Accounting - Study Mode

[#1676] Assets very easily convertible into cash are:
Correct Answer

(D) Liquid assets

[#1677] Debenture is also named as
Correct Answer

(B) Bond

Explanation

Solution: Debenture is also named as Bond. In a sense, all debentures are bonds , but not all bonds are debentures. Whenever a bond is unsecured, it can be referred to as a debenture.

[#1678] Which of the following is the most important document of the company?
Correct Answer

(A) Memorandum of association

Explanation

Solution: Memorandum of association is the most important document of the company. It is the charter of the company, which defines the objects of the company's formation and the utmost possible scope of its operations beyond which its actions cannot go.

[#1679] Authorized share capital is also known as
Correct Answer

(A) Registered capital

Explanation

Solution: Authorized share capital is also known as Registered capital. The authorized capital of a company is the maximum amount of share capital that the company is authorized by its constitutional documents to issue to shareholders.

[#1680] The maximum amount with which a company is registered is called
Correct Answer

(A) Authorized capital

Explanation

Solution: The maximum amount with which a company is registered is called Authorized capital.