CLASS 12 QUIZ FOR TERM 1

Debit balance of profit and loss statement will be shown on _____.

• Assets side of balance sheet
• Liabilities side of balance sheet
• Under the head reserve and surplus
• Under the head reserves and surplus as a negative item

Provision for provident funds is shown in the balance sheet of a company under the head ________.

• Reserves and surplus
• Non-current liabilities
• Provision
• Contingent liabilities

Current assets on the assets side of the balance sheet of a company include ______.

• Sundry debtors
• Cash in hand
• Stock
• All of the above

Goodwill of a company is shown on the assets side of the balance sheet under the head of _________.

• Current assets
• Non-current assets
• Current Liabilities
• Non-Current Liabilities

Securities premium account is shown on the liabilities side in the balance sheet under the sub-heading of _______.

• Reserves and surplus
• Current liabilities
• Share capital
• Contingent liabilities

Share capital is shown in the balance sheet under the head?

• Authorised capital
• Issued capital
• Shareholders’ funds
• Paid-up capital

Debentures are shown in the balance sheet under the subhead of _____.

• Short Term Borowwings
• Long Term Borowwings
• Other Long Term Liabilities
• Share Capital

A profit and loss appropriation account is used to

• To divide the profit and loss between the owners
• To divide the profit and loss between the owners
• To compare the profit and loss of the company with other companies
• None of the above

A profit and loss appropriation account is prepared by the following: 

• All businesses
• Corporations
• Partnership firms
• Proprietorship

Which law/act of the Indian government makes the maintenance of final accounts mandatory for each company? 

• The Indian Companies Act 2013
• The Companies Act 1956
• The Indians Company Act 1913
• Indian Partnership Act 1932