state whether the following statements are true or false 1 in the absence of a contr 618247

State whether the following statements are true or false
1.In the absence of a contract to the contrary, miscellaneous expenses are also taken over by the purchasing company.
2.In the absence of a contract to the contrary, the purchasing company will not take over the liabilities that belong to the shareholders.
3.As purchase consideration must always be given in the question, no need to compute it arises.
4.Purchase consideration must be paid in cash only.
5.When the value of net assets is less than the purchase price, the difference has to be credited to goodwill A/c.
6.Profit at the time of acquisition, if any, has to be credited to capital reserve A/c.
7.When interest is paid on purchase price, interest account is to be debited.
8.Purchasing company is paid commission for realizing book debts and discharging liabilities by the vendor.
9.Any profit or loss that will arise in collecting debts and paying creditors must be borne by the purchaser.
10.When debtors and creditors are taken over on behalf of vendors, the debtors and creditors will be included with the main entries for acquisition of business, in the books of purchasing company.
11.When the same set of books is continued, realization A/c has to be opened.
12.When discount is allowed to vendor’s debtors, it will be debited to vendor’s suspense A/c