Question

Question 14:
Time per Question : 14
Which profit is transferred to Capital Reserve
Account?
Prior Incorporation
Post incorporation

Answer 1

period: The period before incorporation and the period after incorporation is called as pre incorporation and post incorporation period. (i,e. period between the business taken over and incorporated) • Post incorporation period = April to Dec = 9 months. incorporation is called as Post incorporation Profit/Loss.

Answer 2

prior Incorporation is the correct answer