Section 16C(a) in The Companies (Indian Accounting Standards) Rules, 2015
(a)It entitles the holder to a pro rata share of the entity's net assets in the event of the entity's liquidation. The entity's net assets are those assets that remain after deducting all other claims on its assets. A pro rata share is determined by:(i)dividing the net assets of the entity on liquidation into units of equal amount; and(ii)multiplying that amount by the number of the units held by the financial instrument holder.
