Board Paper of Class 12-Commerce 2007 Accountancy (SET 1) - Solutions
General Instructions:
(i) This question paper contains three Sections A, B, and C.
(ii) Attempt any 8 questions from Section A,carrying 2 marks each.
(iii) Attempt any 3 questions from Section B, carrying 6 marks each .
(iv) Attempt any 4 questions from Section C, carrying 14 marks each.
(v) All parts of the questions should be attempted at one place.
- Question 1
What are the two disadvantages of single entry system?
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- Question 2
What are the two methods of maintaining capital accounts in partnership business?
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- Question 3
How do you close Revaluation account in admission of a partner?
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- Question 4
State the different types of shares that can be issued by a public company.
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- Question 5
Give the journal entry for the asset taken by a partner in dissolution of a firm.
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- Question 6
Under what headings do you show the following in Company's Balance sheet?
(a) Share premium
(b) Discount on issue of shares.
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- Question 9
State any two limitations of Computerised Accounting.
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- Question 11
Ganesh has withdrawn as shown below:
Rs. 1,000 on 28. 02. 2006
Rs. 3,000 on 01. 07. 2006
Rs. 2,000 on 31. 08. 2006
Rs. 4,000 on 01. 10. 2006.
Calculate interest on drawings at 12% p.a. under product method for accounting year ended 31. 12. 2006.
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- Question 12
A, B and C are partners sharing profits in the ratio of
respectively. A retires from the business. B and C decide to continue as equal partners.
Calculate the gain ratio of B and C.
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- Question 13
Ashok, Balu and Chandra are partners sharing profit and loss in the ratio of 2: 2: 1. Their capitals on 1. 1. 2005 was Rs. 50,000, Rs. 30,000 and Rs. 25,000 respectively.
Ashok died on 1. 7. 2005. Partnership deed provides the following:
(a) Salary to Ashok Rs. 400 per month.
(b) Interest on Capital at 10% p.a.
(c) His share of Goodwill, Profit and Reserve.
Goodwill of the firm valued at Rs. 25,000. Profit of the firm valued at Rs. 7,000. Reserve of the firm valued at Rs. 15,000. Prepare Ashok's Capital a/c.
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- Question 14
ABC Company Limited forfeited 700 shares of Rs. 10 each for non- payment of 1st call Rs. 2 per share and final call of Rs. 3 per share.
These forfeited shares were reissued as fully paid up at Rs. 8 per share. Give necessary journal entries.
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- Question 16
Krishna, a retailer kept his books of accounts under single entry system.
The following information is available:
Particulars |
1. 1. 2006
(Rs) |
31. 12. 2006
(Rs) |
Cash in hand |
2,000 |
3,000 |
Cash at Bank |
4,000 |
6,000 |
Stock |
15,000 |
20,000 |
Debtors |
18,000 |
21,500 |
Bills Receivable |
5,000 |
15,000 |
Bills Payable |
8,000 |
10,000 |
Creditors |
12,000 |
8,000 |
Machinery |
25,000 |
25,000 |
Building |
30,000 |
30,000 |
Furniture |
10,000 |
10,000 |
Motor van (1. 7. 2006) |
–
|
15,000 |
During the year, he withdrew Rs. 7,000 for his personal use. On 30. 6. 2006 he has introduced Rs. 9,000 as additional capital.
Adjustments:
(a) Depreciate Machinery, Furniture and Motor van by 10% p.a.
(b) Appreciate building by 5%.
(c) Allow interest on capital at 6% p.a.
(d) Write off bad debts Rs. 1,500 and maintain RBD at 5%.
(e) Prepaid Rent Rs. 800.
Prepare:
(i) Statement of Profit or Loss
(ii) Revised Statement of Affairs.
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- Question 17
Ravi and Suri are partners sharing profit and loss in the ratio of 3: 2. Their Balance Sheet as on 31. 12. 2006 was as follows:
Balance Sheet
as on 31. 12. 2006 |
Liabilities |
Amount
(Rs) |
Assets |
Amount
(Rs) |
Creditors |
50,000 |
Cash |
10,000 |
Bills Payable |
25,000 |
Stock |
40,000 |
Capital: |
|
Bills Receivable |
10,000 |
Ravi |
50,000 |
|
Debtors |
41,000 |
|
Suri |
35,000 |
85,000 |
Less: Reserve |
1,000 |
40,000 |
Profit and Loss a/c |
10,000 |
Furniture |
15,000 |
Reserve fund |
25,000 |
Building |
40,000 |
|
|
Plant and Machinery |
40,000 |
|
1,95,000 |
|
1,95,000 |
|
|
|
|
Varun was admitted on 1. 1. 2007 for share on the following terms:
(a) He brings in Rs. 15,000 as goodwill and Rs. 30,000 as capital.
(b) Half of the goodwill is to be withdrawn.
(c) Building is revalued at Rs. 55,000.
(d) Maintain RBD at 10% on debtors.
(e) Depreciate furniture and plant and machinery at 10%.
(f) Outstanding legal expenses Rs. 2,000.
Prepare:
(i) Revaluation account
(ii) Capital accounts and
(iii) New Balance Sheet.
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- Question 18
Following is the Balance Sheet of A, B and C Ltd. who share profit and loss in proportion of and dissolved on 31. 12. 2005.
Balance Sheet
as on 31. 12. 2005 |
Liabilities |
Amount
(Rs) |
Assets |
Amount
(Rs) |
Creditors |
12,000 |
Cash |
11,000 |
Bills Payable |
5,000 |
Debtors |
8,000 |
|
A's Loan a/c |
8,000 |
Less: Reserve |
400 |
7,600 |
Capital: |
|
Stock |
12,400 |
A |
20,000 |
|
Furniture |
5,000 |
B |
15,000 |
|
Motor van |
15,000 |
C |
10,000 |
45,000 |
Building |
25,000 |
Reserve |
6,000 |
|
|
|
76,000 |
|
76,000 |
|
|
|
|
Adjustments:
(a) Assets realised as follows:
Debtors Rs. 10,800; Stock Rs. 16,000; Furniture Rs. 6,000; Motor van Rs. 15,000; Building Rs. 30,000.
(b) Expenses of realisation amounted to Rs. 600.
(c) Creditors and Bills payable were paid in full.
(d) Outstanding Liability of Rs. 200 was also paid.
Prepare necessary Ledger accounts.
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- Question 19
On 1. 1. 2000 a firm purchased a lease costing Rs. 50,000 for a term of 5 years. It is proposed to depreciate the Lease by Annuity method charging 5% interest. With reference to Annuity Tables show that Rs. 11,548.75 to be depreciated every year.
Show Lease account and Depreciation account for all the five years.
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- Question 20
Following is the Receipts and Payments a/c and Balance Sheet of Karnataka Sports Club, Bangalore.
Balance Sheet
as on 31. 12. 2005
|
Liabilities |
Amount
(Rs) |
Assets |
Amount
(Rs) |
Outstanding Salary |
1,600 |
Cash |
26,200 |
Outstanding Rent |
400 |
Outstanding subscription |
2,400 |
Subscription received in advance |
2,000 |
Investment |
2,600 |
Capital fund |
65,400 |
Sports Material |
21,800 |
|
|
Furniture |
16,400 |
|
|
|
|
|
69,400 |
|
69,400 |
|
|
|
|
Receipts and Payments A/c
as on 31. 12. 2006 |
Receipts |
Amount
(Rs) |
Payments |
Amount
(Rs) |
To Balance b/d |
26,200 |
By Rent |
|
To Subscription |
|
2005 |
400 |
|
2005 |
2,400 |
|
2006 |
4,400 |
4,800 |
2006 |
45,100 |
|
By Salary |
|
2007 |
2,100 |
49,600 |
2005 |
1,600 |
|
To Donation |
16,200 |
2006 |
23,200 |
|
To Entrance fee |
32,600 |
2007 |
1,200 |
26,000 |
To Interest |
1,400 |
By Printing |
7,600 |
To Sale of sports materials (Original cost Rs. 8,000) |
1,000 |
By General Expenses |
5,400 |
|
|
By Furniture |
24,000 |
|
|
By Sports Material |
28,800 |
|
|
By Balance c/d |
30,400 |
|
1,27,000 |
|
1,27,000 |
|
|
|
|
Adjustments:
(a) Subscriptions outstanding Rs. 2,800
(b) Printing unpaid Rs. 500
(c) Interest accrued Rs. 400
(d) Depreciate furniture by 10% & sports material by 10%.
(e) Capitalise 50% of Donations.
Prepare:
(i) Income and Expenditure Account
(ii) Balance Sheet.
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- Question 21
Following is the Trial Balance of Balaji Trading Company Limited.
Trial Balance as on 31.12.2005 |
Particulars |
Debit
Amount
(Rs) |
Credit
Amount
(Rs) |
Share Capital |
– |
1,25,000 |
Calls in arrears |
2,000 |
– |
Stock 1. 1. 2005 |
17,000 |
– |
Purchases and Sales |
52,500 |
1,04,000 |
Returns |
4,000 |
2,500 |
Freight |
3,000 |
– |
Salary |
7,500 |
– |
Director's fees |
4,900 |
– |
Preliminary expenses |
6,000 |
– |
Debtors and Creditors |
12,000 |
34,000 |
Furniture |
10,000 |
– |
Building |
25,000 |
– |
Goodwill |
45,000 |
– |
Investment |
17,000 |
– |
Bills Receivable and Payable |
5,000 |
10,000 |
Interest |
– |
1,500 |
Profit and Loss a/c |
– |
10,000 |
Machinery |
40,000 |
– |
Vehicles |
50,000 |
– |
Reserve Fund |
– |
15,000 |
Dividend paid |
3,000 |
– |
Bad debts |
1,600 |
– |
Cash at Bank |
14,500 |
– |
Trade Mark |
25,000 |
– |
10% Debentures |
– |
28,000 |
Cash in hand |
25,000 |
– |
Overdraft |
– |
40,000 |
|
3,70,000 |
3,70,000 |
|
|
|
Adjustments:
(a) Closing stock valued at Rs. 45,000.
(b) Provide RBD on debtors at 10%.
(c) Depreciate Building & Furniture at 10% each.
(d) Transfer Rs. 10,000 to Reserve fund.
(e) Half of the preliminary expenses be written off.
(f) Provide outstanding debenture interest for full year.
Prepare Final Accounts.
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