/c....
Can anyone please explain me why premium on redemption of preference shares is not adjusted in operating activities in FM (May 2011) paper.......Please also explain the share premium A/c....
Premium on Redemption of debentures should be adjusted under Financing Activities. In case of Investment Companies alone, it would be adjusted with Operating Activities. Similar treatement is for Share Premium A/C
Yes thats true....but, it will added back in operating activities na
| Originally posted by : gaurav Pushkar | ||
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Yes thats true....but, it will added back in operating activities na |
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no gaurav premium on redemption of preference shares are written off against security premium,general reserve and then p/L(in this order).so it will be added back only if it is written off against P/L!!!
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