Question 20 Chapter 1 VK Publications Class 12 Part 2

Question 20 Chapter 1 VK Publications Class 12 Part 2 – 2021

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The solution of Question 20 Chapter 1 VK Publications Class 12 Part 2: –

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

20. Under which of the major heads will the folloWing items be shown, while i AsstBalance Sheet of a company, as per provisions of Companies Act 2013, as contained in Schedule III :

Prepaid Expenses Rs. 1,40,000;
Discount on Issue of Debentures Rs. 10,000 to be written off after 2 years;
10% Debentures Rs. 1,90,000;
Stock-in-Trade Rs. 40,000
Receivable Rs. 12,000;
Goodwill Rs. 20,000;
Loose Tools Rs. 12,000;
Provisions Taxation Rs. 6,000

The solution of Question 20 Chapter 1 VK Publications Class 12 Part 2: –

Particulars	Heading
(i) Prepaid Expenses Rs. 1,40,000	Current Assets
(ii) Discount on Issues of Debenture Rs. 10,000	Shareholders fund under Reserve and Surplus (negative balance)
(iii) 10% Debentures Rs. 1,90,000	Non-Current Liabilities
(iv) Stock-in-trade Rs. 40,000	Current Assets
(v) Bills Receivable Rs. 12,000	Current Assets
(vi)Goodwill Rs. 20,000	Non-Current Assets
(vii) Loose Tools Rs. 12,000	Current Assets
(viii) Provision for Taxation Rs. 6,000	Current Liabilities