Select Board & Class

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

General Instructions:
(i) This question paper contains four Sections A, B, C and D.
(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) Attempt any 2 questions from Section D, carrying 5 marks each.
(vi) All parts of the questions should be attempted at one place.
• Question 1

State any two types of Single Entry System.

VIEW SOLUTION
• Question 4
Give the journal entry for the asset taken over by partner in case of dissolution of firm. VIEW SOLUTION
• Question 6

Under what heading do you show the following in the Company's Balance Sheet?

(b) Provision for Income Tax

VIEW SOLUTION
• Question 7
Mention any two methods of Depreciation. VIEW SOLUTION
• Question 10
Mention any two advantages of Computerised Accounting. VIEW SOLUTION
• Question 11

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.

Prepare Profit and Loss Appropriation Account. VIEW SOLUTION
• Question 12

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.

Find out Gain Ratio of Ramesh and Jagadeesh. VIEW SOLUTION
• Question 13

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.

The deceased partner's share in accrued profits up to the date of death is Rs. 6,000. The Goodwill of the deceased partner's share is Rs. 18,000. Babu's salary is Rs. 1,000 p.m. His drawings up to the date of death amounted to Rs. 5,000.

Prepare Babu's Capital Account.

VIEW SOLUTION
• Question 14

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

On Application Rs. 20

On Allotment Rs. 30

On Call Rs. 50

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

Give the necessary journal entries in the books of the company. VIEW SOLUTION
• Question 16
Mr. Vijay, a retail trader kept his books of accounts under Single Entry System. The following information is available from his business records.
 Particulars 01. 01. 2006 (Rs) 31. 12. 2006 (Rs) Cash in hand 5,000 10,000 Balance at Bank 6,000 8,000 Stock 20,000 30,000 Debtors 30,000 42,000 Creditors 20,000 25,000 Bills Receivable 5,000 8,000 Bills Payable 3,000 5,000 Furniture 20,000 20,000 Machinery 50,000 50,000 Buildings 60,000 60,000

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.

(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.

VIEW SOLUTION
• Question 17

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:

 Balance Sheet as on 31. 12. 2006 Liabilities Amount (Rs) Assets Amount (Rs) Creditors 20,000 Cash at Bank 7,500 Bills Payable 22,500 Stock 9,000 Reserve Fund 7,500 Debtors Rs. 20,000 Capitals: Less: R.B.D. Rs. 1,000 19,000 Praveen Rs. 30,000 Bills Receivable 3,500 Kiran Rs. 20,000 50,000 Furniture 5,000 Profit & Loss A/c 15,000 Machinery 17,500 Buildings 46,000 Investment 7,500 1,15,000 1,15,000

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

(ii) Goodwill is withdrawn by the old partners

(iii)  Depreciate Furniture and Machinery by 10% each

(iv) Increase RBD by Rs. 2,000

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

(vi) Outstanding Legal Expenses Rs. 450 to be provided.

Prepare:

(a) Revaluation Account

(b) Partners' Capital Accounts

(c) Balance Sheet of the new firm. VIEW SOLUTION
• Question 18

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:

 Balance Sheet as on 31. 12. 2007 Liabilities Amount (Rs) Assets Amount (Rs) Creditors 25,000 Cash at Bank 10,000 Bills Payable 10,000 Stock 18,000 Suresh 's loan 10,000 Debtors Rs. 25,000 Reserve Fund 5,000 Less: R.B.D. Rs. 3,000 22,000 Capitals: Bill Receivable 5,000 Harish Rs. 40,000 Motor Car 10,000 Suresh Rs. 30,000 70,000 Furniture 12,000 Machinery 16,000 Buildings 23,000 Profit & and Loss A/c 4,000 1,20,000 1,20,000

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.

VIEW SOLUTION
• Question 19

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.

VIEW SOLUTION
• Question 20
Given below is the Receipts and Payments Account of Union Sports Club for the year ended 31.12.2006.
 Receipts and Payments Account for the year ended 31.12.2006 Receipts Amount (Rs) Payments Amount (Rs) To Balance b/d (01.01.2006) 6,000 By Printing 2,000 To Subscription 16,800 By Rent & Taxes 4,000 To Miscellaneous Receipts 1,600 By Salary 4,000 To Tournament fund 21,000 By Wages 2,000 To Sales of old newspapers 100 By Upkeep of grounds 3,000 To Entrance Fees 6,000 By Sports Materials 15,000 To Drama proceeds 2,500 By Balance c/d (31.12.2006) 24,000 54,000 54,000

 Balance Sheet as on 31.12.2005 Liabilities Amount (Rs) Assets Amount (Rs) Subscription for 2006 1,000 Cash 6,000 Capital Fund 40,000 Subscription outstanding 2,000 Furniture 20,000 Sports Materials 13,000 41,000 41,000

(i) At the end of the year subscriptions were outstanding to the extent of Rs. 1,000

(ii) Furniture is to be depreciated by 10%

(iii) Half of the entrance fees are to be capitalised.

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

VIEW SOLUTION
• Question 21

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

 Trial Balance as on 31.12.2006 Particulars Debit Amount (Rs) Credit Amount (Rs) Called up Capital - 1,20,000 Buildings 40,000 - Reserve Fund - 70,000 Furniture 20,000 - Wages 10,000 - Salaries 5,000 - Debtors and Creditors 60,000 80,000 Bills Receivable & Bills Payable 25,000 10,000 Interim Dividend 10,000 - Audit fees 7,000 - Freight 6,000 - Printing•& Stationery 6,000 - Purchases & Sales 1,20,000 1,80,000 Loose Tools 20,000 - Profit & Loss Appropriation A/c. - 10,000 Cash in hand 21,000 - Calls-in-Arrears 10,000 - Goodwill 40,000 - Investments 40,000 - Opening Stock 30,000 - Returns 10,000 5,000 10% debentures - 5,000 Total 4,80,000 4,80,000

(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.

VIEW SOLUTION
• Question 22

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

VIEW SOLUTION
• Question 23

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

VIEW SOLUTION
• Question 24

Classify the following into Capital and Revenue items:

(a) Cost of computer purchased by a college

(b) Repair to a lecture hall

(c) Interest on deposits

(d) Depreciation on Assets

(c) Sale proceeds of fixed assets. VIEW SOLUTION
What are you looking for?

Syllabus