Question : Share Capital Suspense Account is opened when-
Option 1: The share capital suspense account is opened when the Balance Sheet is not called.
Option 2: When Balance Sheet is not tallied
Option 3: When dividend is declared but not paid
Option 4: When shares are forefeited
Correct Answer: The share capital suspense account is opened when the Balance Sheet is not called.
Solution : When the Balance Sheet is not called, the share capital suspense account is opened. An account is opened as a suspense account to keep temporary data that needs additional investigation. It is used to retain data whose source is unknown since it prevents further processing or permanent assignment of the transcription.
Hence the correct answer is option 1.
Question : The forfeited amount on shares not yet reissued is shown in the Balance Sheet as an addition to the:
Question :
When shares are forfeited, Share Capital Account is debited with
Question : In the case of fixed capital, partners will have
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile