Question

Question No. 3
• Calculate purchase consideration if
cash payment is Rs. 6,00,000 for share
holder and for debenture holder is Rs.
7,80,000 and share of Nagsen Co. is Rs.
28,80,000​

Answer 1

Answer:

Total Cash consideration is Rs.42,60,000

Explanation:

Calculation of Purchase Consideration:

Consideration paid through cash to the following:

1. Shareholders is Rs.6,00,000
2. Debenture Holders is 7,80,000
3. Nagsen Co. Share is 28,80,000
4. Total Consideration = 600000+780000+2880000 i.e.  42,60,000