TRUE/FALSE. Write T' if the statement is true and 'F if the statement is false. 21) When an interim dividend is declared, the interim dividend payable account is debited. 22) Undistributed profits of a company can be maintained as retained carnings or transferred to reserves. 23) Some reserves are mandated through the adoption of specific accounting standards 24) The principle of capital maintenance places restrictions on the return of contributed equity to shareholders. 25) AASB 136: Impairment of Assets permits the carrying of non-current assets at an amount in excess of fair value. 26) Current accounting practice no longer distinguishes between capital and revenue profits 27) The state of a company unable to pay debts as they fall due is known as solvency 28) AASB 101 requires disclosure of dividends proposed or declared but not recognised in the financial statements for both ordinary and preference shares. 29) The forfeited shares reserve consists of the amounts received on shares forfeited for non-payment of calls. 30) Measurement is the process of incorporating in the statement of financial position or the statement of comprehensive income an item that meets the definition and recognition criteria of an element. Explanation: 32) A final dividend is the dividend determined at the end of the financial year 34) 35) Retained earnings represents undistributed future profits of a company 36) AASB 101: Presentation of Financial Statements requires that the statement offinancial position separately present 33) A bonus issue may be made from sources other than retained earnings. and disclose issued capital and reserves attributable to owners of the parent 37) A reserve is a component of a company's total liabilities 38) Retained earnings represent the already distributed profits of the company 39) The share-based payment reserve is a reserve mandated by anaccounting standard that requires 40) Dividends on ordinary shares are declared as an amount per share