Surabhi purchased a car on Hire Purchase from M/s Pawan Automobiles on 1st April, 2019. The Hire Purchase price was ₹ 3,00,000 and the same was payable in 5 half yearly installments of ₹60,000 each, the first installment being due on 1st October, 2019. Interest is payable @ 10% per annum and the same is included in the half yearly installment of ₹60,000, You are required to calculate the cash price of the car and the interest paid on each installment.

As on 1st April, 2021 opening Balance Sheet of Mr. Mohanty is showing the aggregate value of Assets, Liabilities and Equity ₹12 Lakhs, ₹3 Lakhs and ₹9 lakhs respectively. During the accounting period 01/04/2021 to 31/03/2022, Mr. Mohanty has the following transactions: (1) A liability of ₹ 50,000 was finally settled at a discount of 2%. (2) Dividend earned @ 15% on 1,000 (F.V 100 each) Equity shares held @ ₹12,000. (3) Rent of the premises paid ₹20,000. (4) Mr. Mohanty withdrew ₹10,000 for personal purposes and also withdrew Goods worth ₹5,000 for personal purposes. (5) ₹15,000 were received against Bill Receivables. You are required to show the effect of the above transactions on Balance Sheet in the form of Assets - Liabilities = Equity equation after each transaction.

Given below are the extracts of Balance Sheet of Sea Chemicals Limited as on 31st March, 2022: ParticularsAmount in ₹ 9% Redeemable Preference Share Capital10,00,000 Calls in arrears (Redeemable Preference Shares)20,000 General Reserve7,00,000 Securities Premium80,000 It is provided that: – Preference Shares are of 100 each fully-called, due for immediate redemption at a premium of 5%. – Calls-in-arrears are on account of final call on 1000 shares held by four members whose whereabouts are not known. You are required to pass the necessary journal entries (narration not required) to give effect to the above redemption.

The following information is provided by Sarovar Limited, a Non-Investment company, incurring losses from past 2 years: ParticularsAmount in (₹) Share Capital (Issued & Subscribed)1,05,73,000 Capital Reserve90,000 Securities Premium67,000 Public Deposits14,50,000 Trade Payables1,98,000 Investment in other Co's Shares50,00,000 Profit & Loss (Dr.)10,25,000 Sarovar Limited has a one Whole time Director, Mr. Shyam. You are required to calculate the effective capital and the maximum remuneration that can be paid to Mr. Shyam, if, no special resolution is passed at the General Meeting of the company for the payment of remuneration for a period not exceeding three years.

Explain the objective of 'Accounting Standards' in brief. State the advantages of setting Accounting Standards.