Accounting - Study Mode

Show All Answers

[#1551] The Share Capital, General Reserve and Profit and Loss Account (Cr.) of B. Ltd. stood at Rs. 6,00,000 (divided into 60,000 shares of Rs. 10 each), Rs. 1,20,000 and Rs. 1,80,000 respectively. A majority of 40,000 shares had been acquired by A. Ltd. and at the time of acquisition undistributed profit and General Reserve amounted to Rs. 1,00,000. The present value of the minority interest would be:

(A) Rs. 2,00,000

(B) Rs. 2,60,000

(C) Rs. 2,66,667

(D) Rs. 3,00,000

Correct Answer

(D) Rs. 3,00,000

[#1552] Which of the following is not intangible asset?

(A) Goodwill

(B) Creditor

(C) Copyright

(D) Patent

Correct Answer

(B) Creditor

[#1553] Journal is a book of:

(A) First entry

(B) Original entry

(C) Datewise entry

(D) All of the above

Correct Answer

(D) All of the above

[#1554] When forfeited share are re-issued then the balance of share forfeiture account is transferred to:

(A) Share capital

(B) Capital reserve

(C) Share allotment

(D) Share first call

Correct Answer

(B) Capital reserve

[#1555] As per the matching concept, revenue - ? = profit

(A) Expenses

(B) Liabilities

(C) Losses

(D) Assets

Correct Answer

(A) Expenses