Vidyalelo
Commerce · Q292

Accounting

Graduate and Post Graduate · Commerce · question 292

Q292

The claims against the company not acknowledged as debts are shown as

A.
Current liabilities
B.
Loans and advances
C.
Notes to balance sheet
Answer
D.
Director's report

Answer: Option C

Solution

Answer: Option C
Solution:
The claims against the company not acknowledged as debts are shown as notes to balance sheet. All claims which the company does not acknowledge as debts should be disclosed. Claims against the company by the labour union for additional wages, compensation, etc. come under this category.