Multiple choice

Unclaimed dividend is shown in balance sheet under which of the following?

  1. Assets

  2. Current Liabilities

  3. Reserve and surplus

  4. Provisions

  5. Miscellaneous items

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

According to the Companies Act 1956, unclaimed dividend should be transferred to the Investor education and Protection Fund Account. This is to be shown under Current Liabilities as Unpaid Dividend in the Balance Sheet.