Q844
Free assets of a company are –
A.
Distributed bonuses
B.
Unallocated surpluses
AnswerC.
Dividends
D.
Encumbered assets
Answer: Option B
Solution
Answer: Option B
Solution:
Free assets of a company are Unallocated surpluses. Free assets are the assets held over and above the liabilities (which may or may not include supervisory reserves), whilst surplus is the amount held over and above the reserve level.