Which of the following items will have credit balance?

Deferred Revenue Expenditure
Income accrued but not received
Dividend declared but not paid
Discount on issue of debentures

The correct answer is: D. Discount on issue of debentures

Deferred revenue expenditure is an expenditure that is incurred in the current period but will benefit the company in the future. It is a non-current asset and is shown on the balance sheet as a deduction from the gross amount of the asset. It is not an income item and will not have a credit balance.

Income accrued but not received is an income that has been earned but not yet received. It is a current asset and is shown on the balance sheet as an asset. It is not an expense item and will not have a credit balance.

Dividend declared but not paid is a dividend that has been declared by the board of directors but has not yet been paid to the shareholders. It is a current liability and is shown on the balance sheet as a liability. It is not an income item and will not have a credit balance.

Discount on issue of debentures is a discount that is offered to investors on the issue of debentures. It is a non-current liability and is shown on the balance sheet as a liability. It is an expense item and will have a credit balance.

Exit mobile version