PRE - BOARD - 2 (2023-2024) : Grade: 12 Marks: 80 Subject: Accountancy Time: 3HRS General Instructions
PRE - BOARD - 2 (2023-2024) : Grade: 12 Marks: 80 Subject: Accountancy Time: 3HRS General Instructions
PRE - BOARD - 2 (2023-2024) : Grade: 12 Marks: 80 Subject: Accountancy Time: 3HRS General Instructions
Grade: 12 Marks: 80
Subject: ACCOUNTANCY Time: 3HRS
GENERAL INSTRUCTIONS:
1. This question paper contains 34 questions. All questions are compulsory.
2. This question paper is divided into two parts, Part A and B.
3. Part - A is compulsory for all the candidates.
4. Part - B i.e. (i) Analysis of Financial Statements
Students must attempt only one of the given options as per the subject opted.
5. Question Nos.1 to 16 and 27 to 30 carries 1 mark each.
6. Questions Nos. 17 to 20, 31and 32 carries 3 marks each.
7. Questions Nos. from 21, 22 and 33 carries 4 marks each
8. Questions Nos. from 23 to 26 and 34 carries 6 marks each
9. There is no overall choice. However, an internal choice has been provided in 7 questions of one mark, 2
questions of three marks, 1 question of four marks and 2 questions of six marks.
1 At the time of admission of a partner what will be the effect of the following information- 1
Balance in Workmen compensation reserve ₹40,000 .Claim for workmen compensation -
₹45,000.
(a) ₹45,000 debited to the partners’ capital account
(b) ₹40,000 debited to revaluation account
(c) ₹5,000 debited to Revaluation Account
(d) ₹5,000 credited to Revaluation Account
2 Read the following statements: Assertion (A) and Reason (R). Choose the correct alternative 1
from those given below.
Assertion: When the new partner brings his share of premium for goodwill will be transferred
to the capital Account of sacrificing partner
Reasoning: The treatment of goodwill is undertaken at the time of admission of a partner to
compensate old partners for their sacrifice.
Alternatives
(a) Both A and R are correct, and R is the correct explanation of A.
(b) Both A and R are correct, but R is not the correct explanation of A.
(c) A is correct but R is incorrect.
(d) A is incorrect but R is correct.
3 Anish Ltd issued a prospectus inviting application for 2,000 shares. Applications were received 1
for 3,000 shares and Pro-rata allotment was made to the applicants of 2,400 shares. If Dhruv
has been allotted 40 shares, how many shares he must have applied for?
(a) 40 (b). 44 (c).48 (d).52
OR
When debentures are issued at discount, then --------- and Debenture Application and
Allotment account are debited.
(a) Discount on issue of Debentures
(b) Loss on issue of Debentures
(c) Debentures
(d) Both (a) and( b)
4 Amit,Vidya and Chintan are partners sharing profit and Losses in the ratio of 4:3:3.As per the 1
new agreement ,Chintan took 1/10th share equally from Amit and Vidya .Due to change in
profit sharing ratio ,vidyas new share is
(a) 7/20 (b) 8/20 (c) 5/20 (d) 6/20
OR
Any change in the relationship of existing partner which results in replacing the existing
agreement with a new agreement results in
(a) revaluation of partnership (b) Reconstitution of Partnership
(c) Realisation of Partnership (d) None of these
5 Vihaan and Maan are partners sharing profit and losses in the ratio of 3:2.The firm maintains 1
fluctuating capital account and the balance of the same as on 31 st March 2023,is ₹4,00,000 and
₹4,65,000 for Vihaan and Maan respectively. Drawings during the year were ₹65,000 each. As
per the partnership deed ,Interest on capital @10% p.a on Opening capital has been allowed to
them .Calculate the opening capital of Vihaan given that the divisible profit during the year
2022-2023 was ₹2,50,000 .
(a) ₹3,30,000 (b) ₹4,40,000 (c) ₹4,00,000 (d) ₹3,00,000
6 Moon Ltd issues ₹70,00,000 ,8% Debentures of ₹100 each at a premium of 5% redeemable at 1
119% at the end of the 10 years
Debentures Application and Allotment A/c Dr ₹73,50,000
Loss on issue of Debentures A/c Dr ₹7,00,000
To 8% Debentures A/c X
To security premium reserve A/c Y
To Premium on redemption of debentures A/c Z
Here X,Y,Z are
(a) ₹70,00,000,₹3,50,000,₹7,00,000
(b) ₹3,50,000,₹7,00,000,₹70,00,000
(c) ₹3,50,000,₹5,00,000,₹2,00,000
(d) ₹7,00,000,₹3,50,000,₹70,00,000
OR
Which of the following is incorrect about debentures?
I.Discount or Loss on issue of debentures, both are capital loss for the company
II.Loss on issue of debentures can be written off from
• Security premium Reserve (sec.52(2))
• Statement of Profit and Loss
III.In case balance in Statement of Profit and Loss is not sufficient to write off the total amount
of discount or loss, on issue of debentures ,it is written off from Statement of profit and loss
,to the extent of balance available in Security Premium reserve and then the remaining
balance is written off from security premium reserve .
(a) Only (ii) (b) Only (iii) (c) Both (i) and (iii) (d) All (i),(ii) and (iii)
7 Given below are two statements –Assertion (A) and Reason (R). Choose the correct alternatives 1
Assertion (A)- When a part of forfeited shares is reissued, the whole balance of share forfeited
account will be transferred to the capital reserve.
Reason (R)-It is only the proportionate amount of balance that relates to the forfeited shares
reissued which should be transferred to capital reserve, ensuring that the remaining balance in
share forfeiture account is proportionate to the amount forfeited on shares not yet reissued
(a) Both A and R are correct, and R is the correct explanation of A.
(b) Both A and R are correct, but R is not the correct explanation of A.
(c) A is correct but R is incorrect.
(d) A is incorrect but R is correct.
8 Amay, Bina and Chander are partners in a firm which capital balance of ₹50,000, ₹70,000 and 1
₹80,000 respectively on 31st march 2023. Amay decides to reire from the firm on 31st March
2023 .With the help of the information provided ,calculate the amount to be paid to Amay on
his retirement .
There existed a general reserve of ₹7,500 in the balance sheet on that date.
The goodwill of the firm was valued at ₹30,000
Gain on revaluation was ₹24,000
(a) ₹88,500 (b) ₹90,500 (c) ₹65,375 (d) ₹70,500
OR
On April 1,2023 a firm had total assets (excluding goodwill and Fictitious Assets) of ₹1,20,000.
The external liabilities were ₹10,000 .If the normal rate of return is 8% ,the goodwill of the firm
is valued at ₹60,000 at four years purchase of super profit ,the actual profit of the firm is
(a) ₹23,800 (b) ₹24,600 (c) ₹6,200 (d) ₹15,800
Read the following hypothetical situation, answer question number 9&10
Monika, Bhavi and Komal were partners sharing profit in the ratio of 6:4:1. Komal is guaranteed
a minimum profit of ₹2,00,000. They have contributed a capital of ₹8,00,000, ₹5,00,000 and
₹3,00,000 respectively. During the covid-19, the lockdown affected their business adversely.
The firm incurred a loss of ₹22,00,000 for the year ended 31 st march 2021. Any deficiency in
guaranteed profit of Komal will be borne by Maanika and Bhavi.
Following is the journal entry passed for the deficiency borne by the partner
Journal
Date Particulars LF Dr.(₹) Cr(₹)
2020 Maanika capital A/c -----
Mar 31 Bhavi capital A/c ----
To komals capital A/c ----
(being the deficiency of
komal met by Manika and
Bhavi )
9 Net loss transferred to Maanika capital A/c will be 1
(a). ₹2,40,000 (b). ₹1,20,000 (c). ₹12,00,000 (d). ₹14,40,000
10 Net loss transferred to Bhavis capital A/c will be 1
(a) ₹8,00,000 (b) ₹9,60,000 (c) ₹1,60,000 (d) ₹3,20,000
11 The capital account of Alka and Archana showed credit balance of ₹4,00,000 and ₹3,00,000 1
respectively, after taking into account drawings and Net profit of ₹2,00,000. The drawing of the
partner during the year 2022-2023 were
i. Alka withdraw 10,000 the end of each quarter
ii. Archana drawings were
31st May 2022 ₹8,000
st
1 November 2022 ₹7,000
1st February ,2022 ₹5,000
Interest on partners’ capital @10% p.a for the year ended 31 st March 2023 will be
(a) Alka ₹34,000 and Archana ₹22,000
(b) Alka ₹44,000 and Archana ₹32,000
(c) Alka ₹3,40,000 and Archana ₹2,20,000
(d) Alka ₹30,000 and Archana ₹20,000
12 If 10,000 shares of ₹10 each were forfeited for non –payment of final call money of ₹3 per 1
share and only 7,000 shares were reissued @₹11 per share as fully paid up then, what is the
amount of maximum possible discount that company can allow at the time of re issue of the
remaining 3,000 shares?
(a) ₹28,000 (b) ₹21,000 (c) ₹9,000 (d) ₹16,000
13 As per the companies Act 2013, Security premium Balance can be utilised for which of the 1
following purpose?
(a) Issuing bonus to existing shareholders to convert partly paid up into fully paid up bonus
share
(b) Providing for premium payable on Redemption of Debentures
(c) Writing off all capitalised Expenditures
(d) Buy back of Debentures
14 Asha and Nisha are partners sharing profits in the ratio of 2:1. Ashas son Ashish was admitted 1
for 1/4th share of which 1/8th was gifted by Asha to her son. The remaining was contributed by
Nisha. Goodwill of the firm is valued at ₹80,000. How much of the share of premium of
goodwill will be credited to the old partners’ capital account if Ashish brings his share of
premium for goodwill in cash?
(a) ₹5,000 each (b) ₹10,000 each (c) ₹40,000 each (d) None of these
15 A and B are partners sharing profit in 2:3 ratio. Having fixed capital of ₹3,00,000 and ₹2,00,000 1
respectively. After closing of books for the year 2018,the clerk realised that interest on capital
was provided @ 6% p.a instead of 8% .The amount off adjustment entry will be
(a) ₹2,000 (b) ₹6,000 (c) ₹4,000 (d) None of these
OR
On 1st January 2021, a partner lends a short term loan of ₹50,000 to the firm. In the absence of
agreement ,he will get interested on his loan on 31st march 2021
(a) ₹750 (b) ₹1,500 (c) ₹2,500 (d) No interest
16 On the basis of the following data, how much final payment will be made to a partner on firm’s 1
dissolution? Credit balance of capital Account of the partner was ₹50,000. Share of Loss on
realisation amounted to ₹10,000. Firm Liability taken over by him was for ₹8,000.
(a) ₹32,000 (b) ₹48,000 (c) ₹40,000 (d) ₹52,000
17 Sonali, Monali and Hetaal were partners in a firm sharing profit and losses in the ratio 5:3:2. 3
The profits of the firm for the year ended 31st march 2018 were ₹8,40,000. Monali died on 30th
September 2018. After the death of Monali, Sonali and Hetal agreed to share future profits and
losses in ratio of 4:3.Pass necessary journal entry .
18 Ajay, Manish and Sachin were partners sharing profits in the ratio of 5:3:2. Their capitals were 3
₹6, 00,000; ₹8, 00,000 and ₹11, 00,000 as on 1st April 2021. As per partnership deed ,Interest
on capital were to be provided @8% p.a. For the year ended March 31 2022, Profits of the
₹2,00,000 were distributed without providing for interest on capital.
Pass an adjustment entry and show the workings clearly.
OR
Cheese and Slice are equal partners. Their capitals as on April 01, 2022 were ₹50,000 and
₹1,00,000 respectively. After the accounts for the financial year ending March 31, 2023 have
been prepared, it is observed that interest on capital @ 6% per annum and salary to Cheese @
₹5,000 per annum, as provided in the partnership deed has not been credited to the partners’
capital accounts before distribution of profits. You are required to give necessary rectifying
entries using P&L adjustment account.
19 Antony Ltd issued 20,000, 9% Debentures of ₹100 each at 10% discount to Mithoo Ltd from 3
whom assets of ₹23,50,000 and Liabilities of ₹6,00,000 were taken over. Pass entries in the
books of Antony Ltd if these debentures were to be redeemed at 5% premium.
OR
Random Ltd took over running business of Mature ltd comprising of Assets of ₹45,00,000 and
Liabilities of ₹6,40,000 for a purchase consideration of ₹36,00,000 .The amount was settled by
bank draft of ₹1,50,000 and balance by issuing 12% preference shares of ₹100 each at 15%
premium .Pass entries in the book of Random Ltd .
20 Kumar, Gupta and Kavita were partners in a firm sharing profits and losses equally. The firm 3
was engaged in the storage and distribution of canned juice and its godowns were located at
three different places in the city. Each godown was being managed individually by Kumar
Gupta and Kavita Because of increase in business activities at the godown managed by Gupta,
he had to devote more time. Gupta demanded that his share in the profits of the firm be
increased, to which Kumar and Kavita agreed. The new profit sharing ratio was agreed to be
1:2:1. For this purpose, the Goodwill of the firm was valued at two years purchase of the
average profit of last five years. The profit of the last five years were
Year 1 2 3 4 5
Profit ₹ 4,00,000 4,80,000 7,33,000 33,000 2,20,000
You are required to
i. Calculate the goodwill of the firm
ii. Pass necessary journal entry for the treatment of goodwill on change in profit sharing
ratio of Kumar, Gupta and Kavitha .
21 On 1st April 2019, Vishwas Ltd was formed with an authorised capital of ₹10,00,000 divided into 4
1,00,000 equity shares of ₹10 each. The company issued prospectus inviting application for
90,000 equity shares. The company received application for 85,000 equity shares. During the
1st year ₹8 per share were called. Ram holding 1000 shares and shyam holding 2,000 shares did
not pay the first call of ₹2 per share. Shyam shares were forfeited after the first call and later
on 1,500 of the forfeited shares were re-issued at ₹6 per share, ₹8 called up .
22 Rajat and Joe were partners in a firm, manufacturing Poly-thine bags. After the strict ban on 4
the use of polythine bags by the Government of India ,the partners decided to dissolve the
firm .Following is the Balance sheet of Rajat and Joe as on 31st March 2022
Liabilities ₹ Assets ₹
Rajats capital 10,000 Buildings 15,000
Joes capital 10,000 Plant 20,000
General Reserve 10,000 Goodwill 4,000
Mrs Rajat Loan 5,000 Investments 10,000
Mrs Joes Loan 10,000 Stock in Trade 5,000
Sundry creditors 30,000 Debtors 20,000
Bills payable 8,000 Less : provision (2,000) 18,000
Investment Fluctuation reserve 1,000 Cash at Bank 8,000
Cash in Hand 500
Profit and Loss A/c 3,500
84,000 84,000
On the above date, the firm was dissolved and at that time Creditors and bills payable were
due on an average basis, one month after 31st march but they were paid immediately on 31st
march @6% discount p.a
There was an old Manufacturing machine in the firm which had been written off completely
from the books. It was now estimated to realise ₹8,000. It was taken away by Joe at this
estimated price.
Realisation expenses of ₹4,800 were to be borne by Rajat. However, they were paid by Joe
On the basis of above information, you are to suggest the answers of the following questions at
the time of dissolutions
i. What will be the required amount to be paid to the creditors?
ii. What amount will be paid to bills payable
iii. How will old manufacturing machine be recorded at the time of dissolutions of the
firm?
iv. How will the realisation expenses be recorded in the books of accounts?
23 AB Ltd invited application for issuing 75,000 equity shares of ₹100 each at a premium of ₹30 6
per share. The amount was payable as follows
On Application and Allotment -₹85 per share (including premium)
On First and Final Call –The balance amount
Application for 1, 27,500 shares were received. Application for 27,500 shares were rejected and
shares were allotted on the Pro rata basis to the remaining applicants. Excess money received
on application and allotment was adjusted towards the sum due on first and final call. The calls
were made. A shareholder who applied for 1000 shares, failed to pay the first and final call
money. His shares were forfeited .All the forfeited shares were reissued at ₹150 per share fully
paid up.
OR
Philips Ltd. invited applications for 4,000 equity shares of ₹100 each at a premium 30 per share.
The amount was payable as follows: On Application ₹40 (Including premium ₹10 On Allotment
₹60 (Including premium ₹20) On First and Final Call ₹40 Applications for 5,000 shares were
received. Allotment was made to all the applicants on prorata basis. Excess application money
was adjusted towards sum due on allotment. Rocky, to whom 40 shares were allotted, failed to
pay allotment and call money. Ali, to whom 90 shares were allotted, failed to pay the call
money. These shares were forfeited. The forfeited shares were re-issued @ ₹80 per share fully
paid-up. You are required to pass journal entries to record the above transactions in the books
of the company.
24 Karan and Mayank are partners sharing profit in the ratio of 3:2. They admit Nikhil as a partner 6
w.e.f 1st April 2023.In future profit will be shared equally .Balance sheet of karan and Mayank
as at 1st April ,2023 and the terms of admission are given below