QUESTION 83 (PAST PAPER NOVEMBER 18) The following extract of Balance Sheet of Prabhat Ltd. (Non...

  

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QUESTION 83 (PAST PAPER NOVEMBER 18) The following extract of Balance Sheet of Prabhat Ltd. (Non investment Company) was obtained: Balance Sheet (Extract) as on 31st March, 2019 Liabilities Issued and subscribed capital: 30,000, 12% preference shares of Rs. 100 each (fully paid) 24,00,000 equity shares of Rs.10 each, Rs. 8 paid up Share suspense account Reserves and Surplus: Securities premium Capital reserves (Rs. 3,00,000 is revaluation reserve) Secured loans: 12% debentures Unsecured loans: Public deposits Current liabilities: Trade payables Cash credit from SBI (short term) Assets Investments in shares, debentures etc. Profit & loss account (Dr. balance) Rs. 30,00,000 1,92,00,00 0 40,00,000 1,00,000 3,90,000 1,30,00,00 0 7,40,000 6,90,000 9,30,000 1,50,00,00 0 30,50,000 Share suspense account represents application money received on shares, the allotment of which is not yet made. You are required to compute effective capital as per the provisions of Schedule V. Would your answer differ if Prabhat Ltd. is an investment company? QUESTION 83 (PAST PAPER NOVEMBER 18) The following extract of Balance Sheet of Prabhat Ltd. (Non investment Company) was obtained: Balance Sheet (Extract) as on 31st March, 2019 Liabilities Issued and subscribed capital: 30,000, 12% preference shares of Rs. 100 each (fully paid) 24,00,000 equity shares of Rs.10 each, Rs. 8 paid up Share suspense account Reserves and Surplus: Securities premium Capital reserves (Rs. 3,00,000 is revaluation reserve) Secured loans: 12% debentures Unsecured loans: Public deposits Current liabilities: Trade payables Cash credit from SBI (short term) Assets Investments in shares, debentures etc. Profit & loss account (Dr. balance) Rs. 30,00,000 1,92,00,00 0 40,00,000 1,00,000 3,90,000 1,30,00,00 0 7,40,000 6,90,000 9,30,000 1,50,00,00 0 30,50,000 Share suspense account represents application money received on shares, the allotment of which is not yet made. You are required to compute effective capital as per the provisions of Schedule V. Would your answer differ if Prabhat Ltd. is an investment company?

Answer rating: 100% (QA)

Paidup share capital 30000 12 Preference shares 24... View the full answer