Question

Assertion (A): Premium on Redemption of Debentures is a Personal Account.

Reason (R): It appears under the head ‘Non-Current Liabilities’ under subhead ‘Other Long-term Liabilities.’

In the context of the above two statements, which of the following is correct?

Options

• Both (A) and (R) are true, but (R) is not the correct explanation of (A).

• Both (A) and (R) are true and (R) is the correct explanation of (A).

• Both (A) and (R) are false.

• (A) is false, but (R) is true.

Answer 1

Both (A) and (R) are true, but (R) is not the correct explanation of (A).