Accumulated Profits and Losses

Q.

What do you mean by accumulated profits and losses?

Q.

Accumulated profits and reserves are distributed to partners in their ___

1. Sacrificing Ratio

2. Gaining ratio

3. New Ratio

4. Old Ratio

Q.

Accumulated losses are ________ to the capital accounts of partners.

1. None of the above

2. Debited

3. Either A or B

4. Credited

Q.

Accumulated profit/losses & reserves are shared by the old partners in their :

1. old profit sharing ratio

2. sacrificing ratio

3. new profit sharing ratio

4. capital ratio

Q. Not-for-Profit Organisations do not maintain_______account.

1. capital
2. cash
3. bank
4. income

Q. Accumulated profits/Losses & Reserves are shared by the old partners in their ________.

1. Capital ratio
2. New profit sharing ratio
3. Sacrificing ratio
4. Old profit sharing ratio

Q. The accumulated losses and fictitious assets of the transferor company are transferred to _______a/c.

1. transferee company
2. equity share holders
3. equity capital
4. realization

Q. Funds raised by such Not-for-Profit organisations are credited to ________.

1. Capital fund
2. Security reserve
3. Security premium
4. General fund

Q. Do you distribute Reserves at the time of Reconstitution of a firm? Why?

Q. Goods lost by fire is debited to Goods A/c.

1. True
2. False

Q. Accumulated profits are shared by ______ before new partner is admitted.

1. all partners
2. creditors
3. old partners
4. owners

Q. Assets appearing in the book but having no value are known as ___________.

1. Wasting Assets
2. Intangible Assets
3. Current Assets
4. Fictitious Assets

Q. When goods are returned by buyer to seller, supplier sends a credit note.

1. True
2. False