by R. Venkata Subramani | Jun 4, 2009 | Equity Shares, Tutorials
Following settlement date accounting, the asset as well as the liability is recognized on the settlement date. Here the asset gets recorded only at the value at which it is actually settled, the difference between the cost of acquisition actually payable for such...
by R. Venkata Subramani | Jun 4, 2009 | Equity Shares, Tutorials
When an asset is purchased, in trade date accounting, the asset is recognized and brought into the books of account on the date of trade and a corresponding liability is established. The liability is knocked off when the settlement of the liability happens. When the...
by R. Venkata Subramani | Jun 4, 2009 | Equity Shares, Tutorials
This represents accounting for currency gains or losses that are seen on the continuing assets or liabilities of the investor. Example of this type includes the currency gains on the market value of the equity shares as recorded in the functional currency. This type...
by R. Venkata Subramani | Jun 4, 2009 | Equity Shares, Tutorials
This represents accounting for currency gains or losses that are realized or consummated. Example of this type includes the currency gains realized on the amounts payable to broker and the amount actually paid to the broker as recorded in the functional currency. The...
by R. Venkata Subramani | Jun 3, 2008 | Equity Shares
Investments in equity securities that are purchased and held for short term principally for the purpose of generating gains on resale are classified as trading securities and reported at fair value with unrealized gains and losses included in the earnings. Investments...
by R. Venkata Subramani | Jun 3, 2008 | Equity Shares
Equity securities are represented by ownership shares as common stock or preferred stock, rights to acquire ownership shares such as stock warrants or rights or call options. It also includes rights to dispose of ownership in shares by way of put options. It should be...
Recent Comments