Amalgamation adjustment account is used for recording:
Statutory Reserve in the books of the transferee company
Under the purchase method in AS 14, a statutory reserve that must retain its identity is credited in the transferee’s books with a corresponding debit to the amalgamation adjustment account. It is not used to preserve every revenue or general reserve.
| List-I (Relief Materials) | List-II (Color Code) |
| A. Shelter | I. Yellow |
| B. Clothes | II. Khaki |
| C. Food | III. Red |
| D. Medicine | IV. Brown |
Which of the following is NOT a state function or state variable in a thermodynamic system?