UCCC & SPBCBA & SDHGCBCA & IT UDHNA, SURAT

SY Bcom Sem 4 Advance Accounting & Auditing paper 4

question 1 2 3 4
when arrears of preference divident is declared, then it is considered as a loss and is
debited to -- capital reduction a/c profit and loss a/c capital reduction a/c none of the above
if under the scheme of capital reduction,the damagde machinery worth rs 1,50,000 is rs 25,000 should be credited to
sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 1,25,000 should be debited to capital reduction account
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 25,000 would be debited to capital reduction account no entery will be made
under the scheme of capital reduction blance left in capital reduction a/c after writing
off accumulated losses,is transferred to -- capital redemption reserve a/c general reserve a/c capital reserve a/c share capital a/c
credit blance of capital reduction account is transferred to -- capital reserve a/c general reserve a/c goodwill a/c profit & loss a/c
after implementing the scheme of capital reduction,the company is -- continued dissolved purchased by other company merged to another company
the low price of goodwill shown in
the most important reason for capital reduction is -- blance sheet excessive amount of depreciation on fixed assets over capitallization under capitalization
at the time capital reduction outstanding director fees was Rs 20,000 60% director
fees were already paid . outstanding director fee is waved by directos and directors
fees are repaid to the company by them,,then___ eill be credited to capital reduction
a/c Rs 20,000 Rs 30,000 Rs 40,000 Rs 50,000
reconsruction expenses paid for implemention the capital reduction schemes -- credited to capital reduction A/c credited to dissolution expenses A/c debited to bank A/c credited to bank A/c
who will sacrifice in the capital reduction scheme ? equity shareholders preference shareholders creditors all of the aboe as per requirements
Internal reconstruction means alternation of share capital reduction of share capital variation of shareholder’s right all of the above
Unused balance of capital reduction account is transferred to _______ capital reserve profit and loss account general reserve None of the above
K.K CO's market value of freehold property is Rs 7,50,000 which is 25% more to its Rs 1,87,500 debite to capital
book value, so under capital reduction scheme -- reduction fund a/c Rs 1,50,000 credited to capital reduction fund a/c Rs 1,50,000 debite to capital reduction fund a/c Rs 1,87,500 credited to capital reduction fund a/c
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 90,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 30,000 would be debite to capital reduction fund a/c no entery will be made
total capital reduction fund is 11,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 10,000
when contingent liability is paid we debit -- goodwill a/c contingent liability a/c bank a/c capital reduction a/c
after completion of scheme of capital reduction,blance is transferred to -- P & L a/c genral reserve a/c genral reserve a/c capital reserve a/c goodwill a/c
credit balance of profil and loss
a company can issue bonus shares out of the following : account securities premium account capital reserve account general reserve account
right shares means such shates which are issued -- to directors of the company to debentureholdrs when thelr debentures are converted. to present shareholders to whom they are firstly offered. by a new company
minimum time period for two bonus issues must be : 12 months 24 months 36 months none of the abone
bonus shares, cannot be issued from -- securities premium capital reserve profit created by revaluation of fixed assets development rebate reserve
as per M.R.T.P. act ,new shares can be offered to persons other than existing
shareholders -- to any person to directors to debentureholders to creditors

use of bonus out of following cannot be made for making parly paid shares fully paid : general reserve dividend equalisation fund securities premium credit balance of P & L a/c
company can issue bonus shares out of source of -- capital capital reserve capital reserve none of above

use of bonus out of following cannot be made for making parly paid shares fully paid -- dividend equalisation fund general reserve P & L a/c (cr.) balance capital redemption reserve
which account only can be used for issuing fully paid bonus shares ? profit & loss a/c debenture redemption fund a/c general reserve a/c capital redemption reserve a/c

Rooju Ltd. has issued 5,000 shares of Rs 100 each, which are fully paid up resolution
is passed by the company to issue 3 shares as bouns shares against every 5 existing
equity shares at a premium of 8% there is adequate blance in general reserve a/c credited with Rs 3,24,000 debited with Rs 3,00,000 debited with Rs 24,000 debited with Rs 3,24,000
generally to whom bouns shares can be given to preference shareholders to equity shareholders to debentureholders to redeemable pref. shareholders
parth ltd offers one right share of 10 each for rs 20 to its shareholders for every three
shares the market value of the share is rs 32 calculate the of right share Rs 4 Rs 2 Rs 3 Rs 5
cash balance and share capital
after the issue of bouns shares -- increse cash balance decrease while share capital increases reserves and share capital both increase reserves decreases while share capital increases
deducted from the called up share
in balance sheet, the amount of calls in arrears will be shown as-- capital under the head reserve ans surplus deducted from capital reserve deducted from forfeited shares A/c
2,00,000 equity shares of Rs. 10 each, Rs. 8 paid up on which 10% is the interim
dividend declared, then the amount of dividend will be -- Rs. 80,000 Rs. 1,60,000 Rs. 2,00,000
securities premium account is shown in the balance sheet under the head of -- share capital A/c reserve and surplus current liabilities non current liabilities
dividends are usually paid on -- authorised capital issued capital paid up capital reserve capital
which of the following items does not appear under the head "reserves and surplus"
in the balance sheet ? general reserve proposed dividend securities premium sinking fund
which of the following denotes the dividend declared by the directors between two
annnual general meetings ? proposed dividend final dividend unpaid dividend interim dividned
corporate dividend tax is computed on -- proposed dividend profit after tax provision of income tax income from business operation
particulars debit Rs Credit Rs
6% debentures account --- 3,00 000
debenture interset account 6,000 ---
what ammount of interest will be shown in profit and loss statement Rs 6,000 Rs 12,000 Rs 18,000 none of the above
trial blance of swati ltd for the year ending 31 - 3 - 2016 shows the following details :
particulars debit rs credit rs
6% bank loan account --- 3,00,000
interst on bank loan account 6,000 ---
which amount of interest is required be debited in the profit & loss account for the
year ending 31-3-2016?
RS 6,000 RS 12,000 RS 18,000 RS 24,000
out of amount received from issue of
under section 55 of the companies Act,2013 preference shares cannot be redeemed. debentures out of received from issue of preference shares out of amount received from issue of Equity shares. none of the above
when the shares are redeemed out of profits, a sum equal to nominal amount of transferred to capital redemption
shares redeemed is to be. reserve A/C transferred to general reserve A/C transferred to development rebate reserve A/c none of the above
making provision for redemption of red.pref.shares and
the amount received in cash for securities premium can be utilised only for - making partly paid shares fully paid. transfer to capital red.A/C writing off loss on sale of any fixed asset. none of the above
when preference shares are redeemed at a premium, provision for premium amount
is made from- securities premium A/c. amount received from issue of new shares forfeited shares A/c none of the above
when redeemable preference shares are to be redeemed and they are not fully paid, the amount so far received on them
then- can be returned. they cannot be redeemed. they can be redeemed at the discreation of directors. none of the above
redeemable preference shares cannot be redeemed- at cost price at a premium at a discount none of the above
as per section 55 of the companies act,2013,redeemable preference shares can be amount received from issue of fresh
redeemed out of- equity shares amount received from issue of preference shares credit balance of profit and loss account amount received in any way of the above
in order to redeem redeemable preference shares of rs.20,000 at a premium of 5%
and new equity shares of rs.20,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
A Ltd. issued 3000 equity shares of rs.10 each at a premium of 10% to redeem
redeemable preference shares of rs.1,00,000, then the amount to be transferred to
capital red. reserve A/c will be- rs.1,00,000 rs.70,000 rs.67,000 none of the above
under section 55 of the companies act,2013 redeemable preference shares can be out of amount received from issue of
redeemed. shares. out of credit balance of P & L A/c. out of revenue reserves. out of any one of above (A) , (B) and (C)
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 5000 redeemable preference shares of Rs.100 each at premium of 10%, the
amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.2,00,000 rs.1,70,000
when preference shares are redeemed at a premium, the provision for premium
amount is made from- forfeited A/c. securities premium A/c. capital reserve A/c. none of the above.

Bablu Ltd issued 20,000 equity shares of rs.10 each at a premium of 50% in order to
redeem 4000 redeemable preference shares of Rs 100 each at a premium of 5% the
amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 rs. 5,50,000 rs. 1,00,000

how many shares of rs.100 each would be required to be issued at a premium of 10%
by the company; so that the above mentioned pref. shares can be redeemed ? 5000 shares 4000 shares 3000 shares 6000 shares
X Co. decides to redeem 60,000 red.pref.shares of rs.10 each. if it is decided to issue
4000 equity shares of rs.100 each at 10% premium for the above purpose, then the
amount to be transferred to capital redemption reserve is- rs.1,80,000 rs.2,00,000 rs.6,00,000 rs.4,00,000

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 1,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs. 40,000 rs. 50,000 rs. 60,000 none of the above.
which type of preference shares can be redeemed? convertible preference shares fully paid redeemable pref.shares partly paid redeemable pref.shares. none of the above.
premium on redemption of preference shares is written off against _______. general reserve securities premium capital reserve all of above
______ preference shares cannot be redeemed. redeemable fully paid up within 5 years of the issue partly paid up
which of the following balances can be utilised for redemption of redeemable
preference shares ? general reserve credit balance of profit and loss A/C any one or both of the above none of the above.
which of the following balances cannot be used for redemption of redeemable credit balance of profit and loss
preference shares? account employee Provident fund general reserve dividend equilisation fund.
the rajan Ltd. issue 1200 equity shares of Rs.50 at a premium of 10% in order to
redeem 1000 redeemable preference shares of Rs.100 each at premium of 10% the
amount to be transferred to capital reserve A/C will be - rs.50,000 rs. 44,000 rs. 40,000 rs. 34,000
if under the scheme of capital reduction,the damagde machinery worth rs 3,00,000 is rs 25,000 should be credited to
sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 2,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 6,00,000 is rs 25,000 should be credited to
sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 5,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 9,00,000 is rs 25,000 should be credited to
sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 8,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 12,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 11,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 15,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 14,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 18,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 17,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 21,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 20,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 24,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 23,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 27,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 26,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 30,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 29,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,the damagde machinery worth rs 33,00,000 rs 25,000 should be credited to
is sold out as a scrap for rs 25,000 then -- capital reduction account rs 1,50,000 should be debited to capital reduction account rs 1,75,000 should be credited to capital reduction account rs 32,75,000 should be debited to capital reduction account
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 1,25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 2,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs2, 25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 3,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs3, 25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 4,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 4,25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 5, 75,000 (which was not declared and not paid) rs 50,000 is waived by rs 50,000 would be credited to
preference shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs5, 25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 6,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 6,25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 7,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 7,25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs8, 75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 8,25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 9,75,000 (which was not declared and not paid) rs 50,000 is waived by preference rs 50,000 would be credited to
shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs 9,25,000 would be debited to capital reduction account no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 10,75,000 (which was not declared and not paid) rs 50,000 is waived by rs 50,000 would be credited to
preference shareholders then -- capital reduction account rs 25,000 would be credited to capital reduction account rs10, 25,000 would be debited to capital reduction account no entery will be made

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 2,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.1, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 3,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.2, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 4,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.3, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 5,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.4, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 6,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs. 5,40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 7,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.6, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 8,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.7, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 9,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.8, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 10,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.9, 40,000 rs. 50,000 rs. 60,000 none of the above.
Hetal Ltd.wants to redeem its redeemable preference shares of Rs 11,00,000 at a
premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.10, 40,000 rs. 50,000 rs. 60,000 none of the above.

Hetal Ltd.wants to redeem its redeemable preference shares of Rs 12,00,000 at a

premium of 10% for this purpose, it issued new equity shares of rs.60,000 what
amount would be required to be transferred to capital redemption reserve account ? rs.11, 40,000 rs. 50,000 rs. 60,000 none of the above.
in order to redeem redeemable preference shares of rs.30,000 at a premium of 5%
and new equity shares of rs.30,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.40,000 at a premium of 5%
and new equity shares of rs.40,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.50,000 at a premium of 5%
and new equity shares of rs.50,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.60,000 at a premium of 5%
and new equity shares of rs.60,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.70,000 at a premium of 5%
and new equity shares of rs.70,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.80,000 at a premium of 5%
and new equity shares of rs.80,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs 90,000 at a premium of 5%
and new equity shares of rs.90,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.1,00,000 at a premium of 5%
and new equity shares of rs.1,00,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.2,00,000 at a premium of 5%
and new equity shares of rs.200,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero
in order to redeem redeemable preference shares of rs.3,00,000 at a premium of 5%
and new equity shares of rs.3,00,000 are issued, the amount to be transferred capital
redemption reserve fund will be 52,500 32,500 30,000 rs.zero

Bablu Ltd issued 40,000 equity shares of rs.10 each at a premium of 50% in order to
redeem 8000 redeemable preference shares of Rs 100 each at a premium of 5% the
amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 4,00,000 rs. 1,00,000

Bablu Ltd issued 60,000 equity shares of rs.10 each at a premium of 50% in order to
redeem 12,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 6,00,000 rs. 1,00,000

Bablu Ltd issued 80,000 equity shares of rs.10 each at a premium of 50% in order to
redeem 16,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 8,00,000 rs. 1,00,000

Bablu Ltd issued 1,00,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 20,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 10,00,000 rs. 1,00,000

Bablu Ltd issued 1,20,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 24,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 12,00,000 rs. 1,00,000

Bablu Ltd issued 1,40,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 28,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 14,00,000 rs. 1,00,000

Bablu Ltd issued 1,60,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 32,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 16,00,000 rs. 1,00,000

Bablu Ltd issued 1,80,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 36,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 18,00,000 rs. 1,00,000

Bablu Ltd issued 2,00,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 40,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 20,00,000 rs. 1,00,000
Bablu Ltd issued 2,20,000 equity shares of rs.10 each at a premium of 50% in order
to redeem 44,000 redeemable preference shares of Rs 100 each at a premium of 5%
the amount to be transferred to capital redemption reserve account will be- rs.5,00,000 rs.2,00,000 રૂ. 22,00,000 rs. 1,00,000
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,00,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 40,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,10,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 50,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,20,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 60,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,30,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 70,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,40,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 80,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,50,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 90,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,60,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 1,00,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,70,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 1,10,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,80,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 1,20,000 would be debited to capital reduction fund a/c no entery will be made
if under the scheme of capital reduction,out of the preference dividend in arrears of
Rs 1,90,000 (which was not declared and not paid) rs 60,000 is waived by preference Rs 60,000 would be credited to
shareholders then -- capital reduction a/c Rs 30,000 would be credited to capital reduction a/c Rs 1,30,000 would be debited to capital reduction fund a/c no entery will be made
total capital reduction fund is 12,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 1,10,000
total capital reduction fund is 13,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 2,10,000
total capital reduction fund is 14,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 3,10,000
total capital reduction fund is 15,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 4,10,000
total capital reduction fund is 16,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 5,10,000
total capital reduction fund is 17,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 6,10,000
total capital reduction fund is 18,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 7,10,000
total capital reduction fund is 19,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 8,10,000
total capital reduction fund is 20,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 9,10,000
total capital reduction fund is 21,00,000 total application of capital reduction fund is
Rs 10,90,000 so closing blance of capital reduction fund will be -- debited to good will a/c rs 10,000 credited to goodwill a/c Rs 10,000 debited to capital reserve a/c rs 10,000 credited to capital reserve a/c rs 10,10,000
in order to redeem redeemable preference shares of rs.40,000 at a premium of 5%
and new equity shares of rs.40,,000 are issued, the amount to be transferred capital 1,05,000 Rs. 65,000 Rs. 60,000 Rs. 0
redemption reserve fund will be
A Ltd. issued 6000 equity shares of rs.10 each at a premium of 10% to redeem
redeemable preference shares of rs.2,00,000, then the amount to be transferred to Rs. 1,40,000 Rs. 1,34,000
capital red. reserve A/c will be- Rs. 2,00,000
pavan Ltd., issued 12000 equity shares of rs.50 at a premium of 10% in order to
redeem 10000 redeemable preference shares of Rs.100 each at premium of 10%, Rs. 5,00,000 Rs. 4,40,00 Rs. 4,00,000 Rs. 3,40,000
the amount to be transferred to capital reserve A/c will be.
Bablu Ltd issued 40,000 equity shares of rs.10 each at a premium of 50% in order to
redeem 8000 redeemable preference shares of Rs 100 each at a premium of 5% the Rs. 10,00,00 Rs. 4,00,000 Rs. 11,00,000 Rs. 2,00,000
amount to be transferred to capital redemption reserve account will be-
Varsha Limited wants to redeem its 12,000 Redeemable Pretrence share of Rs.100
than value of share is
each, Rs.90 Paid up at a Premium or 10%; there are following balance in the
bools:
A) Share Primium A/c Rs.20,000
10,000 shares 8,000 shares 6,000 shares 12,000 shares
B) Bank A/c Rs.2,00,000
C) P&L Account (Cr.) Rs.2,00,000
How many shares of Rs.100 each would be required to be issued ata Primum of
10% by
the compony; So that the above mentioned pref.shares can be redeemed?
X Co. decides to redeem 1,20,000 red.pref.shares of rs.10 each. if it is decided to
issue 8000 equity shares of rs.100 each at 10% premium for the above purpose, then Rs. 3,60,000 Rs. 4,00,000 Rs. 12,00,000 Rs. 8,00,000
the amount to be transferred to capital redemption reserve is-
Hetal Ltd.wants to redeem its redeemable preference shares of Rs 2,00,000 at a
premium of 10% for this purpose, it issued new equity shares of rs.1,20,000 what Rs. 80,00 Rs. 1,00,000 Rs. 1,20,000 none of the above.
amount would be required to be transferred to capital redemption reserve account ?
the rajan Ltd. issue 24,00 equity shares of Rs.50 at a premium of 10% in order to
redeem 2000 redeemable preference shares of Rs.100 each at premium of 10% the Rs. 1,00,000 Rs. 88,000 Rs.80,000 Rs. 68,000
amount to be transferred to capital reserve A/C will be -
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 6000 redeemable preference shares of Rs.100 each at premium of 10%, the
amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.3,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 7000 redeemable preference shares of Rs.100 each at premium of 10%, the
amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.4,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 8000 redeemable preference shares of Rs.100 each at premium of 10%, the
amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.5,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 9000 redeemable preference shares of Rs.100 each at premium of 10%, the
amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.6,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 10000 redeemable preference shares of Rs.100 each at premium of 10%,
the amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.7,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 11000 redeemable preference shares of Rs.100 each at premium of 10%,
the amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.8,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 12000 redeemable preference shares of Rs.100 each at premium of 10%,
the amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.9,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 13000 redeemable preference shares of Rs.100 each at premium of 10%,
the amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.10,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 14000 redeemable preference shares of Rs.100 each at premium of 10%,
the amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.11,00,000 rs.1,70,000
pavan Ltd., issued 6000 equity shares of rs.50 at a premium of 10% in order to
redeem 15000 redeemable preference shares of Rs.100 each at premium of 10%,
the amount to be transferred to capital reserve A/c will be. rs.2,50,000 rs.2,20,000 rs.12,00,000 rs.1,70,000
Which of the following cannot be used for the purpose of creation of capital profit and loss account ( credit
redemption reserve account? balance) General reserve account dividend equalization reserve account unclaimed dividends account
redemption of redeemable preference
shares can be made only out of the
proceeds of fresh issue of equity premium payable on redemption of redeemable preference capital redemption reserve account can be utilised for
Which of the following statement is true? shares a company can redeem only fully paid preference shares. shares must be debited against profits writing off miscellaneous expenditure and losses
cumulative, non-participating and
Unless otherwise stated a preference share is always deemed to be : non-convertible Non-cumulative , non-participating and non-convertible cumulative, participating and non-convertible non-cumulative, participating and non-convertible
Which account only can be used for issuing fully paid bonus shares? profit & loss a/c debenture redemption fund a/c general reserve a/c capital redemption reserve a/c
Due to issue of bonus shares paid up capital of the company ______ increases decreases does not changed None
Which of the following is not a source of issue of bonus shares dividend equalisation fund capital reserve securities premium revaluation reserve
Premium of redemption of preference shares may be provided out of securities premium profits both (a) & (b) issue of debentures
Under the scheme of capital reduction balance left in capital reduction account, after
writing off accumulated losses, is transferred to capital redemption reserve a/c general reserve a/c capital reserve a/c share capital a/c
Under capital reduction scheme, who will sacrifice? creditors preference shareholders equity shareholders all of the above as per requirements
If under the scheme of capital reduction, out of the preference dividend in arrears of
Rs 140000 (which was not declared and not paid) Rs 60,000 is waived by preference Rs 60000 would be credited to
shareholders then -- capital reduction a/c Rs 30000 would be credited to capital reduction a/c Rs 80000 would be debited to capital reduction fund a/c No entry will be made

The reduction of capital is permitted under _____________ of Companies Act. 77 100 66 75

The Capital reduction means reduction in ____________ value of shares. authorized capita Called up capital Uncalled capital paid–up value
The Sub – division of shares does not result in ___________ of capital. reduction added Compromise none of the above
The Shareholders can surrender shares for ________ or ____________ . re-issue, cancellation Fresh Issue, Redemption both a & b none of the above
The internal reconstruction results in proper valuation of _________ and
__________ of companies. Profit & Loss Account reserve & surplus assets and liabilities none of the above
The scheme of internal reconstruction requires approval of ____________ . Shareholders Central Government NCLT all the above
__________ resolution is to be passed by shareholders for approval of scheme of
reconstruction. ordinary Special both a & b none of the above
The fictitious debit balances are to be transferred to ___________ Account. internal reconstruction security premium share capital Capital Reduction

The difference in revaluation of assets is to be transferred to ___________ Account. internal reconstruction Capital Reduction security primium capital reserve
capital reduction or internal
A scheme of __________ or __________ mean the scheme having same effect. reconstruction Capital Reduction or External reconstruction both a & b none of the above
If the shares of smaller denomination-are converted into the shares of higher
denomination without changing the total amount of share capital, then it is a case
of— Consolidation of share capital Sub-division of share capital both a & b Decrease in unissued share capital.
When a company converts its equity shares into the capital stock, then the account
to be credited is — Equity share capital account Equity capital stock account both a & b No entry is required

A Ltd. with a share capital of 10,000 equity shares of Rs. 10 each fully paid decides to Reducing share capital by returning
repay Rs. 5 per share thus making each share of Rs. 5 fully paid. It is a case of— the excess capital Reducing the liability on account of uncalled capital Reducing the paid-up capital. all the above
For writing off the accumulated Josses under the scheme of capital reduction, we
debit— Share capital account Accumulated losses account Capital reduction account. all the above
If there is any balance in the capital reduction account after writing off all the
accumulated losses, then the same is transferred to — Share capital account Capital reserve account General reserve account. all the above

A company has issued capital of 10,000 equity shares of Rs. 10 each fully paid. It
decides to convert its capital into 20,000 equity shares of Rs. 5 each. It is a case of Consolidation of share capital Sub-division of share capita Decrease in unissued share capita all the above
If the creditors are willing to reduce their claims against the company, (hen the
amount of reduction in their claim will be transferred to Share capital account Creditors account Capital reduction account. both a & b
Any loss on revaluation of the assets at the time of internal reconstruction, will be
charged from— Revaluation account Share capital account Capital reduction account. all the above

In which of the following cases, procedure of reduction of capital is not called for: Redemption of preference shares Forfeitures of shares Surrender of shares or gift of shares All of the above
In a scheme of reorganization amount of shares surrendered by shareholders is
transferred to: Capital reduction account Shares surrendered account Capital reserve account Reserve capital account
Amount sacrificed by shareholders are credited to: Capital reduction account Shares surrendered account Capital reserve account Reserve capital account
To carry out capital reduction, permission is required from: SEBI The Competent Court Company law Board Central government
A company cannot issue fully paid-up bonus shares to its members out of: Securities Premium Capital Redemption Reserve Revaluation Reserve All of the above
Right shares can be offered by the companies to persons other than existing
shareholders or employees by passing a: Special Resolution Extra-ordinary Resolution Ordinary Resolution Board Resolution
For every two shares three bonus
If a company makes bonus issue at 2:3 then it means shares will be allotted For every three shares two bonus shares will be allotted For every Eve shares three bonus shares will be allotted For every five shares two bonus shares will be allotted
Which of the following can be used for issuing bonus shares? Capital Redemption Reserve Securities Premium Account Profit and Loss Account Any of the above
Paid-up share capital increases with the issue of bonus
Which of the following statement is true if the company issues bonus shares? Bonus share is an income Total market value comes down after the bonus issue shares. Fund flow is affected adversely due to bonus issues.
Bonus issue must be authorized By the board of directors Article of association of the company Shareholders by ordinary resolution All of the above

Which of the following can be utilized for the issue of bonus shares? 1. Balance of
profits & loss account 2. Capital Reserve4. Development Rebate Reserve5. Profit
Prior to Incorporation Select the correct answer from the options given below. 1, 3, and 5 only 2 and 4 only 1 and 3 only 1, 2, 3, and 5 only
Bonus issue can be made on Partly paid-up shares Fully paid-up shares. Either (A) or (B) Both (A) and (B)
Company has not defaulted in payment of interest or
Which of the following condition of Section 63 is required to be complied with by the Bonus issue is authorized by its principal in respect of fixed deposits or debt securities issued Company has not defaulted in payment of statutory dues of
company before making the bonus issue? articles by it. the employees like PF contribution, gratuity, and bonus. all the above

The bonus shares shall not be issued
Which of the following statement is false? in lieu of dividends.
Debit the equity share capital
account and credit the securities
Which of the following is a correct journal entry for the issue of bonus shares? premium account.
The company which has once announced the decision of its Issue of bonus shares does not affect the market value of
Board recommending a bonus issue can withdraw the same. In case of bonus issue there is no cash flow. the company
Debit the bonus to shareholders account and credit the Debit the general reserve account and credit the equity Debit the capital reserve account and credit the equity
general reserve account share capital account share capital account

Preference shares are those which carry the preferential rights as to -………… Payment of dividend at a fixed rate Return of capital on winding up of the company Both (A) & (B) Either (A) or (B)
……….. will be entitled to receive arrears of their dividend. Cumulative Preference Share Non Cumulative Preference Share Convertible Debentures All of the above
Which of the following section of the Companies Act, 2013 prohibits to issue of
shares at discount? Section 53 Section 54 Section 55 Section 56

To participate in the surplus

Which of the following rights may be given to preference shareholder if provided by remaining after the equity shares To participate in the surplus profits remaining after payment
Articles? are redeemed in winding up of equity dividend To receive arrears of dividend at the time of winding up All of above
Dividends are ………… of profits. Appropriation Charge Transfer None of above
A company limited by shares may, if authorized by its can issue preference shares
which are or at the option of the company are liable to be redeemed Memorandum of Association Articles of Association Creditors of company Debtors of company
Partly out of profits and partly out of the proceeds of fresh
The preference shares can be redeemed: Out of profits Out of the proceeds of fresh issue of equity shares issue of equity shares Any of the above
When preference shares are redeemed out of profits such profit must be - Profits which would otherwise
……………….. available for dividend Capital Profit Revaluation Profit (B) or (C)
Only …………. preferences shares can be redeemed. Partly paid up Fully paid up (A) & (B) None of above
Out of the profits which would
If any premium is to be payable on redemption of preference share, such premium otherwise available for dividend ie.
has to be provided -…….. free reserve Out of the securities premium account (A) or (B) None of above
Where preferences shares are redeemed out of profits, a sum equal to the nominal
amount of the shares so redeemed must be transferred to ………….. Capital Reserve A/c Capital Redemption Reserve A/c Capital Profit A/c Revenue Redemption Reserve A/c
Capital Redemption Reserve Account may be applied to issue -………… Right shares Bonus debentures Bonus to employees of the company Bonus shares
No company limited by shares, issue any preference shares which is redeemable
after the expiry of a period of from …………. the date of issue Ten years Five years Twenty years Twenty five years

The balance in capital redemption reserve is available for -……………… Issue of fully paid-up bonus shares Redemption of preference shares Redemption of debentures All of the above
As per the Companies Act, 2013, preference shares which are issued by company
engaged in infrastructure project can issue preference share which are redeemable
after ………….. 20 years 40 years 30 years 10 years
Preferential right regarding Preferential right regarding payment of dividend and return
A preference shares is one which enjoy a: ……………….. payment of dividend Preferential right regarding allotment of shares of capital Preferential right regarding return of capital
Cumulative, participating and non-
Unless otherwise stated, a preference share is always deemed to be – ………… convertible Non-cumulative, non-participating and non-convertible Cumulative, non-participating and non-convertible Non-cumulative, participating and non-convertible
As per the Companies Act, 2013 the companies cannot use the balance of Securities Premium on redemption of
Premium for – debentures Issuing bonus shares Writing off commission on issue of shares or debentures Loss of issue of debentures
To whom the bonus shares or rights shares can be issued? Equity shareholders Preference shareholders Both (A) and (B) Neither (A) nor (B)
Preference shares are entitled to a -……… Variable rate of dividend. Fixed rate of dividend. Both (A) and (B) Neither (A) nor (B)
When his special rights as a
preference shareholder are being When their dividend has not been paid for a period of 2
A preference shareholder can vote – varied On any resolution for the winding up of the company years or more. All of the above
Redeemable Preference shares can be redeemed out of The sale proceeds of Investments The proceeds of a fresh issue of shares Share premium The proceeds of issue of debentures
Which of the following is correct journal entry for the ‘Amount due to preference Prefernce shareholders A/c Dr. to Prefernce share capital A/c Dr. Premium on redemption
shares on redemption? Preference Share capital A/c refernce shareholders A/c Dr. To Preference Share capita A/c Dr.To Preference shareholders A/c Prefernce shareholders A/c Dr.To Bank A/c
Which of the following is not the limitation of financial statement analysis? Ignores price level changes window dressing Qualitative aspect ignored Inter firm comparisons
Current maturities of long-term debt are shown under: Long term Provisions Long term Borrowings Short term Borrowings Other Current liabilities
Indicate the item which appears as short-term provisions: Provision for doubtful debts Provision for gratuity Employee’s Provident fund Securities premium reserve
To present composition of various
Main objective of Common size statement: items To provide common base for comparison To establish relationship between various items All of the above
Calls in Arrears appear in a Company's Balance Sheet under: Reserve & Surplus Shareholders Funds Contingent Liabilities Short-term Borrowings
Provision for Tax appears in a Company's Balance Sheet under Sub-head Short-term Provisions Reserves and Surplus Long-term Provisions Other Current Liabilities
Revenue from Operations 4,00,000; Cost of Revenue from Operations 60% of
Revenue from Operations; Operating expenses 30,000 and rate of income tax is 40%.
What will be amount of profit after tax: 52,000 78,000 64,000 96,000

Which of the following type of security can be issued at discount as per Companies
Act, 2013? (1) Equity Shares (2) Sweat Equity Shares (3) Preference Shares (4)
Debentures (5) Bonds Select the correct answer from the options given below – (1) & (3) only (1), (3) & (4) only (2), (4) & (5) only (3), (4) & (5) only
Which of the following security can be forfeited for non-payment of allotment
or call money? (I) Equity Shares (II) Equity Shares, Preference Shares (III)
Preference Shares, Equity Shares & Debentures (IV) Debentures Select the
correct answer
from the options given below – (I) only (III) only (I) & (IV) only (II) only
Which of the following can be utilized in redemption of preference share capital
account? 1. Profits available for dividend 2. Capital Reserve 3. Dividend Equalization
Fund 4. Development Rebate Reserve 5. Profit Prior to Incorporation Select the
correct answer from the options given below . 1, 3 and 5 only 2 and 4 only 1 and 3 only 1, 2, 3 and 5 only