Purchasing Power of Non-Monetary items such as inventory and NCAs

TTabasum4y ago

Please explain what does the following explanation given in Kaplan study text means The owner's of a company's equity capital have the residual claim on its net monetary and non monetary assets. The equity interest is therefore neither a monetary nor a non-monetary item.

P2-D2Tutor4y ago#1

Hi, I'd not worry about it but all it is saying is that the equity is equal to the net assets and that net assets are made up of monetary and non-monetary assets. There isn't anything more to it than that. Thanks

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