CBSE Class 12 Accountancy Accounting for Share Capital Quiz 1

1. Reserve share capital means :

A Part of authorised capital to be called at the beginning B Portion of uncalled capital to be called only at liquidation C Over subscribed capital D Under subscribed capital

2. When full amount is due on any call but it is not received, then the short fall is debited to :

A Calls-in-advance B Calls-in-arrear C Share Capital D Suspense Account

3. The difference between subscribed capital and called up capital is called :

A Calls-in-arear B Calls-in-advance C Uncalled capital D None of these

4. Which statement is issued before the issue of shares ?

A Prospectus B Articles of Association C Memorandum of Association D All of these

5. Company can utilise securities premium for :

A Writing off loss incurred on revaluation of asset B Issuing fully paid bonus shares C Paying divided D Writing off trading loss

6. When a company issues fully paid shares to promoters

A Bank A/c Dr. To Share Capital A/c B Good will A/c Dr. To Share Capital A/c C Promoters Personal A/c Dr. To Share Capital A/c D Promotion Expenses A/c Dr. To Share Capital A/c

7. When a company issues shares at a premium, amount of premium may be received by the company :

A Along with application money B Along with application money C Along with calls D Along with any of the above

8. Share Application Account is :

A Personal Account B Real Account C Nominal/ Account D None of these

9. Secrities Premium can not be applied :

A For paying dividend to members B For issuing bonus shares to members C For writing off preliminary expenses of company D For writing off discount on issue of debentures

10. A joint stock company is :

A An artificial legal person B Natural person C A general person D None of these