last year company profit is Rs 50.000 ,the part of the profit is transfer to

last year company profit is Rs 50.000 ,the part of the
profit is transfer to reserve and surplus account . but
the current year company suffering loss .in that situation
company can take help Rs 25000 from reserve and surplus
. if yes than how can ,please reply me what is general entry

Question Posted / tanveer ahmed

3 Answers
7086 Views
IBM, TCS, I also Faced
E-Mail Answers

Answers were Sorted based on User's Feedback

last year company profit is Rs 50.000 ,the part of the profit is transfer to reserve and surplus ..

Answer / surbhi bhandari

reserve & surplus a/c debit to profit & loss a/c

Is This Answer Correct ?

15 Yes

0 No

last year company profit is Rs 50.000 ,the part of the profit is transfer to reserve and surplus ..

Answer / ravi

yes reserves & surplus amount which is kept as a reserve for last year can be utilized in this year

journal entry
reserves&surplus a/c dr 25000
TO P&LA/C 25000

Remaining 25000 can be utilized to set off future occuring
losses

Is This Answer Correct ?

8 Yes

0 No

last year company profit is Rs 50.000 ,the part of the profit is transfer to reserve and surplus ..

Answer / tapan

when we transferred the profit in Reserve & Surplus Entry is

Reserve & Surplus A/c Dr
To Profit & Loss Account

Now Loss Occur so just reverse Entry

Profit & Loss A/C Dr
To Reserve & Surplus

Is This Answer Correct ?

3 Yes

3 No

Post New Answer

More Accounting General Interview Questions

Dear sir, previosly i worked with hospital there i maintain only accounts only in tally, but now iam change my company to manufacturing unit there they using accounts with inventory there when we open tally i finding more options why?

1 Answers

is depreciation a fictious assets?

2 Answers

i had completed my continious service in ltd co for 4.6years,whether i am eligible for gratuity

1 Answers

What are the important things to be remembered while preparing a bank reconciliation statement?

0 Answers

what is the meaning of 4X and 10X value in intraday market?

0 Answers

if co. (proprietorship). purchase mobile phone for employees than mobile phones under off. equipment .we have rec. purchase bill gst applicable how shows entry

0 Answers

How to calculate ESI Please define what include in basic salary and what should be excluded from basic salary

0 Answers TCube Solutions,

want to know the questions and answers frequently asking in banks at the time of interview for any cadre

0 Answers

1.recivable and payble 2.pf,tds,esi

0 Answers

If in Baance sheet Furniture is given @ rs.1200000. and an adjustment tells that half of the building is used for residential purpose... then what is treatment in accounts?

1 Answers ICA,

In what way does option issuer benefit

2 Answers Capital IQ,

What is the treatment of claim settled by insurance company but still receivable in profit and loss account

0 Answers

For more Accounting General Interview Questions Click Here