Ch 4 · AS-14 Amalgamation

📘 Core concepts

1. 1Amalgamation: merging of two or more companies into one.
2. 2Two types: amalgamation in nature of merger and in nature of purchase.
3. 3Pooling of interests method (merger) — books combined at carrying amounts.
4. 4Purchase method — purchase consideration over net assets = goodwill.
5. 55 conditions for merger (Para 3(e)): all assets/liab taken, ≥90% shareholders, consideration in shares, business continued, same accounting policies.