Board Paper of Class 12-Commerce 2011 Accountancy (SET 1) - Solutions

Rahul and Rohit are partners having capitals of Rs. 60,000 and Rs. 40,000 as on 01.01.2007 respectively. They shared profits and losses in the ratio of 3 : 2. At the end of the year 2007 their net profit is Rs. 40,000. According to Partnership Deed

(i)  Interest on capital is at 5% p.a.

(ii)  Rohit is allowed annual commission of Rs. 10,000.

(iii)  Drawings during the year, Rahul withdrew Rs. 6,000 and Rohit Rs. 8,000 for personal use. Interest on the same being Rs. 400 and Rs. 600 respectively.

(iv)  Rohit's annual salary is Rs. 6,000.

Ramesh, Suresh and Jagadeesh are partners sharing profits & losses in the ratio of 4 : 3 : 2. Suresh retires from the firm. New profit sharing ratio of Ramesh and Jagadeesh is 5 : 3 respectively.

Ashok, Babu and Chandru were partners sharing profits and losses in the ratio of 3 : 2 : 1 respectively. Their Capitals as on 01.01.2007 stood at Rs. 40,000, Rs. 50,000 and Rs. 60,000 respectively. On 31.3.2007 Babu died.

Prepare Babu's Capital Account.

Bharat Cement Co. Ltd. issued 10000 Equity shares of Rs. 100 each payable as follows:

On Allotment Rs. 30

All the shares were subscribed and the amount was duly received.

During the year he withdrew Rs. 500 per month and goods Rs. 12,000 from the business for his domestic use. He introduced Rs. 10,000 into the business on 30.6.2006.

Adjustments:

(i) Appreciate Buildings by 20%

(ii) Depreciate Furniture and Machinery at 10% p.a. each

(iii) Write off Bad debts Rs. 2,000

(iv) Allow Interest on Capital at 10% per annum

(v) Outstanding Salary Rs. 1,000.

Prepare:

(a) Statement of Affairs

(b) Statement of profit or loss

(c) Revised Statement of Affairs on 31.12.2006.

Praveen and Kiran are partners sharing profits and losses in the ratio of 3 : 2. Their Balance Sheet as on 31.12.2006 is as follows:

On 01.01.2007, they admitted Madan for $\frac{1}{4}$th share in the future profit on the following terms:

(i) Madan should bring in Rs. 30,000 as Capital and Rs. 20,000 towards Goodwill

(iii)  Depreciate Furniture and Machinery by 10% each

(v) Building is revalued at Rs. 60,000

Prepare:

(b) Partners' Capital Accounts

Harish and Suresh are partners sharing profits and losses equally, agreed to dissolve their partnership on 31.12.2007. Their Balance Sheet was as follows:

The assets realised as follows:

(i) Stock Rs. 25,000, Debtors Rs. 20,000, Bills Receivable Rs. 4,000, Motor Car Rs. 10,000, Furniture Rs. 8,000, Machinery Rs. 15,000 and Buildings Rs. 20,000

(ii) Creditors are taken over by Harish at Book value

(iii) Bills payable were paid by the firm at 5% discount

(iv) Realisation expenses amounted to Rs. 2,000.

Prepare:

(a) Realisation Account

(b) Partners' Capital Accounts

(c) Bank Account.

On 01.01.2003 a firm purchased Machinery costing Rs. 40,000. On 01.07.2005 it sold the machinery purchased on 01.01.2003 for Rs. 30,000 and on the same date a new Machinery was purchased for Rs. 20,000. Depreciation was charged annually @ 10% per annum on original cost method.

Show the Machinery Account and Depreciation Account for four years.

Adjustments:

(ii) Furniture is to be depreciated by 10%

Prepare Income and Expenditure Account for the year ended on 31.12.2006 and a Balance Sheet on that date.

From the following Trial Balance of Vijay Trading Co. Ltd. & the adjustments given below, prepare Final Accounts of the company.

Adjustments:

(i) Closing stock was valued at Rs. 50,000 on 31.12.2006

(ii) Depreciate Furniture at 10% and Buildings at 5%

(iii) Provision for doubtful debts at 5% on Debtors are to be made

(iv) Transfer to General Reserve Rs. 5,000

(v) Provide Interest on debentures for one year.

Prepare an executor's Loan Account with imaginary figures assuming that his account would be settled in two annual equal instalments along with interest.

Prepare Profit and Loss Appropriation account of a company with 5 imaginary figures.

Classify the following into Capital and Revenue items:

(b) Repair to a lecture hall

(d) Depreciation on Assets