State with reasons whether the following statements are True or False: i. Discount column of the cash book is never balanced . ii. A Promissory Note…

(i) True: Discount column is totalled and transferred to the discount allowed or received account. (ii) False: A promissory note should not be made payable to the bearer. The payee must be to a certain person. (iii) False: Accounting standards cannot override the statute. The standards are required to be framed within the ambit of prevailing statutes. (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: Depreciation is a charge against profit and not an appropriation of profit. Therefore, depreciation has to be provided for, even in case of loss in a financial year. (vi) False: A share on which only a fixed rate of dividend is paid every year, without any accompanying additional rights in profits and in the surplus on winding-up, is called 'Non-participating Preference Shares. Non-participating preference shareholders do not enjoy voting rights.