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[#776] The Balance Sheet of a company includes, among other item, 10% Redeemable Preference Share of Rs. 1,60,000 fully paid, share premium Rs. 1,000 and a revenue reserve of Rs. 1,31,000. The company decided to redeem the above shares at a premium of 5% by issue of new shares. If the new issue of shares is to be at a premium of 20%, the minimum amount of new issue will be

(A) Rs. 28,800

(B) Rs. 32,000

(C) Rs. 36,000

(D) Rs. 37,000

Correct Answer

(C) Rs. 36,000

[#777] "Losses are anticipated and profits are not accounted until realized", is the part of following principle

(A) Consistency

(B) Comparability

(C) Conservatism

(D) Disclosure

Correct Answer

(C) Conservatism

[#778] In the event of recoupment of short workings by the lessee, the lessor debits

(A) Minimum Rent Account

(B) Lessee's Account

(C) Royalty Reserve Account

(D) Profit and Loss Account

Correct Answer

(C) Royalty Reserve Account

[#779] While preparing the transferee company's financial statement under amalgamation in the nature of purchase, the assets and liabilities taken over from the transferor company should be incorporated at . . . . . . . .

(A) cost

(B) book value

(C) revised value

(D) None of these

Correct Answer

(C) revised value

[#780] Unclaimed dividend is shown on the liability side of the balance sheet of a company as . . . . . . . .

(A) Share capital

(B) Current liabilities

(C) Reserves & Surplus

(D) Non-current liability

Correct Answer

(B) Current liabilities