INDIAN SCHOOL AL WADI AL KABIR

Size: px

Start display at page:

Download "INDIAN SCHOOL AL WADI AL KABIR"

Baldric Wilkinson
5 years ago
Views:

INDIAN SCHOOL AL WADI AL KABIR SAMPLE PAPER- Class: XII Sub: ACCOUNTANCY (055) M.M: 80 General Instructions:. All questions are compulsory. 2. The question paper consists of 25 questions.

1 INDIAN SCHOOL AL WADI AL KABIR SAMPLE PAPER- Class: XII Sub: ACCOUNTANCY (055) M.M: 80 General Instructions:. All questions are compulsory. 2. The question paper consists of 25 questions. There is no overall choice. However, internal choices have been provided. PART A: PARTNERSHIP FIRMS AND COMPANIES ACCOUNTS Interest on loan advanced by a partner is debited and credited to which account. 2 Under what circumstance will the premium for goodwill paid by the incoming partner not be recorded in the books of accounts? Explain dissolution of a firm by (i) Agreement and (ii) Notice What is meant by Employee Stock Option Plan? 5 P, Q and R were partners in a firm sharing profits in the ratio of 5 : : respectively. Their capitals were Rs.50,000, Rs.0,000 and Rs. 0,000 respectively. State the ratio in which the goodwill of the firm, amounting to Rs.,00,000, will be adjusted in the capital accounts of the remaining partners on the retirement of Q. A, B & C are partners in a firm sharing profits :2:. They decided to change the ratio to 2::. On the date of change there exists a balance of 0000 in IFR. The book value of investments was and their market value on the date of change is Pass journal entry for treatment of IFR. 7 Pass issue entries in the following cases: a. Issued 000 5% debentures of per debenture and 20 per debenture. b. Issued 000 5% debentures of per debenture and 200 per debenture. c. Issued % debentures of 00 each as collateral security while borrowing loan of Rs 0,00, A Ltd. was registered with an authorized capital of Rs.0,00,000 divided into equity shares of Rs. 0 each. The company invited applications for the issue of 50,000 shares. Applications for 8,000 shares were received. All calls were made and were duly received except the final call of Rs. 2 per share on,000 shares. All these shares were forfeited and later on re-issued at Rs. 9,000 as fully paid. (i) Show Share Capital in the Balance Sheet of A Ltd. And also prepare Notes to Page of

2 9 Accounts for the same. Date Particulars Dr. Cr. Share Capital A/c To Calls In arrear A/c To Forfeited Share A/c (Being the forfeiture of 200 shares of Rs.00 each, issued at a premium of Rs.20 per share, fully called on which Final Call of Rs.0 per share were not received) 2 Bank A/c Forfeited Share A c To Share Capital (Being the reissue of all forfeited called up Rs.95) Forfeited Share A/c To Capital Reserve (Being reissue profit transferred) 0. (a) Rohan and Mohan are partners in a firm sharing profits in the ratio of 5 : respectively. They admit Bhim as a partner for /7 share in the profit. The new profit sharing ratio will be : 2 :. Calculate the sacrificing ratio of Rohan and Mohan. (b) Amla and Kamla are partners in a firm sharing profits in the ratio of : respectively. They admitted Bimla as a new partner for / share in the profits, which she acquiredwholly from Amla. Determine the new profit sharing ratio of the partners. Maharana Ltd s main business is manufacturing of tyres. The company is very particular about the observation of the provisions of the Companies Act and SEBI guidelines. On st April, 200 the company issued Rs. 8,00,000, 8% debentures of Rs. 00 each. The debentures were redeemable at a premium of 5%. On st March, 20, all the debentures were redeemed. Since the manufacturing of tyres results in air pollution, the company had installed a plant for its effective control. Pass necessary journal entries for the redemption of debentures. Also identify the value observed by Maharana Ltd. What entries would be passed for the following transactions on the dissolution of a firm of A, B & C,if Sundry Assets and Outer Liabilities have already been transferred to Realisation A/c. (a) There was an unrecorded Asset of Rs.5,000 which was taken over by C at Rs.,000. (b) Loan advanced to A is settled. (c) Workmen s Compensation paid to employees by the firm Rs.8,000. (d) Sundry Creditors amounted to Rs.,000 were paid off at a discount of %. (e) There was a debit balance of Profit & Loss Account in the firm. (f) Loss on Realisation was Rs.,000 to be distributed among the partners in :2: ratio. 2 A Ltd. purchased a running business from B Ltd. for a sum of Rs.,50,000 payable by issue of 0,000 equity shares of Rs. 0 each at a premium of Rs. 2 per share and balance in cash. The assets and liabilities taken over were : Plant Rs. 0,000; Building Rs. 0,000; Debtors Rs. 0,000; Page 2 of

3 Stock Rs.50,000; Furniture Rs. 20,000; Creditors Rs. 20,000. Pass necessary journal entries for the above transactions in the books A, B and C are partners in a trading firm. The firm has a fixed total capital of Rs.0,000 held equally by all the partners. Under the partnership deed the partners were entitled to: (a) A and B to get a Salary of Rs.,800 and Rs.,00 per month respectively. (b) In the event of death of a partner, goodwill was to be valued at 2 years purchase of the average profits of the last years. (c) Profit upto the date of death based on the profits of the previous year. (d) Partners were to be charged interest on drawings at 5% p.a. and allowed interest on capitals at % per annum. B died on January st, 205. His drawings to the date of death were Rs.2,000 and interest there on was Rs.0. The profits for the three years ending March st 202 Rs.2,200; 20Rs.,200 (Dr.); and in 20 Rs.9,000 respectively. Prepare B s Capital A/c to calculate the amount to be paid to his executors and pass journal entries. (a) Sunrise Company Ltd. has an equity share capital of `0,00,000. The company earns a return on investment of 5% on its capital. The company needed funds for diversification. The finance manager had the following options: (i) Borrow Rs. p.a. from a bank payable in four equal quarterly installments starting from the end of the fifth year (ii) Issue Rs.5,00,000, 9% Debentures of Rs. 00 each redeemable at a premium of 0% after three years. To increase the return to the shareholders, the company opted for option (ii). Prepare 9% debentures Account until debentures are paid. (b) Walter Ltd. issued Rs.,00,000 8% Debentures of Rs. 00 each redeemable after years either by draw of lots or by purchase in the open market. At the end of three years, finding the market price of debentures at Rs.95 per debenture, it purchased all its debentures for immediate cancellation. Pass necessary journal entries for cancellation of debentures. 5 Kanika and Gautam are partners doing a dry cleaning business in Lucknow, sharing profits in the ratio 2: with fixed capitals Rs.5, 00,000 and Rs., 00,000 respectively. Kanika withdrew the following amounts during the year to pay the hostel expenses of her son. st April 0,000, st June 9,000, st Nov.,000, st Dec. 5,000 Gautam withdrew Rs.5, 000 on the first day of April, July, October and January to pay rent for the accommodation of his family. He also paid Rs.20, 000 per month as rent for the office of partnership which was in a nearby shopping complex. While preparing the accounts Interest on p.a. was omitted. Pass adjusting entry. Anil limited invited applications for 000 Equity shares of Rs 00 20% premium payable as on application Rs 0(including premium Rs 0), On allotment Rs 50(including Premium Rs 0) and balance in 2 equal installments over 2 calls. Applications were received for 000 shares and allotment was made pro-rata to 80% applicants. Kajol, to whom 80 shares were allotted, failed to pay the allotment money and first call. Her shares were immediately forfeited after first call. Jaya an applicant of shares failed to pay the 2 calls and her shares were forfeited. Of the forfeited shares, 00 shares were re-issued to Kangana as fully paid for Rs 90 Page of

4 7 per share, the whole of kajol s shares being included. Journalize. OR Mamta Fab Ltd. issued 50,000 shares of Rs. 00 each at a Premium of 20% payable as Rs. 0 on application(inc prem 0; Rs. 0 on allotment( inc prem 0) and Rs 20 each on first and final call. Applications were received for 75,000 shares. Applicants of 25,000 shares were sent letters of regret and application money was refunded. Mohan, a holder of,500 shares failed to pay allotment money which he paid alongwith the first call. Raman, a shareholder holding 500 shares paid both the calls along with allotment. Kamal, a shareholder holding 000 shares did not pay first call and second and final call. His shares were forfeited. The forfeited shares were re-issued at Rs. 20 per share as fully paid up. Pass necessary Journal Entries for the above transaction in the books of the company. X, Y & Z are partners sharing profits in :2:. The Balance sheet is as follows: LIABILITIES AMT ASSETS AMT Creditors 5000 Goodwill 000 EPF 000 Cash 5500 Workmen compensation 2000 Stock 0000 reserve Investment fluctuation 000 Investments(market value 5000 reserve Capitals: A B C ) Debtors 0000 Less: PBDD Patents 0000 Plant Advertisement suspense Prepare necessary accounts and Balance Sheet if Z retired on following terms:. Goodwill of the firm is valued at Patents be reduced by 20% and Plant to 90%.. PBDD be raised to %.. Z took over investments at market value. 5. Liability of provident fund was Liability of workmen compensation fund was Z was to be paid half on retirement and remaining through Bill of Exchange. 8. Capital of partners is adjusted in the new ratio and excess or deficit be transferred to cash. 8 OR Page of

5 A and B share profits in the proportions of / and /. Their Balance Sheet on Dec., 200 was as follows: Liabilites Assets (Rs) (Rs.) Sundry creditors,500 Cash at Bank 2,500 Reserve fund,000 Bills Receivable,000 Capital Debtors,000 Accounts A 0,000 Stock 20,000 B,000,000 Fixtures,000 Land & Building 25,000 9,500 9,500 On Jan.,205, C was admitted into partnership on the following terms: (a) That C pays Rs. 0,000 as his capital. (b) That C pays Rs. 5,000 for goodwill. Half of this sum is to be withdrawn by A and B. (c) That stock and fixtures be reduced by 0% and a 5%, provision for doubtful debts be created on Sundry Debtors and Bills Receivable. (d) That the value of land and buildings be appreciated by 20%. (e) There being a claim against the firm for damages, a liability to the extent of Rs.,000 should be created. (f) An item of Rs. 50 included in sundry creditors is not likely to be claimed and hence should be written back. Prepare necessary accounts and Balance Sheet of firm on admission of C. PART B:FINANCIAL STATEMENT ANALYSIS 8 What will be the Operating Profit Ratio if Operating Ratio is 7.% 9 9. Finserve Ltd is carrying on a Mutual Fund business. It invested Rs. 0, 00,000 in shares and Rs. 5, 00,000 in debentures of various companies during the year. It received Rs., 00,000 as dividend and interest. Find out cash flows from investing activities. 20 a. State under which major headings the following items will be presented in the Balance Sheet of a company as per revised Schedule VI Part I of the Companies Act, 95 : (i) Designs (ii) Acceptances(iii) Unpaid dividend(iv) Negative Balance of P&L (v) Provident fund (vi) Accrued Incomes b. State objective of horizontal and vertical analysis statements. 2 From the following information, calculate the Return on Investment and Interest Coverage Ratio: Net Profit (after) Tax Ratio 2%. Tax Rate 50%, Revenue from Operations Rs. Page 5 of

6 20,00,000, 5% Long term Borrowings Rs. 8,00,000, Equity Share Capital Rs.,50,000, Reserves and Surplus Rs,,50,000, Securities Premium Rs. 50,000, 8% Preference Share Capital Rs.,00, From the following information, prepare a Common sized income statement Income Statement Particulars Revenue from operations Cost of material consumed Indirect expenses Interest on Investment Rate of Income Tax 5,00,000 90% of sales 5,000 50,000 50% 8,00,000 70% of sales 25,000,00,000 50% 2 From the following data, calculate the cash flows from investing and financing activities. Particulars Computer,00,000,00,000 Accumulated Depreciation on,20,000,0,000 computer 0% Non Current Investments,00,000,50,000 Current Investments(Marketable) 2,50,000 2,00,000 Equity Share Capital 2,00,000,00,000 0% Preference Share Capital 2,00,000,50,000 9% Debentures,00, Securities premium reserve ,000 Additional Information:. During the year 20-, a computer costing Rs.80,000 on which depreciation provided Rs. 0,000 was sold for Rs., Dividend paid on Equity Shares Rs. 0,000.. Issue of Equity Share Capital against purchase of fixed assets of Rs.,00,000. Preference shares were redeemed at 0% premium. 5. Debentures were redeemed on /0/20. PART: C (NOT APPLICABLE TO ISWK STUDENTS) Page of

SAMPLE PAPER - 5 ACCOUNTANCY CLASS-XII PART A ACCOUNTING FOR PARTNERSHIP FIRMS AND COMPANIES

SAMPLE PAPER - 5 ACCOUNTANCY CLASS-XII Time allowed: 3hrs Maximum Marks: 80 General Instructions: 1) This question paper contains two parts A and B. 2) Part A is compulsory for all. 3) Part B is Financial