Time Allowed: 2 hours<\/span> General Instructions to Candidates:<\/span><\/p>\n Part-A<\/span> I. Answer all questions from 1 to 3, each carries 1 score. (3 \u00d7 1 = 3)<\/span><\/p>\n Question 1. Question 2. Question 3. II. Answer any 2 questions from 4 to 6, each carries \u20182\u2019 scores. (2 \u00d7 2 = 4)<\/span><\/p>\n Question 4. Question 5. Question 6. III. Answer any 5 questions from 7 to 12, each carries 3 scores. (5 \u00d7 3 = 15)<\/span><\/p>\n Question 7. Question 8. Question 9. Question 10. Question 11. Question 12. IV. Answer any two questions from 13 to 15, each carries 5 scores. (2 \u00d7 5 = 10)<\/span><\/p>\n Question 13. Question 14. 2) New profit sharing ratio 3) Required capital of Shammu and Viswan: The journal entries will be: Question 15. 2. Gaining ratio = New ratio – old ratio 3. Revaluation profit 4. Profit from the date of last balancesheet to date of death.(01.04.2016 to 30.09.2016 = 6 months) 5. Profit and Loss A\/c credit balance on 31.03.2016 6. Interest on capital
\nCool off time: 15 Minutes<\/span>
\nMaximum Marks: 60<\/span><\/p>\n\n
\nACCOUNTING<\/span><\/p>\n
\nComplete the series:
\na) Receipts and Payments Account \u2192 Cash in Hand and Cash at Bank
\nb) Income and Expenditure Account \u2192 ………. ? ……….
\nAnswer:
\nSurplus or Deficit<\/p>\n
\nOn admission of a partner, the Debit Balance of Profit and Loss Account shown in the Balance Sheet of the firm, denotes:
\n\u0430) Accumulated Profit
\nb) Accumulated Loss
\nc) Revaluation Loss
\nd) General Reserve
\nAnswer:
\nb) Accumulated loss<\/p>\n
\nOn death of a partner, his legal representatives were settled by paying \u20b9 1,20,000. As per his Capital Account, the amount due to him after all adjustments was \u20b9 1,05,000. Ascertain the deceased partner\u2019s share of goodwill from the firm.
\n(Hint: Case of hidden goodwill)
\nAnswer:
\nShare of goodwill = 1,20,000 – 1,05,000 = 15,000<\/p>\n
\nList out any four items to be credited to a Partner\u2019s Current Account, when capitals are fixed.
\nAnswer:
\nItems to be credited to a partner’s current Account are:<\/p>\n\n
\nMention two situations in which \u2018Compulsory Dissolution\u2019 of a partnership business takes place.
\nAnswer:
\nA firm is dissolved compulsorily in the following cases:<\/p>\n\n
\nPass Journal Entries on dissolution of a firm, in connection with relation of assets, in the following cases:
\na) Furniture worth \u20b9 12,000 taken over by Mr. Roy. one of the partners at the book value.
\nb) Unrecorded machinery sold out for \u20b9 4,000.
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-1.png\")
<\/p>\n
\nDuring the year 2016-17, there was 1800 members in a sports club. The yearly subscription was fixed at \u20b9 40 per member. There was unearned subscription of \u20b9 2,000 at the beginning of the year. The unearned subscription at the end of the year was \u20b9 1,200.
\nShow how the amount of subscription appears in the following financial statements of the club:
\na) Income and Expenditure Account.
\nb) Receipts and Payments Account.
\nAnswer:
\na) Amount of subscription credited in income and expenditure a\/c is Rs. 72,000\/- (1800 \u00d7 40)
\nb)
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-2.png\")
<\/p>\n
\nAnu and Beena are partners in a firm sharing profits in 3 : 2 ratio. They admitted Bindu as a new partner. Anu surrendered 1\/3 of her share in favour of Bindu and Beena surrendered 1\/4 of her share in favour of Bindu Calculate the new Profit sharing ratio.
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-3.png\")
<\/p>\n
\nAfnas and Sakariya are partners in a firm sharing profits and losses in the ratio of 3 : 2. Ukkash is admitted as a new partner for 1\/4 share in profits. He should bring in \u20b9 50,000 as capital and his share of goodwill in cash. Firm\u2019s goodwill is valued at \u20b9 80,000 at the time of his admission.
\nGive necessary Journal Entries, on the assumption that 50% of the premium amount is withdrawn by the old partners.
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-4.png\")
\nNote: Ukkash\u2019s share of goodwill = 80,000 \u00d7 \\(\\frac{1}{4}\\) = 20,000 sacrificing ratio = 3 : 2<\/p>\n
\nArun, Hari and Jaya are partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. Jaya retires from the firm and the continuing partners decided to share future profits in the ratio of 3 : 2 respectively. On her retirement firm\u2019s goodwill valued at \u20b9 50,000.
\nRecord necessary journal entries for the treatment of goodwill, without opening the Goodwill Account.
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-5.png\")
\nNote:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-6.png\")
<\/p>\n
\nExplain the order in which the amounts realised through the sale of assets are to be applied, at the time of dissolution of a partnership firm.
\nAnswer:
\nAmount realized from assets of the firm shall be used in the following manner<\/p>\n\n
\nPrepare a Realisation Account from the following details, on dissolution of a firm:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-7.png\")
\nOn the date of the balance sheet, the firm was dissolved and all assets were sold out for \u20b9 68,000. Firm incurred \u20b9 1,000 as the realisation expenses.
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-8.png\")
\nNote: Profit sharing ratio ofSudhaand Bindu = 1 : 1<\/p>\n
\nGireesh and Ramees are equal partners in a firm and their capitals as on 01.04.2016 were \u20b9 80,000 and \u20b9 60,000 respectively. As per the partnership deed Gireesh is entitled to monthly salary of \u20b9 3,000. Ramees gets a commission of 10% on the Net Prof-its of the business before charging such commission. They are also eligible for interest on capital @ 8% p.a. Interest on drawings is charged as 6% p.a. Gireesh withdrew \u20b9 2,000 at the beginning of every month for his personal purposes. Total drawings of Ramees during 2016 – 17 was \u20b9 20,000.
\nPrepare the Profit and Loss Appropriation Account, to show the distribution of profits among partners. The net profits of the business for the year ended 31.03.2017 was \u20b9 1,24,000 (before adjusting above items).
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-9.png\")
\nNote: Interest on drawings
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-10.png\")
<\/p>\n
\nShammu and Viswan are partners sharing profits in the ratio of 2 : 1. Radha is admitted into the firm for 1\/4 share of profits. The new partner brings in \u20b9 40,000 in respect of his capital. The capitals of old partners after all adjustments were \u20b9 90,000 and \u20b9 30,000 respectively. It is agreed that partners\u2019 capitals should be according to the new profit sharing ratio.
\nDetermine the new capitals of old partners. Also record necessary journal entries to adjust the capital accounts in cash terms.
\nAnswer:
\n1) Calculation of total capital of the new firm based on new partner\u2019s capital and his share of profit
\n= 40,000 \u00d7 \\(\\frac{4}{1}\\) = 1,60,000<\/p>\n
\nNew ratio = Balance share \u00d7 old ratio
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-11.png\")
<\/p>\n
\nShammu = 1,60,000 \u00d7 \\(\\frac{2}{4}\\) = 80,000
\nViswan = 1,60,000 \u00d7 \\(\\frac{1}{4}\\) = 40,000
\nThe capital of Shammu and Viswan after all adjustments have been made, are 90,000 and 30,000 respectively. Hence, Shammu will withdraw Rs. 10,000 (90,000 – 80,000) from the firm whereas Viswan will contribute an additional capital of Rs. 10,000 (40,000 – 30,000).<\/p>\n
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-12.png\")
<\/p>\n
\nX, Y and Z were partners in a business sharing prof\u00acits and losses in the ratio of 3 : 2 : 1. \u2018X\u2019 died on. October 1.2016. It was agreed between his executors and the remaining partners that:
\na) Goodwill to be valued at 2 years purchase of the average profits of previous \u20185\u2019 years.
\n(Average profit of past 5 years is worked out as \u20b9 30,000)
\nb) Machinery be depreciated by \u20b9 12,000 and Build-ing be appreciated by \u20b9 24,000.
\nc) Profits for the year 2016 – 17 be taken as having accured at the same rate as that of the previous year.
\n(The profits of 2015 – 16 was \u20b9 36,000)
\nd) Interest on capital @ 12% p.a. (X\u2019s capital account has a credit balance of \u20b9 60,000 as on 01.04.2016)
\ne) Accumulated profits or losses are to be shared among partners. (Balance Sheet of the firm as on 31.03.2016 shows a credit balance of \u20b9 24,000 in the Profit and Loss Account)
\nWorkout the amount payable to X\u2019s legal representatives and show them in X\u2019s Capital Account.
\nAnswer:
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-13.png\")
\nNote:
\n1. X\u2019s share of goodwill:
\nGoodwill of the firm = Average profit \u00d7 No. of year\u2019s purchase
\n= 30,000 \u00d7 2 = 60,000
\nX\u2019s share of goodwill = 60,000 \u00d7 \\(\\frac{3}{6}\\) = 30,000<\/p>\n
\nNew ratio = 2 : 1
\n![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-14.png\")
<\/p>\n
\n= 24,000 – 12,000 = 12,000
\nX\u2019s share = 12,000 \u00d7 \\(\\frac{3}{6}\\) = 6,000<\/p>\n
\nProfit for 6 months = 36,000 \u00d7 \\(\\frac{6}{12}\\) = 18,000
\nX\u2019s share of profit = 18,000 \u00d7 \\(\\frac{3}{6}\\) = 9,000<\/p>\n
\nX\u2019s share of profit = 24,000 \u00d7 \\(\\frac{3}{6}\\) = 12,000<\/p>\n
\nX\u2019s interest on capital = 60,000 \u00d7 \\(\\frac{12}{100}\\) \u00d7 \\(\\frac{6}{12}\\) = 3,600<\/p>\n
![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-15.png\")
![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-16.png\")
![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-17.png\")
![\"Plus](\"https:\/\/www.aplustopper.com\/wp-content\/uploads\/2019\/01\/Plus-Two-Accountancy-Previous-Year-Question-Paper-March-2018-18.png\")
<\/p>\n