Page 1 - Home Assignment QUES

CLASS – XI
ACCOUNTANCY

Home Assignment

1. _________ created meet a known liability.

2. __________ created to strengthen the financial position of business
enterprise.

3. Reserves created out of capital profits are known as ____________

4. A _________ reserve is created by undervaluing the fixed assets.

5. ___________ are charge against profits.
a) provision
b) reserve
c) both a & b
d) none of the above

6. ___________ is an appropriate of profit.
a) provision
b) reserve
c) both a & b
d) none of the above

7. ___________ can be invested outside the business.

a) provision
b) reserve
c) both a & b
d) none of the above

8. Creation of ___________ is necessary as per law.
a) provision
b) reserve
c) both a & b
d) none of the above

9. The objective of ______ is to provide for known liability but cannot be
calculated accurately.