2nd Pre-Board Examination, 2024-25

SUB.:ACCOUNTANCY Class: XII

MARKING SCHEME
Q1 The new profit-sharing ratio after admitting Partner D will be:

A:B:C:D=3:2:1:1
Q2 (b) Only ii) and iv).
Q3 (b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion
(A)
OR
(b) 9,000 Explanation:- No of Debentures = Purchase price /Issue price No pf Debentures =
8,10,000/100-10 = 8,10,000/90 = 9,000 Debentures.
Q4 (a)Deficiency of C borne by A and B Rs. 500 each.
OR
(D) (A) is correct but (R) is incorrect
Q5 b) Rs.1,80,000
Q6 (b) 2000
Or
A)Rs. 18,000, Rs. 18,000 and Rs. 9,000
Q7 A) Both (A) and (R) are true and (R) is the correct explanation of (A).

Q8 c.
Q9 (D) Rs. 6,000
Q10 (a) 38000
Q11 (D) Old partners in sacrificing ratio
Q12 (D)Reserve capital
Q13 (c) No amount will be credited
Q14 (c) Credit A’s Capital A/c by Rs.20,000 , B’s Capital A/c by Rs.15,000 and C,s Capital A/c by Rs.10,000.
Q15 A) 75,000 रु.

OR

(c) ₹28,800
Q16 (a) 8 : 7
Q17 a) Aman’s Capital A/c Dr. 22500
Bank A/c Dr. 32500
To Realisation A/c 55000
(Assets realized)
b) Harsh’s Capital A/c Dr5000
To Bank A/c 5000
(Expenses paid on behalf of partner)
(c) Realisation A/c Dr 2000
To Bank A/c 2000
(Creditors paid)

Q18 Journal Entry in the books of the Firm

Ram’s Capital A/c Dr. 180
Sohan’s Capital A/c Dr. 630
To Mohan’s Capital A/c 810
 (Adjustment entry of interest on drawings made)

OR
Stock a/c dr. 80000
Debtor a/c dr. 120,000
Land a/c dr. 200,000
Machine a/c 120,000
To z’s capital ( balancing figure) 280,000
To premium for goodwill 240,000

Premium for Goodwill A/c Dr. 240,000

To X’s Capital A/c 224,000
To Y’s Capital A/c 16000
(Premium for goodwill, distributed in sacrificing ratio,14:1)
Q19 Goodwill- ` 30,000; No of Debt = 4,222;

OR
Journal Entries
(i)Land a/c Dr. 9,50,00,000
TO Yog Ltd9,50,00,000
(Land purchased )

(ii) Yog Ltd a/c Dr 50,00,000

To Bank a/c50,00,000
(Cash paid to the vendor)

(iii) Yog Ltd a/c Dr. 9,00,00,000

To Equity share capital a/c 6,00,00,000
To security premium reserve a/c 3,00,00,000
(shares issued the vendor)
Q20 Journal entries in The Books of the Firm
2019 Apr.1 Seema’s Capital A/c Dr.7000
To Raka’s Capital A/c 7000
(Adjustment entry made for goodwill)

Apr.1 Workmen’s Compensation Fund Dr. 90000

To Workmen’s Compensation Claim A/c 40000
To Raka’s Capital A/c 25000
To Seema’s Capital A/c15000
To Mahesh’s Capital A/c 10000
(Workmen’s Compensation Fund distributed to Partners’ Capital Accounts after meeting the claim)

Revaluation A/c Dr.40000

To Raka’s Capital A/c 20000
To Seema’s Capital A/c 12000
To Mahesh’s Capital A/c 8000
( Revaluation profit transferred to Partners’ Capital Accounts)
Working Note :- calculation of Gaining/sacrificing ratio Old ratio of Raka, Seema and Mahesh = 5 :3 :2
 New Ratio of Raka, Seema and Mahesh = 2 : 2 : 1
Sacrificing ratio = Old ratio – New ratio
Raka’s Sacrificing ratio = 5/10 – 2/5 = 5 – 4/10 = 1/10
Seema’s Gaining Ratio = 3/10 – 2/5 = 3 – 4/10 = - 1/10
Mahesh’s =2/10 – 1/5 = 2 - -2/10 = 0
Q21 Share capital 50,000
To share first call 10000
To share final 12500
To share forfeiture 27500

Bank 12500
Share forfeiture 12500
To share capital 25000

Share forfeiture 1250

To capital reserve 1250
Q22 Bijit’s Capital A/c
particular amou particular amount
n

To drawing 5000 By balance b/d 40,000

To Bijit’s 38600 By interest on capital 600

Executor’s A/c
By Profit & Loss Suspense 3000
A/c

43600 43600

Q23 1. Allotment of Shares

First, calculate the number of shares allotted and the amounts involved:

 Total shares applied for: 120,000

 Total shares issued: 80,000
 Allotment on pro-rata basis:

Shares Allotted to Dhani=1600120000×80000=160000120000=1066.67 shares≈1067 shares

Shares Allotted to Dhani=1200001600×80000=120000 160000=1066.67 shares≈1067 shares

 Excess Application Money:

Excess Application Money=(120000−80000)×30=80000×30=2400000\text{Excess Application

Money} = (120000 - 80000) \times 30 = 80000 \times 30 =
2400000Excess Application Money=(120000−80000)×30=80000×30=2400000

 Adjust this amount on allotment.

2. Journal Entries
a. On Application

Bank A/c Dr. 36,00,000

To Equity Share Application A/c 36,00,000

Equity Share Application A/c 36,00,000

To equity share capital 24,00,000
To calls in advance 12,00,000

(Being amount received on application for 120,000 shares at ₹30 each.)

b. On Allotment

Equity Share Allotment A/c Dr. 24,00,000

To Equity Share Capital A/c 16,00,000
To Securities Premium A/c 8,00,000

Bank a/c dr. 11,76,000

Calls in advance 1200,000
Calls in arrear 24000
To Equity Share Allotment A/c 24,00,000

(Being allotment money received and excess application money adjusted against allotment.)

c. On 1st Call

Equity Share First Call A/c Dr. 24,00,000

To Equity Share Capital A/c 24,00,000

Bank a/c dr. 22,32,000

Calls in arrear 168000
Equity Share First Call A/c. 24,00,000
(Being first call money due on 80,000 shares at ₹30 each.)

Shares Forfeiture Entry:

Equity Share Capital A/c Dr. 4,48,000

Securities premium 16000
To calls in arrear 2,72,000
To Equity Share Forfeiture A/c 1,92,000

Reissue Entry:

Bank A/c Dr. 19,00,000

To Equity Share Capital A/c 16,00,000

To securities premium 3,00,000

(Being reissue of shares to Tarang for ₹95 per share.)

Share forfeiture a/c dr. 92000

To capital reserve 92000

OR

1. When debentures are issued at 10% premium and redeemable at par:

Journal Entry:

Date Particulars Dr. (Rs.) Cr. (Rs.)

1. Bank A/c Dr. 27,50,000
To 9% Debentures appl&allotment A/c 27,50,000

9% Debentures appl&allotment A/c 27,50,000

To 9% debenture 25,00,000
To securites premium 250,000
Explanation: Issued 5,000 debentures at 500 each with a 10% premium. Cash received includes the
premium.

2. When debentures are issued at par and redeemable at 10% premium:

Journal Entry:

Date Particulars Dr. (Rs.) Cr. (Rs.)

1. Bank A/c Dr. 25,00,000
To 9% Debentures app & allotment A/c 25,00,000

2. 9% Debentures app & allotment A/c 2500,000

Loss on issue of debenture 250,000
To debenture 2500,000
To premium on redemption 250,000

Explanation: Issued 5,000 debentures at par value.

3. When debentures are issued at 10% premium and redeemable at 10% premium:

Journal Entry:

Date Particulars Dr. (Rs.) Cr. (Rs.)

1. Bank A/c Dr. 27,50,000
To 9% Debenture aap & allotment A/c 27,50,000

2. 9% Debentures app & allotment A/c Dr. 27,50,000

Loss on issue of debenture 250,000
To debenture 2500,000
To securities premium 250,000
To premium on redemption 250,000

Explanation: The first entry records the issue of debentures with a premium, and the second entry
 records the redemption of debentures at the same premium.
Q24 Adjustments:

1. Buildings appreciated by 20%:

o New value = ₹200,000 × 20% = ₹40,000
o Adjusted Building Value = ₹200,000 + ₹40,000 = ₹240,000
2. Provision for Bad Debts increased to 15% on Debtors:
o Debtors = ₹40,000
o New Provision = 15% of ₹40,000 = ₹6,000
o Existing Provision = ₹2,000
o Adjustment = ₹6,000 - ₹2,000 = ₹4,000 (increase)
3. Goodwill of the firm is valued at ₹1,44,000:
o Retiring partner’s share = 1/4 of ₹1,44,000 = ₹36,000
o Adjust through the capital accounts of remaining partners.
4. Machinery depreciated by 20%:
o Depreciation = 20% of ₹100,000 = ₹20,000
o Adjusted Machinery Value = ₹100,000 - ₹20,000 = ₹80,000
5. New capital of the firm = ₹2,40,000
o New Profit-Sharing Ratio for A and C = 2:1

Revaluation Account

particular amount particular amount

To provision 4000 By building 40,000

for bad debt

To machinery 20,000

To profit
transferred to
capital

A 8000

B 4000

C 4000 16000
40,000 40,000

Capital Accounts

Particulars A B C Particulars A B C
 TO B 24000 12000 By bal b/d 160000 40000 40000
CAPITAL
TO 164000 42000 By 8000 4000 4000
BALANCE revaluatio
C/D n
To bank 90000 By A’s 24000
capital
By c’s 12000
capital
By gen 20000 10000 10000
reserve
188000 90000 54000 188000 90000 54000
To bank 4000 By 164000 42000
balance
c/d
To 160000 80000 By bank 38000
balance
c/d
164000 80000 164000 80000

Or

Profit and Loss Appropriation Account

For the year ended 31st March 2018
Particulars Amount (Rs.) Particulars Amount (Rs.)
To salary to be By Profit for 15,00,000
credited to capital the year
accounts of:
Jay 1,80,000 By Jay’s 25,000
Capital A/c
Vijay 1,80,000 3,60,000
To divisible profit to be
credited to Capital
accounts of:

Jay 3,05,800
Vijay 3,59,200
Karan 5,00,000 11,65,000
15,25,000 15,25,000

Working note 1:
Computation of divisible profit and its distribution between partners:
 Divisible profit = 11,65,000
Jay’s share in divisible profit = 11,65,000 * 2/5 = 4,66,000
Vijay’s share in divisible profit = 11,65,000 * 3/5 = 4,66,000
Karan’s share in divisible profit = 11,65,000 * 1/5 = 2,33,000
Profit share guaranteed to Karan = 5,00,000
Deficiency to Karan’s share in profit = 5,00,000 – 2,33,000 = 2,67,000
Deficiency to be borne by Jay = 2,67,000 * 3/5 = 1,60,200
Deficiency to be borne by Vijay = 2,67,000 * 2/5 = 1,06,800
Final share in divisible profit for:
Jay = 4,66,000 – 1,60,200 = 3,05,800
Vijay = 4,66,000 – 1,06,800 = 3,59,200
Da Particular Jay Vijay Karan Da Particular Jay Vijay Karan
te s (Rs.) (Rs.) (Rs.) te s (Rs.) (Rs.) (Rs.)
20 20
18 18
Ma To Profit 25,00 Ma By Profit 1,80,0 1,80,0
r. & Loss 0 r. & Loss 00 00
31 Appropria 31 Appropria
tion A/c tion A/c
Ma To 4,60,8 5,39,2 5,00,0 Ma By Profit 3,05,8 3,59,2 5,00,0
r. Balance 00 00 00 r. & Loss 00 00 00
31 c/d 31 Appropria
tion A/c
4,85,8 5,39,2 5,00
00 00

Q25 Realisation Account

Particulars Amount Particulars Amount
To Fixed Deposits 70000 By Provision for 12000
Doubt. Debts
To Stock 86000 By Bills Payable 110000
To Investments 104000 By Creditors 190000
To Debtors 177000 By Employees 50000
provident fund
To Other fixed 380000 By mrs sunny loan 55000
assets
To Sunny's Capital 55000 By Investment 30000
A/c (Loan repaid) fluctuation fund
To Bank A/ 335000 By Bank A/c 499000
Creditors 1,75,000 Debtors 1,76,100
 Bills Payable Other Fixed assets
1,10,000 Emp prov 2,30,300
fund 50,000 Investments 15,600
Fixed deposits
77,000
To Sunny's Capital 10000 By Bobby's Capital 1,43,680
A/c – Expense A/c
10,000
To Bobby's Capital 10000
A/c – Expense
By Partners Capital 96320
A/c - Loss on real.
Bobby 57,792
Sunny 38,528
1227000 1227000
Q26 1. (b) ₹900,000
o (Total application money = 30,000 shares × ₹30)
2. (b) ₹30,000
o (Forfeiture amount = 1,000 shares × ₹30 not paid)
3. (b) ₹56,000
o (Total from re-issue = 700 shares × ₹80)
4. (b) Share Capital Account Dr. to Share Forfeiture Account
o (Forfeiture entry to transfer the amount to the Share Forfeiture Account.)
5. (b) ₹40,000
o (Forfeited amount = 1,000 shares × ₹40 paid - ₹30 not paid)
6. (b) ₹30,000
o (After re-issuing 700 shares, the balance is calculated based on forfeited shares.)

Q27 (a) Revenue from operation

OR
(d) Intra firm comparison possible
Q28 b) Liquidity
Q29 (d) Cash used in investing activities Rs. 8,00,000.

OR
(b) Debt will remain same and equity will increase.
Q30 (c) Statement -I is true, statement-II is false

Q31 Items Main Head Sub Head

(i) Bank Overdraft Current Liabilities Short Term Borrowings (ii)
Subsidy Reserve Shareholders’ Funds Reserve & Surplus
(iii) Capital Redemption Reserve Shareholders’ Funds Reserve & Surplus
(iv) Mining Rights Non-Current Liabilities Fixed assets Tangible Assets (v) Patents
Non-Current Liabilities Fixed assets Tangible Assets (vi) Debit balance in the Statement of Profit and
Loss Shareholders’ Funds Reserve & Surplus
Q32 Comparative Statement of Profit & Loss for Beta Ltd.

For the Years Ended 31 March 2023 and 2022

 Note 2022-2023 2021-2022
Particulars Change (₹) % Change
No. (₹) (₹)
Revenue from
7,00,000 5,00,000 2,00,000 40%
Operations
Expenses 4,50,000 3,75,000 75,000 20%
Other Income 75,000 1,00,000 (25,000) (25%)
Profit Before Tax 3,25,000 2,25,000 1,00,000 44.44%
Tax Expense (50%) 1,62,500 1,12,500 50,000 44.44%
Net Profit After Tax 1,62,500 1,12,500 50,000 44.44%

Explanation:

1. Revenue from Operations increased by ₹2,00,000 (40%) from ₹5,00,000 in 2021-2022 to

₹7,00,000 in 2022-2023.
2. Expenses increased by ₹75,000 (20%) from ₹3,75,000 to ₹4,50,000.
3. Other Income decreased by ₹25,000 (25%) from ₹1,00,000 to ₹75,000.
4. Profit Before Tax increased significantly by ₹1,00,000 (44.44%) from ₹2,25,000 to ₹3,25,000.
5. Tax Expense was calculated at 50% of the profit before tax, leading to an increase of ₹50,000
(44.44%).
6. Net Profit After Tax increased by ₹50,000 (44.44%) from ₹1,12,500 to ₹1,62,500.

Q33 Total Debt = Long-term Borrowings + Current Liabilities + Debentures

= ₹2,00,000 + ₹50,000 + ₹1,00,000
= ₹3,50,000

Total Equity = Equity Share Capital + Reserves and Surplus

= ₹5,00,000 + ₹2,00,000
= ₹7,00,000

Debt-Equity Ratio = Total Debt / Total Equity

= ₹3,50,000 / ₹7,00,000
= 0.5

Answer: The Debt-Equity Ratio of the company is 0.5.

OR

Opening Stock Rs.20,000; Closing Stock Rs.30,000

Q34 a) (210000)
b) 100000