FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!
Question
1 Approved Answer

Paridhi Electronics Ltd. has current investment (X Ltd.'s shares) purchased for Rs.5 lakhs, which the company want to reclassify as long term investment on

Paridhi Electronics Ltd. has current investment (X Ltd.'s shares) purchased for Rs.5 lakhs, which the company want to reclassify as long term investment on 31.3.2018. The market value of these investments as on date of Balance Sheet was Rs.2.5 lakhs. How will you deal with this as on 31.3.18 with reference to AS-13?

Step by Step Solution

★★★★★

3.54 Rating (154 Votes )

There are 3 Steps involved in it

Step: 1

AS 13 Accounting for Investments shows how should we trea... blur-text-image
Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Managerial Accounting Concepts
Fundamental Managerial Accounting Concepts

Authors: Edmonds, Tsay, olds

6th Edition

71220720, 78110890, 9780071220729, 978-0078110894

More Books

Students explore these related Accounting questions

Question

X Ltd. has 10 lakhs equity shares outstanding at the beginning of the accounting year 2016. The appropriate P/E ratio for the industry in which D Ltd. is 8.35. The earnings per share is Rs. 15 in the...

Answered: 3 weeks ago

Question

You have been offered a very long term investment opportunity to increase your money one hundredfold. You can invest $1000 today and expect to receive $100,000 in 40 years. Your cost of capital for...

Answered: 3 weeks ago

Question

On April 1 FRN Corporation purchased 32760 shares in CHR Ltd for 16 per share CHR Ltd had 117000 shares outstanding the purchase gave FRN significant influence over CHRs operations. On May 31 the end...

Answered: 3 weeks ago

Question

Process compliance can be affected by: Multiple select question. organizational structure. maverick purchasing. organizational culture. information systems

Answered: 3 weeks ago

Question

Mary and John are married and have AGI of $100,000 and two young children. John doesnt work, and they pay $6,000 a year to day care providers so he can shop, clean, and read a little bit in peace....

Answered: 3 weeks ago

Question

6 Behavioral economics . Suppose the government has determined that we as a society are underproducing preventive health care services. What would the traditional model of rational economic man...

Answered: 3 weeks ago

Question

1. At the beginning of units or major projects, send a letter summarizing the key goals, a few of the major assignments, and some common problems students have in learning the material for that unit.

Answered: 3 weeks ago

Question

A call option is the right to buy stock at $50 a share. Currently the option has six months to expiration, the volatility of the stock (standard deviation) is 0.30, and the rate of interest is 10...

Answered: 3 weeks ago

Question

please help with both parts! I would appreciate it :) View Policies Show Attempt History Current Attempt in Progress Combat Fire, Inc. manufactures steel cylinders and nozzles for two models of fire...

Answered: 3 weeks ago

Question

Multiple Choice Questions: The operations manager for the Blue Moon Brewing Co. produces two beers: Lite (L) and Dark (D). Two of his resources are constrained: production time, which is limited to 8...

Answered: 3 weeks ago

Question

Last year, Atlantic Richfield had sales of $325,000 and a net income of $20,200. The firm finances using only debt and common equity, and total assets equal total invested capital Year-end assets...

Answered: 3 weeks ago

Question

Four technicians are required to do four different jobs. Estimates of time to complete every job as provided by the technicians are as below: Technician Hours to Complete Job Job 1 Job 2 Job 3 Job 4...

Answered: 3 weeks ago

Question

Problem description The problem at hand relates to a waiting time management of queues in a typical bank. In a bid to improve the level of service at the tellers, a bank manager seeks to find...

Answered: 3 weeks ago

Question

What keyword can be used to create a named identifier for a memory location whose contents cannot change?

Answered: 3 weeks ago

Question

Assume that the holding cost is $2, the ordering cost is $3.50, and the order quantity is 500. What is the demand, if the Total Cost is $640?

Answered: 3 weeks ago

Question

After successfully adopting new software in your department, you take your subordinates out to lunch to show your appreciation for their hard work. According to Lewin\'s model of change, what stage...

Answered: 3 weeks ago

Question

Which of the following statement is false Each printf resumes printing where the previous one stopped printing. each time a In escape sequence is encountered, output continues at the beginning of the...

Answered: 3 weeks ago

Question

Bonus shares can be issued out of revenue reserves. True/False?

Answered: 3 weeks ago

Question

Which cost structure has the greater risk? Explain.

Answered: 3 weeks ago

Question

Identify the primary qualities of revenues and costs that are relevant for decision making.

Answered: 3 weeks ago

Question

Determining cash receipts from accounts receivable Janices Dress Delivery operates a mail-order business that sells clothes designed for frequent travelers. It had sales of $560,000 in December....

Answered: 3 weeks ago

Question

The St. Maries plywood plant is part of the Potlatch Corporations Northwest Division. The plywood superintendent organized a study of the tree diameters that are being shipped to the mill. After...

Answered: 3 weeks ago

Question

Two automatic dispensing machines are being considered for use in a fast-food chain. The first dispenses an amount of liquid that has a normal distribution with a mean of 11.9 ounces and a standard...

Answered: 3 weeks ago

Question

The Cozine Corporation runs the landfill operation outside Little Rock, Arkansas. Each day, each of the companys trucks makes several trips from the city to the landfill. On each entry the truck is...

Answered: 3 weeks ago

Previous Question Next Question