The share of outsiders in the Net Assets in subsidiary company is known as under :
(a) outsiders liability
(b) Assets
(c) subsidiary company’s liability
(d) Minority Interest
Excess of cost of investment over paid up value of the shares is considered as:
(a) Goodwill
(b) Capital Reserve
(c) Minority Interest
(d) Non of above
Excess of paid up value of the shares over cost of investment is considered as:
(a) Goodwill
(b) Capital Reserve
(c) Minority Interest
(d) Non of above
Holding Co. share in capital profits of subsidiary company is adjusted in :
(a) Cost of control
(b) Shown on Assets side of Balance sheet
(c) Revenue profit
(d) None of above
Holding Co. share in revenue profits of subsidiary company is adjusted in :
(a) Cost of control
(b) Shown on Assets side of Balance sheet
(c) Profit and loss account
(d) None of above
Unrealised profit on goods sold and included in stock is deducted from :
(a) Capital Profit
(b) Revenue Profit
(c) Fixed Assets
(d) Minority interest
Face value debentures of subsidiary co. held by Holding Company is deducted from :
(a) Debentures
(b) Cost of control
(c) Minority interest
(d) Debentures in consolidated balance sheet
Which of the following statement is true:
(a) There is no change in the amount of capital reserve before and after issue of bonus share of the issue is made from out of pre-acquisition profit.
(b) There is change in the amount of capital reserve before and after issue of bonus share of the issue is made from out of post-acquisition profit.
(c) There is change in the amount of capital reserve before and after issue of bonus share of the issue is made from out of pre-acquisition profit.
(d) There is no connection between the issue of bonus shares and the calculation of capital reserve.
Minority Interest includes :
(a) Share in share capital
(b) Share in Capital profit
(c) Share in Revenue profit
(d) All of the above
The Time interval between the date of acquisition of shares in subsidiary company and date of Balance Sheet of Holding Company is known as :
(a) Pre-acquisition period
(b) Post-acquisition period
(c) Pre-commencement period
(d) Pre-incorporation period.
Pre-acquisition dividend received by Holding company is credited to
(a) Profit & Loss A/c
(b) Capital profit
(c) Investment A/c
(d) Non of the above
Post Acquisition dividend received by Holding Company is debited to :
(a) Bank A/c
(b) Profit & Loss A/c
(c) Dividend A/c
(d) Investment A/c
Which Exchange rate will be considered for conversion of share capital of subsidiary company.
(a) Opening Rate
(b) Closing rate
(c) Average Rate
(d) Rate of which date share acquired (actual)
A subsidiary company shall be excluded from consolidation when:
(a) Control is intended to be temporary
(b) It operates under severe long-term restrictions which significantly impair its ability to transfer funds to the parent
(c) Always included for consolidation
(d) Both (a) and (b)
Innovative Ltd. purchased 80 percent of the shares of Y Ltd. at a price of Rs. 1,20,000. Share capital of Y Ltd. was of Rs. 1,00,000 and its accumulated profits amounted to Rs. 60,000. What would be the amount of Minority Interest in the consolidated Balance Sheet?
(a) Rs. 24,000
(b) Rs. 32,000
(c) Rs. 76,000
(d) Rs.20,000
Holding Companies acquire or purchase :
(a) Debenture of other company
(b) Equity shares of other company
(c) Preference shares of other company
(d) Assets of the other company
In case of Holding Companies:
(a) Separate Balance Sheet of Holding & Subsidiary Companies is prepared
(b) Single Balance Sheet of Holding & Subsidiary company
(c) No Balance of prepared
(d) Only Holding Company prepare its Balance sheet
X Ltd. holds 51% of Y Ltd., Y Ltd. holds 51% of W Ltd., Z Ltd. holds 49% of W. Ltd. As per AS 18, Related Parties are:
(a) X Ltd., Y Ltd. & W Ltd.
(b) X Ltd. & Z Ltd.
(c) Y Ltd. & Z Ltd.
(d) X Ltd. & Y Ltd. only
