Assignment Merger

1. Anil Company (the transferor company) and Sunil Company (the transferee company) amalgamate in an exchange of stock to form Anil and Sunil Company. The preamalgamation balance sheets of Sunil Company and Anil Company are as follows: Sunil Company (Rs. in million)

Anil Company (Rs. in million)

Fixed assets Current assets Total assets

45 40 85

25 15 40

Share capital (Rs.10 face value) Reserves and surplus Debt

30 20 35 85

10 20 10 40

The share swap ratio fixed is 2:5. The fair market value of the fixed assets and current assets of Anil Company was assessed at Rs.50 million and Rs.20 million respectively. Prepare the post-amalgamation balance sheet of Sunil & Anil Company under the 'pooling' and 'purchase' methods.

Bharat Company (the transferor company) and Jai Company (the transferee company) amalgamate in an exchange of stock to form Jai Bharat Company. The preamalgamation balance sheets of Jai Company and Bharat Company are as follows:  JAI Company Bharat Company (Rs. in million) (Rs. in million) Fixed assets Current assets Total assets

80 100 180

Share capital (Rs.10 face value) Reserves and surplus Debt

70 50 60 180

40 40 80 30 20 30 80

The exchange ratio fixed is two shares for every five shares of the transferor company. The fair market value of the fixed assets, current assets and debt of Bharat Company was assessed at Rs.30 million, Rs.20 million and Rs.40 million respectively . Prepare the post-amalgamation balance sheet of Jai Bharat Company under the 'pooling' and 'purchase' methods.

Yan Company (the transferor company) and Yin Company (the transferee company) amalgamate in an exchange of stock to form Yin Yan Company. The pre-amalgamation  balance sheets of Yin Company and Yan Company are as follows: Yin Company (Rs. in million)

Yan Company (Rs. in million)

Fixed assets Current assets Total assets

120 240 360

50 80 130

Share capital (Rs.10 face value) Reserves and surplus Debt

150 150 60 360

40 10 80 130

The exchange ratio fixed is one share for every two shares of transferor company. The fair market value of the fixed assets, current assets and debt of Yan Company was assessed at Rs.40 million , Rs.60 million and Rs.90 million respectively. Prepare the  post-amalgamation balance sheet of Yin Yan Company under the 'pooling' and 'purchase' methods.