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I have a doubt with respect to Question no. 3(b) in paper 5 – Advanced accounts of which recently held in November,2016. i.e. Available cash in balance sheet is Rs. 40,000 and amount received from sale of investments is Rs. 2,50,000. Of which total comes to Rs. 2,90,000.
But amount paid on buy back is Rs. 3,75,000, here raised my doubt from where Rs. 85,000 has come to pay to equity shareholders.
I would to be very much thankful, if my query gets cleared.
In q 2 amount of remuneration is to be calculated as 10/110*100 of amount not flat 10%..see pm for reference