Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Financial Statements of a Company

Question:

Which of the following items is written on the third number in the balance sheet of the company according to the Companies Act,2013?

Options:

Shareholder’s Funds

Current Liabilities

Share Application money pending allotment

Non-current Liabilities

Correct Answer:

Non-current Liabilities

Explanation:

The correct answer is option 4- Non-current Liabilities.

Non-current Liabilities is written on the third number in the balance sheet of the company according to the Companies Act,2013.

* EQUITY AND LIABILITIES
1) Shareholder’s Funds (a) Share Capital (b) Reserves and Surplus (c) Money received against share warrants
2) Share Application money pending allotment 
3) Non-current Liabilities (a) Long term borrowings (b) Deferred tax liabilities (net) (c) Other long term liabilities (d) Long term provisions
4) Current Liabilities (a) Short-term borrowings (b) Trade payables (c) Other current liabilities (d) Short-term provisions

ASSETS
1) Non-Current Assets
(a) Fixed assets
          (i) Tangible assets
          (ii) Intangible assets
          (iii) Capital work-in-progress
          (iv) Intangible assets under development
(b) Non-current investments (c) Deferred tax assets (net) (d) Long-term loans and advances (e) Other non-current assets
2) Current Assets (a) Current investments (b) Inventories (c) Trade receivables (d) Cash and cash equivalents (e) Short-term loans and advances (f) Other current assets