Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Financial Statements of a Company

Question:

Money received against share warrants is shown under which head as per Schedule III of the Companies Act 2013?

Options:

Reserves and Surplus

Shareholder's Funds

Non Current Liabilities

None of the above

Correct Answer:

Shareholder's Funds

Explanation:

The correct answer is option 2- Shareholders Fund.

As per Schedule III of the Companies Act 2013, the shareholders’ funds are sub-classified on the face of the balance sheet.
a) Share Capital
b) Reserves and Surplus
c) Money received against Share Warrants