Free assets of a company are –

A. Distributed bonuses

B. Unallocated surpluses

C. Dividends

D. Encumbered assets

Answer: Option B

Solution(By Examveda Team)

Free assets of a company are Unallocated surpluses. Free assets are the assets held over and above the liabilities (which may or may not include supervisory reserves), whilst surplus is the amount held over and above the reserve level.