Advanced Accounting - Nov Rtp 2022 RTP

Q & R have called you to assist them in winding up the affairs of their partnership on 31.12.2020. Their balance sheet as on that date is given below: Equity & Liabilities Amount ` Assets Capital Accounts: Land & Building Amount ` 50,000 P 65,000 Plant & Machinery 46,000 Q 50,500 Furniture & Fixture 10, 4 INTERMEDIATE EXAMINATION: NOVEMBER 2022 R Creditors Total 32,000 Stock 14,500 16,000 Debtors 14,000 1,63,500 Cash at Bank 9,000 Loan- P 13,000 Loan- Q 7,000…

A and V, sharing profits and losses equally, desired to convert their business into a limited company on 31st December, 2021 when their balance sheet stood as follows: Equity & Liabilities ` Assets Sundry creditors 1,92,000 Sundry debtors 2,40,000 Loan creditors 1,60,000 Bills receivable 40,000 Bank overdraft Reserve fund 64,000 Stock in trade 24,000 Patents 1,44,000 32,000 Capital accounts: A 1,60,000 V 1,60,000 3,20,000 7,60,000 Plant and machinery 64,000 Land and building 2,40,000 7,60,000 (a) The goodwill of the firm…

Mehta Ltd. grants 1,500 stock options to its employees on 1.4.2019 at ` 50. The vesting period is two and a half years. The maximum exercise period is one year. Market price on that date is ` 80. Fair value per option is ` 30. All the options were exercised on 30.9.2022. Give the necessary journal entries if the face value of equity share is ` 10 per share. Buy Back of Securities

Umesh Ltd. resolves to buy back 4 lakhs of its fully paid equity shares of ` 10 each at ` 22 per share. This buyback is in compliance with the provisions of the Companies Act and does not exceed 25% of Company’s paid up capital in the financial year. For the purpose, it issues 1 lakh 11 % preference shares of ` 10 each at par, the entire amount 6 INTERMEDIATE EXAMINATION: NOVEMBER 2022 being payable with applications. The company…

(a) What is meant by “equity shares with differential rights”. Can preference shares be also issued with differential rights? (b) L, M, N and O hold Equity capital in the proportion of 30:30:20:20 in AB Ltd. and X, Y, Z and K hold preference share capital in the proportion of 40:30:20:10. You are required to identify the voting rights of shareholders in case of resolution of winding up of the company if the paid-up capital of the company is `…

The balance sheets of Truth Limited and Myth Limited as at 31.03.2021 is given below. Myth Limited is to be amalgamated with Truth Limited from 1.04.2021. The amalgamation is to be carried out in the nature of purchase. Particulars Note No. Truth Ltd. (`) Myth Ltd. (`) (a) Share Capital 1 10,00,000 4,00,000 (b) Reserves and Surplus 2 11,35,000 4,13,000

3. Current Liabilities 4 1,40,000 1,82,000 22,75,000 11,45,000 (a) Property, Plant & Equipment 15,75,000 6,80,000 (b) Investments 1,87,500 1,00,000 5,12,500 3,65,000 22,75,000 11,45,000 (1) Equity and Liabilities