Workmen Compensation Reserve

Q.

Workmen Compensation Reserve to the extent of liability should be credited to ______________

1. Bank A/c

2. Cash A/c

3. Workmen Compensation Claim A/c

4. Partner's Capital A/c

Q.

The balance of Workmen Compensation Reserve should be credited to ______________

1. Bank A/c

2. Workmen Compensation Claim A/c

3. Partner's Capital A/c

4. None of these

Q. Short Answer Type Questions:
What is meant by compensation of employees? Discuss three elements of compensation of employees.

Q.

In case the expected liability is more than the reserve, then the additional liability needs to be borne by ___________

1. Remaining Partner

2. All Partners

3. Outgoing Partner

4. None of these

Q.

If there is a reserve for any specific purpose, it will be shared only to the extent of that part for which there is _________ liability.

1. Investment Fluctuaction Reserve

2. Workment Compensation Reserve

3. General Reserve

4. None of these

Q. General reserve is created to meet contingent liability.

1. True
2. False