Accounting - Study Mode
[#1381] To provide funds to pay to the retiring partner or to the representatives of a partner, generally . . . . . . . . . is created by partners.
Correct Answer
(B) joint life policy
[#1382] The adjustment entry passed to eliminate the inter company owing is
Correct Answer
(C) Debit Sundry Creditors A/c, Credit Sundry Debtors A/c
[#1383] The expenditure incurred for enhancing the capacity of an existing equipment is:
Correct Answer
(C) A capital expenditure
[#1384] Arrange the following parties in the event of dissolution of a firm. 1. Secured creditors 2. Unsecured creditors 3. Partners who have granted loans 4. Partners who have contributed over and above profit sharing ratio Select the correct answer:
Correct Answer
(B) 1, 2, 3, 4
[#1385] Statement I In the traditional accounting, assets are shown at cost, year after year. Statement II The cost in inflation accounting represent the cost that prevails at the time of reporting. Which of the following is/are correct?
Correct Answer
(A) Both statements are correct