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Home Questions PCWURFZ9V3
Target Exam

CUET

Subject

Accountancy

Chapter

Accounting for Shares

Question:

Match the following:

LIST 1 LIST 2
A) Calls in arrears I) 10% p.a.
B) Calls in advance II) 12% p.a.
C) Interest on calls in arrears III) Amount not received till due date
D) Interest on calls in advance IV) Excess amount received before due date

Choose the correct answer from the options given below.

Options:

A-I, B-III, C-II, D-IV

A-II, B-IV, C-I, D-III

A-III, B-IV, C-I, D-II

A-III, B-I, C-II, D-IV

Correct Answer:

A-III, B-IV, C-I, D-II

Explanation:

The correct answer is option 3- A-III, B-IV, C-I, D-II.

LIST 1 LIST 2
A) Calls in arrears III) Amount not received till due date
B) Calls in advance IV) Excess amount received before due date
C) Interest on calls in arrears I) 10% p.a.
D) Interest on calls in advance II) 12% p.a.


* Calls in arrears- When any shareholder fails to pay the amount due on allotment or on any of the calls, such amount is known as ‘Calls in Arrears’/‘Unpaid Calls’.

* Calls in advance- Sometimes shareholders pay a part or the whole of the amount of the calls not yet made. The amount so received from the shareholders is known as “Calls in Advance”.

* Interest on calls in arrears- As per Companies Act, 2013, the maximum rate of interest on calls in arrears is 10% p.a

* Interest on calls in advance- As per Companies Act, 2013, the maximum rate of interest on calls in advance is 12% p.a.

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