Why Reserves and Surplus are shown on the liabilities side of
the balance sheet.? justify your answer.

Answer Posted / nilesh

reserve and surplus are shown liabilities side because the
percentage of net profit portion is keep aside for further
losses due to whatever so that time this portion profit
which is used in losses.

Is This Answer Correct ?    10 Yes 4 No



Post New Answer       View All Answers


Please Help Members By Posting Answers For Below Questions

how to calculate the per unit cost of production

1241


What is the general classification of accounts that usually ledger account involve?

696


how to caluclate tds from emloyees and others

1599


Sir, I want to know about Entry Tax. I purchased the Packing Box from other state.the entry tax on the packing items is 5 %.but now sale tax deptt. close the entry tax on barrier. the tax will be deposited with return. sir we want to know can i deposit this entry taxon on CST challan or not. if not then how can i deposit, or which cloumn in return shown this amount. please send the return format my mail ID is happynlg@gmail.com

1634


what is the relationship between bookkeeping and accounting?

620






The following are the list of Balances of SUNSHINE Company as at 1.2.2012 RM Land and building 450,000. Furniture and Fittings 35,000. Office Equipment 25,000. Motor Vehicles 75,000. Inventory 5,000. Trade Receivables 12,000. Trade Payables 8,000. Bank Loan 200,000. Bank 13,000. Cash in Hand 1,000. Capital 408,000.

1407


Explain me the difference between public and private accounting?

689


how to pass this entry in tally? Dear Sir, I have just started learning tally . I am practicing tally. and I am following 11th Std book for practicing. Please help me with the following entry. I know dr and cr part but having problem in grouping. Please Help. Introduced goods of Rs 10,000, cash Rs 15,000, furniture Rs 5000, debtors of Rs 1000 and commenced business. What will be the entry and group for each ledger. Please Help.

1138


Can a firm claim preliminary expenses incurred(manufacturing) or only its is applicable to Companies? can a firm claim ,1/5 of such expenses incurred as deduction as in case of Companies? or any other procedure.

1773


Tell me what is gaap?

624


What is Capital Commitments means?

1816


The main financial accounting statements?

654


How do you handle rejection?

672


Are there any questions you would like to ask?

620


What does the financial statement of the company include?

648