Accounting - Study Mode

[#1911] Which of the following is/are feature(s) of equity share capital
Correct Answer

(C) both, dividend is payable only if company has earned profit and dividend become payable only if such payment has been recommended by board of director and passed by the Annual General Meeting of company

[#1912] The convention of conservatism implies that:
Correct Answer

(C) Both the above A and B

[#1913] Redeemable Preference Shares of Rs. 2,00,00 are to be redeemed at par for which purpose fresh Equity Shares of Rs. 80,000 are issued at a discount of 10%. What amount should be transferred to Capital Redemption Reserve Accounts?
Correct Answer

(C) Rs. 1,28,000

[#1914] Which one of the following is Activity Ratio?
Correct Answer

(C) Debtor Turnover Ratio

[#1915] If cost is Rs. 48,000 and gross profit is 20% on sales then calculate amount of gross profit?
Correct Answer

(A) Rs. 12,000