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What is the accounting entry for booking pledged shares of a company in exchange for a loan?
Wiki User
∙ 16y ago
The bookkeeping entry is just a loan entry: Debit Cash and Credit Loan Payable. The shares are simply used as collateral or security on the loan. This pledge would be disclosed in a footnote to the financial statement.
Wiki User
∙ 16y ago
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What is the meaning of pledged receivables?
Pledged accounts receivable, also known as accounts receivable financing, is a type of secured short-term loan whereby the debt is recorded in the financial institution's accounts receivables account.
Which method of controlling pledged inventory provides the greatest degree of security to the lender?
warehousing
What is the difference between secured and unsecured bonds?
Secured bonds are those bonds on behalf of which company has pledged some kind of assets security in bank for refund of bonds while unsecured bonds are reverse of secured bonds which means these bonds don't have the security of any assets for refund.
What is a pledge asset?
An asset that a borrower transfers to the possession of a lender as collateral for a loan. The borrower maintains ownership and all associated rights of the pledged asset. When the loan is repaid, the lender transfers possession back to the borrower. The pledged asset reduces the risk to the lender that the borrower will default, therefore possibly qualifying the borrower for some benefit, such as a lower interest rate. When buying a house, some mortgage borrowers will pledge an asset, such as stock, to the lend
In case of transfer of a business who is liable to pay service tax?
This should and would be defined in the agreement to purchase the business and also could be based on the type of sale. Say you purchase a corporation by simply purchasing all the shares of the corporation from the previous owners. In this case you would have also purchased all the receivables and debts of the business. I was considering purchasing a corporation years ago but due to the financial situation of the business we proposed doing an asset buyout. In this case we would have purchased the assets of the company including the name, patents, and receivables of the company but not the shares, debts, and assets that were pledged as security.
What is a pledged support in exchange for fief?
A Vassal takes a pledge of loyalty to the lord
What is a company's book value of pledged assets divided by the book value of its secured liabilities called?
Pledged assets to secured liabilities.
What did knights receive in exchange forpledge of loyalty?
It's not that all knights recived same things when they pledged loyalty, depends if the king/lord whom they pledged the loyalty is generous, usualy knights dont recive nothing when they pledge loyalty, they recive rewards when they prove themselves worthy.
What did the new government pledged?
They pledged the united states to freedom!
What was the pledged?
The Munich Pledge was to pledged their support in guaranteeing Polish independence.
What is the lords main duty to the pledged loyalty to him?
what is the lords main duty to the pledged loyalty to him
What is a binding primary?
slate of electors pledged to a candidate cannot vote for any other candidate they are pledged to
What is the opposite of pledged?
break
What is used to pledge real property for a loan?
When securing a loan with real estate, two main options emerge: mortgages and deeds of trust. Imagine a mortgage as a lender placing a temporary claim on your property, like a security deposit on a house. If you default, they can seize the property. A deed of trust functions differently. In this scenario, a neutral third party holds the property title until the loan is satisfied, acting as an impartial umpire in the transaction. Both methods provide lenders with a safety net in case of delinquency, and the specific choice often hinges on the state's legal framework and prevailing practices.
Why creditors would be interested in the balance sheet of a business?
Creditors are interested in balance sheet to check that how much money company has already taken as a loan from other creditors and how much assets are pledged and will company be able to return credit or not.
Why did vassals have to server lords?
Vassals served lords in exchange for protection and land rights. In the feudal system, vassals pledged loyalty and military service to their lords in return for the lord's support and the ability to use and cultivate land on the lord's estate.
What is a sentence for the word pledged?
In my elementary school classroom, all the students pledged allegiance to our flag audibly every morning.
