CBSE Class 12 Accountancy Accounting for Share Capital Quiz 5

1. Premium on issue of shares can be used for :

A Issue of Bonus shares B Distribution of Profit C Transferring to General Reserve D All these

2. If equity share of ₹ 10 Rs. each is issued at ₹ 12 each, it is called:

A Issued at Par B Issued at Premium C Issued at Discount D None of these

3. The maximum capital beyond which a company is not allowed to raise funds, by issue of shares is called …………..

A Issued capital B Reserve capital C Authorised capital D Subscribed capital

4. As per Table F the maximum rate of interest on calls in advance paid is:

A 8% p.a. B 12% p.a. C 5 % p.a. D None of these

5. As per the Companies Act, only preference shares, which are redeemable within …………. can be issued.

A 24 years B 22 years C 30 years D 20 years

6. Which one of the following is the registered capital of the company ?

A Paid-up capital B Uncalled capital C Authorised capital D Issued capital

7. Dividends are usually paid on :

A Authorised Capital B Issued Capital C Called-up Capital D Paid-up Capital

8. If vendors are issued fully paid shares of ₹ 1,00,000 in consideration of net assets of ₹ 1,20,000 the balance of ₹ 20,000 will be credited to :

A Goodwill Account B Capital Reserve Account C Vendor’s Account D Profit & Loss Account

9. Which account should be debited when shows an issued to promoters:

A Share Capital A/c B Assets A/c C Promoter’s A/c D Goodwill A/c

10. According to Section 52 of the Compaines Act, the amount in the Securities Premium Account cannot be used for the purpose of:

A Issue of fully Paid Bonus Shares B Writing Off Losses of the Company C Writing off Preliminary Expenses D Writing Off Commission or Discount on Issue of Shares