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Direction: Choose the correct answer to the following questions from the given alternatives:
When all the debentures are redeemed, balance in the debentures redemption fund account is transferred to:
  • a)
    Capital reserve,
  • b)
    General reserve,
  • c)
    Profits and loss appropriation account.
  • d)
    All of the above
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Direction: Choose the correct answer to the following questions from t...


  • Debentures Redemption Fund: This fund is created to redeem debentures when they are due.

  • Transfer of Balance: When all the debentures are redeemed, the balance in the debentures redemption fund account is transferred to another account.

  • General Reserve: The balance in the debentures redemption fund account is usually transferred to the general reserve.

  • Capital Reserve: Sometimes, the balance may be transferred to the capital reserve if there is a specific provision for it.

  • Profits and Loss Appropriation Account: In some cases, the balance may also be transferred to the profits and loss appropriation account.

  • All of the Above: While all the options are possible, the most common practice is to transfer the balance to the general reserve.


Therefore, the correct answer is General Reserve.
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Direction: Choose the correct answer to the following questions from the given alternatives:When all the debentures are redeemed, balance in the debentures redemption fund account is transferred to:a)Capital reserve,b)General reserve,c)Profits and loss appropriation account.d)All of the aboveCorrect answer is option 'B'. Can you explain this answer?
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Direction: Choose the correct answer to the following questions from the given alternatives:When all the debentures are redeemed, balance in the debentures redemption fund account is transferred to:a)Capital reserve,b)General reserve,c)Profits and loss appropriation account.d)All of the aboveCorrect answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Direction: Choose the correct answer to the following questions from the given alternatives:When all the debentures are redeemed, balance in the debentures redemption fund account is transferred to:a)Capital reserve,b)General reserve,c)Profits and loss appropriation account.d)All of the aboveCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Direction: Choose the correct answer to the following questions from the given alternatives:When all the debentures are redeemed, balance in the debentures redemption fund account is transferred to:a)Capital reserve,b)General reserve,c)Profits and loss appropriation account.d)All of the aboveCorrect answer is option 'B'. Can you explain this answer?.
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