The profit available to Zara Ltd. is ₹ 15,00,000 but it has further outstanding interest of ₹ 3,00,000 Income tax expenses ₹ 80,000 on the date of liquidation. The accumulated profit of Zara Ltd. as on the date of liquidation is:
A. ₹ 15,00,000
B. ₹ 12,00,000
C. ₹ 11,20,000
D. ₹ 14,20,000
Answer:C
The profit available to Zara Ltd. is ₹ 15,00,000 but it has further outstanding interest of ₹ 3,00,000 Income tax expenses ₹ 80,000 on the date of liquidation. The accumulated profit of Zara Ltd. as on the date of liquidation is:
A. ₹ 15,00,000 B. ₹ 12,00,000 C. ₹ 11,20,000 D. ₹ 14,20,000