EMMANUEL SENIOR SCONDARY SCHOOL

SUBJECT - ACCOUNTANCY (055)

CLASS XII (2024-25)

Time Allowed: 3 hours Maximum Marks: 80

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 candidates.
4. Part - B has two options i.e. (i) Analysis of Financial Statements and (ii)
Computerised Accounting. Students must attempt only one of the given options.
5. Question 1 to 16 and 27 to 30 carries 1 mark each.
6. Questions 17 to 20, 31and 32 carries 3 marks each.
7. Questions from 21 ,22 and 33 carries 4 marks each
8. Questions 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.
Part A:- Accounting for Partnership Firms and Companies
1. S, B and J were partners in a firm. T was admitted as a new partner in the partnership [1]
th
firm for 1

5
share of profits.
Sacrificing ratio of S, B and J:

a) 3 : 2 : 1 b) 1 : 1 : 1

c) 2 : 2 : 1 d) 2 : 1 : 1

2. Assertion (A): Each partner is a principal as well as an agent for all the other partners. [1]
Reason (R): As per the definition of Partnership Act, partnership business may be
carried on by all the partners or any of them acting for all.

a) Both Assertion (A) and Reason b) Both Assertion (A) and Reason
(R) are correct, but Reason (R) (R) are correct and Reason (R) is
 is not the correct explanation of the correct explanation of
Assertion (A). Assertion (A).

c) Assertion (A) is correct, but d) Assertion (A) is incorrect, but

Reason (R) is incorrect. Reason (R) is correct.

3. When shares are forfeited, Share Capital Account is debited with: [1]

a) called-up value of shares b) nominal value of shares

c) paid-up value of shares d) market value of shares

OR
Naman Ltd. issued 10,000, 7% Debentures of ₹ 100 each at a discount of ₹ 4. It has a
balance in Securities Premium Reserve of ₹ 25,000. It will write off Discount on Issue of
Debentures as

a) ₹ 40,000 from Statement of b) ₹ 15,000 from Securities

Profit & Loss. Premium and ₹ 25,000 from
Statement of Profit & Loss
(Finance Cost).

c) ₹ 25,000 from Securities d) ₹ 40,000 from Securities

Premium and ₹ 15,000 from Premium.
Statement of Profit & Loss
(Finance Cost)

4. What is gaining ratio: [1]

a) In which profit sharing ratio of b) In which profit sharing ratio of

gaining partners increase gaining partners decrease

c) In which profit sharing ratio of d) In which profit sharing ratio of

sacrificing partners increase sacrificing partners decrease

OR
Veena and Yuvansh are partners. Veena withdrew ₹ 50,000 and Yuvansh withdrew ₹
40,000 during the year for their personal use. There was a loss of ₹ 2,500 during the year.
 As per the partnership deed interest on drawings is to be charged @ 10% p.a
Veena's share of Profit/Loss.

a) Veena's Share of Profit ₹ 3,500 b) Veena's Share of Profit ₹ 3,250

c) Veena's Share of Loss ₹ 3,500 d) Veena's Share of Profit ₹ 1,000

5. A and B are partners in a partnership firm without any agreement. A has withdrawn ₹ [1]
50,000 out of his Capital as drawings. Interest on drawings may be charged from A by
the firm:

a) @5% Per Annum b) @6% Per Month

c) No interest can be charged d) @6% Per Annum

6. Issued 4,000, 12% debentures of ₹ 100 each at a premium of 4%, redeemable at a [1]
premium of 10%. In such case:

a) Premium on Redemption will be b) Loss on Issue will be debited by

credited by ₹ 24,000 ₹ 40,000

c) Loss on Issue will be debited by d) Loss on Issue will be debited by

₹ 24,000 ₹ 56,000

OR
When debentures are issued as secondary securities it is called

a) Issue for consideration other b) Issued at premium

than cash

c) Issue as collateral securities d) Issued at a discount

7. Assertion (A): Shares cannot be allotted unless minimum subscription is received. [1]
Reason (R): SEBI has prescribed that a company issuing shares to public cannot allot
shares unless it receives subscription of 90% of the shares issued.

a) Both A and R are true and R is b) Both A and R are true but R is
the correct explanation of A. not the correct explanation of A.

c) A is true but R is false. d) A is false but R is true.

 8. How to calculate the share of the goodwill of Retiring or deceased partner? [1]

a) Value of the firm’s goodwill × b) Value of the firm’s goodwill ×

outgoing partner's share of profit Sacrificing partner’s share

c) Value of the firm’s goodwill × d) Value of the firm’s goodwill ×

new partner's profit share Gainer partner’s share

OR
X, Y and Z started a business in partnership on 1st October 2020. The profit sharing ratio
was decided among the partners 2 : 1 : 1. Z was guaranteed a profit of ₹ 28,000 p.a.
Deficiency amount (if any) will be borne by X and Y in the ratio of 3 : 2. The firm earned
profit for the year ending 31st March 2021 ₹ 20,000.
How much deficiency is borne by X and Y?

a) X ₹ 13,800 and Y ₹ 9,200 b) X ₹ 5,400 and Y ₹ 3,600

c) X ₹ 10,800 and Y ₹ 7,200 d) X ₹ 12,000 and Y ₹ 6,000

Question No. 9 to 10 are based on the given text. Read the text carefully and answer the [2]
questions:
A, B and C are partners in a firm sharing profits and losses in the ratio of 2:2:1. Their
capitals(Fixed) are ₹ 1,00,000, ₹ 80,000 and ₹ 70,000 respectively. For the year 2018-19,
interest on capital was to be credited to them @ 9% p.a. instead of 12%.

9. What was the net amount should be credited to partner B?

a) ₹ 2,400 b) ₹1,200

c) ₹ 1,500 d) ₹ 1,800

10. What was the net amount should be credited to partner C?

a) ₹ 2,100 b) ₹ 1,700

c) ₹ 2,000 d) ₹ 1,800

11. X and Y are partners in the ratio of 3 : 2. Their capitals are ₹ 2,00,000 and ₹ 1,00,000 [1]
respectively. Interest on capitals is allowed @ 8% p.a. Firm earned a profit of ₹ 15,000
for the year ended 31st March 2023. As per partnership agreement, interest on capital
is treated a charge on profits. Interest on Capital will be:
 a) X ₹ 10,000; Y ₹ 5,000 b) X ₹ 9,000; Y ₹ 6,000

c) X ₹ 16,000; Y ₹ 8,000 d) No Interest will be allowed

12. X Ltd. forfeited 2,000 shares of ₹10 each (which were issued at par) held by Naveen [1]
for non-payment of allotment money of ₹4 per share. The called-up value per share
was ₹ 9. On forfeiture, the amount debited to Share Capital Account will be

a) ₹ 18,000 b) ₹ 2,000

c) ₹ 8,000 d) ₹ 10,000

13. Elpis Ltd. Is registered with authorised capital of ₹ 10,00,000 divided into 1,00,000 [1]
Equity share of ₹ 10 each. Out of which 80,000 shares are offered to the public and
applications were received for 75,000 shares only. Company called ₹ 8 per share till
now.
(a) Authorised share capital (i) 8,00,000
(b) Issued share capital (ii) 6,00,000
(c) Subscribed share capital (iii) 10,00,000
(d) Called up capital (iv) 7,50,000

a) (a) - (iii), (b) - (iv), (c) - (i), (d) - b) (a) - (ii), (b) - (iii), (c) - (i), (d) -
(ii) (iv)

c) (a) - (iii), (b) - (i), (c) - (iv), (d) - d) (a) - (ii), (b) - (iii), (c) - (iv), (d)
(ii) - (i)

14. What is the nature of rent paid to a partner? [1]

a) Nominal Account b) Representative Person’s

Personal Account

c) Artificial Personal Account d) Real Account

15. The incoming partner cannot acquire his share of profits: [1]

a) From one or more partners (not b) From the old partners in their
from all partners) old profit sharing ratio
 c) From the old partners in their d) From the old partners in some
new profit sharing ratio agreed ratio

OR
Mehak and Chehak were partners with capitals of ₹ 40,000 each. They admitted Aadi as a
new partner for 1

5
share in the profits of the firm. Aadi brought ₹ 80,000 as his capital. On
Aadi's admission, the Profit and Loss Account of the firm showed a debit balance of ₹
10,000. Value of goodwill of the firm on Aadi's admission will be:

a) ₹ 2,40,000 b) ₹ 4,00,000

c) ₹ 2,30,000 d) ₹ 2,50,000

16. At the time of dissolution, Loan to Partner is [1]

a) received from the partner. b) transferred to Partner's Capital

Account.

c) transferred to Realisation d) transferred to Partner's Current

Account. Account.

17. P, Q and R are partners sharing profits equally. They decided that in future R will get [3]
1

7
share in profits. On the day of change, firm’s Goodwill is valued at ₹ 42,000. Give
Journal Entries arising on account of change in profit sharing ratio.
[Hint: New Ratios 3

7
:
3

7
:
1

7
. P and Q gain 2

21
each and R sacrifices 4

21
]

18. C and D are partners in a business and their capitals at the end of the year were ₹ [3]
7,00,000 and ₹ 6,00,000 respectively. Calculate their opening capitals from the
following information:
a. Drawings of C and D for the year were ₹ 75,000 and ₹ 50,000 respectively.
b. D introduced capital of ₹ 1,00,000 during the year.
c. Interest on capital credited to the Capital Accounts of C and D were ₹ 15,000 and ₹
10,000 respectively.
d. Interest on drawings debited to the Capital Accounts of C and D were ₹ 7,500 and ₹
5,000 respectively.
e. Share of loss debited to Capital Account of each Partner was ₹ 20,000
 OR
Ananya, Bhavi and Chandni were partners in a firm with capitals of ₹ 3,00,000, ₹ 2,00,000
and ₹ 1,00,000 respectively.
According to the provisions of the partnership deed:
i. Ananya and Chandni were each entitled to a monthly salary of ₹ 1,500.
ii. Bhavi was entitled to a salary of ₹ 4,000 per annum.
The profit for the year ended 31st March, 2022, ₹ 80,000 was divided between the partners
in their profit sharing ratio of 3 : 3 : 2 without providing for the above adjustments.
Pass the necessary adjustment entry to rectify the above omissions in the books of the firm.
Show your working notes clearly.

19. X Ltd. has 4,000 12% debentures of ₹100 each on 1st April 2018. According to the [3]
terms of issue interest on debentures is payable half-yearly on 30th September and
31st March and the rate of tax deducted at source is 10%. Pass necessary journal
entries for interest on debentures for the year 2018-19.

OR
Complete the following journal entries:
Journal Entries in the books of Sundram Ltd.
Date Particulars L.F. Dr.(Rs.) Cr.(Rs.)
Furniture A/c Dr. 3,00,000
To Ravindram Ltd.
3,00,000
(Being furniture purchased)
................................................. Dr. ----
................................................
(Being a part payment made to Ravindram Ltd. by an ----
issue of a promissory note of Rs. 1,00,000)
................................................ Dr. ----
............................................... ----
............................................... ----
(Being the balance of payment made by issue of
 Date Particulars L.F. Dr.(Rs.) Cr.(Rs.)
16,000 equity shares of Rs. 10 each at a premium of
25%)

20. Average profit of Sharma & Co. is ₹ 50,000 per year. Average capital employed in the [3]
business is ₹ 3,00,000. If the normal rate of return on capital employed is 10%,
calculate goodwill of the firm by:
i. Super Profit Method at three years' purchase; and
ii. Capitalisation of Super Profit Method.

21. Neha Fabrics Ltd. invited applications for issuing 5,00,000 shares of ₹ 10 each at a [4]
premium of ₹ 4 per share. The amounts were payable as follows:
On Application and Allotment ₹ 8 per share.
On First & Final Call - Balance (including premium of ₹ 4)
Applications were received for 6,50,000 shares and allotment was made as follows:
i. To applicants for 1,40,000 shares - 100% shares.
ii. To applicants for 60,000 shares - Nil
iii. Balance of the applicants were allotted shares on pro-rata basis.
Excess money received with applications was adjusted towards sums due on first and
final call. Kavita, who belonged to category (i) and was allotted 6,000 shares and
Hitesh, who belonged to category (ii) and who had applied for 5,000 shares failed to
pay the first and final call money. Their shares were forfeited. 60% of forfeited shares
of Kavita and Hitesh were re-issued at a discount of ₹ 1 per share fully paid-up.
Pass necessary journal entries for the above transactions in the books of the company.

22. Anju, Manju and Sanju sharing profit in the ratio of 3 : 1 : 1 decided to dissolve their [4]
firm. On March 31, 2014 their position was as follows:
Balance Sheet Anju, Manju and Sanju
as on March 31, 2017
Liabilities Amount ₹ Assets Amount ₹
Creditors 60,000 Cash at Bank 55,000
Loan 15,000 Stock 83,000
Capitals: Furniture 12,000
 Anju 2,75,000 Debtors 2,42,000
Manju 1,10,000 Less: Provision for doubtful debts 12,000 2,30,000
Sanju 1,00,000 4,85,000 Buildings 2,00,000
Manju’s loan 20,000
5,80,000 5,80,000
It is agreed that:
i. Anju takes over the Furniture at ₹ 10,000 and Debtors amounting to ₹ 2,00,000 at ₹
1,85,000. Anju also agrees to pay the creditors,
ii. Manju is to take over Stock at book value and Buildings at book value less 10%,
iii. Sanju is to take over remaining Debtors at 80% of book value and responsibility for
the discharge of the loan,
iv. The expenses of dissolution amounted to ₹ 2,200.
Prepare Realisation Account, Bank Account, and Capital Accounts of the partners.

23. Meson Ltd. was registered with a capital of ₹ 4,00,000 in shares of ₹ 100 each. It [6]
issued 2,000 of such shares payable ₹ 25 per share on application; ₹ 25 on allotment; ₹
20 on first call; and the balance as and when required.
All moneys payable on application and allotments were duly received; but when the
first call of ₹ 20 per share was made, one shareholder holding 100 shares failed to pay
the amount due and another shareholder holding 200 shares paid them in full. Record
these transactions in the journal of the Company.

OR
Petromax Ltd. issued 50,000 shares of Rs. 10 each at a premium of Rs. 2 per share payable
as Rs 3 on an application, Rs 5 including premium on an allotment and the balance in
equal installments over two calls. Applications were received for 92,000 shares and the
allotment was done as under:
A. Applicants of 40,000 shares - Allotted 30,000 Shares
B. Applicants of 40,000 shares - Allotted 20,000 Shares
C. Applicants of 12,000 shares - Nil
Suresh, who had applied for 2,000 shares (Category A) did not pay any money other than
application money.
 Chander, who was allotted 800 shares (Category B) paid the call money due along with
allotment.
All other allottees paid their dues as per schedule. Pass necessary Journal entries in the
books of Petromax Ltd. to record the above.

24. X and Y are partners sharing profits in the ratio of 2 : 1. Their Balance Sheet as at 31st [6]
March, 2023 was:
Liabilities ₹ Assets ₹
Sundry Creditors 25,000 Cash/Bank 5,000
General Reserve 18,000 Sundry Debtors 15,000
Capital A/cs: Stock 10,000
X 75,000 Investments 8,000
Y 62,000 1,37,000 Printer 5,000
Fixed Assets 1,37,000
1,80,000 1,80,000
They admit Z into partnership on 1st April, 2023 on the following terms:
i. Z brings in ₹ 40,000 as his capital and he is given th share in profits.
1

ii. Z brings in ₹ 15,000 for goodwill, half of which is withdrawn by old partners.
iii. Investments are valued at ₹ 10,000. X takes over Investments at this value.
iv. Printer is to be reduced (depreciated) by 20% and Fixed Assets by 10%.
v. An unrecorded stock on 31st March, 2023 is ₹ 1,000.
vi. By bringing in or withdrawing cash, the Capitals of X and Y are to be made
proportionate to that of Z on their profit-sharing basis.
Pass Journal entries, prepare Revaluation Account, Capital Accounts and new Balance
Sheet of the firm.

OR
L, M and N were partners in a firm sharing profits in the ratio of 2 : 1 : 1. On 1st April,
2013 their balance sheet was as follows:
Balance Sheet
as at 1st April, 2013
 Amount Amount
Liabilities Assets
(Rs) (Rs)

General Reserve 4,40,000 Land 8,00,000

Workmen's Compensation
3,60,000 Building 6,00,000
Fund
Creditors 2,40,000 Furniture 2,40,000
Capital A/cs Debtors 4,00,000
(-) Provision for Doubtful Debts
L 6,00,000 3,80,000
20,000
M 4,80,000 Stock 4,40,000
N 4,80,000 15,60,000 Cash 1,40,000
26,00,000 26,00,000
======== =======

On the above date, N retired. The following were agreed:

i. Goodwill of the firm was valued at Rs 6,00,000.
ii. Land was to be appreciated by 40% and building was to be depreciated by Rs 1,00,000.
iii. Furniture was to be depreciated by Rs 30,000.
iv. The liabilities for workmen’s compensation fund was determined at Rs 1,60,000.
v. Amount payable to N was transferred to his loan account.
vi. Capitals of L and M were to be adjusted in their new profit sharing ratio and for this
purpose current accounts of the partners will be opened.
Prepare revaluation account, partner's capital accounts and the balance sheet of the new
firm.

25. X, Y, and Z were partners sharing profits in the ratio 3: 2: 1. On 31st March 2008, their [6]
Balance Sheet stood as under :
Liabilities Amt(Rs.) Assets Amt(Rs.)
Capitals: Cash at Bank 70,000
X 75,000 Investments 50,000
 Liabilities Amt(Rs.) Assets Amt(Rs.)
Y 70,000 Patents 15,000
Z 50,000 1,95,000 Stock 25,000
Creditors 72,000 Debtors 20,000
General Reserve 24,000 Buildings 75,000
Machinery 36,000
2,91,000 2,91,000

Z died on May 31st, 2008. It was agreed that

a. Goodwill was valued at 3 years’ purchase of the average profits of the last five
years, which were 2003: Rs. 40,000; 2004: Rs. 40,000; 2005: Rs. 30,000; 2006: Rs.
40,000 and 2007: Rs. 50,000.
b. Machinery was valued at Rs. 70,000, Patents at Rs. 20,000 and Buildings at Rs.
66,000.
c. For the purpose of calculating Z’s share of profits until the date of death, it was
agreed that the same be calculated based on the average profits for the last 2 years.
d. The executor of the deceased partner is to be paid the entire amount due by means
of a cheque.
Prepare Z’s Capital Accounts to be rendered to the executor and also a journal entry
for the settlement of the amount due to Z’s executor.

26. On 1st June, 2022, Y Ltd. issued 6,000, 12% Debentures of ₹ 100 each at par [6]
redeemable at a premium of 7% at the end of third year.
Pass the Journal entries for issue of Debentures and writing off Loss on Issue of
Debentures. Also prepare Loss on Issue of Debentures Account.

Part B :- Analysis of Financial Statements

27. When bad position of the business is tried to be depicted as good, it is known as: [1]

a) Personal Bias b) All of these

c) Price Level Changes d) Window Dressing

OR
 Financial Statements are prepared on certain basic assumptions (pre-requisites) known as
________

a) Postulates b) Basis of Accounting

c) Provisions of Companies Act, d) Accounting Standards

2013

28. Working Capital 30,000; current ratio 3 : 1 Current liabilities will be: [1]

a) 15,000 b) 30,000

c) 22,500 d) 7,500

29. Paid ₹ 5,00,000 to acquire shares in Neligare Industries and received a dividend of ₹ [1]
30,000 after acquisition. This transaction will result in:

a) Cash outflow from financing b) Cash outflow from investing

activities ₹ 4,70,000 activities ₹ 4,70,000

c) Cash inflow from investing d) Cash inflow from financing

activities ₹ 4,70,000 activities ₹ 4,70,000

OR
GSC Ltd. purchased machinery of ₹ 10,00,000 issuing a cheque of ₹ 2,50,000 and 10%
Debentures of ₹ 7,50,000. In the Cash Flow Statement, the transaction will be shown as:
i. Outflow under Investing Activity ₹ 10,00,000, inflow under Financing Activity as
Receipt for Debentures ₹ 7,50,000.
ii. Outflow under Investing Activity ₹ 2,50,000.
iii. Inflow of ₹ 7,50,000 as Financing Activity.
iv. None of these.

a) only ii b) i and ii

c) iv and i d) iii and iv

30. Under which type of activity will you classify the sale of shares of another company [1]
while preparing cash flow statement?
 a) Financing Activity b) Investing and Financing

c) Operating Activity d) Investing Activity

31. Identify the major heads and sub-heads under which the following items will be [3]
shown in the Balance Sheet of a company as per Schedule III of Companies Act, 2013:
i. Patents
ii. Patents being developed by the Company
iii. Current Maturities of Long term Debts
iv. Computer and related equipment
v. Goods acquired for trading
vi. 10% Debentures
vii. Debentures with maturity period in current financial period.

32. From the following particulars determine the Closing Debtors:- [3]
₹
Total Revenue from Operations 24,00,000
Cash Revenue from Operations 4,60,000
Revenue from Operations Returns (out of credit revenue from operations) 20,000
Trade Receivables Turnover Ratio 6 Times
Opening Debtors 2,50,000
Opening B/R 14,000
Closing B/R 12,000

33. Following information is related to Harsh Ltd. [4]

(₹ in Lakhs)
31.3.2023 31.3.2022
Particulars
₹ ₹
Equity Share Capital 16.00 16.00
Preference Share Capital 2.00 2.00
Reserves and Surplus 5.40 4.00
 Non-Current Liabilities 14.40 14.00
Current Liabilities 7.20 4.00
Non-Current Assets
Property, Plant and Equipment and Intangible Assets 30.60 28.00
Current Assets 14.40 12.00
You are required to prepare a Common Size Balance Sheet.

OR
From the following particulars obtained from the books of Mark Ltd., prepare a
Comparative Statement of Profit and Loss:
2017-18 2016-17
Particulars Note No.
(₹) (₹)
Revenue from operations 50,00,000 40,00,000
Purchase of stock-in trade 40,00,000 30,00,000
Changes in inventory 10,00,000 8,00,000
Other expenses 5,00,000 4,00,000
Other incomes 2,50,000 2,00,000

34. From the following Balance Sheets of XYL limited, prepare Cash Flow Statement: [6]
Note 31.3.2023 31.3.2022
Particulars
No. (₹) (₹)
I. EQUITY AND LIABILITIES:
(1) Shareholder’s Funds:
{a) Share Capital 5,00,000 4,50,000
(b) Reserve and Surplus 1 1,18,000 70,000
(2) Current Liabilities
(a) Trade Payables 1,49,000 1,17,000
(b) Short term Provisions (Provision for Tax) 50,000 40,000
TOTAL 8,17,000 6,77,000
II. ASSETS:
(1) Non-Current Assets:
(a) Property , Plant and Equipment and
Intangible Assets
(i) Property, Plant and Equipment 2 3,70,000 2,80,000
(ii) Intangible Assets 3 90,000 1,15,000
(2) Current Assets:
(a) Inventory 1,09,000 77,000
(b) Trade Receivables 2,30,000 1,80,000
(c) Cash & Cash Equivalents 18,000 25,000
TOTAL 8,17,000 6,77,000
Notes:
31.3.2023 (₹) 31.3.2022 (₹)
(1) Reserve & Surplus:
General Reserve 70,000 40,000
Profit & Loss Balance 48,000 30,000
1,18,000 70,000
(2) Property, Plant and Equipment:
Land and Building 1,70,000 2,00,000
Plant 2,00,000 80,000
3,70,000 2,80,000
(3) Intangible Assets:
Goodwill 90,000 1,15,000
Additional Information:

a. Contingent Liability 31.3.2023 31.3.2022

Proposed Dividend (₹) 50,000 42,000
b. Depreciation of ₹ 10,000 and ₹ 20,000 has been charged on plant, land and
buildings respectively.
c. An interim dividend of ₹ 20,000 has been paid.
d. Income tax of ₹ 35,000 has been paid.
e. Rent Received during the year ₹ 10,000.