Canada Asset sale

Sep 21, 2022
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Hi all, hoping somebody can help with my query. A company sold its business through an asset sale agreement in exchange for cash and shares of the buying entity. All the shares received as compensation were delivered (as stated in the contract) and were registered in the name of the selling company but a portion was held in escrow to be used to settle any future liabilities that may arise relating to the business that was sold. Question is, should those escrowed shares be recorded in the selling company's books? Thanks in advance.


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