Distributable reserves Flashcards
1
Q
Distributable reserves
What is the typical formula?
A
Accumulated realised profits less accumulated realised losses
2
Q
Distributable reserves
What is the difference for public companies?
A
They are reduced further by the difference between unrealised profits over unrealised losses
3
Q
Distributable reserves
What is the main thing to consider for public companies?
A
They make not distribute if it will reduce their net assets below the total of called-up share capital and undistributable reserves
