Paper : CBSE Class 12th Accountancy Exam Paper, 2004 (Compartment Delhi: Set - 1)

PART A - PARTNERSHIP AND COMPANY ACCOUNT

Q. 1. What is meant by partnership' 2

Q. 2. What is meant Reserve capital? 2

Q. 3. State any two purposes for which balance to the credit of security premium account can be used. 2

Q. 4. On 15.2.2004 'A' LTD invited applications for issue of 1,00,000 9% debentures of Rs. 100 each at a discount of 6%, redeemable at par after 3 years. The full amount was payable on application and the debentures were Issued on 15.3.2004. Pass the journal entries for the above transactions. 2

Q. 5. X Ltd. purchased assets of Y ltd. as under:

The purchase consideration was Rs. 80,00,000. Rs. 20,00,000 were paid through bank and the remaining by issue of 6% debentures of Rs. 100 each at a premium of 20%.
Pass necessary journal entries in the books of X Ltd. 3

Q. 6. A and B are partners us firm sharing profits in the ratio of 2; 1. On 1-4-2002 they decide to admit C for 1/5 share in profits with a guaranteed amount of Rs. 25,000 per annum A undertook to meet the liability arising out of the guaranteed amount to C The firm earned a profit of Es. 75,000 for the year ended March 31,2003.
Perpare Profit and Loss Appropriation Account. 3

Q. 7. X and Y are partners in a firm sharing profits in the ratio of 5:3. On March 1, 2004 they admitted Z as a new partner. The new profit sharing ratio will be 4 : 3 : 2. Z brought in Rs. 1,00,000 in cash as his share of capital but could not bring any amount for goodwill in cash. The firm's goodwill on Vs admission was valued at Rs. 1,80,000. At the time of Z's admission goodwill existed hi the books of the firm at Rs. 2,40,000.
Pass necessary journal entries in the books of the firm on Vs admission. Show your workings clearly. 4

Q. 8. P and Q are partners in a firm sharing profits in the ratio of 3 : 2. On 1-1-2004 their capital balances stood at Rs. 15,000 and Rs. 20,000 respectively. The books also showed a P & L (Dr balance) of Rs. 30,000. The firm had taken a Joint Life Policy in the names of the partners for Rs. 3,00,000. The annual permium of Rs. 15,000 was payable on 15th February each year. The surrender value of the policy on 1. 1.2004 was Rs. 90,000. The firm was dissolved on 1.1.2004 and the Joint Life Policy surrendered. The insurance company paid Rs. 1,00,000 including bonus.
Show the capital accounts of the partners, giving effect to the above. 4

Q. 9. W Ltd. Is registered with an authorised capital of Rs. 10,00,000 divided into 1,00,000 equity shares of Rs. 10 each. The company offered 80,000 shares for subscription to the public, out of which 75,000 shares were subscribed for Rs. 6 per share were called and received except a call of Rs. 2 per share on 1000 shares Show the share capital of the company in Its Balance Sheets as per the provisions of Schedule VI Part I of the Companies Act 1956. 4

Q. 10. On 1. 3.2003 G Ltd. had Rs. 8,00,000 9% debentures due for redemption. The company had a balance of Rs. 3,40,000 in its Debenture Redemption Reserve Account.
Pass necessary journal entries for redemption of debentures. 4

Q. 11. On 1.4. 1999 A Ltd. issued2000 7% debentures of Rs. 100 each at a discount of 10% redeemable at par after 4 years by converting them into equity shares of Rs. 100 each issued at a permium of 25%.
Pass necessary journal entries for the issue and redemption of debentures. 4

Q. 12. A, B and C were partners In a firm sharing profits in the ratio of 3 : 2 : 1. The Balance Sheet as on 31.3.2003 was as follows:

A died on 30.9.2003. Under the partnership agreement the executors of a deceased partner were entitled to:
(a) Amount standing to the credit of partner's capital account.
(b) Interest on capital at 12% per annum.
(c) Share of goodwill ofl the basis of four years purchase of last three years average profit.
(d) Share of profit from the closing of the last financial year to the date of death on the basis of last year's profit. Profits for the year 2001,2002 and 2003 Were Rs. 8,000, Rs. 12,000 and Rs. 7,000 respectively.

Prepare A's Capital account to be rendered to his executors. 6

Q. 13. Mohan, Sohan and Rohan were partners in a firm sharing profits in the ratio of 2 : 2: 1. On 28.2.2004 their firm was dissolved. The Balance Sheet of the firm on the date of dissolution was as following:

Sundry Assets were taken over by Rohan for Rs. 65,000 and Mohan too over the Creditors for Rs. 75,000. Expenses of dissolution paid by Sohan were Rs. 5,000. Prepare Realisation Account, Partner's Capital Accounts and Cash Account. 6

Q. 14. (a) X Ltd. forfeited 1,000 Equity shares of Rs. 10 each Issued at a premium of Rs. 3 per share for the non-payment of final call of Rs. 6 (Including premium) per share, The forfeited shares were re-Issued as fully paid up for Rs. 7 per share.
Pass necessary Journal entries in the books of the company. 2


(b) V Ltd. forfeited 80 Equity shares of Rs. 10 each issued at a discount of 10% for the non-payment of first and final call of Rs. 3 per share. The forfeited shares were re-issued at Rs.12 per share as fully paid up.
Pass necessary journal entries in the books of the company. 3


(c) Z Ltd. Issued Equity shares of Rs. 100 each at a permium of Rs. 10 per share for the purchase of furniture of Rs. 99,000.
Pass necessary Journal entry for issue of shares. 1

Q. 15. A and B are partners in a firm sharing profits in the ratio of 2 : 1. C is admitted into the firm with 1/4th share in profits. He will bring Rs. 30,000 as his capital. The Balance Sheet of A and B as on 31.3.2002 was as under:

Other terms of the agreement are as under:
(a) C will bring in Rs. 12,000 as his share of goodwill.
(b) Building was valued at Rs. 45,000 and Machinery at Rs. 23,000.
(c) A provision for bad debts is to be created @6% on debtors.
Prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of the new firm. 8

Or

X, Y and Z were partners in a firm sharing profits in the ratio of 2 : 2: 1. Their Balance Sheet on 31.3.2003 was as follows:

Y retired on 31.3.2003 on the following terms:
(i) Goodwill of the firm was valued at Rs. 70,000, and was not to appear in the books.
(ii) Bad debts amounting to Rs. 2,000 were to be written off.
(iii) Patents were considered as valueless.
Prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of X and Z after V's retirement.

PART B - ANALYSIS OF FINANCIAL STATEMENTS

Q. 16. What is meant by 'Funds'? 2

Q. 17. State any two objectives of preparing a 'Cash Flow Statement'. 2

Q. 18. State any three limitations of Analysis of Financial Statements. 3

Q. 19. Prepare a common size Balance Sheet and comment of the financial position of A Ltd. and B Ltd. The Balance Sheets of A Ltd. and B Ltd. as at3I .3.2003 are given below: 3

Q. 20. Calculate any two of the following ratios from the given information: 4
(a) Operating ratio
(b) Stock turnover ratio
(c) Proprietary ratio
Information:
Net sales Rs. 3,75,000; Cost of Goods sold Rs. 1, 08,500;. Administrative expenses Rs. 42,000; Selling expenses Rs. 47,500; Share capital Rs. 8,00,000; Reserves Rs. 3,50,000; Long term loans Rs. 8,20,000; Fixed assets (Net) Rs. 4,62,000; investments Rs. 2,42,500;

Q.21. Following are the Balance Sheets of Z Ltd. as at 31st March, 2002 and 2003:

Additional Information:
Dividend Rs. 30,000 was - during the year.

Prepare Schedule of Changes in Working Capital, compute Funds from Operations and prepare Statement of Changes in Financial Position. 6
Or
On March 31st, 2003 Ramesh and Co. indicated a profit of Rs. 1,25,000, after considering the following:

The current assets and current liabilities at the beginning and the end of the year are:

Ascertain the net cash (cash flow) from operating activities.