TI PUC MID-TERM EXAMINATION, OCTOBER - 2023 Time : 3 Hrs. 15 Mins, SUBJECT: ACCOUNTANCY (30) Max Marks : 80 Instructions: 1. The question paper contains five parts A, B,C and . Part A consists four sections I, II, Mand Tv. Provide working notes wherever necessary, 15 minutes extra has been allotted for candidates to read the questions, Figures in the right hend margin indicate full marks. PART-A 1” Choose the correct answer from the cholces given: {Sxi=5} 1.,, The agreement between partners rmust be to share : (@) Profit (b) Losses (© Profit and Loss __(d) None of the above 2... Profit and loss on revaluation is shared among the partners in the (@) Old profit sharing ratio _(b) New profit sharing ratio. (c) Capital ratio _(d) Equal ratio 3." The old profit sharing ratio among X, Y and Z were 2 : 2 : 1. The new profit sharing ratio after Y's retirement is 3 : 2. The gaining ratio is : (@3:2 by2e1 ost 2:2 4: "Dissolution of parmership firm takes plite when : (a) All partners terminates their connection with firm (b) Majority of partners terminates their connection with firm (c) Two partners terminates their connection with firm (@) None of the above $2 Maxinum number of members in'a private company is : (@) 40 (200 70 (@No limit Il Fill in the blanks by choosing the appropriate answer from these given in the brackets. [Sx1=5] [Goodwill, Reputation, Trading profit and loss a/e, Subscribed capital, Assets and Liabilities, Fixed capital] 6. Under ‘method, the capital of parmers shall remain fixed. 7. is one of the final accounts of partnership firm. 8 of the business is one factor affecting the value of goodwill. 9, Revaluation account is prepared to know the profit or loss an revaluation of 10. is the part of the issued capital. III Match the following : u, A B a) Partnership deed i) Dissolution of Partnership firm b) Average Profit Method i) Non payment of call money ‘) Old age of a partner iii) Written agreement 4d) Realisation Account iv) Retirement of partner ©) Forfeiture of shares y) Admission of a partner vi) Vatuation of goodwill IV Answer the following question in ONE word or ONE sentence each: 12. When current accounts of partners are opened ? 13, State any one right acquired by a newly admitted partner. 14, State any one, of calculating new profit sharing ratio. 15, Assets taken évér by a partner at the time of dissolution of partnership firm is debited to realisation account. [TrueFalse] 16, What is buy back of shares ? {Sx1=5) ‘[Sxl=5] PART-B V_ Answer any THREE questions, each question caries TWO marks: Buss 17, What is fluctuating capital method ? 18. Goodwill of the firm valued at two years purchase of average profit of last four years. ‘The tual profit for last four year is 80,000. Calculate the goodwill ofthe firm a, (1.0)a 19. What is gain ratio ? 20, Give Journal Entry for realisation expenses paid by the firm. 21 What do you mean by zero coupon fate debentures ” PART -C rhs: (3x6=18] VI Answer any THREE questions, Each question curries SIX MOP sen! under - 22. Sutheer ‘and Rajaram are partners in firm. Sudbeers drawings for 6,000 on 01-06-2022 % 4,000 on 30.09.2022 3,000 on 30-11-3022 A % 5,000 0n 01-02-2023 ing 31-03-2023 under product Galeulate interest on Sudheer’s drawings at 12% p.. for the year ending 3| 03-2023 pr 1. They admit Ashok as a method. 23. Ravi and Shashi are partners sharing profit and losses in the ratio of 2 + 2 profit shall be at least partner with 1* share in future profit with @ guarantee that his share of : % 50,000. The net profit of che firm for the year ended 31% March, 2023, was & Lena, Prepare profit and lass appropriation a/c, as the new profit sharing ratio of all partners is 2:1: 1. goal : Vishnu and Soma are partners sharing profit and losses in the ratio of “and 3» They admit Martha as Steet ty. Caleulate 4 new partner. The new profit sharing rato‘of all the partners are <*> ;q respectively: sacrifice ratio of old partners. 25, Anand, Babu and Ansar are partners sharing profit and losses in the ratio of 2 : 2: |. Their capitals on 1-4-2022 were % 25,000, X 15,000 and x 12,500 respectively. Ansar died on 01-10-2022 and the | partnership, deed provides.the following 49°) Salary to Ansar at %200 pan.» b) Interest on capital at 5% pa. ¢) His share of goodwill, the goodwill of the firm is valued at & 12,500. 4) His share of accrued profit upto the date of death amounted to 3,500. Prepare Ansar's Capital Account. 26. Devageri Co. Ltd issued 25,000 equity shares of Z 100 each for the public payable at & 30 each on application and allotment and z 40 on first and fina call. Public subscribed 20,000 shares. All the shares are allotted and money duly received upto first and final call. Pass the journal entries in the books of Devageti Co. Lid, 24 PART -D. VII Answer any THREE questions, Each question carries TWELVE marks. 27, Ajay and Bindu are partners in firm, sharing profits and losses in the ratio of 3 : 2. Their Balance as on 31-03-2023 was as follows: Balance Sheet as on 31-03-2023 (3x12 =36} Sheet Creditors Bills payable Reserve Fund 27,000 43,000 80,000 50,000, 2,10,000 on 01-04-2023 Chandru admitted in to partnership on the following terms : (a) He shoud bring z 50,000 as Capita and Z 20,000 towards Goodwill whic for 1/5 share of profit in future. () Depreciate furniture at-10% p.a. and appreciate building by 20% p.a. (@T.0.)3- ©) Provision for doubtful debts i 4) Good will to be withdrawn by | ee As per 4 wn by ti [As per AS - 26] Prepare : i) Revaluation a/c, Hy paroer ‘Capital Ae iii) Balance Sheet of the firm after admission. 28. Scetha, Geetha and Suni ‘i Josses equally. Their Balance sheet as on perros cd Sunitha are partners sharing profits and equally. Balance Sheet as_on 31-03-2023 Liabilities Creditors, ‘Cash at Bank 22,500 Bills payable Debtors OVS Expenses Less : Provision 19,900 Reserve F Stock 18,000 Capitals: Plant and Machinery 25,000 Seetha Building 50,000 Geetha Profit and Loss a/e 12,000 ae 1,46,500 Geetha retired from business and the following adjustments are to be made a) Appreciate Building by 10% and depreciate Plant and Machinery by 15%. 1b) Stock is valued at 2 15,000. . ¢) Provision for bad debts to be increased to € 2,500 on the debtors. 4) Outstanding expenses valued at ¥2,250. ©) Goodwill of the firm valued at % 42,000. [As per AS 26] £) Geetha to be paid & 10,000 and balance transfered to his loan account. Revaluation Account ii) Partner's Capital Account a/c iii) Opening Balance Sheet. Prepare: 29, Sudhi and Seena are partners sharing profit and losses as 3 : 2. Their Balance Sheet of on 31-03-2023 was as following : . * 4 Balance Sheet as on 31-03-2023 Assets ‘Cash at Bank Debtors Amount Liabilities Reserve Fund Stock 30,000 Capitals: Plant and Machinery 60,000 Sudhi > Furniture 15,000 Scena > Profit and Loss a/c 14,000 1,70,000 On the above date they decided to dissolve the partnership firm: Additional information : a) Sudhi took over plant and machinery at an agreed value of Z 58,000 b) Stock and furniture were realized for € 27,000 and & 12,000 respectively. c) Debtors were taken over by Seena at Z 23,000. 4d) Liabilities were paid in full by the firm. ¢) Realisation expenses were % 500. Prepare : i) Realisation A/c ii) Partners Capital A/c and iii) Bank A/c. eT.0)30. Mw 32. 4 Niiaya and Puttaswa it dk ly. They agroed to disolve their ‘ my are partners sharing profits and losses equally. They a Partnership on 31-03-2023 on which date their Balance sheet as follows; Balance Sheet as on 31-03-2023 ‘Amount Cash at Bank Bills Receivable 8,000 Bills payable Vilaya's Loan Sundry Debtors 30.000 Reserve Fund Stock 17,000 Capitals: Fumiture 10,000 Vijays Machinery 25,000 60,900 Building 1,60,000, a) The assets were realised as follows : Bilis receivable &_6,500 Debtors 25,000 ‘Stock 15,000 Machinery 20,000 i 65,000 Building b) Furniture were taken over by Puttaswamy for Z 9000. ¢) All Liabilities were paid in full. ©) Dissolution expenses 2000. . ‘Show Realisation A/c, Partner's Capital A/c and Bank A/c. ‘Shiradha Trading Company Ltd issued 20,000 Equity shares of ¢ 100 each at a premiumof % 10 per share payable as : * On application % 30 * On allotment and Z 50 [including premium] * On First and Final Call 30. Alll the shares were subscribed and the money duly received except first and final call for S00 shares. The Directors forfeited these shares ‘and re-issued at = 80 each fully paid. Pass necessary Journal Entries related above information. XYZ Company Limited issued 2000, 12% debentures of € 100 eachon April 01, 2021 at premium of 10% and redeemable at pat. Give journal entries relating to issue of debentures and debenture interest assuming that : Interest was paid annually on 31 March, 2022 and 31" March 2023 for two years and tax deducted at source is 20%. aes