Match List I with List IILIST ILIST IIA.Money received against share…

Match List I with List II

LIST I		LIST II
A.	Money received against share warrants	I.	Non current liabilities
B.	Surplus in Statements of Profit and Loss	II.	Shareholders fund
C.	Loose Tools	III.	Reserve and surplus
D.	8% Debentures	IV.	Current Assets

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 2

The correct answer is Option (2) → A-II, B-III, C-IV, D-I

Each item is placed under its head in the company balance sheet prepared as per Schedule III.

(A) Money received against share warrants — this matches (II) Shareholders fund. Schedule III shows it as a separate line item under shareholders’ funds.

(B) Surplus in Statements of Profit and Loss — this matches (III) Reserve and surplus. The credit balance of the statement of profit and loss is shown as Surplus under Reserves and Surplus.

(C) Loose Tools — this matches (IV) Current Assets. Loose tools are shown under Inventories, a current asset.

(D) 8% Debentures — this matches (I) Non current liabilities. Debentures are long-term borrowings, a non-current liability.

NCERT (2026-27 edition):
Money Received against share warrants – “It is the amount received by the company which are converted into shares at a specified date on a specified rate. The instrument issued against the amount so received as share warrants. Money received against share warrants’ to be disclosed as a separate line item under ‘shareholder’s fund’.”

NCERT (2026-27 edition):
Reserve and Surplus – “Reserves and Surplus are required to be classified as: Capital Reserve Capital Redemption Reserve Securities Premium Reserve Debenture Redemption Reserve Revaluation Reserve Share Options Outstanding Account Other Reserves (Specifying nature and purpose) Surplus: Balance in statement of profit and loss; disclosing allocations and Appropriation such as dividend, bonus shares, transfer to/from reserve, etc.”

NCERT (2026-27 edition):
Notes to Accounts

Extract from the NCERT textbook

NCERT (2026-27 edition):
Borrowings – “Total borrowings are categorised into long-term borrowings, short-term borrowings and current maturities to long-term debt. Loans which are repayable in more than twelve months/operating cycle are classified as long-term borrowings on the face of balance sheet.”