Question
QUESTION 16 Par Value is the artificial value you place on the company's shares at time...
QUESTION 16 Par Value is the artificial value you place on the company's shares at time of incorporation O True O False QUESTION 17 The formula for the balance sheet is? O A Assets - Liabilities = Owners Equity OB. Assets + Owners Equity = Liabilites O C. Income - Expenses = Owners Equity OD Assets + Liabilities = Owners Equity
Answers
16. False
Par value means face value. The entity that issues a financial instrument assigns a par value to it. It remains the minimum value that can be assigned to the share and is required to be specified in the Memorandum of Association- Section 4(1)(e)(i) of the Indian Companies Act, 2013.
17. (Option a) Assets-Liabilities= Owner’s Equity
The formula for the balance sheet is Assets-Liabilities= Owner’s Equity.
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