JB PARISAR, OPPOSITE SUNITA NURSERY, VIDHAN SABHA ROAD, RAIPUR

Grade-12th
SAMPLE QUESTION PAPER
ACCOUNTANCY

1. Swati and Aman were partners in a firm. Their fixed capitals were Rs. 9,00,000 and Rs. 3,00,000,
respectively. They shared profits in the ratio of their capitals. Divya was admitted as a new partner
for 1/3rd share in the profits of the firm. Divya brought her share of goodwill premium in cash out
of which Rs. 45,000 were credited to the current account of Swati. The amount of goodwill
premium brought in by Divya was:
(A) Rs. 1,80,000 (B) Rs. 1,35,000 (C) Rs. 60,000 (D) Rs. 45,000 (1 Marks)
2. A, B and C are partners with profit sharing ratio 4 : 3 : 2. B retires and goodwill was valued at Rs.
2,88,000. If A & C share profits in 5 : 3, find out the goodwill shared by A and C in favour of B:
(A) Rs. 60,000 and Rs. 36,000 (B) Rs. 44,000 and Rs. 52,000
(C) Rs. 52,000 and Rs. 44,000 (D) Rs. 1,56,000 and Rs. 1,32,000 (1 Marks)
OR
Assertion (A):
Interest on Capital provided to partner is shown in Profit and Loss Appropriation A/c.
Reason (R):
Interest on Capital provided to partner is charge against profits.
(A) (A) is correct but (R) is wrong.
(B) Both (A) and (R) are correct, but (R) is not the correct explanation of (A).
(C) Both (A) and (R) are incorrect.
(D) Both (A) and (R) are correct, and (R) is the correct explanation of (A).
3. Pick the odd one out of:
(A) Interest on Partner's Capital (B) Rent to Partner
(C) Interest on Partner's Drawings (D) Salary to Partner (1 Marks)
4. Which of the following is not incorporated in the Partnership Act?
(A) Profit and loss are to be shared equally (B) No interest is to be allowed on capital
(C) All loans are to be allowed interest @ 6% p.a. (D) All drawings are to be charged interest
(1 Marks)
5. "Weighted Average Method" is followed when :
(A) Past profits are same (B) Past profits show an increasing trend
(C) Past profits show a decreasing trend (D) Either (B) or (C) (1 Marks)
6. Rupa Ltd. forfeited 500 shares of Rs. 100 each fully called up on which Rs. 30,000 has been paid.
400 of these shares were reissued for Rs. 34,000. What is the net balance in Share Forfeiture
Account?
(A) Rs. 6,000 (B) Rs. 18,000 (C) Rs. 24,000 (D) Rs. 12,000 (1 Marks)
OR
A share of Rs. 100 each, issued at Rs. 40 premium out of which Rs. 70 (including Rs. 30 premium)
was called up and paid up. The Called Up Capital will be …………… .
(A) Rs. 70 per share (B) Rs. 30 per share (C) Rs. 40 per share (D) Rs. 100 per share
7. A, B and C are partners sharing profits in 9 : 6 : 5. D is admitted into partnership. A sacrifices 1/3rd
of his share, B sacrifices 1/20th from his share and C sacrifices 1/5th of his share in favour of D.
New profit sharing ratio will be :
(A) 7 : 15 : 12 : 26 (B) 5 : 6 : 4 : 5 (C) 6 : 5 : 1 : 8 (D) 6 : 5 : 4 : 5 (1 Marks)
OR
A and B are partners. B draws a fixed amount at the end of every month. Interest on drawings is
charged @ 15% p.a. At the end of the year, interest on B's drawings amounts to Rs. 16,500.
Drawings of B were :
(A) Rs. 24,000 p.m. (B) Rs. 20,000 p.m. (C) Rs. 18,000 p.m. (D) Rs. 16,000 p.m.
 8. On dissolution of a firm, debtors Rs. 40,000 were shown in the Balance Sheet, Out of this Rs. 5,000
became bad. One debtor became insolvent and 70% were recovered from him out of Rs. 10,000.
80% was recovered from the balance debtors. On account of this item, realisation account will be :
(A) Debited by Rs. 13,000 (B) Credited by Rs. 27,000
(C) Debited by Rs. 27,000 (D) Credited by Rs. 20,000 (1 Marks)
Read the following hypothetical situation and answer Question No. 9 and 10.
Divya, Esha and Gamni were partners in a firm sharing profits equally. Their capital balances as on
1st April 2022 were Rs. 4,00,000, Rs. 3,00,000 and Rs. 2,00,000 respectively. As per partnership
deed, Interest on capital was allowed @ 12% p.a. Esha died during the year 2022-23, and following
capital account was prepared on her death:
Dr. ESHA’S CAPITAL ACCOUNT Cr.
Particulars Rs. Particulars Rs.
To P & L Suspense A/c 10,000 By Balance b/d 3,00,000
To Esha’s Executor’s A/c 4,10,000 By General Reserve A/c 50,000
By Revaluation A/c 24,000
By Divya’s Capital A/c 20,000
By Gamni’s Capital A/c 20,000
By Interest on Capital A/c 6,000
4,20,000 4,20,000
9. Date on which Esha died :
(A) 30th April, 2022 (B) 31st May, 2022
(C) 31st January 2023 (D) 31st March, 2023 (1 Marks)
10. If share of profit or loss for the interim period was to be calculated on the basis of last year's profit
or loss, what was last year's profit or loss :
(A) Rs. 1,80,000 (Profit) (B) Rs. 60,000 (Loss)
(C) Rs. 60,000 (Profit) (D) Rs. 1,80,000 (Loss) (1 Marks)
11. In case of death of a partner, his share of profit till the date of his death may be estimated on the
basis of ……… or ………. . (1 Marks)
12. Partner Sushil withdrew equal amount at the end of each quarter from the firm. Interest on drawings
charged from him for the year ended 31st March 2022 @ 10% p.a. was Rs. 9,000. Total amount of
drawings was:
(A) Rs. 1,80,000 (B) Rs. 1,44,000 (C) Rs. 2,40,000 (D) Rs. 90,000 (1 Marks)
13. A, B and C are partners sharing profits in 3 : 2 : 1. C's share of profits for the year ending 31st
March 2022 amounts to Rs. 50,000. Interest allowed on partners capital is Rs. 1,50,000 and A is
allowed a salary of Rs. 5,000 per month. Interest charged on partner's drawings is Rs. 2,000. What
was the net profit of the firm before any appropriations?
(A) Rs. 5,08,000 (B) Rs. 92,000 (C) Rs. 2,12,000 (D) Rs. 4,53,000 (1 Marks)
OR
Assertion (A):
A and B are partners in a firm. As per partnership deed interest on drawings is to be charged @ 9%
p.a. A withdrew Rs. 10,000 per month at the end of each month and B withdrew 10,000 per quarter
at the end of each quarter. The firm incurred a loss of 2,00,000. Hence, interest will not be charged
on drawings.
Reason (R):
Interest on drawings will be charged @ 9% p.a. on Rs. 1,20,000 from A for 5.5 months and from B
for 4.5 months on Rs. 30,000.
In the context of the above two statements, which of the following is correct?
Codes:
(A) Both (A) and (R) are correct and (R) is the correct reason of (A)
(B) Both (A) and (R) are correct but (R) is not the correct reason of (A)
(C) Only (R) is correct.
(D) Both (A) and (R) are wrong.
14. Which shareholders have a right to receive the arrears of dividend from future profits:
(A) Redeemable Preference Shares (B) Participating Preference Shares
(C) Cumulative Preference Shares (D) Non-Cumulative Preference Shares (1 Marks)
15. A company issued 4,000 equity shares of Rs. 10 each at par payable as under:
On application Rs. 3; on allotment Rs. 2; on first call Rs. 4 and on final call Rs. 1 per share.
Applications were received for 10,000 shares. Allotment was made pro-rata. How much amount will
be received in cash on allotment?
(A) Rs. 8,000 (B) Rs. 12,000 (C) Nil (D) None (1 Marks)
16. ABC Ltd. issued 50,000, 8% Debentures of Rs. 10 each at certain rate of premium and to be
redeemed at 10% premium. At the time of writing off Loss on Issue of Debentures, Statement of
Profit and Loss was debited with Rs. 10,000. At what rate of premium, these debentures were
issued?
(A) 8% (B) 2% (C) 10% (D) 4% (1 Marks)
OR
XYZ Ltd. issued 25,000, 9% Debentures of Rs. 10 each at certain rate of discount and were to be
redeemed at 5% premium. Existing balance of Securities Premium before issuing of these debentures
was Rs. 35,000 and after writing off Loss on Issue of Debentures, the balance in Securities Premium
was Rs. 5,000. At what rate of discount, these debentures were issued?
(A) 6% (B) 4% (C) 7% (D) 5%
17. On 31st March, 2022, the balances in the Capital Accounts of Saroj, Mahinder and Umar after
making adjustments for profits and drawings, etc. were Rs. 80,000, Rs. 60,000 and Rs. 40,000
respectively. Subsequently, it was discovered that the interest on capital and drawings has been
omitted.
(a) The profit for the year ended 31st March, 2022 was Rs. 80,000.
(b) During the year, Saroj and Mahinder each withdrew a sum of Rs. 24,000 in equal instalments
at the end of each month and Umar withdrew Rs. 36,000.
(c) The interest on drawings was to be charged @ 5% p.a. and interest on capital was to be
allowed @ 10% p.a.
(d) The profit-sharing ratio among partners was 4 : 3 : 1.
Showing your workings clearly, pass the necessary rectifying entry. (3 Marks)
18. A, B and C were partners in a firm sharing profits in the ratio of 2 : 2 : 1. They admitted D for 1/6th
share in the profits. The new profit sharing ratio will be 13 : 8 : 4 : 5 respectively. D brought Rs.
5,00,000 for his capital and Rs. 60,000 for his share of goodwill.
Pass necessary entries. (3 Marks)
OR
Calculate the interest on drawings of Mr. Arif Mohammad @ 8% p.a. for the year ended 31st March,
2022, in each of the following alternative cases:
Case (i) If he withdrew Rs. 20,000 in the beginning of each quarter.
(ii) If he withdrew Rs. 24,000 at the end of each quarter.
(iii) If he withdrew Rs. 40,000 during the middle of each quarter.
19. Pass the necessary Journal entries for the issue of 8% debentures in the following cases:
(i) 100 debentures of Rs. 100 each issued at Rs. 105 each repayable at Rs. 100 each.
(ii) 100 debentures of Rs. 100 each issued at 100 each repayable at 105 each.
(iii) 100 debentures of Rs. 100 each issued at Rs. 105 each repayable at Rs. 108 each.
(iv) 100 debentures of Rs. 100 each issued at Rs. 96 each repayable at 105 each.
Ignore writing off discount/loss on issue of debentures. (3 Marks)
 OR
Fill in the blanks in the following journal entries :
XYLO Ltd.
JOURNAL
Date Particulars L.F. Dr. (Rs.) Cr. (Rs.)
Sundry Assets A/c Dr. 8,00,000
To Sundry Creditors A/c 2,00,000
To ……….. -
To ……….. -
(Business of Mahindra Ltd. purchased for a consideration of Rs.
5,00,000)
………… Dr. -
………… Dr. -
To 9% Debentures A/c -
(Paid to Mahindra Ltd. by issue of …….. 9% Debentures of Rs.
100 each at a discount of Rs. 50 per debenture)
20. P, Q and R were partners in a firm sharing profits in the ratio of 7 : 2 : 1. On 31st March, 2021, the
firm was dissolved, after transferring sundry assets (other than cash in hand and cash at bank) and
third party liabilities in the realization account, the following transactions took place :
(i) Debtors amounting to Rs. 1,20,000 were handed over to a debt collection agency which
charged 5% commission. The remaining debtors were Rs. 27,000, out of which debtors of
Rs. 17,000 could not be recovered because the same became insolvent.
(ii) Creditors amounting to Rs.7,000 were paid Rs. 5,500 in full settlement of their claim and
balance creditors were handed over stock of Rs. 70,000 in full settlement of their claim of
Rs. 80,000.
(iii) A bills receivable Rs. 2,000 discounted with the bank was dishonoured by its acceptor and
the same had to be met by the firm.
Pass necessary journal entries for the above transactions in the books of P, Q and R. (3 Marks)
21. A, B and C were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Their books are
closed on December 31 every year.
B died on September 30, 2021. The executors of B are entitled to:
(i) His share of Capital i.e., Rs. 4,00,000 alongwith his share of goodwill. The total goodwill
of the firm was valued at 2 year's purchase of last year's profit.
(ii) His share of profit up to his date of death on the basis of sales till date of death. Sales for
the year ended December 31, 2020 was Rs. 4,00,000 and profit for the same year was Rs.
80,000. Sales shows a growth trend of 25% and percentage of profit earning is increased by
4%.
(iii) Amount payable to B was transferred to his executors.
Pass necessary Journal Entries and show the workings clearly. (4 Marks)
22. On 1st July 2021, X Ltd. purchased machinery for Rs. 10,80,000 from Z Ltd and the payment was
made by issuing 8% debentures of Rs. 500 each at a discount of 10%. On the same date it also
issued Rs. 5,00,000, 8% debentures as collateral security to State Bank of India. The company
closes its books on 31st March every year. Interest on debentures is payable on 30th September and
31st March every year.
Pass necessary journal entries for the year ended 31.3.2022. (4 Marks)
 23. Jai Ltd. invited applications for issuing 10,000 equity shares of Rs. 100 each at a premium of Rs.
100 per share. The amount was payable as follows:
On application and allotment – Rs. 100 per share (including Rs. 50 premium)
On first and final call - The balance
The issue was fully subscribed. A shareholder holding 500 shares paid the full share money with
application. Another shareholder holding 200 shares failed to pay the first and final call money. His
shares were forfeited. The forfeited shares were re-issued for Rs. 19,000 as fully paid up.
Pass necessary journal entries for the above transactions in the books of the company. (6 Marks)
OR
Y Ltd. invited the public to subscribe 10,000 Equity shares Rs. 100 each at a Premium of Rs. 10 per
share. Payment was to be made as follows:
On Application Rs. 20
On Allotment Rs. 40
On First Call Rs. 30
On Final Call Rs. 20
Applications totalled 13,000 shares; applications for 2,000 shares were rejected and allotment was
made proportionately to the remaining applicants. The directors made both the calls and all the
moneys were received except the final call on 300 shares of Monika which were forfeited after the
required notices were served. Later, 200 of the forfeited shares were reissued as fully paid @Rs.85
per share. You are informed that Latika who applied for 550 shares paid the amount of first call and
final call alongwith the allotment amount.
Journalise these transactions.
24. A and B were partners in a firm. They shared profits in the ratio of 2 : 3. On 1st April, 2022, they
admitted C as a new partner and the new profit sharing ratio will be 3 : 3 : 4. C brings Rs. 20,00,000
as his capital.
On this date, their Balance Sheet appeared as follows:
Liabilities Rs. Assets Rs.
Creditors 4,00,000 Fixed Assets 20,00,000
General Reserve 3,00,000 Stock 15,00,000
Capitals : Debtors 5,00,000
A 15,00,000 Cash Balance 2,00,000
B 20,00,000 35,00,000
42,00,000 42,00,000
Following revaluations were made :
(i) There was a liability for workmen compensation amounting to Rs. 50,000.
(ii) Rs. 20,000 of debtors are bad and a provision of 5% was to be created for doubtful debts.
(iii) Expenses debited to the Profit & Loss Account includes a sum of Rs. 14,000 paid for A's
personal expenses.
(iv) Stock includes Rs. 40,000 for obsolete items.
(v) Fixed assets are to be revalued at Rs. 18,00,000.
Goodwill of the firm is valued at Rs. 4,00,000 and C brings his share of goodwill in cash.
Prepare Revaluation Account & Partner's Capital Accounts. (6 Marks)
 OR
The Balance Sheet of A, B and C, who were sharing profit and losses in the proportion of their
capitals, as at 31-12-2021 was as follows:
Liabilities Rs. Assets Rs.
Sundry Creditors 3,500 Cash 2,700
Capitals: Debtors 3,000
A 15,000 Less: Provision for
B 12,000 Doubtful Debts 200 2,800
C 9,000 Stock 5,000
Machinery 14,000
Building 15,000
39,500 39,500
B retired on that date and the following adjustments were made :
(i) Building be appreciated by 20%, stock be depreciated by 10%, provisions for doubtful debts
be maintained at 5% and a provision for legal charges be created at Rs. 450.
(ii) The goodwill of the firm be fixed at Rs. 6,000 and B's share be adjusted into A and C capital
accounts.
(iii) Rs. 12,000 from B's capital account be transferred to his loan account and balance be paid in
cash, and
(iv) New profit sharing ratio between A & C will be 3 : 2.
Prepare Revaluation Account & Partners Capital Accounts.
25. Calculate the value of goodwill on the basis of three year's purchase of the weighted average profits
of the last five years. Profits to be weighted 1, 2, 3, 4 and 5, the greatest weightage to be given to
last year. Profits of the last five years were :
Year ended Rs.
31st March, 2018: Profit 80,000
31st March, 2019: Profit 1.05,000 (after considering abnormal loss of Rs. 41,500)
31st March, 2020: Loss 20,000 (after considering salary to employees of Rs. 40,000)
31st March, 2021: Profit 1,80,000
31st March, 2022: Profit 2,00,000
Books of Accounts of the firm revealed that :
(i) Closing Stock as on 31st March, 2018 was overvalued by Rs. 40.000.
(ii) Repairs to Machinery Rs. 60,000 were wrongly debited to Machinery Account on 1st July, 2020.
Depreciation was charged on Machinery @ 20% p.a. on diminishing balance method. (6 Marks)
26. On 1-4-2021, Oneplus Ltd. issued 1101, 10% Debentures of Rs. 500 each at a discount of 4%,
redeemable at a premium of 5% after three years.
Pass necessary Journal Entries for the year ended 31-3-2022 assuming that interest is payable on
30th September and 31st March. The company closes its books on 31st March every year. (6 Marks)
27. In which analysis total cost are equal to total revenue from Operations:
(A) Trend Analysis (B) Ratio Analysis
(C) Break-Even Point (D) Cash Flow Statement Analysis (1 Marks)
28. Payment of Income Tax is considered as
` (A) Direct Expenses (B) Indirect Expenses
(C) Operating Expenses (D) None of the Above (1 Marks)
OR
Equity Share Capital Rs. 30,00,000; Reserve and Surplus Rs. 10,00,000; Debenture Rs. 10,00,000;
Current Liabilities Rs. 6,00,000; Debt-equity ratio will be :
(A) .4 : 1 (B) .33 : 1 (C) .25 : 1 (D) .53 : 1
29. When does a Cash Flow arise? (1 Marks)
 OR
Rs. 10 Lac paid as Dividend by a mutual fund company is classified under which kind of activity
while preparing cash flow statement?
(A) Cash Flow from Operating Activities (B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities (D) No Cash Flow
30. Revenue from Operations (Sales) Rs. 8,00,000; G.P. 25% on Cost; Office Exp. Rs. 25,000; Selling
Exp. 15,000; Loss on sale of plant Rs. 10,000. Operating Ratio will be :
(A) 85% (B) 86.25% (C) 80% (D) 81.25% (1 Marks)
31. Under what headings will you show the following items in the Balance Sheet of the Company:
(i) Goodwill
(ii) Unclaimed Dividends
(iii)Provision for Tax
(iv) Securities Premium
(v) Loose Tools
(vi) Mining Rights (3 Marks)
32. Compute the amount of Current Assets from the following:
Rs.
Bank Overdraft 1,60,000
Sundry Creditors 1,80,000
Bills Payables 20,000
Rent Payable 10,000
Provision for Tax 30,000
Public Deposits 2,00,000
Inventory 2,50,000
Quick Ratio 1.25 (3 Marks)
OR
The following particulars are extracted from the Balance Sheet of RK Enterprises Ltd. as at 31st
March, 2022:
Rs.
Equity Share Capital 5,00,000
10% Preference Share Capital 1,20,000
Securities Premium 60,000
Profit & Loss Balance 1,20,000
12% Debentures 50,000
10% Mortgage Loan 1,50,000
Current Liabilities 2,80,000
Non Current Assets (Other than Goodwill) 4,80,000
Current Assets 6,00,000
Goodwill 2,00,000
Showing the full working, calculate the following ratios:
(i) Debt Equity Ratio
(ii) Proprietary Ratio
(iii) Interest Coverage Ratio
Net Profit after interest before tax amounted to Rs. 1,26,000
Rate of Income Tax was 30%.
33. Prepare a Common Size Statement of Profit & Loss from the following: (4 Marks)
Particulars Note No. 31.3.2023 31.3.2022
Revenue from Operations 40,00,000 42,00,000
Other Income 30,000 25,200
Finance Costs 24,00,000 26,88,000
Other Expenses 1,60,000 1,51,2000
Income Tax (40%)
 OR
Fill in the Blanks:
Sachi Ltd.
COMPARATIVE STATEMENT OF FROFIT & LOSS
For the years ended 31st March, 2022 and 2023
Particulars Note 2021-22 2022-23 Absolute Percentage
No. Change Change
(Increase or (Increase or
Decrease) Decrease)
1 2 3 4 5
A B B–A= C C/A X 100
=D
Rs. Rs. Rs. %
I. Revenue from Operations 16,00,000 - - 25
II. Less: Expenses :
Employee Benefit Expense - - 2,00,000 25
Other Expenses 2,00,000 - - (50)
III. Total Expenses - - - -
IV. Profit before Tax (I-III) - - - -
V. Tax (50%) - - - -
VI. Profit after Tax - - - -

34. The balance in Plant & Machinery account and Accumulated depreciation account as on March 31,
2021 and 2022 stood as follows:
31st March, 2021 Rs. 31st March, 2023 Rs.
Plant & Machinery 48,00,000 65,40,000
Accumulated Depreciation 14,05,000 22,10,000
Plant & machinery costing Rs. 12,80,000 accumulated depreciation thereon Rs. 5,30,000 was sold at
a loss of Rs. 2,60,000.
You are required to :
(i) Compute the amount of plant and machinery purchased, sold and depreciation charged for the
year.
(ii) How each of the item related to plant & machinery will be reported in the statement of cash
flows. (6 Marks)