Name the head under which ‘discount on issue of debentures’ appears in the balance sheet of a company.
Discount on Issue of debentures is a capital loss and it will be written off out of the profit of coming years, Therefore, it is shown on the Assets side of the Balance Sheet under the heading of “Miscellaneous Expenditures” until it is written off.
What is discount on issue of debentures?
State the meaning of ‘Debentures issued as a collateral security’.
Explain the guidelines of SEBI for creating Debenture Redemption Reserve.
What is ‘Capital Reserve’?
Describe the steps for creating Sinking Fund for redemption of debentures.
Under which head is the ‘Debenture Redemption Reserve’ shown in the balance sheet?
Can the company purchase its own debentures?
Explain the different types of debentures?
What is meant by conversion of debentures? Describe the method of such a conversion.
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?
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
Prepare the format of balance sheet and explain the various elements of balance sheet.
Describe the different techniques of financial analysis and explain the limitations of financial analysis.
Explain how common size statements are prepared giving an example.
Explain the limitations of financial statements.
List the techniques of Financial Statement Analysis.
What are liquidity ratios? Discuss the importance of current and liquid ratio.
What are Comparative Financial Statements?
State the importance of Financial Analysis?
What relationships will be established to study?
(a) Inventory Turnover (b) Debtor Turnover
(c) Payables Turnover (d) Working Capital Turnover