Page 60 - IC46 addendum

General Insurance Accounts (IC-46)

32. The accounting value of options granted
under an Employee Stock Option plans
shall be:

a. Treated as shares issued on discount.
b. Treated as employee compensation in the

financial statements.
c. Reduce from share premium account.
d. Reduced from share capital account.

33. Find the incorrect statement:
a. The venture is a bond issued by a company

under its seal acknowledging its debt and
obligation for repayment along with the
conditions and provisions for repayment of
the principal amount and interest.
b. Debentures can be issued at par, at premium
or at a discount.
c. Accompaniment, distribute past undistributed
profits in form of bonus shares.
d. Bonus shares are issued to the existing
members in proportion to their shareholding
in the company.
e. None are incorrect.

34. Find the incorrect statement:
a. Calls in arrear in trial balance represents the

Sashi Publications - Call: 033-22184184 /40078428 59

Copyright@ The Insurance Times. 09883398055 / 09883380339