SAMPLE PAPER - 2

S9

SAMPLE PAPER-2
ACCOUNTANCY Class XII

Time Allowed: 3 hours Maximum Marks: 80

Instructions : Same as given in Sample Paperl.
Part A
Accounting for Partnership Firms and Companies
0. 1. A, B and Cwere partners sharing profits and losses in the ratio of 1 :2:1. Books are closed
on 31st December every year. C dies on 14th March, 2022. Under the partnership deed, the
executors of the deceased partner are entitled to his share of profit to the date of death,
calculated on the basis of lastyear's profit. Profit for the year ended 31st December, 2021
was ?1,20,000. What willbe C's share of profit?
(A) 24,000 (B) 76,000
(C) 25,000 (D) 6,250 1

OR
A, Band Care partners sharing profits in 2:3:4.They decided to share future profits in
4:3:2. They also decided to record the effect of the following without affecting their
book values :

Advertisement Suspense 18,000

General Reserve 54,000
Profit and Loss 36,000
In such a Case,
(A) Awill be debited by 24,000 (B) Awillbe debited by 16,000
(C) Awill be credited by 24,000 (D) A will be credited by ?16,000
Q. 2. A, B and Cwere partners sharing profits in the ratio of 3:4:5. B retires from the firm and
his capital balance after all adjustments regarding Reserves and Revaluation was 1,20,000.
Itwas agreed between Aand Ctopay ?1,50,000 to Bin final settlement. On the same date
D
was admitted for 1/5th share. Ascertain the amount of goodwill premium brought in
by Dwill be:
(A) 30,000 (B) 90,000
(C) ? 6,000 (D) 18,000 1

Q.3. Divya and Isha are partners in a firm sharing profits and losses in the ratio of 2: 3. Leela
was admitted as a nevw partner for 1/5th share in the profits of the fim. Leela acquires her
share from Divyaand Isha in the ratio of 1:2.The new profit sharing ratio will be :
(A) 4:8:3 (B) 8:4:3
(C) 7:5:3 (D) 5:7:3 1
60 SAMPLE PAPER 2
o.4. XLtd. offered 10,000 shares of ?10 each at apremium of t6 per share payable as follows:
On Application 76 (Including premium 3)
On Allotment 25 (Including premium 2)
On First & Final Call balance amount
It forfeited 1,000 shares for non-payment of first and final cal. After the reissue of these
shares 1,500 were transferred to Capital Reserve. Shares were reissued for:
(A) 6,000 (B) 4,500
(C) 5,500 (D) 1,500 1

OR
Given below are two statements, one labelled as Assertion (A) and the other labelled as
Reason (R):
Assertion (A)
Pro-rata allotment of shares means that smaller number of shares are allotted to each
applicant according to the number of shares applied by him.
Reason (R)
As per SEBI Guidelines minimum subscription should be atleast 90% of the authorised
capital.
In the context of the above statements, which one of the following is correct?
Codes :
(A) Both (A)and (R) are true, but (R) is not the correct explanation of (A).
(B) Both (A) and (R) are true and (R) is a correct explanation of (A).
(C) Both (A) and (R) are false.
(D) (A) is true, but (R) is false.
Q.5. 4,Band Care partners sharing profits in the ratio of 2:3:4. Aretires and on that date,
Profit and Loss Account showed a debit balance of 1,80,000. B and C decided to share
future profits and losses in the ratio of 2: 1. Show necessary Journal entry for the treatment
of Profit and Loss Account balance on A's retirement. 1

OR
A, B and C were partners in a firm sharing profits and losses in the ratio of 1/2: 1/3: 1/6.
A
retired, selling his share of profits to Band Cin the ratio of 8:7. The new profit-sharing
ratio between B and C will be :
(A) 8:7 (B) 2:3
(C) 17: 13 (D) 3:2
Q.6. If, at the time of admission, some profit and loss account balance appears in the books, 11
willbe transferred to :
(A) Profit & Loss Adjustment Account
(B) All Partners' Capital Accounts
(C) Old Partners' Capital Accounts
1
(D) Revaluation Account
SAMPLE PAPER 2 61

0.7. In which condition a partnership firm is deemed to be dissolved?

(A) On insolvency of a partner
(B) On the death of a partner
(C) Onexpiry of the period of partnership
1
(D) On loss in partnership
0.8. Yuvraj Ltd. forfeited 1,000 shares of 10 each issued at 20% premium (?8 Called up) on
which application of 2 each and allotment of 5 each (including premium) has been
received. Out of these, 700 shares were reissued for 6 per share (*8 paid up). What is the
amount transferred to Capital Reserve?
(A) ? 700 (B) ?1,400
(C) 2,100 (D) 3,500 1

Read the following hypothetical situation and answerQ. 9 and 10.

On lst April, 2022, Aashi, Rashi and Shashi entered into a partnership with capitals of
5,00,000, 74,00,000 and 3,00,000 respectively.
On Ist January, 2023, Aashi gave a loan of ?1,00,000 to the firm.
The partnership deed contained the following clauses:
(a) Interest on drawingsto be charged @ 8% per annum.
(b) Aashi to be entitled to a rent of 24,000 per annum for allowing the firm to carry on
the business in his premises.
Rashiwithdrew 5,000 at the end of each month for the first six months.
Net Profit of the firm for the year ending 31st March 2023 (before any interest but after
rent on Rashi's premises)was 2,00,000.
Q.9. The Net Profit of the firm will be:
(A) 1,74,500 (B) 2,00,200
(C) 198,500 (D) 1,76,200 1
Q. 10. Interest on Drawings charged from Rashi will be :
(A) ?1,800 (B) 1,700
(C) ? 500 (D) ? 600 1

Q. 11. Naveen is a partner in a firm. Interest on his drawings charged by the firm @9% p.a.
amounts to 74,500 for the year ended 31st March 2023. How much amount he withdrew
from the firm?
(A) ? 40,500 (B) 50,000
(C) 1,00,000 (D) 81,000 1
Q. 12. Pick the odd one out:
(A) Salary to a partner (B) Rent to a partner
(C) Commission to a partner (D) Interest on partner's capital 1

Q. 13. On dissolution, Partner's Loan was appearing on the liabilities side at 60, 000. He
accepted an unrecorded asset of 50,000 at 45,000 and the balance was paid to him in
cash. Realisation Account will be :
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62

(A) Debited by 15,000 (B) Debited by 4S,000

(C) Credited by ?45,000 (D) Credited by ?15,000 1

OR

Following are the factors affecting goodwill except :

(A) Nature of Goods (B) Location of the customers
(C) Location of Business (D) Technical know-how
Q. 14. Interest on debentures is a against profits. 1
at 5%
Q. 15. On 1st April 2023, Goswami Ltd. issued 8,000, 7% debentures of 100 each
discount, 10,000, 9% debentures of 50 cach at 5% premium and 5,00,000, 10%
debentures as collateral security. Interest payable on 30th September 2023 will be
1
Q. 16. Which of the following statements does not relate to 'Reserve Capital"?
(A) It is a part of uncalled capital of a company.
(B) It cannot be used during the life time of a company.
(C) It cannot be used for writing off capital loss.
(D) It is a part of subscribed capital.
1
(C.B.S.E. 2020)
OR
ABC Ltd. forfeited 8,000 equity shares of 100 each issued at a premium of 10% for
non-payment of first and final call of 30 per share. The maximum amount of discount at
which these shares can be reissued will be :
(A) ? 80,000 (B) 3,20,000
(C) ?5,60,000 (D) 2,40,000 (C.B.S.E. 2020)
Q. 17. A firm'saverage profits are 7,00,000. It includes an abnormal profit of S0,000. Capital
invested in the business is 55,00,000 and the normal rate of return is 10%. Calculate
3
goodwill at four times the super profit.
Q. 18. Aditi and Shruti are partners sharing profits and losses in 2:3. Business is being carried
from the premises owned by Aditi on a quaterly rent of ?15,000. Aditi is entitled to salary
of 20,000 per month and Shruti is to get commission @5% of net sales, which during the
year was T60,00,000. Net profit for the year ended 31st March, 2022 before providing for
rent was 8,00,000.
You are required to draw Profit and Loss Appropriation Account for the year ended 31st
3
March, 2022.
OR
Aand Bwere partners in a firm sharing profits in the ratio of 4 : 1. On 1-3-2023, they
admitted Cas anew partner for 1/3rd share in the profits of the firm. They fixed the new
profit sharing ratio as 4:2:3.
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The P & L A/con the date of admission showed a Balance of32,000 (Dr.), The firm also
had a reserve of 1,00,000. C is to bring Z60,000 as premium for his share of goodwill.
Showing your calculations clearly, pass necessary journal entries to record the above
transactions.

0. 19. On 1-4-2021, Motilal Ltd. issued 20,000, 6% debentures of I00 each at a discount of 4%
redeemable at a premium of 5% after three years. The amount was payable as follows :
On application 50 per debenture.
Balance on allotment.
Motilal Ltd. has a balance of 50,000 in Securities Premium. Profit for the year was
75,000.
Pass the journal entries for issue of debentures and writíng off the loss on issue of
debentures. 3

OR
On 1st January, 2020, Moon Ltd. issued 1,000; 12% Debentures of?100 each at a
discount
of 5% repayable as follows :

On 31st December, 2022 20,000

On 31st December, 2023 60,000
On 31st December, 2024 20,000
The company pays interest on debentures annually.
You are required to:
(a) Pass the Journal entries (including interest) for the year beginning Ist
to 31st December, 2020. January, 2020
(b) Prepare the 'Discount on Issue of Debentures Account', till it is
finally closed.
Q. 20. A and B are partners sharing profits in the ratio of 3:2.
They admitted C as a
for 1/3rd share in profit of the firm. C acquires his share as 2/9 from A and new partner
share from B.
1/3rd of his
At the time of C's admission:
() The firm's goodwill was valued at 1,80,000.
(ii) General Reserve appearing in the books was ?75,000.
(ii) Loss on revaluation of assets and liabilities was 740,000.
Before any adjustment was made, the capital of A and B were 1,60,000 and 80,000
respectively and it was decided that C will bring in capital proportionate to his share of
profit after all adjustments.
You are required to pass necessary journal entries on C's admission. 3
Q. 21. The firm of R, K and S was dissolved on
31.3.2019. Pass necessary journal entries for the
following after various assets (other than Cash and Bank) and the third party liabilities had
been transferred to realisation account.
64 SAMPLE PAPER - 2
() Kagreed to pay off his wife's loan of 6,000.
(i) Total Creditors of the firm were 40,000. Creditors worth *10,000 were given a
piece of furniture costing 78,000 in full and final settlement. Remaining creditors
allowed adiscount of 10%.
(iii) Amachine that was not recorded in the books was taken over by Kat 3,000 whereas
its expected value was 5,000.
(iv) The firm had a debit balance of 15,000 in the profit and loss A/c on the date of
dissolution. 4
(C.B.S.E. Sample Paper 2019)
Q.22. Fillin the blanks :
Date Particulars LF Dr. Cr.
Amount Amount

)Share Capital Alc Dr.

Alc Dr.
To
To Share Forfeited Alc 10,000
(Forfeiture of. shares of 100 each, 760 called up
issued at a premium of T10, on which only application money of
25 per share is paid)
()Bank A/c Dr. 23.000
Alc Dr.
To Alc
shares reissued at a discount of Z8 per share, fully
paid)
(ü) Share Forfeited Alc Dr.
To Alc
(Proportionate amount of gain on reissue transferred to . )
4

Q.23. In 2020, Rishikesh Ltd. was registered with an authorized capital of1,00,000 in Equity
shares of 10each. Ofthese, 4,000 equity shares were issued as fully paid to vendors for
the purchase of Plant and Machinery and the remaining 6,000 shares were subscribed for
by the public for cash. During the first year, 6 per equity share was called up on these
6,000shares, payable 73 on application, ?Ion allotment and 2 on the first call.
The amount received in respect of these shares were as follows :
On 5,000 shares, the full amount called.
On 600 shares, ?4 per share.
On 400 shares, 3per share.
The company forfeited all those shares on which only 3had been received and reissued
them at 4 per share, 6 called up.
Journalise the transactions in the books of the company and prepare a Calls-in-Arear6
Account.
SAMPLE PAPER-2 65

OR
Radha Mohan Ltd. invited applications for issuing 4,00,000 equity shares of 50 each.
The amount was payable as follows :
On Application ?15 per share
On Allotment {25 per share
On First and Final Call ?10per share
Applications for 6,00,000 shares were received and pro rata allotment was made to all the
applicants on following basis :
Applicants for 4,00,000 shares were allotted 3,00,000 shares.
Applicants for 2,00,000 shares were allotted 1,00,000 shares.
It was decided that excess amount received on applications will be adjusted towards sums
due on allotment and surplus if any will be refunded. Vibhuti, who was allotted 6,000
shares out of the group applying for 4,00,000 shares did not pay the allotment money and
his shares were forfeited immediately. Afterwards, these forfeited shares were reissued at
730 per share fully paid-up. Later on, first and final call was made. Shahid, who had
applied for 2,000 shares out of the group applying for 2,00,000 shares failed to pay first
and final call and his shares were also forfeited. These shares were afterwards reissued at
T60per share fully paid-up.
Pass necessary Journal entries in the books of Radha Mohan Ltd. for the above
transactions.
Q. 24. A, Band Cwere partners sharing profits in the ratio of 4:3:2. Cretires from the business
and Aand Bdecided to share future profits in the ratio of 3 :2. The Balance Sheet of the
firm as at 31st March 2022 stood as follows :
Liabilities Anount Assets Amont

Sundry Creditors 1,05,000 Land and Buildings S,00,000

Workmen's Compensation Reserve 45,000| Machinery 3,20,000
Capital A/es: Stock L,05,000
A S,00,000 Sundry Debtors 1,50,000
4,00,000 Less : Provision for
C 1,50,000| 10,50,000 | Doubtful Debts 15,000 1,35,000
Cash at Bank 1,40,000
12,00,000 12,00,000
(i) Goodwill of the firm is valued at 1,80,000.
(ii) Land and Buildings to be increased to 5,40,000 and Machinery is to be reduced by
60,000.
(i) The claim on account of Workmen's Compensation is estimated at 227,000.
(iv) There were bad debts amounting to 22,000.
() Cis to be paid 1,00,000on retirement and the balance ater oneyear @12% p.a.
Prepare Revaluation Account & Capital Accounts of Partners. 6
66
SAMPLE PAPER 2
OR
1 1
X f and Z were partners sharing profits in the ratio of Following was their
Balance Sheet as at 3ist March. 2021:
Assets
Amount
Creditots 150,000 Fixed Assets 9,00,000
Workmen Compensstion Reserve 40,000 Debtors 2,80,000
Bank Loan 40,000 nvestments
I's Loan
30.000
50,000 Stock 1,40,000
Capitals : Patents 10,000
6,00,000 Advertisement Suspense Account 20,000
450,000 Prepaid Expenses 12,100
L,00,000 II50,000 Cash 37,900
1430.000 1430,000
The f i WZs issoved on te zbove date :
(i FixedAssets were realised at 120 %and 50.000 of the debtors proved bad.
(i) Creditors zgreed to take stock in full setlement of their dues.
(üü) accepted investmenS in full settiement of his loan.
(iv) Bernk loar is paid off together wth interest a 9% p.a for three months.
(v) An unrecorded investment as sold for 16.000.
(vi) Copensation o Workmen paid by the firm amountedto 24,000.
(vii) Xwas allowe 2 remunerztion of 25,000 and the expenses of realisation were to be
borne by him. Firm paid realisation expenses of 10,000.
Prepare Realisatior Ac.
Q. 25. On lst April. 2021. Quick Ld. issued 10,00.000, 12% debentures of 100 each at a
iscount of 1%. These debentures were redeemable at a premium of 5% after four years.
Pass Tiecessar journal ertries and prepare 12% Debenture Account and Loss on Issue of
Debentures Ac for the year ended 31.3.2022. (lgnore interest on debentures) 6
Q. 26. A. Band Care partners sharing profits and losses in 3:2:1. Their Balance Sheet as at 31st
March. 2019 was follows
iblinhes. Aicets
Sundry Creditors 120900 Goodwill 30,090
General Keserve 60000 Land &Building 4,50.000
Capital Alcs: 1,50,000
4,00,000
Mackánery
Stock 1,80,000
3,20,500 Debtors 2.20,000
130,000900100Cash at Bank 50.900
10,80,000
SAMPLE PAPER - 2 67

B retires on Ist April, 2019 and A and C agree to share future profits in the ratio of 5 : 4.
On this date :
() Goodwill of the firm was valued at 1,80,000.
(ii) Land & Building was found undervalued by l0% and Stock is found overvalued by
20%.
(iüi) Machinery is to be decreased to 750,000.
(iv) 25% of the General Reserve was to be kept as provision for doubtful debts.
(v) Motorbike valued 20,000 was unrecorded in the books of the firm.
It was decided to pay off B giving him Motorbike and the balance in annual instalments of
71,50,000 alongwith interest a10% p.a.
You are required to prepare B's Capital Account and his Loan Account till it is finally
closed. 6

Part B
Analysis of Financial Statements
Q. 27. Quick Ratio of aCompany is 1.2:1. State with reason, what willbe the impact of purchase
of goods on credit on this ratio. 1
Q. 28. Operating ratio is :
(A) Cost of revenue from operations + Selling Expenses/Net Revenue from operations
(B) Cost of Revenue from Operations + Operating and Non Operating Expenses/Net
Revenue from operations
(C) Cost of revenue from operations + Operating Expenses Net Revenue from Operations
(D) Cost of revenue from operations-Operating Expenses Net Revenue from Operations
1

OR
Under which tool of financial statement analysis, 100% is taken as a base and all other
related items are expressed as a percentage of base?
(A) Comparative Statement. (B) Ratio Analysis.
(C) Common Size Statement. (D) Break Even Point Analysis.
Q. 29. State whether the following statement is True or False:
Liquidity of the business refers to the ability of the business to pay its long term liabilities.
1
Q. 30. Fixed Assets 3,00,000; Liquid Assets 1,80,000; Inventory ?70,000; Current Liabilities
*50,000; Cost of Revenue from Operations 8,00,000; G.P. 25% of Cost. Working
Capital Turnover Ratio will be:
(A) 2 times (B) 4.8 times
(C) 4 times (D) 5 times
69 SAMPLE PAPER- 2
OR

'G Ltd.' iscarrying on a paper manutacturing business. In the current year, it purchased
machinery for 30,00,000; it paid salaries of T60,000 to its employees; it required funds
for expansion and therefore, issued shares of R20,00,000. Itearned a profit of R9,00,000
for the current year.
Find out Cash Flow from Operating Activities.
Q.31. Under which major head of the Statement of Profit and Loss of a Company following
items will be shown:
() Commission Allowed
(i) Sales
(iii) Purchase of Stock in Trade
(n) Gratuity Paid
() Sale of Scrap
(v) Loan Processing Charges 3
Q. 32. Following information is provided to you :

Debentures 2,00,000
Trade Payables 70,000
Short-term Borowings (including bank overdraft of 40,000) 90,000
Outstanding Expenses 20,000
Advance Tax 10,000
Current Ratio 2.5: 1

Compute the amount of Current Assets. 3

OR
Calculate Debi to Capital Employed Ratio from the following particulars :
6% Debentures 6,00,000
Provision for Employ ee Benefits (Gratuity) 40,000
Land & Building 7,70,000
Plant & Machinery 1,80,000
GoodwilI 1,50,000
Non-Current Investments (Trade Investnents) 2,00,000
Inventory 5,80,000
Trade Receivables 3,60,000
Trade Payables 2,40,000
Q.33. Prepare a Common-Size Statement of Profit and Loss of Hari Darshan Lid.' from the
following information:
2022-23 2021-22
Patiolao Note
o
10,00,000
Revenue from Operations 20,09,000
SAMPLEPAPER- ) 69

Purchase of Stock in Trade 7,70,000 4.20,000

Change in Inventories 1,20,000 80,000
Other Expenses 52,000 30,000
Other Income 60,000 50,000
4

OR

Following information is extracted from the Statement of Profit and Loss of Delko Ltd. for
the year ended 31st March, 2023:
Particulors Nore 2022-23 2021-32

Revenue from Operations 60,00,000 45,00,000

Employee Benefit Expenses $0,00,000 22.50,000
Depreciation 7.50,000 6,00,000
Other Expenses 15.50,000 10,00,000
Prepare Comparative Statement of Profit and LOSs.
Q. 34. From the following information of Siyaram Ltd. determine Cash Flow from Financing
Activities :
Purticulars 3ist Nack 3ist Merck
2023 2022
Equity Share Capital 60,00,000 40,00,006
8% Debentures
$,00,000
7% Debentures 6,00,000
Bank Overdraft 3.20,0001 3.00,000
Cash and Cash Equivalents 1.50,000 1,90,000
Additional Information :
1. 8% Debentures were redeemed on lst Jan. 2023 and new 7% Debentures
were issued
on the same date at a discount of 5%.
2. During the year 2022-23, Siyaram Ltd. issued bonus shares in the ratio of 2 : 1.
3. Interest paid on Bank Overdraft was 35,000.
4. Proposed Dividend on Equity Shares for the year ended 3\st March, 2022 4,00,000.
5. Proposed Dividend on Equity Shares for the year ended 3lst March, 2023 74,80,000.
6