Those who can contribute to a company's reserve funds are the shareholders for that company. Often this means that the shareholders pay an extra amount on top of the price of the share they wish to purchase.
Reserve -The funds that a company sets aside to meet future unknown losses. Provision- the funds that a company set aside to meet future known losses
Amalgamation reserve means the expenses bear by Transferee company for amalgamation with Transferor company is treated as reserve, this reserve is called as amalgamation reserve
excess reserves
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reducing liabilities or to increase the input of equity funds, to have a less risky gearing ratio. This will contribute to the long term stability of the business.
Reserve -The funds that a company sets aside to meet future unknown losses. Provision- the funds that a company set aside to meet future known losses
The revenue reserve is the retained earnings which are shown in the company's balance sheet as part of the shareholders' funds and are set aside to use to continue to pay dividends even if the company makes a loss. The example of the revenue reserve are the credit balance of the Profit and Loss Account, General Reserve and etc...
The approximate value of funds held in the open market reserve account of the Federal Reserve Bank of New York is $496 billion.
When debentures are redeemed out of capital, no transfer is made to general reserve or debenture redemption reserve account. In this method it is assumed that the company has sufficient funds to redeem the debentures. So the profits are not utilised to replace the debentures.It affects adversely to the Working Capital of the company.
Amalgamation reserve means the expenses bear by Transferee company for amalgamation with Transferor company is treated as reserve, this reserve is called as amalgamation reserve
Debenture is a debt instrument to raise funds. It has a maturity period associated with it. At the end of the maturity, the company(borrower) should return the interest and principal amount. Debenture Redemption Reserve is an amount kept as reserve for paying the debenture holder at the end of the maturity period.
excess reserves
excess reserves
The amount of funds that banks must hold in reserves
NO
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reducing liabilities or to increase the input of equity funds, to have a less risky gearing ratio. This will contribute to the long term stability of the business.