It is similar to amalgamation though not exactly the same. In external reconstruction a new company is formed for the purpose of taking over the business of an existing sick company which has incurred huge losses and is facing financial difficulties. Existing company is wound up by selling its business to the newly formed company which is generally similarly named and owned by the same shareholders to a great extent.
http://wiki.answers.com/What_is_external_reconstruction_of_companies_in_accounting#ixzz1aT6UQ0cI
It is similar to amalgamation though not exactly the same. In external reconstruction a new company is formed for the purpose of taking over the business of an existing sick company which has incurred huge losses and is facing financial difficulties. Existing company is wound up by selling its business to the newly formed company which is generally similarly named and owned by the same shareholders to a great extent.
external revenue
What is the nature external audit?
what is external liability all debts that are external from the business eg. bank loan,bank overdraft,
External ueser
internal reconstruction no new company is formed in external reconstruction an existing company is dissolved and a new company is formed with the same shareholdders. there will be absence of liquidation expenses in internal reconstruction. liquidation expenses is present in external reconstruction.
"External reconstruction" means repairing the outer wall of something.
INTERNAL RECONSTRUCTION- when the name of the co. remain as before but changes are made in assets and liabilities of the co. and entries are made in the books of the co. of such changes and balance sheet is amended it is called internal reconstruction. EXTERNAL RECONSTRUCTION- when such heavy changes are not possible or new capital is to be issued or there is much dissent among shareholders or by changing the name of the co. , an effort is made to give new life to the co. the co. is liquidated and a new co. is formed to purchase the assets and liabilities of old co. ,it is called external reconstruction.
It is similar to amalgamation though not exactly the same. In external reconstruction a new company is formed for the purpose of taking over the business of an existing sick company which has incurred huge losses and is facing financial difficulties. Existing company is wound up by selling its business to the newly formed company which is generally similarly named and owned by the same shareholders to a great extent.
surgical reconstruction of ear deformities (otoplasties),
Internal Reconstruction: 1. No new company is formed. The existing company continues as a going concern; 2. The ailing company will not gove ito liquidation under the capital reduction scheme and 3. Involves complying the requirements under the Companies Act. External Reconstruction:- 1. A new company is formed by the existing shareholder of the old company to take over the assets and liabilities; 2. The ailing company goes into liquidation and 3. There is no need to comply with particular clause in the Companies Act. Anonymous regards Bhimireddy
Reconstruction of the wall has begun.The reconstruction of the building cost millions.The facial reconstruction was a success.
Reconstruction
Less severe type of reconstruction than radical reconstruction.
Abraham Lincoln did the reconstruction
The method used for performing breast reconstruction is based on the preference of the patient. The reconstruction can be done by immediate reconstruction, where reconstruction occurs in the same time period in which mastectomy is done, or by delayed reconstruction, where reconstruction of the breast is done after mastectomy.
reconstruction