Accountancy Part BFinancial Statements of a Company

Match List I with List II. LIST I LIST II A. Revaluation Reserve I. S…

Match List I with List II.

LIST I	LIST II
A. Revaluation Reserve	I. Share Capital
B. Issued Capital	II. Other Non current Assets
C. Discount on issue of debentures	III. Inventories
D. Loose tool	IV. Reserve and Surplus

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 4

The correct answer is Option (4) → A-IV, B-I, C-II, D-III

Each item goes under its own head of the company’s Balance Sheet (Schedule III):

(A) Revaluation Reserve — this matches (IV) Reserve and Surplus. It is one of the reserves listed under that head.

(B) Issued Capital — this matches (I) Share Capital. Issued capital is a category of share capital.

(C) Discount on issue of debentures — this matches (II) Other Non current Assets. The part to be written off after 12 months is shown under other non-current assets.

(D) Loose tool — this matches (III) Inventories. Loose tools are shown under inventory.

NCERT (2026-27 edition):
Reserve and Surplus

Extract from the NCERT textbook

NCERT (2026-27 edition):
Issued Capital – “… It is that part of the authorised capital which is actually issued to the public for subscription including the shares allotted to vendors and the signatories to the company’s memorandum.”

NCERT (2026-27 edition):
Issue of Debentures at a Discount – “… Discount on issue of debentures to be written off within 12 months of the balance sheet date or the period of operating cycle is shown under ‘Other Current Assets’ and the part which is to be written off after 12 months of balance sheet is shown under ‘Other Non-Current Assets’.”

NCERT (2026-27 edition):
Notes to Accounts

Extract from the NCERT textbook

Match List I with List II.

LIST I	LIST II
A. Revaluation Reserve	I. Share Capital
B. Issued Capital	II. Other Non current Assets
C. Discount on issue of debentures	III. Inventories
D. Loose tool	IV. Reserve and Surplus

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 4

The correct answer is Option (4) → A-IV, B-I, C-II, D-III

Each item goes under its own head of the company’s Balance Sheet (Schedule III):

(A) Revaluation Reserve — this matches (IV) Reserve and Surplus. It is one of the reserves listed under that head.

(B) Issued Capital — this matches (I) Share Capital. Issued capital is a category of share capital.

(C) Discount on issue of debentures — this matches (II) Other Non current Assets. The part to be written off after 12 months is shown under other non-current assets.

(D) Loose tool — this matches (III) Inventories. Loose tools are shown under inventory.

NCERT (2026-27 edition):
Reserve and Surplus

Extract from the NCERT textbook

NCERT (2026-27 edition):
Notes to Accounts

Extract from the NCERT textbook