What is discount on issue of debentures?
Discount on issue of debentures is a capital loss and over a period of 3 to 5 years or is charged to “Securities Premium Account” as per the guidelines issued by ICAI. The discount on issue of debentures can be written-off either by debiting it to profit and loss or to securities premium account.
What is ‘Capital Reserve’?
State the meaning of ‘Debentures issued as a collateral security’.
Can the company purchase its own debentures?
What is meant by ‘Issue of debenture at discount and redeemable at premium?
Describe the steps for creating Sinking Fund for redemption of debentures.
Explain the different types of debentures?
What does a Bearer Debenture mean?
What is a ‘Convertible Debenture’?
What is meant by a ‘Irredeemable Debenture’?
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?
State the meaning of financial statement analysis?
Describe the different techniques of financial analysis and explain the limitations of financial analysis.
What is the importance of comparative statements? Illustrate youranswer with particular reference to comparative income statement.
What do you mean by Ratio Analysis?
How will you disclose the following items in the Balance Sheet of a company;
(i) Loose tools
(ii) Uncalled liability on partly paid-up shares
(iii) Debentures redemption reserve
(iv) Mastheads and publishing titles (v) 10% debentures
(vi) Proposed dividend
(vii) Share forfeited account
(viii) Capital redemtion reserve
(ix) Mining rights
(x) Work-in-progress
What are liquidity ratios? Discuss the importance of current and liquid ratio.
What do you mean by Common Size Statements?
Prepare the format of balance sheet and explain the various elements of balance sheet.
State the meaning of Analysis and Interpretation.
Explain the usefulness of trend percentages in interpretation of financial performance of a company.