Question

loss or profit realisation AC is transferred by the transferor company by amalgamation is​

Answer 1

Answer:

Transfer all Assets at book value to realization a/c ( except Miscellaneous) ... To Realisation A/c(Profits). XXX ... Realisation A/c( loss) Dr.

Answer 2

To Equity-holders Account.

In the scheme of amalgamation, the vendor company liquidates its business, writes off its losses, and sold its assets in the process of dissolution. There can be either profit or loss and this profit or loss on realization gets transferred to equity-holders accounts because in the end any profit or loss that incurred will be borne by equity shareholders because they are the owner of the company.

In the equity-holders account, the company transfers all the money received by the vendor company from purchasing company and all the reserves and surplus.