KENDRIYA VIDYALAY SANGATHAN, JAMMU REGION

MARKING SCHEME SET-5

CLASS-XII SUBJECT-ACCOUNTANCY
1 A) 7 Or B) 2 1
2 (D) 14 : 11 1
Or
Neetu’s Capital A/c Dr 70000
Teetu’s Capital A/c Dr 70000
To Meetu’s Capital A/c Dr 140000
3 Varun’s wife’s loan will be paid first as it’s an outside liability (third party liability) 1

4 (B) a minor can be admitted as a partner, only into the benefits of the partnership 1
Or
(D) ₹41,000
5 (B) 4:3:3 1

6 (D) 2:1 1

7 (B) Zero 1
8 (D) ₹1,34,000 1
9 (D) None of this 1

1 (D) 32000 1
0
1 (D) ₹15,000 1
1
1 (B) Gain 1/8 1
2
1 (B) Nil,Nil 1
3 Or
(C) Capital Accounts as well as Current Accounts
1 (c) Both (A) and (R) are incorrect 1
4
1 Rs 500000 1
5 OR
5%
1 Securities Premium Account' and Is shown on the Equity and liabilities side of the company's 1
6 balance sheet under the main heading Shareholder’s fund and sub heading 'Reserve and Surplus'.
OR
Rs 30000
1 3
7 L.F Dr. Cr.
Date Particulars
. Amount Amount

Profit and Loss Suspense A/c Dr.

To Sara’s Capital A/c
1.02.22   30,000 30,000
(Being Sara’s share of profit allowed till the date of
her death)

Workings: Profit % to sales turnover for the year ended 31st

March,2021=1,20,000/10,00,000 X100= 12%
Estimated sales for the year ended 31st March,2022=₹ 10,00,000+20% of ₹ 10,00,000 = ₹ 12,00,000
Estimated sales till 01st February,2022 = ₹ 12,00,000 x 10/12 = ₹ 10,00,000
Profit percentage 12-2=10%
Profit amount till 01st February, 2022 = 10% of ₹ 10,00,000 = ₹ 1,00,000
Sara’s share of profit till 1st February,2022 = 1,00,000 x 3/10 = ₹ 30,000

1 Journal 3
8 DateParticulars L.F.
Debit Credit
(Rs.) (Rs.)
(i) Sundry Assets A/c     Dr. 840000
To Sundry Liabilities 80000
To Hay Ltd 720000
To Capital Reserve A/c 40000
(Running business purchased of Hay Ltd.)
(ii) Hay Ltd A/c Dr 720000
Dis on issue of Deb A/c    Dr. 80000
To 10% Debentures A/c 800000
(For the issue of Debentures at discount)
(iii) Securities Premium Reserve A/c    Dr. 80000
To Dis on issue of Deb A/c    80000
For writing of discount on issue of
debentures)

Or
1 3
9 Date Particulars L Dr Cr
F
2018 Profit and Loss A/c Dr 9000
Mar To P’s Capital A/c 2250
31
To Q’s Capital A/c 2250
To R’s Capital A/c 4500
Workmen Compensation Fund A/c Dr 64000
To Workmen Compensation Claim A/c 30000
To P’s Capital A/c 8500
To Q’s Capital A/c 8500
To R’s Capital A/c 17000
P’s Capital A/c Dr 60000
Q’s Capital A/c Dr 60000
To R’s Capital A/c 120000

2 One mark for correct meaning and one mark for each correct advantage. 3
0
2 (a) Realisation A/c            Dr.               12000 4
          To Bank loan A/c                                           12000
1 (Being bank liability paid)

(b) Q's Capital A/c           Dr.              16000

       To Realisation A/c                                   16000
(Being stock taken over by Q)
 (c) Realisation A/c            Dr.                4000
        To P's Capital A/c                                   4000
(Being creditor paid off by P)

(d) Bank A/c                     Dr.                  1200

       To Realisation A/c                                  1200
(Being realisation of unrecorded asset)

2 Share Capital in Balance Sheet = 279600 4

2 Notes to Account:
Authorised Capital = 400000
Issued Capital = 300000
Subscribed Capital:
Subscribed and fully paid up = 278000
Subscribed but not fully paid up ( 2000-400) = 1600

2 (a) The company has borrowed 13,00,000 determined as follows: 6

3 Total Fund Requirement 25,00,000

Less: Internal Generation 10,00,000

Unpaid Calls Called-up 2,00,000 12,00,000

Balance borrowed from State Bank of India 13,00,000

(b) Debentures issued as Collateral Security are of nominal (face) value 26,00,000, ie, 26,000, 9%
Debentures of 100 each. ( 13,00,000 x 2))

(c) The company will not pay interest on debentures issued as collateral security since these
debentures are issued as an additional security and is not a borrowing.
(d) The company can show the debentures issued as collateral security in any of the following two
ways:

(i) If entry is passed for the debentures issued (as Collateral Security):
Note on Long-term Borrowings

Loan from State Bank of India 13,00,000

9% Debentures 26,00,000
Less: Debentures Suspense Account 26,00,000 NIL____
13,00,000

(ii) If entry is not passed for the debentures issued:

Note on Long-term Borrowings

Loan from State of India 13,00,000
(Loan is secured by issue of 26,000, 9% Debentures of 100 each)
 (e) The loan will be shown as Long-term Borrowing since, as on the date of borrowing, it is payable a
12 months from the date of Balance Sheet. It is payable after 24 months from the date of Balance
Sheet the absence of Operating Cycle being given, it is presumed to be a period of 12 months

2 ( 2 marks for entry and 4 marks for Executor’s A/c) 6

4 Date Particulars L.F Debit(₹) Credit(₹)
2019 Profit and Loss Suspense A/c Dr. 120000
June To A’s Capital A/c 120000
30 (Being share of profit provided till
the date of his death)

Interest due at the end of first year = 27000

Interest due at the end of 2nd year = 9000+ 18000
Interest due at the end of 3rd year = 6000+ 9000
Interest due at the end of 4th year = 3000
2 Wajid Sajid 6
Old Ratio = 7:3
5 Prem Share = 3/10*7/10 = 21/100
Wajid New share = 7/10 – 21/100 = 49/100
Sajid New Share = 1 – 49/100 – 21/100 = 30/100
New Ratio = 49:30:21
Prem’s share of Goodwill = 400000*21/100= 84000

Revaluation A/c
Particulars RS Particulars RS
To Stock 5000 By Machinery A/c 20000
By Investment A/c 25000
To Profit Transferred to:
Wajid 28000
Sajid 12000 40000
45000 45000

Partner’s Capital A/c

Particulars Wajid Sajid Prem Particulars Wajid Sajid Prem
To Goodwill 35000 15000 By Balance b/d 22000 180000
A/c By WCR 0 3000
To Prem’s 26880 By Prem’s Current 7000
Current A/c A/c 84000
By Furniture A/c 20000
By Bank A/c 148000
By Profit and Loss 6000
A/c 14000
By Revaluation 12000
28000
To Balance 329280 201600 141120 A/c
By Wajid’s
C/d 11280
Current A/c 15600
By Sajid’s Current
A/c
 364280 216600 168000 36428 216600 168000
0

OR
2 marks for revaluation A/c
4 marks for Partners capital A/c

2 6
Date Particulars L.F.Debit (Rs.)Credit (Rs.)
6 (i) Bank A/c     Dr. 900000
To Equity share application A/c 900000
(ii) Equity share Application A/c Dr 900000
To Equity share capital A/c 600000
To Equity share allotment A/c 300000
(iii) Equity share allotment A/c Dr 1000000
To Equity share capital A/c    1000000
(iv) Bank A/c Dr 700000
To Equity share allotment A/c 700000
(v) Equity share First and Final call A/c Dr 400000
To Equity share capital A/c    400000
(vi) Bank A/c Dr 394000
Calls in arrear A/c Dr 6000
To Equity share allotment A/c 400000
(vii) Share Capital A/c Dr 30000
To Share forfeited A/c 24000
To Calls in arrear A/c 6000
(viii)Bank A/c Dr 20000
Share forfeited A/c Dr 5000
To Equity share capital A/c 25000
(ix) Share forfeited A/c Dr 15000
To Capital Reserve A/c 15000

OR

Date Particulars L.F.Debit (Rs.)Credit (Rs.)

(i) Bank A/c     Dr. 5000000
To Equity share application A/c 5000000
(ii) Equity share Application A/c Dr 5000000
To Equity share capital A/c 3600000
To Equity share allotment A/c 1400000
(iii) Equity share allotment A/c Dr 3150000
To Equity share capital A/c    3150000
(iv) Bank A/c Dr 1628500
Calls in Arrear A/c 121500
 To Equity share allotment A/c 1750000
(v) Equity share First and Final call A/c Dr 2250000
To Equity share capital A/c    2250000
(vi) Bank A/c Dr 2137500
Calls in arrear A/c (4500*25) Dr 112500
To Equity share allotment A/c 2250000
(vii) Share Capital A/c (4500*100) Dr 450000
To Share forfeited A/c 216000
To Calls in arrear A/c 234000
(viii)Bank A/c Dr 360000
Share forfeited A/c Dr 40000
To Equity share capital A/c 400000
(ix) Share forfeited A/c Dr 156000
To Capital Reserve A/c 156000

No of shares applied by Rahul = 2400

No of shares allotted to Rahul = 1500
Excess Application received from Rahul = 36000 ( 900*40)
Amount due on allotment = 52500 (1500*35)
Less: Excess Application received from Rahul = 36000
Calls in Arrear = 16500
Amount not paid by Manju = 105000 (3000*35)
Total Calls in Arrear till allotment = 105000+16500 = 121500
2 D) All the above 1
7
2 Working capital = Current Assets – Current liabilities 1
Current Assets = 30000+70000 = 100000
8 Quick Assets= 100000- 10000-5000= 85000
2 One mark for one correct example e.g. Provision for tax, Provision for expenses. 1
9
3 B) Increase in Cash 1
0
3 ( 0.5 mark for each correct answer) 3
(i) Trade marks Non Current Assets
1 (ii) Capital Redemption Reserve Shareholder’s Fund
(ii) Income received in advance Current Liabilities
(iii) Stores and Spares Current Assets
(iv) Office Equipment Non Current Assets
(v) Current investment. Current Assets

3 ( 0.5 mark for each correct result and 0.5 mark for each correct reason) 3
2 (i) Ratio will improve. Reason – Capital Employed will decrease and Debt will remain same
(ii) Ratio will remain same. Reason – Both Debt and Capital Employed will remain same.
(iii) Ratio will decline. Reason – Debt will decrease but Capital Employed will remain same.
3 Gross Profit Ratio = 10% 4
Revenue from operation = 100000
3 Net Purchase = 73000
COGS = 90000
Gross Profit = 10000
3 Liva Ltd. 6
4 CASH FLOW STATEMENT for the year ended 31st March, 2022

Particulars Rs Rs
(A) Cash Flow from Operating Activities

Net Profit for the Year:

Closing Balance of Surplus, ie, Balance in Statement of Profit & Loss 1,32,000
Less: Opening Balance of Surplus, i.e., Balance in Statement of Profit & Loss
Operating Profit before Working Capital Changes 24,000
Add: Increase in Current Liabilities: 1,08,000
Trade Payables (75,000-27,000)
48,000
1,56,000
Less: Increase in Current Assets:
Inventories 83,000
Trade Receivables 22,500
Cash Flow from Operating Activities 1,05,500
50,500
(B) Cash Flow from Investing Activities:
Purchase of Tangible Assets (42,000)
Purchase of Non-Current Investments (30,000)
Cash Used in Investing Activities (72,000)
(C) Cash Flow from Financing Activities:
Proceeds from Issue of Shares 30,000
Cash Flow from Financing Activities 30,000

(D) Net Increase in Cash and Cash Equivalents (A+B+C) 8,500

Add: Opening Cash and Cash Equivalents* 69,500
(E) Closing Cash and Cash Equivalents 78,000

Cash and Cash Equivalents = Current Investments + Cash and Cash Equivalents

Opening = 60000+9500= 69500; Closing = 54000+24000 =78000