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Capital Reserves
1. This is raised with selling shares at a premium. As the difference among the market price less floatation costs and par value is credited to the capital reserve.2. Along with revaluation of the company's assets. This leads to a fictitious entry that is of the nature of a capital reserve.3. Via creation of a sinking fund.
Q. Example of Trial Balance columns? Start by extending all of Micro Train's revenue and expense account balances in the Adjusted Trial Balance columns to the Income Statement
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