Top 550+ Solved Corporate Accounting MCQ Questions Answer
Q. The minimum application money to be paid by an applicant must not be less than …….as perCompanies Act.
a. 10%
b. 5%
c. 15%
d. 20%
Q. The excess price received on the par value of shares should be credited to ………….
a. Calls in advance A/c
b. Reserve Capital A/c
c. Security Premium A/c
d. None of these
Q. Underwriting commission is classified as …………..
a. Capital Loss
b. Capita Expenditure
c. Revenue expenditure
d. Deferred revenue expenditure
Q. The profit on reissue of forfeited shares is transferred to ………
a. General reserve
b. Capital Redemption reserve
c. Capital reserve
d. Investment Allowance reserve
Q. Preference shareholders are…………
a. Debtors of the company
b. Creditors of the company
c. Owners of the company
d. None of these
Q. The shares firstly offered to the existing shareholders are called as ………….
a. Right shares
b. Bonus shares
c. Ordinary shares
d. None of these
Q. The security premium account is shown in the balance sheet under the head……….
a. Share capital
b. Reserves & Surplus
c. Secured loans
d. Current liabilities
Q. ………..should be deducted from the share capital to determine the paid up capital.
a. Security premium
b. Calls in advance
c. Calls in arrears
d. Discount on issue
Q. The share capital account is debited with …………while forfeiting shares
a. Calls in arrears
b. Paid up capital
c. Called capital
d. Issued capital
Q. Balance of forfeited share is …….
a. Revenue Reserve
b. Capital Reserve
c. Secret Reserve
d. Security Premium
Q. When shares are issued at a price higher than their face value, it is called issue at…………..
a. Par
b. Premium
c. Discount
d. None of these
Q. The shares of a company only can be forfeited after giving a ………days notice
a. 21
b. 14
c. 7
d. 30
Q. Discount on reissue of forfeited shares should not exceed ………….
a. Amount forfeited
b. Face value
c. Issued price
d. Market price