Class 12 Accountancy - Company Accounts and Analysis of Financial Statements - Chapter Issue and Redemption of Debentures NCERT Solutions | State the meaning of ‘Debentures i

What is ‘Capital Reserve’?

Can the company purchase its own debentures?

What is discount on issue of debentures?

What is meant by ‘Issue of debenture at discount and redeemable at premium?

Explain the different terms for the issue of debentures with reference to their redemption.

Can a company purchase its own debentures in the open market? Explain.

What is meant by ‘Premium on Redemption of Debentures’?

Describe the steps for creating Sinking Fund for redemption of debentures.

Under which head is the ‘Debenture Redemption Reserve’ shown in the balance sheet?

What do you mean by Ratio Analysis?

List the techniques of Financial Statement Analysis.

State the meaning of financial statement analysis?

What are various types of ratios?

Distinguish between Vertical and Horizontal Analysis of financial data.

What are limitations of financial statement analysis?

What relationships will be established to study?
(a) Inventory Turnover (b) Debtor Turnover
(c) Payables Turnover (d) Working Capital Turnover

State the meaning of Analysis and Interpretation.

List any three objectives of analysing financial statements?

The liquidity of a business firm is measured by its ability to satisfy itslong-
term obligations as they become due. What are the ratios used forthis purpose?

The average age of inventory is viewed as the average length of time inventory is held by the firm or as the average number of days’ sales in inventory. Why?

Prepare the format of statement of profit and loss and explain its items.

What do you mean by Common Size Statements?

‘Financial statements reflect a combination of recorded facts, accounting
conventions and personal judgements’ discuss.

Explain the limitations of financial statements.

Explain how common size statements are prepared giving an example.

Explain the nature of the financial statements.

Explain how financial statements are useful to the various parties who are interested in the affairs of an undertaking?

List any three objectives of analysing financial statements?

List the techniques of Financial Statement Analysis.