12th Class Accountancy Accounting For Share Capital Question Bank MCQs - Accounting for Share Capital

  • question_answer
    Which of the following statement is not correct?

    A) Securities Premium Reserve cannot be used as working capital.

    B) Capital reserve is a reserve created out of the profits of capital nature.

    C) Preliminary expenses are those expenses which are incurred for incorporation of a company.

    D) It is mandatory to create Reserve Capital.

    Correct Answer: D

    Solution :

    It is mandatory to create Reserve Capital.


You need to login to perform this action.
You will be redirected in 3 sec spinner