Recognised as per POCM

Recognition of claims Only when (i) negotiations have reached an advanced stage such that it is probable that the customer will accept the claim; and (ii) The amount that will be accepted by the customer can be measured reliably. If the claims are capable of being reliably measured, same are to be recognised as per POCM.it is not matching the global reporting standards requirements. So ICAI has converged the present standard AS 14 to Ind AS 103 Business combination which is in line with IFRS 3. The transition to Ind AS, as and when it happens, is likely to have impact on the accounts of companies involved in such acquisitions and mergers.

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