Question 1

Q.No.1 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which sub-head are the following shown in the Balance Sheet? (i) Long-term Borrowings; (ii) Deferred Tax Liabilities (Net); (iii) Long-term Provisions.SolutionNote: These are themselves sub-heads of one main head.Answer: All three — Long-term Borrowings, Deferred Tax Liabilities (Net) and Long-term Provisions — are sub-heads under the main head Non-current Liabilities of the Equity and Liabilities side.

Question 2

Q.No.2 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionName the items that are shown under Long-term Borrowings.SolutionAnswer: Long-term Borrowings (under Non-current Liabilities) include: (i) Bonds; (ii) Debentures; (iii) Long-term loans from banks; (iv) Long-term loans from others; (v) Public deposits; (vi) Other loans and advances.

Question 3

Q.No.3 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which line item of the financial statements will the following items be shown? (i) Debentures; (ii) Encashable Leave Payable at the Time of Retirement; (iii) Tax Reserve.SolutionItemMain headSub-head(i) DebenturesNon-current liabilitiesLong-term borrowings(ii) Encashable leave payable at the time of retirementNon-current liabilitiesLong-term provisions(iii) Tax ReserveShareholders' fundsReserves and Surplus

Question 4

Q.No.4 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which heads are the following items shown: (a) Bills Receivable; (b) Loose Tools; (c) Unclaimed Dividend?SolutionItemMain headSub-head(a) Bills ReceivableCurrent assetsTrade receivables(b) Loose ToolsCurrent assetsInventories(c) Unclaimed DividendCurrent liabilitiesOther current liabilities

Question 5

Q.No.6 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which heads will the following items be shown on the Assets side of the Balance Sheet of a company: (a) Loose Tools; (b) Bills Receivable; (c) Sundry Debtors; (d) Livestock; and (e) Advances Recoverable in Cash?SolutionItemMain headSub-head(a) Loose ToolsCurrent assetsInventories(b) Bills ReceivableCurrent assetsTrade receivables(c) Sundry DebtorsCurrent assetsTrade receivables(d) LivestockNon-current assetsProperty, Plant and Equipment and Intangible assets — Property, Plant and E

Question 6

Q.No.7 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionGive the heads under which the following items will be shown in a company's Balance Sheet: (a) Debentures; (b) Interest Accrued on Investments; (c) Goodwill; and (d) Bills of Exchange.SolutionNote: Bills of exchange here are taken as bills receivable.ItemMain headSub-head(a) DebenturesNon-current liabilitiesLong-term borrowings(b) Interest Accrued on InvestmentsCurrent assetsOther current assets(c) GoodwillNon-current assetsProperty, Plant and Equipment and Intangible assets — Intangible

Question 7

Q.No.8 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which headings will the following items be shown in the Balance Sheet of a company: (a) Securities Premium; (b) Bills Receivable; (c) Authorised Capital; and (d) Goodwill?SolutionNote: Authorised capital is not part of the totals; it is disclosed in the Notes to Accounts on Share Capital.ItemMain headSub-head(a) Securities PremiumShareholders' fundsReserves and Surplus(b) Bills ReceivableCurrent assetsTrade receivables(c) Authorised CapitalShareholders' fundsShare capital (disclose

Question 8

Q.No.9 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which heads will the following items be shown in the Balance Sheet of a company: (a) Authorised Capital; (b) Forfeited Shares Account; (c) Capital Reserve; (d) Secured Debentures; (e) Provision for Tax; and (f) Unclaimed Dividend?SolutionItemMain headSub-head(a) Authorised CapitalShareholders' fundsShare capital (disclosed in the note)(b) Forfeited Shares AccountShareholders' fundsShare capital (added to paid-up capital)(c) Capital ReserveShareholders' fundsReserves and Surplus(d)

Question 9

Q.No.10 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which heads and sub-heads do the following items appear in the Balance Sheet of a company as per Schedule III of the Companies Act, 2013? (i) Security Deposits; (ii) Employees' Provident Fund Payable; (iii) Trade Creditors; (iv) Provision for Tax; (v) Stores and Spares. (ISC 2014)SolutionNote: Security deposits paid by the company (for example to an electricity board) are advances recoverable after more than a year, so they are a non-current asset. CONFIRM WITH THE BOOK that the de

Question 10

Q.No.11 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which major heads will the following items be shown while preparing the Balance Sheet of a company, as per provisions of the Companies Act, 2013? (i) 10% Debentures; (ii) Stock-in-Trade; (iii) Cash at Bank; (iv) Bills Receivable; (v) Goodwill; (vi) Loose Tools; (vii) Truck; (viii) Provision for Tax; (ix) Sundry Creditors.SolutionItemMain headSub-head(i) 10% DebenturesNon-current liabilitiesLong-term borrowings(ii) Stock-in-TradeCurrent assetsInventories(iii) Cash at BankCurrent ass

Question 11

Q.No.12 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder what heads are the following items shown in the Balance Sheet of a company? (i) Calls-in-Arrears; (ii) Commission Received in Advance; (iii) Debentures; (iv) Stores and Spare Parts; (v) Land and Building; (vi) Forfeited Shares Account; (vii) Debentures that are payable within 12 months from the date of Balance Sheet; (viii) Uncalled Liability on partly paid shares.SolutionItemMain headSub-head(i) Calls-in-ArrearsShareholders' fundsShare capital — subscribed but not fully paid-up (d

Question 12

Q.No.13 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder what heads are the following items shown in a company's Balance Sheet? (i) Deposits; (ii) Office Furniture; (iii) Prepaid Rent; (iv) Outstanding Salaries; (v) Computer Software; (vi) Interest Accrued on Investment; (vii) Bills discounted but not matured; (viii) Premium Payable on Redemption of Debentures.SolutionNote: "Deposits" is read as deposits accepted by the company from the public.ItemMain headSub-head(i) Deposits (accepted)Non-current liabilitiesLong-term borrowings(ii) Off

Question 13

Q.No.14 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionHow are the following items shown while preparing the Balance Sheet of a company? (i) Surplus, i.e., Balance in Statement of Profit & Loss (Dr.); (ii) Interest accrued and due on Debentures; (iii) Computer Software under development; (iv) Interest accrued on Investment.SolutionItemMain headSub-head(i) Surplus, i.e., Balance in Statement of Profit and Loss (debit)Shareholders' fundsReserves and Surplus (as a negative balance)(ii) Interest accrued and due on DebenturesCurrent liabilitiesOt

Question 14

Q.No.15 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which head and how are the following items shown in the Balance Sheet of a company under Schedule III? (i) Calls-in-Arrears; (ii) Share Application Money Pending Allotment; (iii) Unpaid Dividend; and (iv) Dividend not paid on Cumulative Preference Shares.SolutionItemMain headSub-head(i) Calls-in-ArrearsShareholders' fundsShare capital — subscribed but not fully paid-up (deducted)(ii) Share Application Money Pending AllotmentShare application money pending allotment (a separate head

Question 15

Q.No.16 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which main head and sub-head of the Equity and Liabilities part of the Balance Sheet are the following items classified or shown? (i) Bonds; (ii) Debentures; (iii) Public Deposits; (iv) Capital Redemption Reserve; (v) Forfeited Shares Account; (vi) Sundry Creditors; (vii) Interest Accrued but Not Due on Debentures; (viii) Interest Payable.SolutionItemMain headSub-head(i) BondsNon-current liabilitiesLong-term borrowings(ii) DebenturesNon-current liabilitiesLong-term borrowings(iii)

Question 16

Q.No.17 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionClassify the following items under major head and sub-head (if any) in the Balance Sheet of a company as per Schedule III of the Companies Act, 2013: (i) Capital Work-in-Progress; (ii) Provision for Warranties; (iii) Income received in Advance; and (iv) Capital Advances.SolutionNote: Provision for warranties is a short-term provision when the warranty period ends within 12 months of the Balance Sheet date, otherwise a long-term provision.ItemMain headSub-head(i) Capital Work-in-ProgressN

Question 17

Q.No.18 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which major heads and sub-heads will the following items be shown in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013? (i) Bank Overdraft; (ii) Capital Redemption Reserve; (iii) Contingency Reserve; (iv) Mining Rights; (v) Patents; (vi) Debit balance in the Statement of Profit & Loss; (vii) Debenture Redemption Reserve; (viii) Provision for Tax; (ix) Provision for Employee Benefits; (x) Calls-in-Advance.SolutionNote: Provision for employee ben

Question 18

Q.No.19 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionUnder which major heads and sub-heads will the following items be placed in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013? (i) Debentures with maturity period of 18 months from the date of Balance Sheet when the Operating Cycle Period is 24 months; (ii) Securities Premium; (iii) Provident Fund; (iv) Subscribed and Paid-up Capital.SolutionNote: A borrowing is current only if it is due within 12 months of the Balance Sheet date; the length of the o

Question 19

Q.No.20 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionPrepare the Balance Sheet as at 31st March, 2026 of a company as per Schedule III of the Companies Act, 2013 from the following information: 10% Debentures of ₹ 100 each ₹ 1,90,000; Stock-in-Trade (Inventories) ₹ 40,000; Goodwill ₹ 20,000; Provision for Tax ₹ 6,000.Totalling of the Balance Sheet is not required.SolutionBalance Sheet as at 31st March, 2026ParticularsNote No.₹I. EQUITY AND LIABILITIES1. Non-current liabilitiesLong-term borrowings (10% Debentures)1,90,0002. Current liabilit

Question 20

Q.No.21 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

Sarbjit Singh · Accepted Answer

QuestionFrom the following information extracted from the books of Fair Deal Ltd., prepare the Balance Sheet of the company as at 31st March, 2023 as per Schedule III of the Companies Act, 2013: Long-term Borrowings 1,000; Trade Payables 60; Share Capital 800; Reserves and Surplus 180; Property, Plant and Equipment 1,600; Inventories 40; Trade Receivables 160; Cash and Bank Balance 240.SolutionNote: The figures are used as given; if they are in thousands, read every amount × 1,000 (total ₹ 20,40

T.S. Grewal ISC Class 12 Accountancy Solutions Chapter 10 - Final Accounts of Companies

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Q.No.1 | Chapter 10 – Final Accounts of Companies | T.S. Grewal ISC Class 12 Solution

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