Calls in Arrears represent :
(A) The debit balance of allotment or all the calls account.
(B) The credit balance of allotment or all the calls account.
(C) Shareholders failed to pay amount due on allotment or on any of the calls, on due date.
(D) Such amount shall appear as Current Asset.
Choose the correct answer from the options given below:
Calls in Arrears represent :
(A) The debit balance of allotment or all the calls account.
(B) The credit balance of allotment or all the calls account.
(C) Shareholders failed to pay amount due on allotment or on any of the calls, on due date.
(D) Such amount shall appear as Current Asset.
Choose the correct answer from the options given below:
Solution
✅ Correct Option: 4
Unpaid allotment or call money leaves a debit balance in those accounts, so (A) and (C) are correct. Calls in arrears are not shown as a current asset; they are deducted from subscribed and called-up capital in the Notes to Accounts, so (D) is incorrect.
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