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[#2301] A limited company has to redeem redeemable preference shares of the value of Rs. 1,00,000 for which the company has issued 3000 equity shares of Rs. 10 each at a premium of 10%. The amount to be transferred to capital redemption reserve account will be:

(A) Rs.1,00,000

(B) Rs. 97,000

(C) Rs. 70,000

(D) Rs. 67,000

Correct Answer

(C) Rs. 70,000

[#2302] Given that Opening capital : Rs. 5,000 Closing capital : Rs. 6,000 Drawings : Rs. 1,000 New capital invested : Rs. 500 The profit for the year will be:

(A) Rs. 2,000

(B) Rs. 1,500

(C) Rs. 1,000

(D) Rs. 500

Correct Answer

(B) Rs. 1,500

[#2303] The amount of surrendered shares is credited to . . . . . . . .

(A) CRR

(B) sinking fund

(C) capital reduction account

(D) reserve

Correct Answer

(C) capital reduction account

[#2304] A receipts and payments account, the payments are recorded on the . . . . . . . . side.

(A) Credit

(B) Debit

(C) Upper

(D) Lower

Correct Answer

(A) Credit

[#2305] Mr. X forfeited 100 share of Rs. 10 each on which payment of Rs. 2 per share in the first call and Rs. 3 per share in the final call was not received. These shares were re-issued at a deduction of Rs. 1.50 paise per share. Amount transferred to capital reserve will be

(A) Rs. 350

(B) Rs. 500

(C) Rs. 150

(D) Rs. 50

Correct Answer

(A) Rs. 350