Accounting - Study Mode
[#711] Consider the following statements: Assertion (A): Balance Sheet shows realisable value of business on a particular date. Reason (R): Accounting provides all information needed by a businessman. Now select your answer:
Correct Answer
(A) Both A and R are true, and R is the correct explanation of A
[#712] When a partner draws a fixed sum at the beginning of each month, interest on total drawings will be equal to interest of . . . . . . . . at an agreed rate
Correct Answer
(D) 6.5 months
[#713] When purchase account is credited?
Correct Answer
(D) When goods are taken by proprietor for personal use
[#714] Match the following. List-I List-II a. Expenses of scheme 1. Not transferable to capital reduction b. Statutory reserve 2. Indicate and reduced c. Balance sheet after reduction 3. Transfer difference to capital reserve d. Reduction in paid-up value of shares 4. Debit capital reduction account
Correct Answer
(D) a-4, b-1, c-2, d-3
[#715] Share allotment account is when share allotment becomes due
Correct Answer
(A) Debit