While doing Amalgamation accounts when we are making Journal entries in the books of purchasing company there is one entry for Unrealised profit on Stock.
When do we make this entry?
Whether when purchasing co has sold the goods to vendor co (i.e the goods are lying with vendor at selling price of purchasing co)
OR
whether when vendor co has sold the goods to purchasing co (i.e the goods are lying with the purchasing co at selling price of vendor co)
Or in both the above cases?
Somebody pls say the correct entry
CAclubindia
