Ambience Public School

Assessment Exam: 2024-2025

Subiect: Accountancy
Class: XII
Date- 26/06/2024
Time: 3 hrs
M.M: 80
General instructions:
1. This question paper contains 34 questions.
2. Question Nos.from 1 to 20 carries 1 mark each.
3. Questions Nos. from 21 to 24 carries 3 marks each.
4, Questions Nos. from 25 to 30
carries 4 marks each
5. Questions Nos. from 31 to 34 carries 6 marks each
6. Marks are indicated against each question.
7. Attempt all parts of the questions together.
0. Arun and Vijay are partners in a firm sharing profits and losses in the ratio of 5:1.
Balance Sheet (Extract) (1)

Liabilities Assets

Machinery 40,000

If the value of machinery reflected in the balance sheet is overvalued by 33-1/3 %,

find outt the value of Machinery to be shown in the new Balance Sheet:
(a) 244,000
(b 000
(c) 32,000
(d) 230,000

Q.2 Whlch of the following is true regarding Salary to a partner when the firm
maintains fluctuating capital accounts? (1)
(a) Debit Partner's Loan A/c and Credit P&LAppropriation A/c,
(b) Debit P & LA/C and Credit Partner's Capital A/c.
(c) Debit P&LApproprlation A/c and Credit Partner's Current A/.
(o} Debit P&LAppropriation A/c and Credit Partner's Capital A/c.
Q.3 E, Fand G are partners sharing profits in the ratio of 3:3:2. According to the
(1
partnership agreement, Gis to geta minimum amount of 80,000 as hls share of
profits every year and any deficiency on this account Is to be personally borne by 2812900
E. The net profit for the year ended 31st March 2021 amounted to
3,12,000. Calculate the amount of deficiency to be borne by E?
(a) ?1,000
(b) 74,000
(c) 38,000
(d) 22,000
Rakesh and Keshav were partners In a irm. Assets of the firm are Rs.dvalO00
(excluding goodwill) and llabilities are Rs.5,00,000, while capitalized (1)
average profit was Rs.18,00,000., By capltallsation of Averag Proft Method, value
of Goodwill of the firm is
(a) Rs.2,00,000
(b Rs.3,00,000
NA 5t0900
Q.9 What is the correct order in which Capital Accounts of old partners are adjusted on (1)
the basis of new Partner's Capital?
A.Find Surplus or Deficit Capital by comparing Present Capital and Proportionate
Capltal.
B.Ascertain Present Capital (after all adjustments) of old partners.g
Capltal.
C.Pass necessary Journal entries for adjusting Surplus or Deficlt
D.Compute Total Capital of the firm on the basls of Capital of New Partner.(0)
partner in a reconstituted firm()
E. Determine Capital (l.e., Proportlonate) of each
Choose the correct option:
(a) D, E, B, C and
(b) D, E, C, B and A
(c) D, E, ,A
Aand
()D, E, B, A and C
in the ratlo 3:1. On 31st March 1)
Abhay and Baldwin are partners sharing profit
Q.10
2021, the flrm's net profit was 1,25,000, &The
partnership deed provided interest
10,000 respectively and Interest on
,26,900
on capltal to Abhay and Baldwin 15,000
drawings for the year amounted to 6000 from Abhay
and 4000 from Baldwin. 2690
on net divlsible profits s after charging
Abhay is also entitled to commisslon @10%
transferred to Partners Capital A/c's.
such commission, Calculate profit to be
kej 1,00,000
(b) 31 10.000
(c) 1,07,000
|10,C8I 10,000
(d) 90,000
as Assertion (A) and the other
Q.11 Glven below are two statements, one labelled
labelled as Reason (R): time of Admission of a partner.
Assertion (A): Revaluation A/c is prepared at the assets and liablities at the time
Reason (R): It is required to adjust the values of position of the firm is reflected.
of admission of a partner, so that the true financial
which of the following Is correct?
In the context of the above two statements,
Codes: (R) is the correct reason of (A).
(a) Both (A) and (R) are correct and (R)
(b) Both (A) and (R) are correct but is not the correct reason of (A).
(c) Assertion (A) Is true but Reason (R) is false
0s true
(d) Assertion (A) is false but Reason (R)

and Jerry were partners in the ratio of 5:3:2. On 31st March

2021, (1)
Q.12 Mickey, Tom reflected
their books a net profit of 22,10,000. As per the terms of the partnership
780,000,
deed they were entitled for Interest on capltal which amounted to
Z60,000 and 40,000 respectively. Besides this a salary of 260,000 each was
be
payable to Mickey and Tom, Calculate the ratio in which the profits would
appropriated.
(a)1:1:1
(b 5:3:2
(c) 7:6:2
(d) 4:3:2
0.13 Ajay and Vinod are partners in the ratlo of 3:2, Their fixed Capital were ?3,00,000 (1)
and 24,00,000 respectively. After the close of accounts for the year it was
observed that the Interest on Capital which was agreed to be provided at 5% pa
was erroneously providd at 10%p.a! By what amount will Ajay's account be
an adjustment entry for the same?
affegted if partners decide to pass an
La Ajay's Current A/c wll be by R15,000.
(b) Ajay's Current A/c will be Credited by 6,000.
(c) Ajay's Current A/c wl be Credited by ?3S,000.
(d) Ajay's Current A/c will be Debited by 220,000.
 (c) Rs.4,00,0
() Rs,g EJOO
0,000
Q.5 Paul and are two
partners in a firm having Capitals of 2,50,000
Rahul is admitted for 1/3rd share for which he brings 3,00,000 for his each. of (1)
capital. The amount of goodwill will be share
(a) Rs.1,00,000
KS.S0,000
C) Rs.2,50,000
(d) NII
Q.6 Read the following statements:
alternative from those Assertion (A)'and Reason(R). Choose the
given below: correct (1)
ASSERTION
has been paid.
(A): Purchased goodwill
means the goodwill for which
consideration
REASON (R): It is shown on the liablity side of
Alternatives: the Balance Sheet
(a) Both
Assertion (A) and
explanation of Assertlon (A).Reason (R) are true and Reason (R) Is the correct
(b) Both
Assertion (A) and Reason (R) are true and Reason (R) is not the
explanation of Assertion (A) correct
(e Assertion (A) is
(d) Assertion (A) Is true but Reason (R) is
false but Reason (R) Is false
true
Q.7 A, B and C were
4:3
equal partners. They
:3: 2, For this purpose the nnndillO Cnnge the profit sharing ratio to
firm was (1)
journal entry for the treatment of Goodwill on valued at 24,50,000.The
G) C's Capital A/c. Dr 50,000
change in profit sharing ratio will be:
To A's Capital A/c. 50,000 A
(b) C's Capital A/c. Dr.
To A's Capital A/C 4,50,000
4,50,000
(c) A's Capital Ac. Dr. SR
4,50,000
To C's Capltal A/C.
(d) A's Capital A/c.
To C's Capital A/c.
Dr, A,550,000
0
50,000 C"23
Q.8 Good, Better and Best are partners sharing
profits in the ratio of 5:3 : 2. They
decided to share profits in the ratio of 2:3:5 (1)
They decided to adjust the following reserves, with effect from 1st April, 2022.
without affecting thelr book values: accumulated profits, and losses
|Book Value Rs
Profit 8& Loss Ac (Cr.) 15,000
46000
General Reserve
60,000
Advertising Suspense A/c30,000
The adjustment entry will be:
(a) Dr. Best's Capital A/c and Cr. Good's Capltal A/c by Rs.13.500
(b) Dr. Good's Capital A/c and Cr. Best's Capital A/c by Rs.13,500
(c) Dr. Better's Capltal A/c and Cr. Good's Capltal A/c by Rs.13,500
(d) Dr. Good's Capital A/c and Cr. Better's Capltal A/c by Rs.13,500
 Q.14 If average capltal employed in a firm is 28,00,000, average of actual profits is (1)
?1,80,000 and normal rate of return Is 10%, then value of goodwill as per
capitallzation of average profits Is:
a10,00,000
(c) Z80,00,000
I8000Do (d) 278,20,000
Q.15 At the time of admission of a partner, what will be the effect of the following (1)
informatlon? Balance in Workmen compensatlon reserve 40,000. Claim for
workmen compensatlon R45,000.
(a) 45,000 Debited to the Partner's capital Accounts.
240,000 Debited to Revaluation Account.
(b)
(Y S,000 Debited to Revaluation Account.
(d) 5,000 Credited to Revaluation Account.
Q.16 Sarvesh, Srinlketan and Srinlvas are partners in the ratio of 5:3:2. If Sriniketan's (1)
share of profit at the end of the year nounted to ?1,50,000, what would be
Sarvesh's share of profits?
(a) 5,00,000.
6) 1,50,000.
(c) 23,00,000.
(d) 22,50,000.
200009
Q.17 Anubhav, Shagun and Pulkit Sre partners in a firm sharing profits and losses in the
ratio of 2:2:1. On 1st April 2021, they decided to change their profit-sharing ratlo
(1)
balao e d o t c Loss AC 30,000 appeared n
to 5:3:2. On that date, a debit d
1the balance sheet and partnerer e f l e opass an adjusting entry for it. whieb of
5O Uthe Andermentioned ontione correct treatment for the above treatment?
(a¥ Shaqun's capital acc
account will by 3,000 and Anubhav's capital
account credited by 3,000
(b) Pulkit's capital account will be credited by ?3,000 and Shagun's capital account
will be credited by 3,000
IT O(c) Shagun's capital account will be debited by 30,000 and Anubhav's capital
account credited by 30,000
(d) Shagun's capital account will be debited by 3,o00 and Anubhav's and Pulkit's
capital account credited by 2,000 and 1,000 respectively.
A and B are partners in the ratio of 3:2. C is admitted as a partner and he takes (1)
VAth of his share from A. Bgives 3/16 from his share to C. What is the share of c?
() 1/4
(6) 1/16
(c) 1/6
(d) 1/16
1290
Q.19 Kalki and Kurmud were partners sharing proflts and losses in the ratio of 5:3. on
1st April,2021 they admitted Kaushtubh as a new partner and the new ratio was
decided as 3:2:1. Goodwill of the firm was valued as 3,60,000. Kaushtubh
couldn't bring any ambunt for goodwl. Amount of goodwill share to be credited to
Kalki and Kumud Account's will be: -
(a) 37,500 and 222,500 respectively
(b) 230,o00 and 230,000 respectively 12,000
(c) 236,000 and 24,000 respectively
(d) z45,000 and ?15,000 respectively
660D
9.20 A, B and C are partners, their partnership deed provides for interest on drawings at (1)
8% per annurm. B withdrew a fixed amount in the mlddle of every month and his
Q.25 Aand Bwere sharing profits in the ratio of 3:2. They admit C into partnership for (4)
1/6th share of future profits. Goodwill, valued at 4 times the average super profit
of the firm, was Rs.18,000. The firm had assets worth Rs.15,00,000 and liablitles
Rs.12,00,000. The normal earning capacity of such firms Is expected to be 10%.
Find the Average business profit/actual business profit earned by the firm.
Q.26 A and B are partners in a firm sharing profits equally. (4)
Balance Sheet(Extract)
Liablities Rs. Assets Rs.

Debtors 1,50,000
Less:Provislon for doubtful debt
15,000 1,35,000
An amount of Rs.12,000 due from Mohan, a debtor, is to be written off as no
recelvable. Provision for doubtful debts on remaining longer
the current rate. debtors Is to be maintained at
What amount of Provision for doubtful debt should be created to malntain its
current rate? Also, Journallse the
transactions.
Q.27 Ram, Mohan and Sohan are partners with capitals of
Rs.5,00,000,
followe: p a m n g interest on capltal @ 10%Rs.2,50,000
Rs.2,00,000 respectively. and (4)
are divisible as p.a. the profits
1/2, Mohan 1/3 and Sohan 1/6. But Ram and Mohan
have guaranteed that Sohan's
So share in the profit shall not be less than Rs.25,000,
in any year. The net profit for the year ended March
before charging Interest on capital. You are required 31,to
2024 is Rs. 2,00,000,
show the distributlon of
profit.

Q.28 Radhika, Banl and Chitra were

ratio of 2:3: 1. With effect from partners a firmn sharing profits and losses in the
in 4)
1st April, 2018
profits and losses in the ratio of 3 :2: 1. On that they decided to share future
date their Balance Sheet showed
a debit balance of 24,000 in Profit and Loss Account and a balance of
in general reserve. It was also agreed that: 1,44,000
(a) The goodwill of the firm is valued at 1,80,000.
(b) The land (having book value of 3,00,000) will be
Pass the necessary journal entries for the above valued at ?4,80,000.
changes
Q.29 X and Y are partners sharing proflts & losses in
the ratio of 3:2.They admitted Z as
a partner for 1/4th share of profit. At the time of admission ofZ, Investment
(4)
appeared at Rs.80,000. Half of the investments to be taken by X and Y in their
profit sharing ratio at book value, Remaining investments were
valued at
Rs.50,000. Pass the necessary Journal Entries. Also calculate the new profit
ratlo if Z acqulres 1/5th of his share from X and sharing
remalning share from Y.

Q.30 YO and Sakshi partners In a firm, sharing profits and losses in the ratio of (4
31st March, 2024 their Balance Sheet was as under:
Balance Sheet of Bhavya and Sakshl As at 31st March, 2024

Liabilities Amount Assets Amount

()
Sundry Creditors 13,800 Furniture 16,000
-23,400 56,000
3 6 0

4g60
2400
 l2 =TO
interest on drawings amounted to 4,800 at the end of the year. What was the
amount of his monthly drawings?
(a10,000
(b) 25,000
(c) ?1,20,000
(d) 748,000 pho00
Q.21 P Q and R were partners with fixed capital of ? 40,000, 32,000 and 24,000. (3)
After distrlbuting the profit of 248,000 for the year ended 31st March 2022 in their
agreed ratio of 3 : 1:1, it was observed that:
(1) Interest on capltal was provided at 10% p.a. instead of 8% p.a.
(2) Salay of ? 12,000 was credited to P instead of Q.
You are required to pass a single journal entry in the beginning of the next year to
rectify the above omissions.

0.2 D I l of aa firm on the basis of three years purchases of the Weighted (3)
the last four years. The profits of the last four years were:

Years (ending 31st March) 2020 2021 2022 2023

Amount(Rs.) 28,000 27,000 46,900 53.810

a) On 1st April, 2020 a major plant repair was undertaken for 10,000 which was
charged to revenue. The said sum is to be capltalized for goodwill calculation
subject to adjustment of depreciatlon of 10l% on reducing balance method.
b) For the purpose of calculating Goodwill the company decided that the years
ending
and for 31.03.2020
year ending and 31.03.2021
31.03.2022 and be welghted weights
31.03.2023 as 1eachbe(being
taken COVID
as 2 andaffected)
3
respectively.
A and B are partners in a firm sharing profits and losses in the ratio of 3:1. They (3)
Q.23
admit C into partnership for 1/3rd share. C brings Rs.15,000 as his premium for
goodwill, As between themselves, A and B agree to share future profits and losses
equally. At the time of admission of C, goodwill appears In the balance sheet of A
and Bat Rs.3,000.Pass necessary journal entrles.
O.24 a) Pranay, Karan and Rahim are partners sharing profits and losses in an agreed (3)
ratio, With effect from 1st April, 2024, they agreed to share profits in the ratio of
3:3:4. To arrive at the new ratio, Rahim takes 1/5th share equally from Pranav and
Karan, Calculate the old profit sharing ratio.
Nidhi, Vidhi and Sidhi are partners sharing profits & losses in the ratio of 2:2:1.
From 1st April 2024, they decide to change the profit sharing ratlo, They pass the
following adjustment entry for goodwill in the books
Date Partlculars LFDr. (Rs.) Cr.(Rs.) 4:16

1/4/24 Nidhi's Current A/c Dr. 24,000 3

Sidhil's Current A/C Dr. 16,000
To Vidhi's Current A/C 40,000
(Goodwill adjusted on change in
profit sharing ratio)
What wlll be the new profit sharing ratio of partners assuming capital of partners
are fixed.
Gbe26
 d. Machinery was undervalued by Rs.5,000. Stock was valued 10% more than
Its market value
e. Mahesh was to bring In capltal equal to 20% of the combined capital of Ram
and Shyam after all adjustments.
Prepare Revaluation account, Partner's Capital accounts and Balance Sheet of the
new firm

Q.33 A, B andC are partners in a firm. According to the partnership deed, the partners (6)
are entitled to withdraw up to Rs.7,000 per month from the firm for personal use.
On the first day of every month A, B and C drew Rs.7000, Rs.6,000 and RS.5,000
respectively. On 1st April, 2023, balances of their capltal
accounts were
Rs.5,00,000, Rs.4,00,000 and Rs.3.50.000 respectively. Interest on capital will be
allowed @ 8% p.a. and interest on drawings is to be charged @ 10%p.a.
Profit for the year ended was Rs.7,55,000 out of which Rs.2,00,000 is to be
transferred to the General Reserve.
B and C are to get salaries of Rs.30,000 and Rs,45,000 p.a. Respectively and A is
to get a commisslon of 10% on distributable profits after charging such
commission.
Prepare Profit & Loss Appropriation Account for the year ended 31st March, 2024
and capital accounts of partners in the books of the firm.
Q.34 A, B, C and D were partners sharing profits in the ratlo of 3:2:2:2. On 01.04.2016, (6)
their balance sheet was as follows:

LIABILITIES RS. ASSETS RS,

Capital A/cs
A2.00 000
Fixed Assets
8,25,000
Current Assets 3,00,000
B2,50,000
2,50,000
3.10.000 10,10,000
Sundry Creditors 90,000
Workmen Compensatlon
Reserve 25,000

|11,25,000 11,25,000

From the above date, the partners decided to share the future profits in the ratio of
4:3:2:1, For this
considerodpose the goodwill of the firm is valued at Rs.2,70,000. It was
alsoo that
a. The claim for workmen compensatlon reserve is
estimated at Rs.30,000 and
fixed assets will be depreciated by Rs.25,000.
b. Adjust the capital account of all the partners on the basis of a new profit
sharing ratio by opening the current account of the partners.
Prepare Revaluatlon Account, Partners' Capital Account and the Balance Sheet of
the reconstituted firm.
 General Reserve-23Y0 Land and Bullding 30,000
Investment Fluctuation 20,000 Investments 18,500
Fund 50,000 Trade Recelvables 26,700
Bhavya's Capltal Y40,000 7Cash in Hand
Sakshi's Capltal

1,47,200 1,47,200

The partners have declded to change their profit sharing ratio to 1: 1 with
immediate effect. For the purpose, they decided that:
a. Investments to be valued at 20,000
b. Goodwill of the firm valued at 24,000 the partners. You are required to
C. General Reserve not to be distributed between workings.
pass necessary journal entries in the books of the firm. Show
They admit C into (6)
Q.31 A and B are partners in a firm sharing profits and losses atequally.
two years' purchase
partnershlp for an equal share. Goodwll is to be valued the last four years were:
for
the average profits of the last four years. Profits
Year Ended RS
31# March, 201S 1,40,000
31" March, 201
2016 1,00,000
31* March, 2017 55,000(loss)
314 March, 2018 1,50,000 following:
The books of accounts of the firm revealed the
during the year ended 31 March,
a. The firm had an abnormal qain of Rs. 10,000
2015.
during the year ended 31" March,
b. The firm incurred abnormal loss of Rs.20,000
2016 wrongly debited to vehlcles on
C. Repairs to a car amounting to Rs.50,000 was @10% on straight line
1"April, 2016. Depreciation was charged on vehicles
method. to be written off in the year 2017-18.
d. A bad debt of Rs.5,000 was omltted
Calculate the value of goodwill of firm.

of Ram & Shyam who share profits and (6)

O.32 On 31st March, 2024 the Balance Sheet
losses in the ratio of 3:2 was as followS:

Rs. Assets Rs.

Llabilities

Creditors 70,000 Cash at Bank

Debtors 1,62,500
25,000 326000+I01
General Reserve 25.000
Vee Provldent Fund less-Provision for
Employee 55,000
doubtful debt 12,500 1,50,000
Capltal: 82,500
Ram 1,50,000
Shyam 1,00,000
Stock
2,50,000Machinery 1,42,500 S32500
4,00,000 4,00,000

They decided to admit Mahesh on 1st April, 2024 for 1/5 share whlch Mahesh
acqulred wholly from Shyam on the following terms -
a. Mahesh shall bring Rs.25,000 as his share of premlum for goodwill
b. A debtor whose dues of Rs.7,500 were written off as bad debt paid Rs.5.000
50
in settlement
C. Acalm of Rs. 12.500 on account of worknen compensation was to be
provided for.