Financial Statements of a Company

Under what main heading of Balance Sheet as per Schedule III of the Companies Act 2013 will Patents be categorized?

• Current Assets

• Current Liabilities

• Short term investments

• Non-current Assets

Provision for tax is shown in the balance sheet of a company under the sub-head

• Reserves and surplus

• Non-current liabilities

• Short term Provisions

• Contingent liabilities

Securities premium is shown on the liabilities side in the balance sheet under the main heading of _______

• Reserves and surplus

• Current liabilities and provisions

• Shareholders Funds

• Contingent liabilities

Which section of the Companies Act, 2013 requires that the balance sheet be prepared in the form prescribed in Schedule III of the Companies Act, 2013?

• Section 128

• Section 130

• Section 129

• Section 212

Proposed Dividend on Shares comes under which major head?

• Shareholders Funds

• Short term provisions

• Current liability

• Contingent liability

Which of the following is not a sub-head of current assets?

• Cash and Cash Equivalents

• Short term loans and Advances

• Trademarks

• Inventories

A Company has an Operating Cycle of 8 months. It has accounts receivable amounting to ₹ 1,00,000 out of which ₹ 60,000 have a maturity period of 11 months. How will this information be presented in the Balance Sheet?

• ₹40,000 as current assets & ₹ 60,000 as non current assets

• ₹ 60,000 as current assets and ₹ 40,000 as non current assets

• ₹ 1,00,000 as non current assets

• ₹ 1,00,000 as current assets

Match the following

• (i) - D; (ii) - B

• (i) - C; (ii) - D

• (i) - A; (ii) - B

• (i) - B; (ii) - D

Which of the following will not be covered under Finance Costs?

• Discount on issue of Debentures written off

• Interest paid on Bank Overdraft

• Bank Charges

• Premium payable on redemption of debentures written off

Statement I: Unclaimed Dividend is shown as Other Current Liabilities under the head Current Liabilities

Statement II: Balance in the Statement of Profit & Loss is shown as Long Term Provisions

• Both Statements are correct

• Both statements are incorrect

• Statement I is correct and Statement II is incorrect

• Statement II is incorrect and Statement I is correct