Saved Bookmarks
| 1. |
What do you mean by capital receipts? Why are borrowings, recovery of loans and disinvestment treated as capital receipts? |
|
Answer» Capital receipt is a receipt which either reduces an asset or creates any liability. Borrowings treated as capital receipts because borrowings create a liability. Recovery of loans treated as capital receipts because recovery of loans reduces an asset. Disinvestment treated as capital receipts because disinvestment reduces an asset. |
|