Amalgamation, Absorption & External Reconstruction (AS 14) | Complete B.Com Accounting Tutorial

Why do companies merge? What is the difference between amalgamation, absorption, and external reconstruction? How do you calculate purchase consideration, goodwill, and capital reserve under AS 14? In this complete B.Com Accounting lecture, you'll learn Accounting Standard (AS) 14 from first principles with simple explanations, practical business examples, and step-by-step accounting treatment. In this video, you'll learn: Meaning of amalgamation, absorption, and external reconstruction Objectives and scope of AS 14 Amalgamation in the nature of merger vs purchase Pooling of Interests Method and Purchase Method Purchase consideration calculation Net assets acquired Goodwill and capital reserve Journal entries in the books of the transferee company Fully worked numerical example Common examination mistakes and tips Learning Outcomes After watching this video, you will be able to: Distinguish between different forms of business combinations. Apply AS 14 correctly in accounting problems. Calculate purchase consideration and net assets. Determine goodwill or capital reserve. Record journal entries confidently for university exams. 📚 This video is ideal for: B.Com Students BBA Students CA Foundation Aspirants CMA Foundation Students Anyone learning corporate accounting 👍 If you found this lesson helpful, please Like, Share, and Subscribe to B.Com Accounting Made Easy for more concept-first accounting tutorials.