Question :  Capital employed in a firm is calculated from the liabilities approach as follows

Option 1: Partner's capital – credit  balance in current account + free reserve + credit balance of profit  and loss account – Goodwill - Non trade investment – fictitious assets – all outside liabilities

Option 2: Partners capital + credit balance in current account (minus Debit balance of current account) + free reserve + credit balance  of profit and loss (if any) – goodwill – non trade investment

Option 3: Partners capital – credit balance in current account + free reserve + credit balance of profit and loss account – Goodwill – non trade investment – fictitious assets – all outside liabilities

Option 4: All assests – goodwill – Non trade investment – fictious assets – Debit  balance of profit and loss account – outsiders liabilities

Question : The premium on redemption of debenture is shown under which head of the Balance Sheet?

Option 1: Non current liabilities

Option 2: Current liabilities

Option 3: Non current assets

Option 4: Current assets

Question : Capital employed in a firm is calculated from assets side approach as follows:

Option 1: All assets – goodwill – non trade investment – fictious assets – long term outside liabilities 

Option 2: All assets – goodwill – non trade investment – fictious assets – credit balance in cuirrent account – all outside liabilities

Option 3: Partners capital – credit balance in current account + free reserve + credit balance of profit a and loss account – Goodwill – non trade investment – fictious assets – all outside liabilities 

Option 4: All assests – goodwill – Non trade investment – fictious  assets – Debit  balance of profit and loss account – outsiders liabilities 

Question : Securities Premium Reserve A/c has a ------------ and is a-----------, to be shown on the equity and liabilities side under the head -----------.

Option 1: Debit balance, capital profit, reserve and surplus

Option 2: Credited, revenue profit, reserve and surplus 

Option 3: Credited, capital profits, reserve and surplus 

Option 4: Credited, capital profit, shareholders' fund 

Question : Due to be Settled within 12 Months from the Date of the Balance Sheet: A liability is classified or shown as ------.

Option 1: Non – current liabilities

Option 2: Current liabilities

Option 3: Current assets

Option 4: Non – current assets