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Question
Net Assets minus Capital Reserve is ______.
Options
Purchase consideration
Goodwill
Total assets
Liquid assets
Solution
Net Assets minus Capital Reserve is purchase consideration.
Explanation:
| Journal Entry | ||||
| Date | Particulars | L.F | Dr. (₹) | Cr. (₹) |
| (i) | Assets A/c ...Dr. | |||
| To Capital Reserve A/c | ||||
| To Purchase Consideration A/c | ||||
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