Question
In the context of company finances, there is a specific
portion of the company's capital that is reserved and can only be called up under particular circumstances, specifically during the liquidation of the company. This portion is not utilized in the company's regular financial operations and does not appear on the balance sheet under normal conditions. Which term accurately describes this portion of the capital that is set aside for such special use during the winding up of the company?Solution
Reserve capital refers to the portion of the authorized capital that a company can call up only in the event of liquidation. This is a reserve fund that is kept aside and is not included in the company's balance sheet under normal circumstances.
In a normal distribution, what percentage of observations lie within one standard deviation of the mean?
As per the guidelines of the Basel Committee for Banking Supervision (BCBS), credit losses on stage 1 assets will be categorised as _______ provisions a...
What new regulatory framework did SEBI introduce to redefine market capitalization computation for listed companies?
Which of the following statements is/are correct regarding Securities and Exchange Board of India (SEBI)?
1)SEBI is the regulatory body for capit...
According to the Union Budget 2023-24, consider the following statements regarding Cooperation:Â
1. New co-operatives that commenc...
The company reported:
• Purchase of Fixed Assets = ₹4,00,000
• Sale of Machinery = ₹1,50,000 (Book Value ₹1,20,000)
• P...
The treasury department have evolved in importance over number of years, which of the following is not a function of treasury department:
A loan is classified as 'doubtful' when it remains NPA for:
Under the Simplified Turnover Method, what percentage of the projected annual turnover is typically used to calculate the working capital requirement?
Under RBI norms, a borrower is considered wilful defaulter if:
