Question
Which of the following is NOT an advantage of Bonus
issue by a company?Solution
A bonus issue is the capitalisation of the reserves of the company. It is the issue of fully paid up shares for free to the existing shareholders to share the profits of the company in a non-cash manner. The bonus issue is made out of the free reserves or securities premium reserve or the capital redemption reserve of the company. Since these reserve are already a part of the networth of the company, issue of bonus shares does not change the networth of the company
Where to show Share application money received in excess of issued share capital?
Under which activity would the payment of dividend be classified as, in a cashflow statement?
Selling price = ₹100/unit, Variable cost = ₹60/unit, Fixed cost = ₹4,00,000. Sales = 12,000 units. Calculate sales amount if the desired profit is...
Which of the following scenarios correctly reflects the going concern assumption?
SA 230 standard refers to:
What is the full form of ESOP?
Which institution in India is responsible for the conduct of monetary policy and regulation of the money supply in the economy?
In relation to the Accounts of Electricity Companies, which of the following points are involved in the Optimised Depreciated Replacement Cost [ODRC] Me...
A Private Company can raise funds in how many ways _____________________
Which section of the Income Tax Act, 1961, allows a deduction of interest paid on loan taken for purchase of an electric vehicle?
