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Answer Posted / ramesh_ca1707
ADR means that - American Depoditory Receipts,
These are the Financial Instrument which can be issued by
any Non - American company to capture the money in US
market.These are traded in US Stock Market.
FOr example most of the Indian Companies are Issue GDR in
US market for mobilisation of funds for their financial
needs i,e,. INFOSYS,SATYAM,REDDYS etc...
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please answer this question.the following balances were extracted from the books of modern traders on 31st dec,2010.capital(85000)fixed assets(45000)stock1-1-2010(15000)sundry debtors(20600)productive exp(3300)reserves fund(6600)discount received(800)cash in hand(6200)drawing(5000)accomulated dep.(9000)purchases(82000)bad debts(400)unproductive exp.(27400)sundry creditors(9000)sales(120000)cash at bank(25500).adjustments.stock on 31-12-2010(15000).outstanding wages (5000) write-off (600)of further bad debts. create provision for bad & doubtful debts at {5%) on debtors.unproductive expenses includes anitem of prepaid insurance (100).provide depreciation on original cost of fixed assets @ (10%).
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