State with reasons whether the following statements are True or False: i. Goods sold on approval or return basis are not recorded as credit sales…

(i) False: They are recorded as sales irrespective of whether the customer might accept or reject the goods at the end of the period given for the approval. (ii) False: Warehouse rent related to finished goods are expensed when incurred and are not included in inventory costs unless storage is incurred for getting the inventory ready for sale i.e. until and unless storage is required as a part of process of production of inventory like in case of wine. (iii) True: The financial statements must disclose all the relevant and reliable information in accordance with the full Disclosure Principle. (iv) False: In case of admission of new partner in a partnership firm, profit/loss on revaluation account is transferred to old partners in their old profit-sharing ratio. (v) False: The debit notes issued are used to prepare purchases return book. (vi) True: According to Section 53 of the Companies Act,2013, a company cannot issue shares at a discount except in the case of issue of sweat equity shares (issued to employees and directors).