14. Give two reasons when a parent company need not present consolidated financial statements and is granted exemption by FASB: ----- Part C: Reserves & Provisions 15. Reserves are classified as capital and revenue. How are capital reserves created? 16. Give 3 examples of capital reserves. --.. 17. How are revenue reserves created? 18. What is the financial statement in which these reserves are reflected? ... ***********-------------- ---.. 19. What are revenue reserves used for? ...... .................................................................. 20. What are specific reserves? ---------- 21. Give 2 examples of specific reserves. ---- 22. Why are provisions created? -... 23. How is it shown in the income statement? ----- 24. How is it shown in the balance sheet? -- 25. Give 3 examples of provisions: --------- 26. Which one can be used to distribute dividends to shareholders? Reserves / Provisions