Accounting 0452 · IGCSE · Limited companies

Limited companies — practice question

Which of the following statements are correct about the financial statements of a limited company? 1 An ordinary dividend paid appears in the income statement. 2 A transfer into the general reserve is shown in the statement of changes in equity. 3 Debentures issued are shown in the statement of changes in equity. 4 A proposed dividend is not included in the income statement.

  • A1 and 2
  • B1 and 3
  • C2 and 4
  • D3 and 4

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