When the purchasing company does not take over a particular liability and the vendor company pays that liability, it will debit it to

Related MCQs

• ……………….is the amount payable by the purchasing companies to the vendor company for taking over the business of vendor company.
• In case of inter-company holdings, the purchasing company, at the time of payment of the purchase consideration, surrenders the shares in the vendor company by crediting:
• The share capital, to the extent already held by the purchasing company, is closed by the vendor company by crediting it to:
• When the Vendor (seller) company agrees to bear liquidation expenses, it will debit
• When purchasing company pays purchase consideration, it will be debited to
• When the purchasing company bears the liquidation expenses, it will debit the expenses to
• In …..., a new company is formed to take over the business of an existing company which goes into liquidation.
• The vendor company transfers preliminary expenses (at the time of absorption) to:
• In ……………, a new company is formed to take over the business of two or more existing companies which go into liquidation
• When one of the existing companies take over business of another company or companies, it is known as…………………………………