ISC Board Accountancy Sample Paper
Q1. Mention two differences between Premium on Issue of Debentures and Premium on Redemption of Debentures.
Premium on Issue of Debenture | Premium on Redemption of Debenture |
(1) It is a capital profits and used in writing of the capital losses
(2) The balance of premium on issue of debenture A/c (securities premium A/c) is shown on the liabilities side of the balance sheet under the head, “Reserve and Surplus”. | (1) It is a capital loss.
(2) It is a liability and appears under the head current liability and provisions until the debentures are repaid. |
Q2. State any two advantages of the Self Balancing System.
1. Easy location of errors : Self balancing system localises the errors and facilitates their given detection with minimum effort.
2. Division of work : It facilitates division of work among different employees of the business enterprises.
Q3. What is a stores ledger ?
Answer: Store ledger is a record of material. It is prepared by stores department in which they kept the records of all receipts and issue of materials both in terms of quantity and value. In store ledger separate account for each material is kept.
Q4. What are quoted investments ?
Answer: Investment in shares and debentures which are quoted on a recognised stock exchanger are called quoted investments. A company after fulfillment of certain conditions and payment of requisite fees, gets its shares and debentures listed on a stock exchange.
Q5. Mention any two differences between Revaluation Account and Realisation Account.
Answer: Difference between Revaluation account and Realisation account :
| Revaluation account | Realisation account |
(1) Meaning | In this effect of the revaluation of assets and liabilities is recorded. | In this realisation of assets and liabilities is recorded. |
(2) Time | It is prepared at the time of admission, retirement or death of a partner. | It is prepared at the time of...