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Categories >> Accounting >> Accounting General
 
 


 

 
 Audit interview questions  Audit Interview Questions (428)
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 Accounting General interview questions  Accounting General Interview Questions (2833)
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Question
investment in share in which account
 Question Submitted By :: Accounting-General
I also faced this Question!!     Answer Posted By  
 
Answer
# 1
Question is not clear, I suppose quest as , Investment in
share where to show in balance sheet?

Ans: First calculate the market price of share and compare
with actual cost (Purchase price) Lower of the two will be
taken to the balance sheet. If company want to sell in
short term within twelve months it will be shown under
CURRENT ASSETS as Short Term Investment and If company want
to hold for long term generally for more than twelve monts
it will be shown as Long Term Investment after Fixed Assets
(as per revised schedule vi non-current assets) but before
Current Assets in balance sheet
 
Is This Answer Correct ?    0 Yes 0 No
Avinash Kumar
 

 
 
 
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