In the calculation of ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐, past profits will have to be adjusted, in order to dertemine the future expected profits.

Related MCQs

• If the actual profits are more than the expected normal profits, the difference is termed as ‐‐‐‐‐‐‐
• Holding Co. share in revenue profits of subsidiary company is adjusted in :
• ------ is a liability which may or may not arise in future depending on happening of some uncertain future event.
• While preparing the books of the transferee company in purchase method, the difference between purchase consideration and share capital of the transferor company should be adjusted in -------------
• A past member is not liable to contribute:
• Those preference shares which do not carry the right of share in excess profits are known as ------- preference shares.
• When debentures are redeemed out of profits, an amount equal is transferred to…..
• Banks are required to transfer ….. of their profits to statutory reserve
• In case of ……………..preference shares, the arrears of dividend are carried forward and paid out of the profits of the subsequent years.
• All the …… profits are not available for the purpose of redemption of preference shares