How will you show the following items in the Balance Sheet of a Company; (i) Calls in Arrears; (ii) Calls in Advance.

SOLUTION


(i) Calls in Arrears: It is deducted from the subscribed but not fully paid capital, (ii) Calls in Advance: It is shown under the head ‘Current Liabilities’ under sub-head ‘Other Current Liabilities’.

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