Unclaimed dividends is shown on the liability side of the balance sheet under the heading ____________ .

Reserves & Surplus

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Provisions

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Current Liabilities

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Miscellaneous items

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Solution

The correct option is D Current Liabilities
Once the dividend is declared by the company and if it is not paid of or claimed within 30 days, company has to transfer the same amount in a separate account.
It is a current liability and to be shown in the balance sheet.

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Similar questions

Under what heads the following items on the Equity and Liabilities side of the Balance Sheet of a Company will be presented :

(i) Proposed Dividend

(ii) Unpaid/Unclaimed Dividend

(iii) Debentures

(iv) Matured Debentures

(v) Calls in Arrears

(vi) Sinking Fund

(vii) Provision for Provident Fund

(viii) Bills Payable

(ix) Public Deposits

Securities premium account is shown on the liabilities side of the balance sheet under which head?

Name the major headings under which the equity & liabilities side of a Company's Balance Sheet is organised and presented.

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