What transactions to post on liquidation - dormant entity

What transactions to post on liquidation -...

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Hi, we have two subsidiaries of company A, companies B and C. Company C has a further subsidiary, company D, which is being liquidated. The company has ended up dormant, with £1k of share capital (owned by C), and an intercompany debtor (owed by B). What transactions do I need to post to liquidate this entity? I think I should end up with company B owing company C £1k and nothing in the balance sheet for company D, but I'm just a bit confused as to how to get there!

Thanks,

Craig

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By johngroganjga
25th Oct 2013 15:26

Yes you're right.  Move the

Yes you're right.  Move the debt from B to C then contra C's liability to D against its investment in D.

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