SET-1

Series BVM/C H$moS> Z§.

Code No. 65/1/1
amob Z§. narjmWu H$moS >H$mo CÎma-nwpñVH$m Ho$ _wI-n¥ð
Roll No. >na Adí` {bIo§ &
Candidates must write the Code on the
title page of the answer-book.

 H¥$n`m Om±M H$a b| {H$ Bg àíZ-nÌ _o§ _w{ÐV n¥ð> 11 h¢ &

 àíZ-nÌ _| Xm{hZo hmW H$s Amoa {XE JE H$moS >Zå~a H$mo N>mÌ CÎma -nwpñVH$m Ho$ _wI-n¥ð> na
{bI| &
 H¥$n`m Om±M H$a b| {H$ Bg àíZ-nÌ _| >29 àíZ h¢ &
 H¥$n`m àíZ H$m CÎma {bIZm ewê$ H$aZo go nhbo, àíZ H$m H«$_m§H$ Adí` {bI| &
 Bg àíZ-nÌ H$mo n‹T>Zo Ho$ {bE 15 {_ZQ >H$m g_` {X`m J`m h¡ & àíZ-nÌ H$m {dVaU nydm©•
_| 10.15 ~Oo {H$`m OmEJm & 10.15 ~Oo go 10.30 ~Oo VH$ N>mÌ Ho$db àíZ-nÌ H$mo n‹T>|Jo
Am¡a Bg Ad{Y Ho$ Xm¡amZ do CÎma-nwpñVH$m na H$moB© CÎma Zht {bI|Jo &
 Please check that this question paper contains 11 printed pages.
 Code number given on the right hand side of the question paper should be
written on the title page of the answer-book by the candidate.
 Please check that this question paper contains 29 questions.
 Please write down the Serial Number of the question before
attempting it.
 15 minute time has been allotted to read this question paper. The question
paper will be distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the
students will read the question paper only and will not write any answer on
the answer-book during this period.

J{UV
MATHEMATICS
{ZYm©[aV g_` : 3 KÊQ>o A{YH$V_ A§H$ : 100
Time allowed : 3 hours Maximum Marks : 100

65/1/1 1 P.T.O.
gm_mÝ` {ZX}e :
(i) g^r àíZ A{Zdm`© h¢ &
(ii) Bg àíZ-nÌ _| 29 àíZ h¢ Omo Mma IÊS>m| _| {d^m{OV h¢ : A, ~, g VWm X & IÊS> A _| 4 àíZ h¢ {OZ_| go
àË`oH$ EH$ A§H$ H$m h¡ & IÊS> ~ _| 8 àíZ h¢ {OZ_| go àË`oH$ Xmo A§H$ H$m h¡ & IÊS> g _| 11 àíZ h¢ {OZ_| go
àË`oH$ Mma A§H$ H$m h¡ & IÊS> X _| 6 àíZ h¢ {OZ_| go àË`oH$ N > : A§H$ H$m h¡ &
(iii) IÊS> A _| g^r àíZm| Ho$ CÎma EH$ eãX, EH$ dmŠ` AWdm àíZ H$s Amdí`H$VmZwgma {XE Om gH$Vo h¢ &
(iv) nyU© àíZ-nÌ _| {dH$ën Zht h¢ & {\$a ^r IÊS> A Ho$ 1 àíZ _|, IÊS> ~ Ho$ 3 àíZm| _|, IÊS> g Ho$ 3 àíZm| _|
VWm IÊS> X Ho$ 3 àíZm| _| AmÝV[aH$ {dH$ën h¢ & Eogo g^r àíZm| _| go AmnH$mo EH$ hr {dH$ën hb H$aZm h¡ &
(v) H¡$bHw$boQ>a Ho$ à`moJ H$s AZw_{V Zht h¡ & `{X Amdí`H$ hmo, Vmo Amn bKwJUH$s` gma{U`m± _m±J gH$Vo h¢ &
General Instructions :
(i) All questions are compulsory.
(ii) The question paper consists of 29 questions divided into four sections A, B, C and D.
Section A comprises of 4 questions of one mark each, Section B comprises of 8 questions
of two marks each, Section C comprises of 11 questions of four marks each and
Section D comprises of 6 questions of six marks each.
(iii) All questions in Section A are to be answered in one word, one sentence or as per the
exact requirement of the question.
(iv) There is no overall choice. However, internal choice has been provided in 1 question of
Section A, 3 questions of Section B, 3 questions of Section C and 3 questions of Section D.
You have to attempt only one of the alternatives in all such questions.
(v) Use of calculators is not permitted. You may ask for logarithmic tables, if required.

IÊS> A
SECTION A

àíZ g§»`m 1 go 4 VH$ àË`oH$ àíZ 1 A§H$ H$m h¡ &

Question numbers 1 to 4 carry 1 mark each.
5 3 8
1. gma{UH$ 2 0 1 Ho$ Ad`d a23 H$m ghIÊS> kmV H$s{OE &
1 2 3
5 3 8
Find the cofactor of the element a23 of the determinant 2 0 1 .
1 2 3

2. x Ho$ gmnoj cos {sin (x)2} H$m AdH$bZ H$s{OE &

Differentiate cos {sin (x)2} with respect to x.

65/1/1 2
3. {ZåZ AdH$b g_rH$aU H$s H$mo{Q> d KmV kmV H$s{OE :
3
 dy  d 2y
   2y 2 = 0
 dx  dx
Determine the order and the degree of the differential equation
3
 dy  d 2y
   2y 2 = 0
 dx  dx

4. z-Aj na, {~ÝXþ P(3, – 4, 5)

go S>mbo JE bå~ H$s bå~mB© kmV H$s{OE &
AWdm
EH$ g_Vb H$m g{Xe g_rH$aU kmV H$s{OE Omo _yb-{~ÝXw go 5 BH$mB© H$s Xÿar na h¡ VWm
{OgH$m A{^b§~ g{Xe 2 ^i – ^j + 2 k^ h¡ &
Find the length of the perpendicular drawn from the point P(3, – 4, 5) on
the z-axis.
OR
Find the vector equation of a plane, which is at a distance of 5 units from
^ ^ ^
the origin and whose normal vector is 2 i – j + 2 k .
IÊS> ~
SECTION B

àíZ g§»`m 5 go 12 VH$ àË`oH$ àíZ Ho$ 2 A§H$ h¢ &

Question numbers 5 to 12 carry 2 marks each.
1
3 3
5. `{X f : R  R, f (x)  (3 – x ) Ûmam n[a^m{fV h¡, Vmo fof (x) kmV H$s{OE &
1
3 3
If f : R  R is given by f (x)  (3 – x ) , find fof (x).

 5 – 3 3 2
6. `{X A  VWm B –1    h¡, Vmo A–1 kmV H$s{OE & AV:
 – 3 2  0 – 1
(AB)–1 ^r kmV H$s{OE &
 5 – 3 –1 
3 2 –1 –1
If A    and B    , find A and hence find (AB) .
 – 3 2  0 – 1

7. kmV H$s{OE :


dx
2x – x 2

65/1/1 3 P.T.O.
 Find :


dx
2x – x 2

8. kmV H$s{OE :

 cos
1
dx
2
x (1 – tan x) 2

AWdm
_mZ kmV H$s{OE :
1


0
x (1 – x) n dx

Find :

 cos
1
dx
2
x (1 – tan x)2
OR
Evaluate :
1

 x (1 – x)
0
n
dx

9. dH«$m| Ho$ Hw$b y = b cos (x + a), Ohm± a Am¡a b ñdoÀN> AMa h¢, H$mo {Zê${nV H$aZo dmbo
AdH$b g_rH$aU H$mo kmV H$s{OE &
Form the differential equation representing the family of curves
y = b cos (x + a), where a and b are arbitrary constants.

 
10. _mÌH$ g{Xe kmV H$s{OE Omo g{Xe a Am¡a b XmoZm| na b§~ hmo, Ohm±
 ^ ^ ^  ^ ^
a = 4i – j + 8k ; b = – j + k .

AWdm
 ^ ^ ^  ^ ^ ^  ^ ^
`{X a = 2 i + 2 j + 3 k , b = – i + 2 j + k VWm c = 3 i + j Eogo g{Xe h¢
  
{H$ a +  b g{Xe c na b§~ h¡, Vmo  H$m _mZ kmV H$s{OE &

65/1/1 4
  
Find a unit vector perpendicular to both a and b , where
 ^ ^ ^  ^ ^
a = 4i – j + 8k , b = – j + k .

OR
 ^ ^ ^  ^ ^ ^  ^ ^
If a = 2 i + 2 j + 3 k , b = – i + 2 j + k and c = 3 i + j are such that
  
a +  b is perpendicular to c , then find the value of .

11. A Am¡a B Xmo ñdV§Ì KQ>ZmE± h¢ {OZHo$ {bE P(A) = 0·3 Am¡a P(B) = 0·5 h¡ & P(A|B)
kmV H$s{OE &
AWdm
EH$ W¡bo _| 3 g\o$X d 2 bmb Jo§X| h¢ Am¡a Xÿgao W¡bo _| 4 g\o$X d 3 bmb J§oX| h¢ & àË`oH$
W¡bo go EH$ J|X `mÑÀN>`m {ZH$mbr OmVr h¡ & {ZH$mbr JB© J|Xm| _| EH$ g\o$X d EH$ bmb
J|X hmoZo H$s àm{`H$Vm kmV H$s{OE &
Given that A and B are two independent events such that P(A) = 0·3 and
P(B) = 0·5. Find P(A|B).

OR

A bag contains 3 white and 2 red balls, another bag contains 4 white and
3 red balls. One ball is drawn at random from each bag. Find the
probability that the balls drawn are one white and one red.

1 1
12. EH$ àíZ H$mo A, B Am¡a C Ûmam ñdV§Ì ê$n go hb H$aZo H$s àm{`H$VmE± H«$_e: ,
2 3
1
Am¡a h¢ & `{X VrZm|, ñdV§Ì ê$n go, àíZ hb H$aZo H$m à`mg H$aVo h¢, Vmo àíZ Ho$ hb
4
hmo OmZo H$s àm{`H$Vm kmV H$s{OE &
1
The probabilities of A, B and C solving a problem independently are ,
2
1 1
and respectively. If all the three try to solve the problem
3 4
independently, find the probability that the problem is solved.

65/1/1 5 P.T.O.
 IÊS> g
SECTION C
àíZ g§»`m 13 go 23 VH$ àË`oH$ àíZ Ho$ 4 A§H$ h¢ &
Question numbers 13 to 23 carry 4 marks each.

13. _mZ br{OE {H$ A = N  N g^r àmH¥$V g§»`mAm| Ho$ H«${_V `w½_m| H$m g_wƒ` h¡ Am¡a
g§~§Y R g_wƒ` A na (a, b) R (c, d) `{X d Ho$db `{X ad = bc Ûmam n[a^m{fV h¡ &
Xem©BE {H$ R EH$ Vwë`Vm g§~§Y h¡ &
AWdm
Xem©BE {H$ f : R – {2}  R – {1}, f (x)  x Ûmam n[a^m{fV \$bZ EH¡$H$s h¡ & `{X
x–2
2x
g : R – {1}  R – {2}, g (x)  Ûmam n[a^m{fV h¡, Vmo gof (x) kmV H$s{OE &
x –1
Let A = N  N be the set of all ordered pairs of natural numbers and R be
the relation on the set A defined by (a, b) R (c, d) iff ad = bc. Show that R
is an equivalence relation.
OR
x
Show that f : R – {2}  R – {1} defined by f (x)  is one-one. Also, if
x–2
2x
g : R – {1}  R – {2} is defined as g (x)  , find gof (x).
x –1
14. {gÕ H$s{OE {H$ :
 1x  1– x  1
tan – 1     cos – 1 x; – 1  x  1
 1  x – 1 – x  4 2 2

Prove that :
 1x  1– x  1
tan – 1     cos – 1 x; – 1  x  1
 1  x – 1 – x  4 2 2

15. gma{UH$m| Ho$ JwUY_mªo H$m à`moJ H$aHo$, {gÕ H$s{OE {H$
1 x x2
1 y y 2  (x – y ) (y – z) (z – x)
1 z z2
Using properties of determinants, show that
1 x x2
1 y y 2  (x – y ) (y – z) (z – x)
1 z z2

65/1/1 6
16. `{X xy . yx = xx h¡, Vmo dy kmV H$s{OE &
dx
AWdm
d 2y
`{X x = a sec3  VWm y = a tan3  h¡, Vmo kmV H$s{OE &
dx 2
dy
Find , if xy . yx = xx.
dx
OR
d 2y
If x = a sec3  and y = a tan3 , find .
dx 2
d 2y dy
17. `{X y = a cos (log x) + b sin (log x) h¡, Vmo Xem©BE {H$ x2 x  y  0.
dx 2 dx
d 2y dy
If y = a cos (log x) + b sin (log x), show that x 2 x  y  0.
dx 2 dx

18 dH«$ ay2 = x3 Ho$ {~ÝXþ (am2, am3) na ñne©-aoIm H$m g_rH$aU kmV H$s{OE &
Find the equation of the tangent to the curve ay2 = x3 at the point
(am2, am3).
19. kmV H$s{OE :


cos x
dx
(1  sin x) (2  sin x)
Find :


cos x
dx
(1  sin x) (2  sin x)

20. _mZ kmV H$s{OE :


x sin x

0
1  cos 2 x
dx

Evaluate :

x sin x

0
1  cos 2 x
dx

21. AdH$b g_rH$aU x dx – y ey 1  x 2 dy = 0 H$m {d{eîQ> hb kmV H$s{OE, {X`m J`m

h¡ y = 1 O~{H$ x = 0.
AWdm
65/1/1 7 P.T.O.
 AdH$b g_rH$aU x cos  y  dy y
= y cos   + x H$mo hb H$s{OE &
 x  dx x
Find the particular solution of the differential equation

x dx – y ey 1  x 2 dy = 0, given that y = 1 when x = 0.

OR
 y  dy y
Solve the differential equation x cos   = y cos   + x.
 x  dx x
^ ^ ^
22. Xem©BE {H$ Mma {~ÝXþ A, B, C VWm D {OZHo$ pñW{V g{Xe H«$_e: i + 2 j – k ,
^ ^ ^ ^ ^ ^ ^
3 i – j , 2 i + 3 j + 2 k VWm 4 i + 3 k g_Vbr` h¢ &
Show that the four points A, B, C and D with position vectors
^ ^ ^ ^ ^ ^ ^ ^ ^ ^
i + 2 j – k , 3 i – j , 2 i + 3 j + 2 k and 4 i + 3 k respectively are
coplanar.
 
23. g_Vbm| r . (3 ^i + 4 ^j + 2 k^ ) = 5 Ed§ r . (3 ^i – 2 ^j – 2 k^ ) = 4 Ho$ g_mÝVa Cg
aoIm H$m g{Xe g_rH$aU kmV H$s{OE Omo {~ÝXþ (2, 3, – 1) go JwµOaVr h¡ &
Find the vector equation of the line passing through the point
 ^ ^ ^
(2, 3, – 1) and parallel to the planes r . (3 i + 4 j + 2 k ) = 5 and
 ^ ^ ^
r . (3 i – 2 j – 2 k ) = 4.
IÊS> X
SECTION D

àíZ g§»`m 24 go 29 VH$ àË`oH$ àíZ Ho$ 6 A§H$ h¢ &

Question numbers 24 to 29 carry 6 marks each.
0 1 2
 
24. `{X A  1 2 3 h¡, Vmo A–1 kmV H$s{OE & A1 H$m à`moJ H$aHo$, {ZåZ g_rH$aU
 
3 1 1
{ZH$m` H$mo hb H$s{OE :
y + 2z = 5
x + 2y + 3z = 10
3x + y + z = 9
AWdm
65/1/1 8
  3 –1 1 
 
àmapå^H$ g§{H«$`mAm| H$m à`moJ H$aHo$, Amì`yh A   – 15 6 – 5 H$m ì`wËH«$_
 
 5 –2 2 
àmßV H$s{OE &
0 1 2
 
If A  1 2 3 , find A–1. Using A–1, solve the system of equations
 
3 1 1
y + 2z = 5
x + 2y + 3z = 10
3x + y + z = 9
OR
Obtain the inverse of the following matrix using elementary operations :
 3 –1 1 
 
A   – 15 6 – 5
 
 5 –2 2 

25. d¥Îm x2 + y2 = 80 H$m dh {~ÝXþ kmV H$s{OE Omo {~ÝXþ (1, 2) go Ý`yZV_ Xÿar na h¡ &
Find the point on the circle x2 + y2 = 80 which is nearest to the point
(1, 2).
26. g_mH$bZ {d{Y go Xmo d¥Îmm| x2 + y 2 = 1 Ed§ (x – 1)2 + y2 = 1 Ho$ ~rM {Kao joÌ H$m
joÌ\$b kmV H$s{OE &
AWdm
g_mH$bZ {d{Y go, {ZåZ joÌ H$m joÌ\$b kmV H$s{OE :
{(x, y) : 9x2 + 4y2  36, 3x + 2y  6}
Using integration, find the area of the region enclosed between the two
circles x2 + y2 = 1 and (x – 1)2 + y2 = 1.
OR
Using integration, find the area of the region :
{(x, y) : 9x2 + 4y2  36, 3x + 2y  6}

65/1/1 9 P.T.O.
 x–8 y –1 z–3
27. aoIm = = g_Vb 2x + 2y + z = 3 H$mo {Og {~ÝXþ na H$mQ>Vr h¡,
4 1 8
CgHo$ {ZX}em§H$ kmV H$s{OE & aoIm Ed§ g_Vb Ho$ ~rM H$m H$moU ^r kmV H$s{OE &
AWdm
{XH²$-AZwnmV < 2, 2, 1 > dmbr aoIm {ZåZ Xmo aoImAm| H$mo H«$_e: {~ÝXþ P VWm Q na H$mQ>Vr h¡ :
x–7 y–5 z–3 x –1 y 1 z 1
= = VWm = =
3 2 1 2 4 3
AÝV:IÊS> PQ H$m g_rH$aU Ed§ bå~mB© kmV H$s{OE &
x–8 y –1 z–3
Find the coordinates of the point where the line = =
4 1 8
intersects the plane 2x + 2y + z = 3. Also find the angle between the line
and the plane.
OR
A line with direction ratios < 2, 2, 1 > intersects the lines
x–7 y–5 z–3 x –1 y 1 z 1
= = and = =
3 2 1 2 4 3
at the points P and Q respectively. Find the length and the equation of
the intercept PQ.

28. EH$ N>moQ>r \$_© Hw${g©`m± Am¡a _oµO| ~ZmVr h¡ & ~mµOma H$s _m±J d Cnb>ãY gmYZm| Ho$ AZwgma
à{V{XZ Hw${g©`m± Am¡a _oµOm| H$m Hw$b CËnmXZ 50 BH$mB`m| go A{YH$ Zht hmoZm Mm{hE & EH$
Hw$gu H$mo ~ZmZo _| 30 {_ZQ> d EH$ _oµO H$mo ~ZmZo _| 1 K§Q>m bJVm h¡ & à{V{XZ A{YH$V_
40 H$m`© K§Q>o CnbãY h¢ & EH$ Hw$gu na < 40 H$m bm^ d EH$ _oµO na < 60 H$m bm^
hmoVm h¡ & kmV H$s{OE, A{YH$V_ bm^ A{O©V H$aZo Ho$ {bE à{V{XZ {H$VZr Hw${g©`m± Am¡a
{H$VZr _oµO| ~ZmB© OmE± & A{YH$V_ bm^ ^r kmV H$s{OE & a¡{IH$ àmoJ«m_Z g_ñ`m ~ZmH$a
Cgo AmboI {d{Y go hb H$s{OE &
A small firm manufactures chairs and tables. Market demand and
available resources indicate that the combined production of chairs and
tables should not exceed 50 units per day. It takes 30 minutes to
manufacture a chair and 1 hour to manufacture a table. A maximum of
40 man-hours per day are available. The profit on each chair is < 40 and
profit on each table is < 60. Determine how many each of chairs and
tables should be manufactured per day in order to maximize the profit.
What is the maximum profit ? Formulate LPP and solve graphically.

65/1/1 10
29. W¡bo I _|, 4 bmb J|X| d 2 har J§oX| h¢ Am¡a W¡bo II _|, 3 bmb J|X| d 5 har J|X| h¢ & W¡bo I
go `mÑÀN>`m EH$ J|X {ZH$mb H$a W¡bo II _| S>mbr OmVr h¡ Am¡a VËníMmV² W¡bo II go
`mÑÀN>`m EH$ J|X {ZH$mbr OmVr h¡ & {ZH$mbr JB© J|X hao a§J H$s h¡ & àm{`H$Vm kmV
H$s{OE {H$ ñWmZm§V[aV H$s JB© J|X ^r har Wr &
Bag I contains 4 red and 2 green balls and Bag II contains 3 red and
5 green balls. One ball is transferred at random from Bag I to Bag II and
then a ball is drawn at random from Bag II. The ball so drawn is found to
be green in colour. Find the probability that the transferred ball is also
green.

65/1/1 11 P.T.O.
 SET-1

Series BVM/C H$moS> Z§.

Code No. 55/1/1
amob Z§.
narjmWu H$moS >H$mo CÎma-nwpñVH$m Ho$ _wI-n¥ð >na
Roll No.
Adí` {bIo§ &
Candidates must write the Code on the
title page of the answer-book.

 H¥$n`m Om±M H$a b| {H$ Bg àíZ-nÌ _o§ _w{ÐV n¥ð> 15 h¢ &

 àíZ-nÌ _| Xm{hZo hmW H$s Amoa {XE JE H$moS >Zå~a H$mo N>mÌ CÎma -nwpñVH$m Ho$ _wI-n¥ð> na
{bI| &
 H¥$n`m Om±M H$a b| {H$ Bg àíZ-nÌ _| >27 àíZ h¢ &
 H¥$n`m àíZ H$m CÎma {bIZm ewê$ H$aZo go nhbo, àíZ H$m H«$_m§H$ Adí` {bI| &
 Bg àíZ-nÌ H$mo n‹T>Zo Ho$ {bE 15 {_ZQ >H$m g_` {X`m J`m h¡ & àíZ-nÌ H$m {dVaU nydm©•
_| 10.15 ~Oo {H$`m OmEJm & 10.15 ~Oo go 10.30 ~Oo VH$ N>mÌ Ho$db àíZ-nÌ H$mo n‹T>|Jo
Am¡a Bg Ad{Y Ho$ Xm¡amZ do CÎma-nwpñVH$m na H$moB© CÎma Zht {bI|Jo &
 Please check that this question paper contains 15 printed pages.
 Code number given on the right hand side of the question paper should be
written on the title page of the answer-book by the candidate.
 Please check that this question paper contains 27 questions.
 Please write down the Serial Number of the question before
attempting it.
 15 minute time has been allotted to read this question paper. The question
paper will be distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the
students will read the question paper only and will not write any answer on
the answer-book during this period.

^m¡{VH$ {dkmZ (g¡ÕmpÝVH$)

PHYSICS (Theory)
{ZYm©[aV g_` : 3 KÊQ>o A{YH$V_ A§H$ : 70
Time allowed : 3 hours Maximum Marks : 70
55/1/1 1 P.T.O.
gm_mÝ` {ZX}e :
(i) g^r àíZ A{Zdm`© h¢ & Bg àíZ-nÌ _| Hw$b 27 àíZ h¢ &
(ii) Bg àíZ-nÌ Ho$ Mma ^mJ h¢ : IÊS> A, IÊS> ~, IÊS> g Am¡a IÊS> X &
(iii) IÊS> A _| nm±M àíZ h¢, àË`oH$ H$m EH$ A§H$ h¡ & IÊS> ~ _| gmV àíZ h¢, àË`oH$ Ho$ Xmo A§H$
h¢ & IÊS> g _| ~mah àíZ h¢, àË`oH$ Ho$ VrZ A§H$ h¢ & IÊS> X _| VrZ àíZ h¢, àË`oH$ Ho$
nm±M A§H$ h¢ &
(iv) àíZ-nÌ _| g_J« na H$moB© {dH$ën Zht h¡ & VWm{n, EH$ A§H$ dmbo Xmo àíZm| _|, Xmo A§H$m| dmbo
Xmo àíZm| _|, VrZ A§H$m| dmbo Mma àíZm| _| Am¡a nm±M A§H$m| dmbo VrZm| àíZm| _| AmÝV[aH$ M`Z
àXmZ {H$`m J`m h¡ & Eogo àíZm| _| AmnH$mo {XE JE M`Z _| go Ho$db EH$ àíZ hr H$aZm h¡ &
(v) Ohm± Amdí`H$ hmo, Amn {ZåZ{b{IV ^m¡{VH$ {Z`Vm§H$m| Ho$ _mZm| H$m Cn`moJ H$a gH$Vo h¢ :
c = 3  108 m/s
h = 6.63  10–34 Js
e = 1.6  10–19 C
0 = 4  10–7 T m A–1

0 = 8.854  10–12 C2 N–1 m–2

1
= 9  109 N m2 C–2
4 
0

BboŠQ´>m°Z H$m Ðì`_mZ (me) = 9.1  10–31 kg

Ý`yQ´>m°Z H$m Ðì`_mZ = 1.675  10–27 kg
àmoQ>m°Z H$m Ðì`_mZ = 1.673  10–27 kg

AmdmoJmÐmo g§»`m = 6.023  1023 à{V J«m_ _mob

~moëQ²>µO_mZ {Z`Vm§H$ = 1.38  10–23 JK–1
General Instructions :
(i) All questions are compulsory. There are 27 questions in all.
(ii) This question paper has four sections : Section A, Section B, Section C and
Section D.
(iii) Section A contains five questions of one mark each, Section B contains
seven questions of two marks each, Section C contains twelve questions of
three marks each, Section D contains three questions of five marks each.

55/1/1 2
(iv) There is no overall choice. However, an internal choice(s) has been provided in
two questions of one mark, two questions of two marks, four questions of
three marks and three questions of five marks weightage. You have to
attempt only one of the choices in such questions.
(v) You may use the following values of physical constants wherever necessary :
c = 3  108 m/s

h = 6.63  10–34 Js

e = 1.6  10–19 C

0 = 4  10–7 T m A–1

0 = 8.854  10–12 C2 N–1 m–2

1
= 9  109 N m2 C–2
4 
0

Mass of electron (me) = 9.1  10–31 kg

Mass of neutron = 1.675  10–27 kg

Mass of proton = 1.673  10–27 kg

Avogadro’s number = 6.023  1023 per gram mole

Boltzmann constant = 1.38  10–23 JK–1

IÊS> A
SECTION A

1. {H$gr {XE JE ñWmZ na n¥Ïdr Ho$ Mwå~H$s` joÌ Ho$ AmZ{V H$moU H$s n[a^mfm Xr{OE & 1
Define the angle of inclination at a given place due to earth’s magnetic
field.

2. g~go A{YH$ D$Om© dmbo {dÚwV²-Mwå~H$s` {d{H$aU H$m Zm_ Am¡a BgH$m Amd¥{Îm n[aga
{b{IE & 1
AWdm
Am±I H$s eë` {H«$`m AWdm Ob emoYH$ _| H$sQ>mUw H$mo _maZo _| H$m_ AmZo dmbo
{dÚwV²-Mwå~H$s` {d{H$aU H$m Zm_ Am¡a CgH$m Amd¥{Îm n[aga {b{IE & 1

55/1/1 3 P.T.O.
 Name the most energetic electromagnetic radiation and write its
frequency range.
OR
Name the electromagnetic radiation used in eye surgery or to kill germs
in water purifiers. Write its frequency range.

3. 2 eV D$Om© dmbo \$moQ>m°Z go g§~Õ Amd¥{Îm H$m AmH$bZ H$s{OE & 1

AWdm
Š`m àH$me-{dÚwV² à^md _| àH$me-{dÚwV² Ymam Amn{VV {d{H$aU H$s Vrd«Vm na {Z^©a H$aVr
h¡ ? H$maU Xr{OE & 1
Estimate the frequency associated with a photon of energy 2 eV.
OR
In photoelectric effect, does the photoelectric current depend on the
intensity of incident radiation ? Give reasons.

4. Zm{^H$s` ~b H$m dh H$m¡Z-gm JwUY_© h¡ Omo Ðì`_mZ g§»`m A Ho$ n[aga 30 < A < 170
_| à{V Ý`ypŠbAm°Z ~§YZ D$Om© H$s g{ÞH$Q> pñWaVm H$s ì`m»`m H$aVm h¡ ? 1
Which property of nuclear force explains the approximate constancy of
binding energy per nucleon with mass number A for nuclei in the range
30 < A < 170 ?

5. g§Mma ì`dñWm _| g§Xoe {g½Zbm| H$s ‘~¡ÊS> Mm¡‹S>mB©’ H$s n[a^mfm Xr{OE & 1
Define the term ‘band width’ of message signals in communication
system.

IÊS> ~
SECTION B

 ^
6. x-Aj Ho$ AZw{Xe {H$gr {dÚwV²-joÌ H$mo x > 0 Ho$ {bE E = 100 i N/C VWm x < 0 Ho$

{bE E = – 100 ^i N/C Ûmam {X`m J`m h¡ & bå~mB© 20 cm VWm {ÌÁ`m 5 cm H$m H$moB©
b§~-d¥Îmr` {g{bÊS>a x-Aj Ho$ g_mÝVa Bg àH$ma aIm h¡ {H$ BgH$m Ho$ÝÐ _yb-{~ÝXþ na h¡
VWm EH$ \$bH$ x = + 10 cm na Am¡a Xÿgam \$bH$ x = – 10 cm na h¡ & Bg {g{bÊS>a go
JwOaZo dmbm ZoQ> ~{h_w©Ir âbŠg n[aH${bV H$s{OE & 2

55/1/1 4
  ^
An electric field along the x-axis is given by E = 100 i N/C for x > 0 and
 ^
E = – 100 i N/C for x < 0. A right circular cylinder of length 20 cm and
radius 5 cm lies parallel to the x-axis, with its centre at the origin and
one face at x = + 10 cm, the other face at x = – 10 cm. Calculate the net
outward flux through the cylinder.

7. {H$gr N>V Ho$ n§Io H$m àË`oH$ ãboS> 0·5 m {ÌÁ`m Ho$ d¥Îm _| KyU©Z H$aVm h¡ & `{X n§Im à{V
goH$ÊS> 2 KyU©Z H$aVm h¡ VWm n¥Ïdr Ho$ Mwå~H$s` joÌ H$m D$Üdm©Ya KQ>H$ 8  10–5 T h¡,
Vmo àË`oH$ ãboS> Ho$ ^rVar Am¡a ~mhar {gam| Ho$ ~rM ào[aV {dÚwV² -dmhH$ ~b (emf)
n[aH${bV H$s{OE & 2

AWdm
10 cm ^wOm H$m H$moB© dJ© nme, {OgH$s ^wOmE± X Am¡a Y Aj Ho$ g_mÝVa h¢, 8 cm s–1
Ho$ doJ go YZmË_H$ X-{Xem _|, {Og_| YZmË_H$ Z-{Xem _| H$moB© Mwå~H$s` joÌ h¡, J_Z
H$aVm h¡ & `h joÌ Ag_mZ h¡ Am¡a BgH$s àdUVm G$UmË_H$ X-{Xem Ho$ AZw{Xe
10–3 T cm–1 h¡ (AWm©V² G$UmË_H$ X-{Xem _| J{V H$aZo na Bg_| 10–3 T cm–1 H$s d¥{Õ
hmoVr h¡) & ào[aV {dÚwV²-dmhH$ ~b (emf) n[aH${bV H$s{OE & 2
In a ceiling fan, each blade rotates in a circle of radius 0·5 m. If the fan
makes 2 rotations per second and the vertical component of the earth’s
magnetic field is 8  10–5 T, calculate the emf induced between the inner
and outer ends of each blade.
OR
A square loop of side 10 cm with its sides parallel to X and Y axes is
moved with a velocity of 8 cm s–1 in the positive X-direction containing a
magnetic field in the positive Z-direction. The field is non-uniform and
has a gradient of 10–3 T cm–1 along the negative X-direction (i.e. it
increases by 10–3 T cm–1 as one moves in the negative X-direction).
Calculate the emf induced.

8. (a) Xmobm`_mZ {dÚwV² Ed§ Mwå~H$s` joÌm| H$s {XemAm| H$mo Xem©Vo hþE z-{Xem Ho$ AZw{Xe
g§MaU H$aVr hþB© {H$gr a¡{IH$V: Yw«{dV {dÚwV²-Mwå~H$s` Va§J H$m J«m\$ It{ME &
(b) {ZåZ{b{IV Ho$ {bE g§~§Y {b{IE (i) àH$me H$s Mmb Am¡a {dÚwV² Ed§ Mwå~H$s`
joÌm| Ho$ Am`m_m| Ho$ ~rM, (ii) _mÜ`_ H$s Mwå~H$erbVm 0 Am¡a namd¡ÚwVm§H$ 0 Ho$
nXm| _| {dÚwV²-Mwå~H$s` Va§J H$s Mmb Ho$ {bE & 2
55/1/1 5 P.T.O.
 (a) Draw a graph of a linearly polarised em wave propagating in the
z-direction showing the directions of the oscillating electric and
magnetic fields.
(b) Write the relations (i) between the speed of light and the
amplitudes of electric and magnetic fields, (ii) for the speed of
em wave in terms of a permittivity 0, and magnetic permeability,
0, of the medium.

9. hmBS´>moOZ na_mUw H$s {ZåZV_ AdñWm Am¡a àW_ CÎmo{OV AdñWm _| Zm{^H$ Ho$ Mmam| Amoa
n[aH«$_m H$aVo hþE BboŠQ´>m°Z go g§~Õ Va§JX¡¿`mªo Ho$ AZwnmV H$m AmH$bZ H$s{OE & 2
Estimate the ratio of the wavelengths associated with the electron
orbiting around the nucleus in the ground and first excited states of
hydrogen atom.

10. ^yVa§Jm| Ho$ jrUZ H$m à_wI H$maU {b{IE & BZHo$ àgmaU joÌ H$m A{YH$V_ n[aga {H$Z
H$maH$m| na {Z^©a H$aVm h¡ ? 2
Write the main cause of attenuation of ground waves. On what factors,
does its maximum range of coverage depend ?

11. {H$gr d¡ÚwV {ÛY«wd H$s {dfwdV aoIm na pñWV {H$gr {~ÝXþ na {dÚwV²-joÌ Ho$ {bE ì`§OH$
àmá H$s{OE & 2

AWdm

{H$gr ~mø {dÚwV²-joÌ ( E ) go H$moB© H$moU () ~ZmZo dmbo {H$gr d¡ÚwV {ÛY«wd H$s pñW{VO
D$Om© Ho$ {bE ì`§OH$ àmá H$s{OE & Bg pñW{VO D$Om© H$m {ZåZV_ _mZ Š`m h¡ ? 2
Obtain the expression for the electric field at a point on the equatorial
line of an electric dipole.
OR
Obtain the expression for potential energy of an electric dipole placed

with its axis at an angle () to an external electric field ( E ) . What is the
minimum value of the potential energy ?

12. H$moB© àH$me ~ë~ ~mar-~mar go {H$gr ac òmoV go loUr _| (a) LR n[anW Ho$ {gam| Ho$
Ama-nma, (b) RC n[anW Ho$ {gam| Ho$ Ama-nma g§`mo{OV h¡ & Amdí`H$ J{UVr` gyÌ H$s
ghm`Vm go ì`m»`m H$s{OE {H$ O~ ac òmoV H$s Amd¥{Îm _| d¥{Õ H$s OmVr h¡, Vmo àH$aU
(a) Am¡a (b) _| Bg ~ë~ H$s M_H$ _| Š`m n[adV©Z hmoVm h¡ & 2

55/1/1 6
 A light bulb is in turn connected in a series (a) across an LR circuit,
(b) across an RC circuit, with an ac source. Explain, giving necessary
mathematical formula, the effect on the brightness of the bulb in case (a)
and (b), when the frequency of the ac source is increased.

IÊS> g
SECTION C

13. (a) "Andmh doJ' Am¡a "{dlm§{V H$mb' nXm| H$s n[a^mfm {b{IE Am¡a BZH$s ^m¡{VH$
gmW©H$Vm H$m dU©Z H$s{OE &
(b) bå~mB© L H$m H$moB© MmbH$ {d.dm.~b (emf) E Ho$ {H$gr dc òmoV Ho$ {gam| go
g§`mo{OV h¡ & `{X Bg MmbH$ H$mo g_mZ nXmW© Am¡a g_mZ AZwàñW-H$mQ> joÌ\$b,
naÝVw bå~mB© 5L, Ho$ {H$gr AÝ` Vma Ûmam à{VñWm{nV H$a {X`m OmE, Vmo {H$g
JwUH$ Ûmam Andmh doJ _| n[adV©Z hmoJm ? 3

AWdm
Xmo gob {OZHo$ {d.dm.~b (emf) Am¡a Am§V[aH$ à{VamoY 1, r1 VWm 2, r2 h¢, nmíd© _|
g§`mo{OV h¢ & Cg gob Ho$ {d.dm.~b (emf) Am¡a Am§V[aH$ à{VamoY Ho$ {bE ì`§OH$ ì`wËnÞ
H$s{OE {OgHo$ Ûmam Bg g§`moOZ H$mo à{VñWm{nV {H$`m Om gH$Vm h¡ & 3

(a) Define the terms ‘drift velocity’ and ‘relaxation time’ giving their
physical significance.
(b) A conductor of length L is connected across a dc source of emf E. If
the conductor is replaced by another of the same material and area
of cross-section but of length 5L, by what factor will the drift
velocity change ?

OR
Two cells of emf and internal resistance 1, r1 and 2, r2 are connected in
parallel. Derive the expressions for the emf and internal resistance of a
cell which can replace this combination.

14. (a) AmnH$mo {H$gr XþH$mZXma go 56 k  10% Ho$ à{VamoY H$m H$m~©Z à{VamoYH$ MwZZm
h¡ & dm§{N>V à{VamoYH$ H$m H$moS>rH$aU H$aZo Ho$ {bE dU© ~¡ÊS>m| H$m H«$_ Š`m hmoJm ?
(b) _rQ>a goVw Ho$ Vma Ho$ nXmW© Ho$ Xmo A{^bmj{UH$ JwUY_© {b{IE &
(c) {H$gr {XE JE Vma H$m AkmV à{VamoY kmV H$aZo _| Ìw{Q>`m| H$mo H$_ -go-H$_ H$aZo Ho$
{bE Amn Š`m gmdYm{Z`m± ~aVVo h¢ ? 3

55/1/1 7 P.T.O.
 (a) You are required to select a carbon resistor of resistance of
56 k  10% from a shopkeeper. What would be the sequence of
colour bands required to code the desired resistor ?
(b) Write two characteristic properties of the material of a meter
bridge wire.

(c) What precautions do you take to minimize the error in finding the
unknown resistance of the given wire ?

15. (a) {H$gr J¡ëd¡Zmo_rQ>a H$mo A_rQ>a _| n[ad{V©V H$aZo Ho$ {bE h_ eÝQ> H$m Cn`moJ Š`m|
H$aVo h¢ ?
(b) H$moB© J¡ëd¡Zmo_rQ>a {OgH$m à{VamoY 15  h¡, 6 mA Ymam àdm{hV {H$E OmZo na
_rQ>a n¡_mZo na nyU© n¡_mZm {djonÊm XoVm h¡ & Bg J¡ëd¡Zmo_rQ>a H$mo 0 – 6 A n[aga Ho$
A_rQ>a _| n[ad{V©V H$aZo Ho$ {bE Amdí`H$ e§Q> à{VamoY H$m _mZ n[aH${bV
H$s{OE & 3
(a) Why do we use a shunt to convert a galvanometer into an
ammeter ?
(b) A galvanometer of resistance 15  shows a full scale deflection on
the meter scale for a current of 6 mA. Calculate the value of the
shunt resistance required to convert the galvanometer into an
ammeter of range 0 – 6 A.

16. (a) doJ ‘ 

v ’ go J{V_mZ ‘m’ Ðì`_mZ Ho$ {H$gr H$U na, {Og na Amdoe ‘q’ h¡, H$moB©

EH$g_mZ Mwå~H$s` joÌ B doJ H$s {Xem Ho$ bå~dV² bJm`m J`m h¡ & `h Xem©BE
{H$ `h H$U d¥Îmr` nW na J_Z H$aoJm & H$U Ho$ d¥Îmr` nW H$s {ÌÁ`m Ho$ {bE
ì`§OH$ àmá H$s{OE &
(b) ì`m»`m H$s{OE {H$ `{X doJ  v Mwå~H$s` joÌ H$s {Xem go H$moB© H$moU  ( 90)
~ZmVm h¡, Vmo H$U Ho$ nW na Š`m à^md hmoJm & 3
AWdm
gmBŠbmoQ´>m°Z H$m ì`dñWm AmaoI It{ME & BgH$m H$m`©H$mar {gÕmÝV Am¡a Xmo Cn`moJ {b{IE & 3

(a) A particle of charge ‘q’ and mass ‘m’, moving with velocity ‘ v ’ is

subjected to a uniform magnetic field B perpendicular to its
velocity. Show that the particle describes a circular path. Obtain
expression for the radius of the circular path of the particle.

55/1/1 8
 
(b) Explain, how its path will be affected if the velocity v makes an
angle  ( 90) with the direction of the magnetic field.
OR
Draw a schematic sketch of a cyclotron. State its working principle and
write its two uses.

17. (a) Zm_m§{H$V AmaoI H$s ghm`Vm go {H$gr g§`wº$ gyú_Xeu H$s H$m`©{d{Y H$s ì`m»`m
H$s{OE &
(b) {H$gr g§`wº$ gyú_Xeu Ho$ {bE A{^Ñí`H$ Am¡a Zo{ÌH$m Ho$ {bE b|gm| H$m M`Z
H$aVo g_` Amn {OZ ~mVm| H$m Ü`mZ aIVo h¢, CZH$m C„oI H$s{OE & 3
(a) Explain the working of a compound microscope with the help of a
labelled diagram.
(b) Write the considerations that you keep in mind, while choosing
lenses to be used as eyepiece and objective in a compound
microscope.

18. CÎmb b|g Ûmam {H$gr {~å~ H$m Am^mgr à{V{~å~ ~ZZm Xem©Zo Ho$ {bE {H$aU AmaoI
It{ME & Bg AmaoI H$m Cn`moJ H$aHo$ b|g gyÌ Ho$ {bE ì`§OH$ àmßV H$s{OE & 3
AWdm
{H$gr AdVb Xn©U Ho$ gm_Zo aIo {H$gr {~å~ H$m grYm à{V{~å~ ~ZZm Xem©Zo Ho$ {bE
{H$aU AmaoI It{ME & Bg àH$ma Xn©U gyÌ ì`wËnÞ H$s{OE & 3
Draw a ray diagram to show the formation of a virtual image of an object
by a convex lens. Using this diagram, obtain the expressions for the lens
formula.
OR
Draw a ray diagram to show the formation of an erect image of an object
kept in front of a concave mirror. Hence deduce the mirror formula.

19. (a) ì`m»`m H$s{OE {H$ {H$gr {Par go àH$me Va§Jm| H$s {ÛVr`H$ Va§{JH$mAm| Ho$
ì`{VH$aU go H$moB© {ddV©Z n¡Q>Z© {H$g àH$ma ~ZVm h¡ &
(b) gmo{S>`_ H$m àH$me Xmo Va§JX¡¿`m] 5900 Å Am¡a 5960 Å go {_bH$a ~Zm h¡ & `{X
gmo{S>`_ Ho$ àH$me go 2  10–4 m Mm¡‹S>mB© H$s {H$gr {Par H$mo àXrá {H$`m OmE,
Vmo 1·5 m Xÿar na pñWV {H$gr nX©o na BZ XmoZm| Va§JX¡¿`mªo Ho$ {ddV©Z n¡Q>Zmªo Ho$ nhbo
{ÛVr`H$ C{ƒîR>m| _| n¥WH$Z kmV H$s{OE & 3

55/1/1 9 P.T.O.
 (a) Explain how a diffraction pattern is formed due to interference of
secondary wavelets of light waves from a slit.
(b) Sodium light consists of two wavelengths, 5900 Å and 5960 Å. If a
slit of width 2  10–4 m is illuminated by sodium light, find the
separation between the first secondary maxima of the diffraction
pattern of the two wavelengths on a screen placed 1·5 m away.

20. (a) Amn{VV {d{H$aUm| H$s Xmo {^Þ Amd¥{Îm`m| (v1 > v2) Ho$ {bE g§J«mhH$ ßboQ> {d^d Ho$
gmW àH$me-{dÚwV² Ymam Ho$ {dMaU H$mo Xem©Zo Ho$ {bE J«m\$ It{ME &
(b) AmBÝñQ>mBZ H$m àH$me-{dÚwV² g_rH$aU {b{IE & àH$me-{dÚwV² à^md H$s Xmo
{d{eîQ>VmAm| H$s ì`m»`m H$s{OE {OZH$s ì`m»`m àH$me Ho$ Va§J {gÕmÝV Ûmam Zht
H$s Om gH$Vr h¡ & 3
(a) Draw a graph showing the variation of photoelectric current with
collector plate potential for two different frequencies (v1 > v2) of the
incident radiation.
(b) Write Einstein’s photoelectric equation. Explain two features of
photoelectric effect which cannot be explained by wave theory of
light.

21. hmBS´>moOZ Ho$ na_mUwAm| H$mo 12·5 eV D$Om© Ho$ {H$gr BboŠQ´>m°Z nwÝO Ûmam CÎmo{OV {H$`m J`m
h¡ &
(a) dh CƒV_ D$Om© ñVa kmV H$s{OE {Og VH$ BZ hmBS´>moOZ na_mUwAm| H$mo CÎmo{OV
{H$`m Om gH$Vm h¡ &
(b) BZ hmBS´>moOZ na_mUwAm| Ho$ ñnoŠQ´>_ H$s (i) bmB_¡Z loUr, (ii) ~m_a loUr H$s
A{YH$V_ Va§JX¡¿`© kmV H$s{OE & 3
Hydrogen atoms are excited with an electron beam of energy 12·5 eV.
Find
(a) The highest energy level up to which the hydrogen atoms will be
excited.
(b) The longest wavelengths in the (i) Lyman series, (ii) Balmer series
of the spectrum of these hydrogen atoms.

55/1/1 10
22. (a) Cg AY©MmbH$ `w{º$ H$m {gÕmÝV {b{IE {OgH$m Cn`moJ dmoëQ>Vm {Z`§ÌH$ Ho$ ê$n
_| {H$`m OmVm h¡ &
(b) n[anW AmaoI H$s ghm`Vm go BgH$s H$m`©{d{Y H$s ì`m»`m H$s{OE &
(c) BgH$m I-V A{^bmj{UH$ It{ME & 3
AWdm
(a) (i) AND JoQ> Am¡a (ii) NOT JoQ> H$s gË`_mZ gmaUr {b{IE &
(b) `h Xem©BE {H$ NAND JoQ>m| Ho$ g§`moOZ go OR JoQ> {H$g àH$ma àmá {H$`m Om
gH$Vm h¡ & 3
(a) Write the principle of a semiconductor device which is used as a
voltage regulator.
(b) With the help of a circuit diagram explain its working.
(c) Draw its I-V characteristics.
OR
(a) Write the truth tables of (i) AND gate and (ii) NOT gate.
(b) Show how an OR gate may be obtained with a combination of
NAND gates.

23. (a) C^`{ZîR> CËgO©H$ {dÝ`mg _| {H$gr n-p-n Q´>m§{OñQ>a Ho$ A{^bmj{UH$m| Ho$ AÜ``Z
Ho$ {bE n[anW AmaoI It{ME &
(b) BgHo$ {Zdoer Am¡a {ZJ©V A{^bmj{UH$m| H$s ghm`Vm go Amn {Zdoer à{VamoY Am¡a
Ymam bpãY {H$g àH$ma kmV H$a|Jo ? 3
(a) Draw the circuit diagram for studying the characteristics of an
n-p-n transistor in common emitter configuration.
(b) With the help of its input and output characteristics, how would
you find the input resistance and the current gain from these
characteristics ?

24. (a) Amdí`H$ AmaoIm| H$s ghm`Vm go {H$gr _mSw>bH$ {g½Zb H$m Cn`moJ H$aHo$ {H$gr
Á`mdH«$s` dmhH$ Va§J Ho$ Am`m_ _mSw>bZ H$s ì`m»`m H$s{OE &
(b) {H$gr Xr JB© Am`m_ _mSw>{bV Va§J H$m A{YH$V_ Am`m_ 20 V VWm {ZåZV_
Am`m_ 5 V h¡ & _mSw>bZ gyMH$m§H$ n[aH${bV H$s{OE & 3
55/1/1 11 P.T.O.
 (a) Explain amplitude modulation of a sinusoidal carrier wave using a
modulating signal, with the help of necessary diagrams.
(b) For a given amplitude modulated wave, the maximum amplitude is
20 V and the minimum amplitude is 5 V. Calculate the modulation
index.

IÊS> X
SECTION D

25. (a) VrZ g§Ym[aÌm| C1, C2 Am¡a C3 H$s n[aUm_r Ym[aVm Ho$ {bE ì`§OH$ àmá H$s{OE
O~ BÝh| (i) nmíd© _| Am¡a {\$a (ii) loUr _| g§`mo{OV {H$`m J`m h¡ &
(b) {XE JE n[anW _| AmaoI _| Xem©E AZwgma 4 F Ho$ g§Ym[aÌ na 16 C Amdoe
h¡ & 12 F Ym[aVm Ho$ g§Ym[aÌ _| g§{MV D$Om© n[aH${bV H$s{OE & 5

AWdm

(a) JmCg {Z`_ H$m Cn`moJ H$aHo$ {H$gr YZmdo{eV Jmobr` H$moe _| (i) Jmobo Ho$ ^rVa,
Am¡a (ii) Jmobo Ho$ ~mha {dÚwV²-joÌ Ho$ {bE ì`§OH$ àmá H$s{OE &
(b) {H$gr Jmobo Ho$ Ho$ÝÐ go Xÿar r H$mo \$bZ _mZVo hþE {dÚwV²-joÌ Ho$ {dMaU H$mo J«m\$s`
ê$n _| Xem©BE &
(c) H$moB© 10 cm ^wOm H$s dJm©H$ma g_Vb MmXa 200 NC–1 Ho$ EH$g_mZ {dÚwV²-joÌ
H$s {Xem go 30 Ho$ H$moU na PwH$s h¡ & Bg MmXa go JwOaZo dmbm {dÚwV² âbŠg
n[aH${bV H$s{OE & 5

(a) Obtain the expressions for the resultant capacitance when the
three capacitors C1, C2 and C3 are connected (i) in parallel and
then (ii) in series.

55/1/1 12
 (b) In the circuit shown in the figure, the charge on the capacitor of
4 F is 16 C. Calculate the energy stored in the capacitor of 12 F
capacitance.

OR
(a) Using Gauss’ law, obtain expressions for the electric field (i) inside,
and (ii) outside a positively charged spherical shell.
(b) Show graphically variation of the electric field as a function of the
distance r from the centre of the sphere.
(c) A square plane sheet of side 10 cm is inclined at an angle of
30 with the direction of a uniform electric field of 200 NC–1.
Calculate the electric flux passing through the sheet.

26. (a) {H$gr dmoëQ>Vm V = Vm sin t Ho$ ac òmoV, Omo Ymam i = im sin (t + ) H$s
Ymam H$s Amny{V© H$a ahm h¡ Ûmam àMm{bV {H$gr loUr LCR n[anW _| j{`V Am¡gV
e{º$ Ho$ {bE ì`§OH$ àmá H$s{OE &
(b) (i) dmQ>hrZ Ymam Am¡a (ii) LCR n[anW Ho$ Q-JwUm§H$ H$s n[a^mfm {b{IE & 5
AWdm
(a) \¡$amS>o Ho$ {dÚwV²-Mwå~H$s` àoaU Ho$ {Z`_ {b{IE &
(b) EH$g_mZ Mwå~H$s` joÌ B _| EH$g_mZ Mmb v go g_H$moU na J{V_mZ bå~mB© l Ho$
{H$gr grYo MmbH$ Ho$ {gam| na ào[aV {d.dm.~b (emf) Ho$ {bE ì`§OH$ ì`wËnÞ
H$s{OE &
(c) {H$gr n[aZm{bH$m, {Oggo Ymam i àdm{hV H$s JB© h¡, _| g§M{`V Mwå~H$s` D$Om© Ho$
{bE ì`§OH$ n[aZm{bH$m H$s bå~mB© l, joÌ\$b A Am¡a Mwå~H$s` joÌ B Ho$ nXm| _|
àmá H$s{OE & 5

55/1/1 13 P.T.O.
 (a) Obtain the expression for the average power dissipated in a series
LCR circuit driven by an ac source of voltage V = Vm sin t
supplying the current i = im sin (t + ).
(b) Define the terms : (i) Wattless current, and (ii) Q-factor of LCR
circuit.
OR
(a) State Faraday’s laws of electromagnetic induction.
(b) Derive an expression for the emf induced across the ends of a
straight conductor of length l moving at right angles to a uniform
magnetic field B with a uniform speed v.
(c) Obtain the expression for the magnetic energy stored in a solenoid
in terms of the magnetic field B, area A and length l of the solenoid
through which a current i is passed.

27. (a) Š`m Xmo ñdV§Ì EH$dUu àH$me òmoVm| H$m Cn`moJ ñWm`r ì`{VH$aU n¡Q>Z© àmá H$aZo _|
{H$`m Om gH$Vm h¡ ? AnZo CÎma H$s nw{ï> H$s{OE &
(b) `§J Ho$ {Û{Par à`moJ _| ì`{VH$aU {\«$§Om| Ho$ ~ZZo H$s ì`m»`m H$s{OE VWm q\«$O
Mm¡‹S>mB© Ho$ {bE ì`§OH$ àmá H$s{OE &
(c) Va§JX¡¿`©  Ho$ EH$dUu àH$me H$m Cn`moJ H$aZo na ì`{VH$aU Ho$ {H$gr à`moJ _| nX©o

Ho$ {H$gr {~ÝXþ na, Ohm± nWmÝVa  h¡, àmá àH$me H$s Vrd«Vm K _mÌH$ h¡ &
4
nWmÝVa Ho$ {H$gr {~ÝXþ na àH$me H$s Vrd«Vm kmV H$s{OE & 5
AWdm
(a) {H$gr XÿañW {~å~ go AmVo àH$me Ho$ {bE, Omo {H$gr CÎmb b|g go JwOa ahm h¡,
Amn{VV g_Vb Va§JmJ« Ho$ {bE And{V©V Va§JmJ« It{ME &
(b) hmBJoÝg Ho$ {gÕmÝV H$m Cn`moJ H$aHo$ AndV©Z Ho$ {Z`_m| H$mo gË`m{nV H$s{OE O~
àH$me gKZ _mÜ`_ go {dab _mÜ`_ na Amn{VV hmoVm hmo &
(c) H$m±M Ho$ ñb¡~ na Amn{VV 590 nm Va§JX¡¿`© Ho$ nrbo àH$me Ho$ {bE H$m±M H$m
AndV©Zm§H$ 1·5 h¡ & H$m±M Ho$ ñb¡~ Ho$ ^rVa nrbo àH$me H$s Va§JX¡¿`© Am¡a Mmb
H$m AmH$bZ H$s{OE & 5
(a) Can two independent monochromatic light sources be used to
obtain a steady interference pattern ? Justify your answer.
(b) In a Young’s double-slit experiment, explain the formation of
interference fringes and obtain an expression for the fringe width.
55/1/1 14
 (c) In an interference experiment using monochromatic light of
wavelength , the intensity of light of a point, where the path
difference is , on the screen is K units. Find out the intensity of

light at a point when path difference is .
4
OR
(a) Sketch the refracted wavefront for the incident plane wavefront of
light from a distant object passing through a convex lens.
(b) Using Huygens’ principle, verify the laws of refraction when light
from a denser medium is incident on a rarer medium.

(c) For yellow light of wavelength 590 nm incident on a glass slab, the
refractive index of glass is 1·5. Estimate the speed and wavelength
of yellow light inside the glass slab.

55/1/1 15 P.T.O.
 SET-1
Series BVM/C H$moS> Z§.
Code No. 56/1/1
amob Z§. narjmWu H$moS >H$mo CÎma-nwpñVH$m Ho$ _wI-n¥ð
Roll No. >na Adí` {bIo§ &
Candidates must write the Code on the
title page of the answer-book.

 H¥$n`m Om±M H$a b| {H$ Bg àíZ-nÌ _o§ _w{ÐV n¥ð> 15 h¢ &

 àíZ-nÌ _| Xm{hZo hmW H$s Amoa {XE JE H$moS >Zå~a H$mo N>mÌ CÎma-nwpñVH$m Ho$ _wI-n¥ð> na {bI| &
 H¥$n`m Om±M H$a b| {H$ Bg àíZ-nÌ _| >27 àíZ h¢ &
 H¥$n`m àíZ H$m CÎma {bIZm ewê$ H$aZo go nhbo, àíZ H$m H«$_m§H$ Adí` {bI| &
 Bg àíZ-nÌ H$mo n‹T>Zo Ho$ {bE 15 {_ZQ >H$m g_` {X`m J`m h¡ & àíZ-nÌ H$m {dVaU nydm©• _|
10.15 ~Oo {H$`m OmEJm & 10.15 ~Oo go 10.30 ~Oo VH$ N>mÌ Ho$db àíZ-nÌ H$mo n‹T>|Jo Am¡a
Bg Ad{Y Ho$ Xm¡amZ do CÎma-nwpñVH$m na H$moB© CÎma Zht {bI|Jo &
 Please check that this question paper contains 15 printed pages.
 Code number given on the right hand side of the question paper should be
written on the title page of the answer-book by the candidate.
 Please check that this question paper contains 27 questions.
 Please write down the Serial Number of the question before
attempting it.
 15 minute time has been allotted to read this question paper. The question
paper will be distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the
students will read the question paper only and will not write any answer on
the answer-book during this period.

agm`Z {dkmZ (g¡ÕmpÝVH$)

CHEMISTRY (Theory)
{ZYm©[aV g_` : 3 KÊQ>o A{YH$V_ A§H$ : 70
Time allowed : 3 hours Maximum Marks : 70

56/1/1 1 P.T.O.
gm_mÝ` {ZX}e :
(i) g^r àíZ A{Zdm`© h¢ &
(ii) IÊS> A : àíZ g§»`m 1 go 5 VH$ A{V bKw-CÎmar` àíZ h¢ Am¡a àË`oH$ àíZ Ho$ {bE 1 A§H$
h¡ &
(iii) IÊS> ~ : àíZ g§»`m 6 go 12 VH$ bKw-CÎmar` àíZ h¢ Am¡a àË`oH$ àíZ Ho$ {bE 2 A§H$ h¡§ &
(iv) IÊS> g : àíZ g§»`m 13 go 24 VH$ ^r bKw-CÎmar` àíZ h¢ Am¡a àË`oH$ àíZ Ho$ {bE 3 A§H$
h¢ &
(v) IÊS> X : àíZ g§»`m 25 go 27 VH$ XrK©-CÎmar` àíZ h¢ Am¡a àË`oH$ àíZ Ho$ {bE 5 A§H$ h¢ &
(vi) àíZ nÌ _| g_J« {dH$ën Zht {X`m J`m h¡ & {\$a ^r EH$ A§H$ dmbo Xmo àíZm| _|, Xmo A§H$m| dmbo
Xmo àíZmo§ _|, VrZ A§H$m| dmbo Mma àíZm| _| VWm nm±M A§H$m| dmbo VrZm| àíZm| _| {dH$ën {X`m J`m
h¡ & Eogo g^r àíZm| _| go AmnH$mo EH$ hr {dH$ën H$m CÎma XoZm h¡ &
(vii) `{X Amdí`H$Vm hmo, Vmo Amn bKwJUH$s` gma{U`m± _m±J gH$Vo h¢ & H¡$ëHw$boQ>am| Ho$ à`moJ H$s
AZw_{V Zht h¡ &
General Instructions :
(i) All questions are compulsory.
(ii) Section A : Questions number 1 to 5 are very short answer questions and carry
1 mark each.
(iii) Section B : Questions number 6 to 12 are short answer questions and carry
2 marks each.
(iv) Section C : Questions number 13 to 24 are also short answer questions and
carry 3 marks each.
(v) Section D : Questions number 25 to 27 are long answer questions and carry
5 marks each.
(vi) There is no overall choice. However, an internal choice has been provided in
two questions of one mark, two questions of two marks, four questions of three
marks and all the three questions of five marks weightage. You have to attempt
only one of the choices in such questions.
(vii) Use of log tables, if necessary. Use of calculators is not allowed.
IÊS> A
SECTION A
1. Am`moS>rZ H$m qQ>ŠMa Š`m h¡ ? BgH$m Cn`moJ Š`m h¡
? 1
What is tincture of iodine ? What is its use ?

2. dJ© g_Vbr` [Pt(CN)4]2– Am`Z _| A`wJ{bV BboŠQ´>m°Zm| H$s g§»`m H$s àmJw{º$ H$s{OE & 1
AWdm
[Fe(C2O4)3]3– Am¡a [Fe(NH3)6]3+ _| go H$m¡Z-gm A{YH$ ñWm`r h¡ Am¡a Š`m| ? 1
56/1/1 2
 Predict the number of unpaired electrons in the square planar
[Pt(CN)4]2– ion.

OR

Amongst [Fe(C2O4)3]3– and [Fe(NH3)6]3+ which is more stable and why ?

3. gmBŠbmonoÝQ>oZmoZ Ho$ go_rH$m~}µOmoZ H$s g§aMZm It{ME & 1

AWdm
àmonoZ¡b H$s qOH$ A_bJ_ Am¡a gm§Ð hmBS´>moŠbmo[aH$ Aåb Ho$ gmW A{^{H«$`m H$aZo Ho$ ~mX
{Z{_©V CËnmX H$s g§aMZm It{ME & 1
Draw the structure of semicarbazone of cyclopentanone.

OR

Draw the structure of product formed when propanal is treated with zinc
amalgam and concentrated hydrochloric acid.

4. `H¥$V, _m§gno{e`m| Am¡a _pñVîH$ _| CnpñWV H$m~m©ohmBS´>oQ> H$m Zm_ {b{IE & 1
Name a carbohydrate present in liver, muscles and brain.

5. Zm°Z-pñQ>H$ ~V©Zm| Ho$ {Z_m©U _| à`wº$ ~hþbH$ H$s g§aMZm It{ME & 1
Draw structure for the polymer used for manufacture of non-stick
utensils.

IÊS> ~
SECTION B

6. {H$gr {dÚwV²-AnKQ>²` Ho$ {db`Z Ho$ {bE MmbH$Vm Am¡a _moba MmbH$Vm H$s n[a^mfm
{b{IE & VZwH$aU H$aZo na {db`Z H$s MmbH$Vm Š`m| KQ>Vr h¡ ? 2
Define conductivity and molar conductivity for the solution of an
electrolyte. Why does the conductivity of solution decrease with dilution ?

56/1/1 3 P.T.O.
7. A{^{H«$`m, C2H4 (g) + H2 (g)  C2H6 (g) Ho$ {bE, Xa = 5·5  10–14 [C2H4].

(a) doJ pñWam§H$ H$s BH$mB© {b{IE &

(b) BgH$s AY©-Am`w (t1/2) n[aH${bV H$s{OE & 2

For a reaction, C2H4 (g) + H2 (g)  C2H6 (g), rate = 5·5  10–14 [C2H4].

(a) Write the unit of rate constant.

(b) Calculate its half-life (t1/2).

8. (a) ZmBQ´>moOZ Ho$ Cg Am°ŠgmBS> H$s g§aMZm It{ME {Og_| ZmBQ´>moOZ H$s Am°ŠgrH$aU
AdñWm +5 h¡ &
(b) EH$ g§Vw{bV amgm`{ZH$ g_rH$aU H$s ghm`Vm go gwPmBE {H$ Š`m hmoVm h¡
O~ A{H«$` dm`w_§S>b _| ídoV µ\$m°ñµ\$moag NaOH {db`Z Ho$ gmW A{^{H«$`m H$aVm
h¡ & 2

(a) Draw the structure of an oxide of nitrogen where the oxidation

state of nitrogen is +5.

(b) With the help of a balanced chemical equation, suggest what

happens when white phosphorus reacts with NaOH solution in an
inert atmosphere.

9. (a) b¡ÝWoZm°`S> AmH§w$MZ H$s VwbZm _| EopŠQ>Zm°`S> AmHw§$MZ A{YH$ hmoVm h¡ & H$maU
Xr{OE &
(b) Fe Am¡a Cu _| go {H$gH$m JbZm§H$ CƒVa hmoVm h¡ Am¡a Š`m| ? 2

(a) Actinoid contraction is greater than lanthanoid contraction. Give

reason.

(b) Out of Fe and Cu, which has higher melting point and why ?

56/1/1 4
10. O~ V¥Vr`H$-ã`y{Q>b ~«mo_mBS>, gmo{S>`_ _oWm°ŠgmBS> Ho$ gmW A{^{H«$`m H$aVm h¡ Vmo àmá
_w»` CËnmX H$s àmJw{º$ H$s{OE & BgH$m IUPAC Zm_ ^r Xr{OE & 2
AWdm
(a) EoëH$sZm| Ho$ Aåb CËào[aV Ob`moOZ _| H$m~m©oH¡$Q>m`Z na Ob Ho$ Zm{^H$amJr
AmH«$_U Ho$ {bE Am~ÝYm| H$s J{V`mo§ Ed§ Vram| H$s ghm`Vm go {H$gr amgm`{ZH$
A{^{H«$`m H$mo Xem©BE &
(b) {ZåZ{b{IV H$m IUPAC Zm_ {b{IE :

2
Predict the major product obtained when t-butyl bromide reacts with
sodium methoxide. Also, give its IUPAC name.

OR

(a) Show the chemical reaction with bond movements and arrows for
the nucleophilic attack of water on carbocation in acid catalysed
hydration of alkenes.
(b) Give IUPAC name for the following :

11. Eobw{_{Z`_ fcc g§aMZm _| {H«$ñQ>brH¥$V hmoVm h¡ & YmVw H$s na_mUw {ÌÁ`m 125 pm h¡ &
YmVw H$s EH$H$ H$mopîR>H$m Ho$ H$moa H$s bå~mB© Š`m h¡ ? 2
AWdm
ZnS H$s ^m±{V `m¡{JH$ CuCl H$s fcc g§aMZm h¡ & BgH$m KZËd 3·04 g cm–3 h¡ & EH$H$
H$mopîR>H$m H$m Am`VZ Š`m h¡ ? 2
{X`m J`m h¡ : na_mUw Ðì`_mZ : Cu = 63·5 u; Cl = 35·5 u
NA = 6·02  1023 mol–1

56/1/1 5 P.T.O.
 Aluminium crystallises in a fcc structure. Atomic radius of the metal is
125 pm. What is the length of the side of unit cell of the metal ?
OR
The compound CuCl has fcc structure like ZnS. Its density is 3·04 g cm–3.
What is the volume of unit cell ?
Given : Atomic mass of Cu = 63·5 u; Cl = 35·5 u
NA = 6·02  1023 mol–1
12. {ZåZ{b{IV Ho$ CÎma Xr{OE : 2

(a) Cg `m¡{JH$ H$m gyÌ Š`m h¡ {Og_| VÎd Y go ccp OmbH$ ~ZVm h¡ Am¡a X na_mUw
1
MVwî\$bH$s` [a{º$`m| H$mo ^aVo h¢ ?
3
(b) {H$g àH$ma H$m Zm°Z-ñQ>m°B{H$`mo_rQ´>r {~ÝXþ Xmof jmaH$s` YmVw h¡bmBS>m| H$mo a§J àXmZ
H$aVm h¡ ?
Answer the following :
(a) What is the formula of a compound in which element Y forms
1 rd
ccp lattice and atoms X occupy of tetrahedral voids ?
3
(b) What type of non-stoichiometric point defect leads to colour in
alkali metal halides ?

IÊS> g
SECTION C

13. 298 K Vmn na H$moB© qOH$ N>‹S> 0·01 M qOH$ gë\o$Q> {db`Z _| Sw>~moB© JB© h¡ & qOH$ H$m
BboŠQ´>moS> {d^d n[aH${bV H$s{OE & ({X`m J`m h¡ : E0 2 = – 0·76 V; log 10 = 1) 3
Zn / Zn
Zinc rod is dipped in 0·01 M solution of zinc sulphate when temperature
is 298 K. Calculate the electrode potential of zinc.
0
(Given : E = – 0·76 V; log 10 = 1)
Zn 2 / Zn

56/1/1 6
14. {H$gr àW_ H$mo{Q> H$s A{^{H«$`m H$m doJ pñWam§H$ 2  10–2 go ~‹T>H$a 6  10–2 hmo OmVm
h¡ O~ Vmn _| n[adV©Z 300 K go 320 K hmoVm h¡ & g{H«$`U D$Om© n[aH${bV H$s{OE &
({X`m J`m h¡ : log 2 = 0·3010, log 3 = 0·4771, log 4 = 0·6021 ) 3
The rate constant of a first order reaction increases from 2  10–2 to
6  10–2 when the temperature changes from 300 K to 320 K. Calculate
the energy of activation.
(Given : log 2 = 0·3010, log 3 = 0·4771, log 4 = 0·6021)

15. {ZåZ{b{IV Ho$ CÎma Xr{OE : 3

(a) EñQ>a H$m Ob-AnKQ>Z àma§^ _| Yr_m Ed§ Hw$N> g_` níMmV² Vrd« Š`m| hmo OmVm h¡ ?

(b) _o{WbrZ ãby Ho$ {db`Z _| Om§Vd MmaH$mob {_bmZo Ho$ ~mX {db`Z H$mo AÀN>r Vah
go {hbm`m J`m & Š`m ào{jV hmoJm Am¡a Š`m| ?
(c) Ob _| Vob B_ëeZ H$m EH$ CXmhaU Xr{OE &
AWdm
{ZåZ{b{IV H$mo n[a^m{fV H$s{OE : 3

(a) ghMmar H$mobm°BS>

(b) d¡ÚwV H$U g§MbZ
(c) µOrQ>m {d^d
Answer the following :
(a) Why is ester hydrolysis slow in the beginning and then becomes
faster after some time ?
(b) In a solution of methylene blue, animal charcoal is added, the
solution is then well shaken. What will be observed and why ?
(c) Give an example of oil in water emulsion.
OR
Define the following :
(a) Associated colloids
(b) Electrophoresis
(c) Zeta potential

56/1/1 7 P.T.O.
16. (a) H¡$bm_rZ Am¡a _¡bmH$mBQ> _| Š`m A§Va h¡ ?
(b) [Ag(CN)2]– go Ag H$s nwZàm©{á Ho$ {bE Cu Ho$ ~Om` qOH$ Š`m| à`wº$ {H$`m
OmVm h¡ ?
(c) Eobw{_{Z`_ (Al) Ho$ YmVwH$_© _| H«$m`mobmBQ> H$s Š`m ^y{_H$m h¡ ? 3

AWdm
(a) H$ƒo bmoho ({nJ bmohm) Am¡a T>bdm± bmohm _| Xmo A§Va Xr{OE &
(b) _§S>b n[aîH$aU Ho$ {gÕmÝV H$s ê$naoIm Xr{OE & 3
(a) What is the difference between calamine and malachite ?
(b) Why is zinc used instead of Cu for recovery of Ag from [Ag(CN)2]– ?

(c) What is the role of cryolite in metallurgy of Al ?

OR

(a) Give two points of differences between pig iron and cast iron.

(b) Outline the principle of zone refining.

17. (a) {ZåZ{b{IV amgm`{ZH$ A{^{H«$`mE± nyU© H$s{OE :

(i) Na2Cr2O7 + KCl 
–
(ii) 2 MnO 4 + 5 SO32 – + 6 H+ 

(b) O~ Cr O72– H$s {H$gr jma Ho$ gmW A{^{H«$`m H$s OmVr h¡ Vmo CgH$m a§J n[adV©Z
2
{H$g àH$ma hmoVm h¡ ? 3

(a) Complete the following chemical reactions :

(i) Na2Cr2O7 + KCl 
–
(ii) 2 MnO 4 + 5 SO32 – + 6 H+ 

(b) How does the colour of Cr O72– change when treated with an
2
alkali ?

56/1/1 8
18. (a) [Fe(NH3)2 (CN)4]– Ho$ Á`m{_Vr` g_md`dm| H$s g§aMZmE± It{ME &
(b) [NiCl4]2– AZwMwå~H$s` h¡ O~{H$ [Ni(CO)4] à{VMwå~H$s` h¡ `Ú{n XmoZm|
MVwî\$bH$s` h¢ & Š`m| ? [na_mUw H«$_m§H$ : Ni = 28] 3

AWdm
{ZåZ{b{IV H$mo n[a^m{fV H$s{OE : 3
(a) C^`XÝVr g§b½Zr (C^X§Vr {bJÝS>)
(b) ñnoŠQ´>_r amgm`{ZH$ loUr
(c) hoQ´>mobopßQ>H$ g§Hw$b
(a) Draw the structures of geometrical isomers of [Fe(NH3)2 (CN)4]–.
(b) [NiCl4]2– is paramagnetic while [Ni(CO)4] is diamagnetic though
both are tetrahedral. Why ? [Atomic number of Ni = 28]

OR
Define the following :
(a) Ambidentate ligands
(b) Spectro chemical series
(c) Heteroleptic complexes

19. (a) CËnmX {b{IE O~

(i) 2-ŠbmoamoàmonoZ H$s EoëH$mohm°br KOH Ho$ gmW A{^{H«$`m H$s OmVr h¡ &
(ii) Eo{ZbrZ 453 – 473 K na gmÝÐ H2SO4 Ho$ gmW A{^{H«$`m H$aVr h¡ &
(b) O~ Eo{ZbrZ H$mo CHCl3 Am¡a EoëH$mohm°br KOH Ho$ gmW J_© {H$`m OmVm h¡ Vmo
XþJ©ÝYnyU© `m¡{JH$ ~ZVm h¡ & `h `m¡{JH$ Š`m h¡ ? 3

(a) Write the product formed when

(i) 2-chloropropane is treated with alc. KOH.
(ii) Aniline reacts with conc. H2SO4 at 453 – 473 K.

(b) When aniline is heated with CHCl3 and alc. KOH, a foul smelling
compound is formed. What is this compound ?
56/1/1 9 P.T.O.
20. (a) Amn {ZåZ{b{IV ê$nmÝVaÊm H¡$go H$a|Jo :
(i) µ\$sZm°b H$mo ~oݵOmo[ŠdZmoZ _|
(ii) àmonoZmoZ H$mo 2-_o{Wb àmonoZ-2-Am°b _|
(b) ã`yQ>oZ H$s Anojm àmonoZm°b H$m ŠdWZm§H$ CƒVa Š`m| hmoVm h¡ ? 3
(a) How will you convert the following :
(i) Phenol to benzoquinone
(ii) Propanone to 2-methyl propan-2-ol
(b) Why does propanol have higher boiling point than that of butane ?

21. (a) {ZåZ{b{IV A{^{H«$`m _| X Am¡a Y H$mo nhMm{ZE :

(b) Eoamo_¡{Q>H$ BboŠQ´>m°ZamJr à{VñWmnZ A{^{H«$`mAm| _| Eo_rZmo g_yh Am°Wm©o Am¡a

n¡am-{ZX}eH$ h¢ & Eo{ZbrZ ZmBQ´>moH$aU na m-ZmBQ´>moEo{ZbrZ Š`m| XoVm h¡ ? 3

(a) Identify X and Y in the following :

(b) Amino group is o, p-directing for aromatic electrophilic substitution

reactions. Why does aniline on nitration give m-nitroaniline ?

22. (a) Š`m hmoVm h¡ O~ D-½byH$mog {ZåZ{b{IV A{^H$_©H$m| go A{^{H«$`m H$aVm h¡ :

(i) HI
(ii) gmÝÐ HNO3
(b) ñQ>mM© Am¡a gobybmog _| _yb^yV g§aMZmË_H$ A§Va Š`m h¡ ? 3
(a) What happens when D-glucose is treated with the following
reagents :
(i) HI
(ii) conc. HNO3
(b) What is the basic structural difference between starch and
cellulose ?
56/1/1 10
23. (a) {ZåZ{b{IV ~hþbH$ Ho$ EH$bH$m| Ho$ Zm_ {b{IE :

(b) ~hþbH$ ZmBbm°Z-6,6 _| 6,6 ^mJ H$m Š`m A{^àm` h¡ ?

(c) O¡d-{ZåZrH$aUr` ~hþbH$ H$m EH$ CXmhaU Xr{OE & 3

(a) Write the names of monomers of following polymer :

(b) What does part 6,6 mean in the polymer Nylon-6,6 ?

(c) Give an example of Biodegradable polymer.

24. (a) ny{VamoYr Am¡a {dg§H«$m_r _| AÝVa ñnï> H$s{OE & àË`oH$ H$m EH$-EH$ CXmhaU
Xr{OE &
(b) h_| H¥${Ì_ _YwaH$m| H$s Amdí`H$Vm Š`m| hmoVr h¡ ? 3
AWdm
{ZåZ{b{IV nXm| H$mo n[a^m{fV H$s{OE : 3
(a) àem§VH$
(b) à{V-Aåb
(c) nr‹S>mhmar
(a) Differentiate between antiseptic and disinfectant. Give one
example of each.

(b) Why do we require artificial sweetening agents ?

OR
Define the following terms :
(a) Tranquilizers
(b) Ant-acids
(c) Analgesics

56/1/1 11 P.T.O.
 IÊS> X
SECTION D

25. (a) e¸$a Ho$ 5% (Ðì`_mZ) Obr` {db`Z H$m {h_m§H$ 271 K h¡ & `{X ewÕ Ob H$m
{h_m§H$ 273·15 K h¡, Vmo ½byH$mog Ho$ 5% (Ðì`_mZ) Obr` {db`Z H$m {h_m§H$
n[aH${bV H$s{OE &
(b) 1 M KCl H$m namgaU Xm~ 1 M `y[a`m {db`Z Ho$ namgaU Xm~ go CƒVa Š`m|
hmoVm h¡ ?
(c) {H$g àH$ma Ho$ Ðd AmXe© {db`Z ~ZmVo h¢ ? 5
AWdm
(a) {H$gr {dÚwV²-AZnKQ>²` Ho$ 1·0 g {dbo` H$mo 50 g ~oݵOrZ _| KmobZo na BgHo$
{h_m§H$ _| 0·40 K H$s H$_r Am OmVr h¡ & ~oݵOrZ H$m {h_m§H$ AdZ_Z pñWam§H$
5·12 K kg mol–1 h¡ & {dbo` H$m _moba Ðì`_mZ kmV H$s{OE &

(b) hoZar {Z`_ pñWam§H$, KH H$m Š`m _hÎd h¡ ?

(c) {H$gHo$ n[aUm_ñdê$n EoZm°pŠg`m hmo OmVr h¡ ? 5

(a) A 5% solution (by mass) of cane sugar in water has a freezing point
of 271 K. Calculate the freezing point of 5% solution (by mass) of
glucose in water. The freezing point of pure water is 273·15 K.
(b) Why is osmotic pressure of 1 M KCl higher than 1 M urea solution ?
(c) What type of liquids form ideal solutions ?

OR

(a) 1·0 g of a non-electrolyte solute dissolved in 50 g of benzene

lowered the freezing point of benzene by 0·40 K. The freezing point
depression constant of benzene is 5·12 K kg mol–1. Find the molar
mass of the solute.

(b) What is the significance of Henry’s law constant, KH ?

(c) What leads to anoxia ?

56/1/1 12
26. EH$ {H«$ñQ>br` R>mog ‘A’ dm`w _| ObH$a J¡g ‘B’ ~ZmVm h¡ Omo MyZo Ho$ nmZr H$mo Xÿ{Y`m H$a
XoVr h¡ & `h J¡g gë\$mBS> A`ñH$ Ho$ ^O©Z Ho$ Xm¡amZ CnmoËnmX Ho$ ê$n _| ^r CËnÝZ hmoVr
h¡ & `h J¡g Aåbr` KMnO4 Ho$ Obr` {db`Z H$mo a§JhrZ H$a XoVr h¡ Am¡a Fe3+ H$mo
Fe2+ _| AnM{`V H$a XoVr h¡ & ‘A’ Am¡a ‘B’ H$s nhMmZ H$s{OE Am¡a gå~Õ A{^{H«$`mE±
{b{IE & 5
AWdm

{ZåZ{b{IV Ho$ CÎma Xr{OE : 5

(a) dJ© 16 Ho$ VÎdm| Ho$ {ZåZ{b{IV hmBS´>mBS>m| H$mo CZHo$ Aåbr` gm_Ï`© Ho$ KQ>Vo hþE
H«$_ _| ì`dpñWV H$s{OE :
H2O, H2S, H2Se, H2Te

 –
(b) PCl4 Am¡a PCl4 _| go {H$gH$m ApñVËd g§^d Zht h¡ Am¡a Š`m| ?

(c) gë\$a H$m H$m¡Z-gm Anaê$n H$j Vmn na Vmnr` ñWm`r hmoVm h¡ ?

(d) P4 Ho$ gmÝÐ HNO3 Ûmam Am°ŠgrH$aU go àmá µ\$m°ñµ\$moag Ho$ `m¡{JH$ H$m gyÌ
{b{IE &

(e) PCl3 Z_r _| Yy_ Š`m| XoVm h¡ ?

A crystalline solid ‘A’ burns in air to form a gas ‘B’ which turns lime
water milky. The gas is also produced as a by-product during roasting of
sulphide ore. This gas decolourises acidified KMnO4 (aq.) solution and
reduces Fe3+ to Fe2+. Identify ‘A’ and ‘B’ and write the reactions involved.

OR

56/1/1 13 P.T.O.
 Answer the following :
(a) Arrange the following hydrides of Group 16 elements in the
decreasing order of their acidic strength :
H2O, H2S, H2Se, H2Te
 –
(b) Which one of PCl4 and PCl4 is not likely to exist and why ?

(c) Which allotrope of sulphur is thermally stable at room

temperature ?

(d) Write the formula of a compound of phosphorus which is obtained

when conc. HNO3 oxidises P4.

(e) Why does PCl3 fume in moisture ?

27. (a) EH$ H$m~©{ZH$ `m¡{JH$ {OgH$m AUwgyÌ C7H6O h¡, 2,4-S>r.EZ.nr. ì`wËnÞ ~ZmVm
h¡, Q>m°boZ A{^H$_©H$ H$mo An{MV H$aVm h¡ Am¡a H¡${ZµOmamo A{^{H«$`m XoVm h¡ &
Am°ŠgrH$aU na dh ~|µOmoBH$ Aåb ~ZmVm h¡ & `m¡{JH$ H$mo nhMm{ZE Am¡a gå~Õ
A{^{H«$`mE± {b{IE &
(b) {ZåZ{b{IV `m¡{JH$ `wJbm| _| {d^oX H$aZo Ho$ {bE amgm`{ZH$ narjUm| H$mo Xr{OE :
(i) µ\$sZm°b Am¡a àmonoZm°b
(ii) ~oݵOmoBH$ Aåb Am¡a ~oݵOrZ 5
AWdm
(a) {ZåZ{b{IV Ho$ CËnmXm| H$s àmJw{º$ H$s{OE :
K Cr2O7 SOCl2 NH3
CH3CH2OH 2   A 
  B  C
H2SO4
NaOBr

D
(b) {ZåZ{b{IV H$mo CZHo$ Aåbr` bjU Ho$ ~‹T>Vo hþE H«$_ _| ì`dpñWV H$s{OE :
HCOOH, CF3COOH, ClCH2COOH, CCl3COOH 5

56/1/1 14
 (a) An organic compound with the molecular formula C7H6O forms
2,4-DNP derivative, reduces Tollen’s reagent and undergoes
Cannizzaro reaction. On oxidation, it gives benzoic acid. Identify
the compound and state the reactions involved.
(b) Give chemical tests to distinguish between the following pair of
compounds :
(i) Phenol and propanol
(ii) Benzoic acid and benzene

OR
(a) Predict the products of the following :
K Cr2O7 SOCl2 NH3
CH3CH2OH 2   A   B  C
H2SO4
NaOBr

D
(b) Arrange the following in increasing order of acidic character :
HCOOH, CF3COOH, ClCH2COOH, CCl3COOH

56/1/1 15 P.T.O.
 SAMPLE QUESTION PAPER (2024 - 25)
CLASS- XII
SUBJECT: Mathematics (041)

Time: 3 Hours Maximum Marks: 80

General Instructions:

Read the following instructions very carefully and strictly follow them:
(i) This Question paper contains 38 questions. All questions are compulsory.
(ii) This Question paper is divided into five Sections - A, B, C, D and E.
(iii) In Section A, Questions no. 1 to 18 are multiple choice questions (MCQs) and Questions no. 19 and
20 are Assertion-Reason based questions of 1 mark each.
(iv) In Section B, Questions no. 21 to 25 are Very Short Answer (VSA)-type questions, carrying 2 marks
each.
(v) In Section C, Questions no. 26 to 31 are Short Answer (SA)-type questions, carrying 3 marks each.
(vi) In Section D, Questions no. 32 to 35 are Long Answer (LA)-type questions, carrying 5 marks each.
(vii) In Section E, Questions no. 36 to 38 are Case study-based questions, carrying 4 marks each.
(viii) There is no overall choice. However, an internal choice has been provided in 2 questions in Section B,
3 questions in Section C, 2 questions in Section D and one subpart each in 2 questions of Section E.
(ix) Use of calculators is not allowed.

SECTION-A 1  20  20

(This section comprises of multiple choice questions (MCQs) of 1 mark each)

Select the correct option (Question 1 - Question 18):

𝟐𝟎𝟐𝟓 𝟎 𝟎
Q.1. If for a square matrix A, 𝑨. (𝒂𝒅𝒋𝑨) = [ 𝟎 𝟐𝟎𝟐𝟓 𝟎 ], then the value of A  adj A is
𝟎 𝟎 𝟐𝟎𝟐𝟓
equal to:

(C)  2025   45 (D) 2025   2025 

2 2
(A) 1 (B) 2025  1
Q.2. Assume X , Y , Z , W and P are matrices of order 2  n, 3  k , 2  p, n  3 and p  k ,
respectively. Then the restriction on n, k and p so that PY  WY will be defined are:
(A) k  3, p  n (B) k is arbitrary, p  2
(C) p is arbitrary, k  3 (D) k  2, p  3
Q.3. The interval in which the function f defined by 𝑓(𝑥) = 𝑒 𝑥 is strictly increasing, is

(A) [1, ∞) (B)   ,0  (C) (−∞, ∞) (D) (0,∞)

Class-XII/Sample Paper/2024-25/Mathematics/Page 1 of 9
 𝟐
Q.4. If A and B are non-singular matrices of same order with 𝒅𝒆𝒕(𝑨) = 𝟓, then 𝒅𝒆𝒕(𝑩−𝟏 𝑨𝑩) is equal to

2 4
(A) 5 (B) 5 (C) 5 (D) 5 5
𝒅𝒚
Q.5. The value of ' n ' , such that the differential equation 𝒙𝒏 𝒅𝒙 = 𝒚(𝒍𝒐𝒈𝒚 − 𝒍𝒐𝒈𝒙 + 𝟏);

(𝐰𝐡𝐞𝐫𝐞 𝒙, 𝒚 ∈ 𝑹+ ) is homogeneous, is

(A) 0 (B) 1 (C) 2 (D) 3

Q.6. If the points (𝒙𝟏 , 𝒚𝟏 ), (𝒙𝟐 , 𝒚𝟐 ) and (𝒙𝟏 + 𝒙𝟐 , 𝒚𝟏 + 𝒚𝟐 )are collinear, then 𝒙𝟏 𝒚𝟐 is equal to

(A) x2 y1 (B) x1 y1 (C) x2 y2 (D) x1 x2

0 1 c 
Q.7. If A   1 a  b  is a skew-symmetric matrix then the value of a  b  c 
 2 3 0 

(A)1 (B) 2 (C) 3 (D) 4

Q.8. For any two events A and B , if P A    1

2
  2
3
1
, P B  and P  A  B   , then 𝑃 (𝐴⁄ ̅ ) equals:
4
̅
𝐵

3 8 5 1
(A) (B) (C) (D)
8 9 8 4
Q.9. The value of 𝛼 if the angle between 𝑝⃗ = 2𝛼 2 𝑖̂ − 3𝛼𝑗̂ + 𝑘̂ and 𝑞⃗ = 𝑖̂ + 𝑗̂ + 𝛼𝑘̂ is obtuse, is

(A) 𝑅 − [0, 1] (B) (0, 1) (C) [0, ∞) (D) [1, ∞)

Q.10. If |𝑎⃗| = 3, |𝑏⃗⃗| = 4 and |𝑎⃗ + 𝑏⃗⃗| =5, then |𝑎⃗ − 𝑏⃗⃗| =

(A) 3 (B) 4 (C) 5 (D) 8

Q.11. For the linear programming problem (LPP), the objective function is Z  4 x  3 y and the feasible
region determined by a set of constraints is shown in the graph:

Class-XII/Sample Paper/2024-25/Mathematics/Page 2 of 9
 (Note: The figure is not to scale.)

Which of the following statements is true?

(A) Maximum value of Z is at R  40,0  .

(B) Maximum value of Z is at Q  30, 20  .

(C) Value of Z at R  40,0  is less than the value at P  0,40  .

(D) The value of Z at Q  30, 20  is less than the value at R  40,0  .

𝒅𝒙
Q.12. ∫ 𝟏 equals
𝟑 𝟒
𝒙 (𝟏+𝒙 )𝟐
1 1
(A) − 2𝑥 2 √1 + 𝑥 4 + 𝑐 (B) 2𝑥 √1 + 𝑥 4 + 𝑐

1 1
(C) − 4𝑥 √1 + 𝑥 4 + 𝑐 (D) 4𝑥 2 √1 + 𝑥 4 + 𝑐

𝟐𝝅
Q.13. ∫𝟎 𝒄𝒐𝒔𝒆𝒄𝟕 𝒙 𝒅𝒙 =

(A) 0 (B) 1 (C) 4 (D) 2

′
Q.14. What is the general solution of the differential equation ey = x?

(A)𝑦 = 𝑥𝑙𝑜𝑔𝑥 + 𝑐 (B) 𝑦 = 𝑥𝑙𝑜𝑔𝑥 − 𝑥 + 𝑐 (C) 𝑦 = 𝑥𝑙𝑜𝑔𝑥 + 𝑥 + 𝑐 (D) 𝑦 = 𝑥 + 𝑐

Q.15. The graph drawn below depicts

(A) y = 𝑠𝑖𝑛−1 𝑥 (B) y = 𝑐𝑜𝑠 −1 𝑥 (C) y = 𝑐𝑜𝑠 𝑒 𝑐 −1 𝑥 (D) y = 𝑐𝑜𝑡 −1 𝑥

Q.16. A linear programming problem (LPP) along with the graph of its constraints is shown below.

Class-XII/Sample Paper/2024-25/Mathematics/Page 3 of 9
 The corresponding objective function is: Z  18 x  10 y , which has to be minimized. The smallest value of

the objective function Z is 134 and is obtained at the corner point  3,8  ,

(Note: The figure is not to scale.)

The optimal solution of the above linear programming problem __________.

(A) does not exist as the feasible region is unbounded.

(B) does not exist as the inequality 18 x  10 y  134 does not have any point in common with the feasible
region.
(C) exists as the inequality 18 x  10 y  134 has infinitely many points in common with the feasible region.
(D) exists as the inequality 18 x  10 y  134 does not have any point in common with the feasible region.

Q.17. The function 𝑓: 𝑅 → 𝑍 defined by f  x    x ; where  .  denotes the greatest integer function, is

(A) Continuous at x  2.5 but not differentiable at x  2.5

(B) Not Continuous at x  2.5 but differentiable at x  2.5
(C) Not Continuous at x  2.5 and not differentiable at x  2.5
(D) Continuous as well as differentiable at x  2.5

Q.18. A student observes an open-air Honeybee nest on the branch of a tree, whose plane figure is parabolic
shape given by x 2  4 y . Then the area (in sq units) of the region bounded by parabola x 2  4 y and the line
y  4 is

32 64 128 256
(A) 3 (B) 3 (C) 3 (D) 3

ASSERTION-REASON BASED QUESTIONS

(Question numbers 19 and 20 are Assertion-Reason based questions carrying 1 mark each. Two
statements are given, one labelled Assertion (A) and the other labelled Reason (R). Select the correct
answer from the options (A), (B), (C) and (D) as given below.)

Class-XII/Sample Paper/2024-25/Mathematics/Page 4 of 9
 (A) Both (A) and (R) are true and (R) is the correct explanation of (A).
(B) Both (A) and (R) are true but (R) is not the correct explanation of (A).
(C) (A) is true but (R) is false.
(D) (A) is false but (R) is true.

Q.19. Assertion (A): Consider the function defined as 𝑓(𝑥) = |𝑥| + |𝑥 − 1|, 𝑥 ∈ 𝑅. Then f  x 

is not differentiable at x  0 and x  1 .

Reason (R): Suppose f be defined and continuous on  a , b  and c   a , b  , then f  x  is not

𝑓(𝑐+ℎ)−𝑓(𝑐) 𝑓(𝑐+ℎ)−𝑓(𝑐)
differentiable at 𝑥 = 𝑐 if lim− ≠ lim+ .
ℎ→0 ℎ ℎ→0 ℎ
𝜋
Q.20. Assertion (A): The function 𝑓: 𝑅 − {(2𝑛 + 1) 2 : 𝑛 ∈ 𝑍 } → (−∞, −1] ∪ [1, ∞) defined by

f  x   sec x is not one-one function in its domain.

Reason (R): The line y  2 meets the graph of the function at more than one point.

SECTION B  2  5  10
(This section comprises of 5 very short answer (VSA) type questions of 2 marks each.)
𝜋
Q.21. If 𝑐𝑜𝑡 −1 (3𝑥 + 5) > 4 , then find the range of the values of x .

Q.22. The cost (in rupees) of producing x items in factory, each day is given by

𝐶(𝑥) = 0.00013𝑥 3 + 0.002 𝑥 2 + 5𝑥 + 2200

Find the marginal cost when 150 items are produced.

Q.23. (a) Find the derivative of tan 1 x with respect to log x ; (where x   1,   ).

OR
𝜋
Q.23. (b) Differentiate the following function with respect to x : (𝑐𝑜𝑠 𝑥)𝑥 ; (where𝑥 ∈ (0, 2 )).

Q.24. (a) If vectors 𝑎⃗ = 2ı̂ + 2ȷ̂ + 3k̂, 𝑏⃗⃗ = − ı̂ + 2ȷ̂ + k̂ and 𝑐⃗ = 3ı̂ + ȷ̂ are such that 𝑏⃗⃗ + λ𝑐⃗ is perpendicular
to 𝑎⃗ , then find the value of λ.
OR
Q.24. (b) A person standing at O  0 , 0 , 0  is watching an aeroplane which is at the coordinate point

A  4 , 0 , 3  . At the same time he saw a bird at the coordinate point B  0 , 0 ,1 . Find the angles which

⃗⃗⃗⃗⃗⃗ makes with the x,y and z axes.

𝐵𝐴

Q.25. The two co-initial adjacent sides of a parallelogram are 2ı̂ − 4ȷ̂ − 5k̂ and 2ı̂ + 2ȷ̂ + 3k̂. Find its
diagonals and use them to find the area of the parallelogram.
Class-XII/Sample Paper/2024-25/Mathematics/Page 5 of 9
 SECTION C  3  6  18

(This section comprises of 6 short answer (SA) type questions of 3 marks each.)
Q.26. A kite is flying at a height of 3 metres and 5 metres of string is out. If the kite is moving away
horizontally at the rate of 200 cm/s, find the rate at which the string is being released.
Q.27. According to a psychologist, the ability of a person to understand spatial concepts is given by
1
A t, where t is the age in years, t   5,18 . Show that the rate of increase of the ability to
3
understand spatial concepts decreases with age in between 5 and 18.
Q.28. (a) An ant is moving along the vector ⃗⃗⃗
𝑙1 = 𝑖̂ − 2𝑗̂ + 3𝑘̂. Few sugar crystals are kept along the vector
⃗𝑙⃗⃗⃗2 = 3𝑖̂ − 2𝑗̂ + 𝑘̂ which is inclined at an angle  with the vector ⃗⃗⃗
𝑙1. Then find the angle  . Also find
the scalar projection of ⃗⃗⃗
𝑙1 𝑜𝑛 ⃗⃗⃗⃗
𝑙2 .
OR
Q.28. (b) Find the vector and the cartesian equation of the line that passes through (−1, 2, 7) and is
perpendicular to the lines 𝑟⃗ = 2ı̂ + ȷ̂ − 3k̂ + λ(ı̂ + 2ȷ̂ + 5k̂) and 𝑟⃗ = 3ı̂ + 3ȷ̂ − 7k̂ + μ(3ı̂ − 2ȷ̂ + 5k̂).

𝟏 𝟏
Q.29. (a) Evaluate: ∫ {𝒍𝒐𝒈 𝒙 − (𝒍𝒐𝒈 𝒙)𝟐 } 𝒅𝒙; (where𝒙 > 𝟏).

OR
𝟏
Q.29. (b) Evaluate : ∫𝟎 𝒙(𝟏 − 𝒙)𝒏 𝒅𝒙; (𝐰𝐡𝐞𝐫𝐞 𝒏 ∈ 𝑵).
Q.30. Consider the following Linear Programming Problem:
Minimise Z  x  2 y
Subject to 2 x  y  3, x  2 y  6, x , y  0.
Show graphically that the minimum of Z occurs at more than two points

Q.31. (a) The probability that it rains today is 0.4. If it rains today, the probability that it will rain tomorrow
is 0.8. If it does not rain today, the probability that it will rain tomorrow is 0.7. If
𝑃1 : denotes the probability that it does not rain today.
𝑃2 : denotes the probability that it will not rain tomorrow, if it rains today.
𝑃3 : denotes the probability that it will rain tomorrow, if it does not rain today.
𝑃4 : denotes the probability that it will not rain tomorrow, if it does not rain today.

(i) Find the value of P1  P4  P2  P3 .  2 Marks 

(ii) Calculate the probability of raining tomorrow. 1 Mark 

OR

Q.31. (b) A random variable X can take all non – negative integral values and the probability that X takes

Class-XII/Sample Paper/2024-25/Mathematics/Page 6 of 9
 the value r is proportional to 5−𝑟 . Find P  X  3  .

SECTION D
 5  4  20
(This section comprises of 4 long answer (LA) type questions of 5 marks each)

𝜋 𝜋
Q.32. Draw the rough sketch of the curve 𝑦 = 20 𝑐𝑜𝑠 2 𝑥; (where 6 ≤ 𝑥 ≤ 3 ).
Using integration, find the area of the region bounded by the curve y = 20 cos2x from the ordinates
𝜋 𝜋
𝑥= to 𝑥 = and the x  axis.
6 3

Q.33. The equation of the path traversed by the ball headed by the footballer is
𝑦 = 𝑎𝑥 2 + 𝑏𝑥 + 𝑐; (𝑤ℎ𝑒𝑟𝑒 0 ≤ 𝑥 ≤ 14 𝑎𝑛𝑑 𝑎, 𝑏, 𝑐 ∈ 𝑅 𝑎𝑛𝑑 𝑎 ≠ 0) with respect to a XY-coordinate
system in the vertical plane. The ball passes through the points  2,15  ,  4, 25  and 14,15  . Determine

the values of a, b and c by solving the system of linear equations in a, b and c, using matrix method.
Also find the equation of the path traversed by the ball.
Q.34. (a) If 𝑓: 𝑅 → 𝑅 is defined by 𝑓(𝑥) = |𝑥|3 , show that 𝑓"(𝑥) exists for all real x and find it.
OR
3
𝑑𝑦 2 2
[1+( ) ]
𝑑𝑥
Q.34. (b) If (𝑥 − 𝑎)2 + (𝑦 − 𝑏)2 = 𝑐 2 , for some c  0, prove that 𝑑2 𝑦
is a constant independent
𝑑𝑥2

of a and b .
Q.35. (a) Find the shortest distance between the lines l1 and l2 whose vector equations are

𝑟⃗ = (−𝑖̂ − 𝑗̂ − 𝑘̂) + 𝜆(7𝑖̂ − 6𝑗̂ + 𝑘̂) and 𝑟⃗ = (3𝑖̂ + 5𝑗̂ + 7𝑘̂) + 𝜇(𝑖̂ − 2𝑗̂ + 𝑘̂)
where  and  are parameters.
OR
Q.35. (b) Find the image of the point 1,2, 1 with respect to the line
𝑥−3 𝑦+1 𝑧−1
= = . Also find the
1 2 3

equation of the line joining the given point and its image.

SECTION- E  4  3  12
(This section comprises of 3 case-study/passage-based questions of 4 marks each with subparts. The first
two case study questions have three subparts (i), (ii), (iii) of marks 1, 1, 2 respectively. The third case study
question has two subparts of 2 marks each)

Case Study-1
Q.36. Ramesh, the owner of a sweet selling shop, purchased some rectangular card board sheets of
dimension 25 cm by 40 cm to make container packets without top. Let x cm be the length of the side of the
square to be cut out from each corner to give that sheet the shape of the container by folding up the flaps.

Based on the above information answer the following questions.

Class-XII/Sample Paper/2024-25/Mathematics/Page 7 of 9
 (i) Express the volume (V) of each container as function of x only. 1 Mark 
1 Mark 
𝑑𝑉
(ii) Find 𝑑𝑥

(iii) (a) For what value of x , the volume of each container is maximum?  2 Marks 
OR

 2 Marks 
65
(iii) (b) Check whether V has a point of inflection at x = or not?
6

Case Study-2
Q.37. An organization conducted bike race under 2 different categories-boys and girls. In all, there were 250
participants. Among all of them finally three from Category 1 and two from Category 2 were selected for the
final race. Ravi forms two sets B and G with these participants for his college project.

Let B  b1 , b2 , b3  , G   g1 , g2  where B represents the set of boys selected and G the set of girls who

were selected for the final race.

Ravi decides to explore these sets for various types of relations and functions.

On the basis of the above information, answer the following questions:

(i) Ravi wishes to form all the relations possible from B to G . How many such relations are possible?
1 Mark 
(ii) Write the smallest equivalence relation on G. 1 Mark 
(iii) (a) Ravi defines a relation from B to B as 𝑹𝟏 = {(𝒃𝟏 , 𝒃𝟐 ), (𝒃𝟐 , 𝒃𝟏 )}. Write the minimum ordered
pairs to be added in 𝑹𝟏 so that it becomes (A) reflexive but not symmetric, (B) reflexive and
symmetric but not transitive.  2 Marks 
OR
(iii) (b) If the track of the final race (for the biker b1 ) follows the curve

𝑥 2 = 4𝑦; (where0 ≤ 𝑥 ≤ 20√2&0 ≤ 𝑦 ≤ 200), then state whether the track represents a
one-one and onto function or not. (Justify).  2 Marks 

Case Study- 3

Q.38. Arka bought two cages of birds: Cage-I contains 5 parrots and 1 owl and Cage –II contains 6 parrots.
One day Arka forgot to lock both cages and two birds flew from Cage-I to Cage-II (simultaneously). Then
two birds flew back from cage-II to cage-I(simultaneously).

Assume that all the birds have equal chances of flying.

On the basis of the above information, answer the following questions:-

Class-XII/Sample Paper/2024-25/Mathematics/Page 8 of 9
(i) When two birds flew from Cage-I to Cage-II and two birds flew back from Cage-II to Cage-I then
find the probability that the owl is still in Cage-I.  2 Marks 
(ii) When two birds flew from Cage-I to Cage-II and two birds flew back from Cage-II to Cage-I, the
owl is still seen in Cage-I, what is the probability that one parrot and the owl flew from Cage-I to
Cage-II?  2 Marks 

*******************************************************************************

Class-XII/Sample Paper/2024-25/Mathematics/Page 9 of 9
 ACCOUNTANCY (Code No. 055)

Rationale

The course in accountancy is introduced at plus two stage of senior second of school education,
as the formal commerce education is provided after ten years of schooling. With the fast
changing economic scenario, accounting as a source of financial information has carved out a
place for itself at the senior secondary stage. Its syllabus content provide students a firm
foundation in basic accounting concepts and methodology and also acquaint them with the
changes taking place in the preparation and presentation of financial statements in accordance
to the applicable accounting standards and the Companies Act 2013.

The course in accounting put emphasis on developing basic understanding about accounting as
an information system. The emphasis in Class XI is placed on basic concepts and process of
accounting leading to the preparation of accounts for a sole proprietorship firm. The students
are also familiarized with basic calculations of Goods and Services Tax (GST) in recording the
business transactions. The accounting treatment of GST is confined to the syllabus of class XI.

The increased role of ICT in all walks of life cannot be overemphasized and is becoming an
integral part of business operations. The learners of accounting are introduced to Computerized
Accounting System at class XI and XII. Computerized Accounting System is a compulsory
component which is to be studied by all students of commerce in class XI; whereas in class XII
it is offered as an optional subject to Company Accounts and Analysis of Financial Statements.
This course is developed to impart skills for designing need based accounting database for
maintaining book of accounts.

The complete course of Accountancy at the senior secondary stage introduces the learners to
the world of business and emphasize on strengthening the fundamentals of the subject.

Objectives:
1. To familiarize students with new and emerging areas in the preparation and presentation
of financial statements.
2. To acquaint students with basic accounting concepts and accounting standards.
3. To develop the skills of designing need based accounting database.
4. To appreciate the role of ICT in business operations.
5. To develop an understanding about recording of business transactions and preparation
of financial statements.
6. To enable students with accounting for Not-for-Profit organizations, accounting for
Partnership Firms and company accounts.
 Accountancy (Code No.055)
Course Structure
Class-XI (2024-25)
Theory: 80 Marks 3 Hours
Project: 20 Marks
Units Periods Marks
Part A: Financial Accounting-1
Unit-1: Theoretical Framework 25 12
Unit-2: Accounting Process 115 44
Part B: Financial Accounting-II
Unit-3: Financial Statements of Sole Proprietorship 60 24

Part C: Project Work 20 20

PART A: FINANCIAL ACCOUNTING - I

Unit-1: Theoretical Frame Work

Units/Topics Learning Outcomes
Introduction to Accounting After going through this Unit, the students will be
• Accounting- concept, meaning, as a source able to:
of information, objectives, advantages and • describe the meaning, significance,
limitations, types of accounting information; objectives, advantages and limitations of
users of accounting information and their accounting in the modem economic
needs. Qualitative Characteristics of environment with varied types of business
Accounting Information. Role of Accounting in and non-business economic entities.
Business. • identify / recognise the individual(s) and
• Basic Accounting Terms- Entity, Business entities that use accounting information for
Transaction, Capital, Drawings. Liabilities serving their needs of decision making.
(Non Current and Current). Assets (Non • explain the various terms used in accounting
Current, Current); Expenditure (Capital and and differentiate between different related
Revenue), Expense, Revenue, Income, terms like current and non-current, capital
Profit, Gain, Loss, Purchase, Sales, Goods, and revenue.
Stock, Debtor, Creditor, Voucher, Discount • give examples of terms like business
(Trade discount and Cash Discount) transaction, liabilities, assets, expenditure
and purchases.
Theory Base of Accounting • explain that sales/purchases include both
• Fundamental accounting assumptions: cash and credit sales/purchases relating to
GAAP: Concept the accounting year.
• Basic Accounting Concept : Business Entity,
 Money Measurement, Going Concern, • differentiate among income, profits and gains.
Accounting Period, Cost Concept, Dual • state the meaning of fundamental accounting
Aspect, Revenue Recognition, Matching, Full assumptions and their relevance in
Disclosure, Consistency, Conservatism, accounting.
• Materiality and Objectivity • describe the meaning of accounting
• System of Accounting. Basis of Accounting: assumptions and the situation in which an
cash basis and accrual basis assumption is applied during the accounting
• Accounting Standards: Applicability of process.
Accounting Standards (AS) and Indian • explain the meaning, applicability, objectives,
Accounting Standards (IndAS) advantages and limitations of accounting
• Goods and Services Tax (GST): standards.
Characteristics and Advantages. • appreciate that various accounting standards
developed nationally and globally are in
practice for bringing parity in the accounting
treatment of different items.
• acknowledge the fact that recording of
accounting transactions follows double entry
system.
• explain the bases of recording accounting
transaction and to appreciate that accrual
basis is a better basis for depicting the
correct financial position of an enterprise.
• Explain the meaning, advantages and
characteristic of GST.

Unit-2: Accounting Process

Units/Topics Learning Outcomes

Recording of Business Transactions After going through this Unit, the students will be
• Voucher and Transactions: Source able to:
documents and Vouchers, Preparation of • explain the concept of accounting equation
Vouchers, Accounting Equation Approach: and appreciate that every transaction affects
Meaning and Analysis, Rules of Debit and either both the sides of the equation or a
Credit. positive effect on one item and a negative
• Recording of Transactions: Books of Original effect on another item on the same side of
Entry- Journal accounting equation.
• Special Purpose books: • explain the effect of a transaction (increase or
• Cash Book: Simple, cash book with bank decrease) on the assets, liabilities, capital,
column and petty cashbook revenue and expenses.
 • Purchases book • appreciate that on the basis of source
• Sales book documents, accounting vouchers are
• Purchases return book prepared for recording transaction in the
• Sales return book books of accounts.

• Journal proper • develop the understanding of recording of

Note: Including trade discount, freight and cartage transactions in journal and the skill of
expenses for simple GST calculation. calculating GST.
• Ledger: Format, Posting from journal and • explain the purpose of maintaining a Cash
subsidiary books, Balancing of accounts Book and develop the skill of preparing the
format of different types of cash books and
Bank Reconciliation Statement: the method of recording cash transactions in
• Need and preparation, Bank Reconciliation Cash book.
Statement • describe the method of recording
Depreciation, Provisions and Reserves transactions other than cash transactions as
• Depreciation: Meaning, Features, Need, per their nature in different subsidiary books .
Causes, factors • appreciate that at times bank balance as
• Other similar terms: Depletion and indicated by cash book is different from the
Amortisation bank balance as shown by the pass book /
• Methods of Depreciation: bank statement and to reconcile both the
i. Straight Line Method (SLM) balances, bank reconciliation statement is
ii. Written Down Value Method (WDV) prepared.
Note: Excluding change of method • develop understanding of preparing bank
• Difference between SLM and WDV; reconciliation statement.
Advantages of SLM and WDV
• appreciate that for ascertaining the position of
• Method of recoding depreciation individual accounts, transactions are posted
i. Charging to asset account
from subsidiary books and journal proper into
ii. Creating provision for
the concerned accounts in the ledger and
depreciation/accumulated depreciation
develop the skill of ledger posting.
account
• explain the necessity of providing
• Treatment of disposal of asset
depreciation and develop the skill of using
• Provisions, Reserves, Difference Between
different methods for computing depreciation.
Provisions and Reserves.
• understand the accounting treatment of
• Types of Reserves:
providing depreciation directly to the
i. Revenue reserve
ii. Capital reserve concerned asset account or by creating
iii. General reserve provision for depreciation account.
iv. Specific reserve
v. Secret Reserve • appreciate the method of asset disposal
• Difference between capital and revenue through the concerned asset account or by
reserve preparing asset disposal account.
• appreciate the need for creating reserves and
Trial balance and Rectification of Errors also making provisions for events which may
• Trial balance: objectives, meaning and belong to the current year but may happen in
preparation next year.
(Scope: Trial balance with balance method only) • appreciate the difference between reserve
• Errors: classification-errors of omission, and reserve fund.
commission, principles, and compensating; • state the need and objectives of preparing
their effect on Trial Balance. trial balance and develop the skill of
• Detection and rectification of errors; preparing trial balance.
(i) Errors which do not affect trial balance • appreciate that errors may be committed
(ii) Errors which affect trial balance during the process of accounting.
• preparation of suspense account. • understand the meaning of different types of
errors and their effect on trial balance.
• develop the skill of identification and location
of errors and their rectification and
preparation of suspense account.

Part B: Financial Accounting - II

Unit 3: Financial Statements of Sole Proprietorship

Units/Topics Learning Outcomes

Financial Statements After going through this Unit, the students will be
Meaning, objectives and importance; Revenue and able to:
Capital Receipts; Revenue and Capital Expenditure; • state the meaning of financial statements the
Deferred Revenue expenditure. Opening journal • purpose of preparing financial statements.
entry. Trading and Profit and Loss Account: Gross • state the meaning of gross profit, operating
Profit, Operating profit and Net profit. Preparation. profit and net profit and develop the skill of
preparing trading and profit and loss account.
Balance Sheet: need, grouping and marshalling of • explain the need for preparing balance sheet.
assets and liabilities. Preparation. Adjustments in • understand the technique of grouping and
preparation of financial statements with respect to marshalling of assets and liabilities.
closing stock, outstanding expenses, prepaid • appreciate that there may be certain items
expenses, accrued income, income received in other than those shown in trial balance which
advance, depreciation, bad debts, provision for may need adjustments while preparing
doubtful debts, provision for discount on debtors, financial statements.
Abnormal loss, Goods taken for personal use/staff • develop the understanding and skill to do
welfare, interest on capital and managers adjustments for items and their presentation
commission. Preparation of Trading and Profit and in financial statements like depreciation,
Loss account and Balance Sheet of a sole closing stock, provisions, abnormal loss etc.
proprietorship with adjustments.
• develop the skill of preparation of trading and
profit and loss account and balance sheet.
Incomplete Records
Features, reasons and limitations.
Ascertainment of Profit/Loss by Statement of Affairs
method. (excluding conversion method)

Part C: Project Work (Any One)

1. Collection of source documents, preparation of vouchers, recording of transactions with the help of vouchers.
2. Preparation of Bank Reconciliation Statement with the given cash book and the pass book with twenty to
twenty-five transactions.
3. Comprehensive project of any sole proprietorship business. This may state with journal entries and their
ledgering, preparation of Trial balance. Trading and Profit and Loss Account and Balance Sheet. Expenses,
incomes and profit (loss), assets and liabilities are to be depicted using pie chart / bar diagram. This may
include simple GST related transactions.
 PROJECT WORK

It is suggested to undertake this project after completing the unit on preparation of financial statements. The
student(s) will be allowed to select any business of their choice or develop the transaction of imaginary
business. The project is to run through the chapters and make the project an interesting process. The amounts
should emerge as more realistic and closer to reality.

Specific Guidelines for Teachers

Give a list of options to the students to select a business form. You can add to the given list:
1. A beauty parlour 10. Men's wear 19. A coffee shop
2. Men's saloon 11. Ladies wear 20. A music shop
3. A tailoring shop 12. Kiddies wear 21. A juice shop
4. A canteen 13. A Saree shop 22. A school canteen
5. A cake shop 14. Artificial jewellery shop 23. An ice cream parlour
6. A confectionery shop 15. A small restaurant 24. A sandwich shop
7. A chocolate shop 16. A sweet shop 25. A flower shop
8. A dry cleaner 17. A grocery shop
9. A stationery shop 18. A shoe shop

After selection, advise the student(s) to visit a shop in the locality (this will help them to settle on a realistic
amounts different items. The student(s) would be able to see the things as they need to invest in furniture,
decor, lights, machines, computers etc.

A suggested list of different item is given below.

1. Rent 19. Wages and Salary
2. Advance rent [approximately three months] 20. Newspaper and magazines
3. Electricity deposit 21. Petty expenses
4. Electricity bill 22. Tea expenses
5. Electricity fitting 23. Packaging expenses
6. Water bill 24. Transport
7. Water connection security deposit 25. Delivery cycle or a vehicle purchased
8. Water fittings 26. Registration
9. Telephone bill 27. Insurance
10. Telephone security deposit 28. Auditors fee
11. Telephone instrument 29. Repairs & Maintenance
12. Furniture 30. Depreciations
13. Computers 31. Air conditioners
14. Internet connection 32. Fans and lights
15. Stationery 33. Interior decorations
16. Advertisements 34. Refrigerators
17. Glow sign 35. Purchase and sales
18. Rates and Taxes

At this stage, performas of bulk of originality and ledger may be provided to the students and they may be
asked to complete the same.

In the next step the students are expected to prepare the trial balance and the financial statements.
 Suggested Question Paper Design
Accountancy (Code No. 055)
Class XI (2024-25)
Theory: 80 Marks 3 hrs.
Project: 20 Marks

S
N Typology of Questions Marks Percentage
1
Remembering and Understanding:
Exhibit memory of previously learned material by recalling facts, terms, basic concepts,
and answers.
44 55%
Demonstrate understanding of facts and ideas by organizing, comparing, translating,
interpreting, giving descriptions, and stating main ideas

3 Applying: Solve problems to new situations by applying acquired knowledge, facts,

techniques and rules in a different way. 19 23.75%

4
Analysing, Evaluating and Creating:
Examine and break information into parts by identifying motives or causes. Make
inferences and find evidence to support generalizations.
Present and defend opinions by making judgments about information, validity of ideas, or
17 21.25%
quality of work based on a set of criteria.
Compile information together in a different way by combining elements in a new pattern
or proposing alternative solutions.

TOTAL 80 100%
 Accountancy (Code No. 055)
Class-XII (2024-25)

Theory: 80 Marks 3 Hours

Project: 20 Marks

Units Periods Marks

Part A Accounting for Partnership Firms and Companies

Unit 1. Accounting for Partnership Firms 105 36

Unit 2. Accounting for Companies 45 24
150 60
Part B Financial Statement Analysis
Unit 3. Analysis of Financial Statements 30 12
Unit 4. Cash Flow Statement 20 8
50 20
Part C Project Work 20 20
Project work will include:

Project File 12 Marks

Viva Voce 8 Marks

Or
Part B Computerized Accounting

Unit 4. Computerized Accounting 50 20

Part C Practical Work 20 20
Practical work will include:

Practical File 12 Marks

Viva Voce 8 Marks

Part A: Accounting for Partnership Firms and Companies
Unit 1: Accounting for Partnership Firms
Units/Topics Learning Outcomes
• Partnership: features, Partnership Deed. After going through this Unit, the students will be
• Provisions of the Indian Partnership Act 1932 able to:
in the absence of partnership deed. • state the meaning of partnership, partnership
• Fixed v/s fluctuating capital accounts. firm and partnership deed.
Preparation of Profit and Loss Appropriation • describe the characteristic features of
account- division of profit among partners, partnership and the contents of partnership
guarantee of profits. deed.
• Past adjustments (relating to interest on • discuss the significance of provision of
capital, interest on drawing, salary and profit Partnership Act in the absence of partnership
sharing ratio). deed.
• Goodwill: meaning, nature, factors affecting • differentiate between fixed and fluctuating
and methods of valuation - average profit, capital, outline the process and develop the
super profit and capitalization. understanding and skill of preparation of
Profit and Loss Appropriation Account.
Note: Interest on partner's loan is to be treated as a • develop the understanding and skill of
charge against profits. preparation profit and loss appropriation
Goodwill: meaning, factors affecting, need for account involving guarantee of profits.
valuation, methods for calculation (average profits, • develop the understanding and skill of
super profits and capitalization), adjusted through making past adjustments.
partners capital/ current account. • state the meaning, nature and factors
affecting goodwill
Accounting for Partnership firms - Reconstitution • develop the understanding and skill of
and Dissolution. valuation of goodwill using different methods.
• Change in the Profit Sharing Ratio among • state the meaning of sacrificing ratio, gaining
the existing partners - sacrificing ratio, ratio and the change in profit sharing ratio
gaining ratio, accounting for revaluation of among existing partners.
assets and reassessment of liabilities and • develop the understanding of accounting
treatment of reserves, accumulated profits treatment of revaluation assets and
and losses. Preparation of revaluation reassessment of liabilities and treatment of
account and balance sheet. reserves and accumulated profits by
• Admission of a partner - effect of admission preparing revaluation account and balance
of a partner on change in the profit sharing sheet.
ratio, treatment of goodwill (as per AS 26), • explain the effect of change in profit sharing
treatment for revaluation of assets and re- ratio on admission of a new partner.
assessment of liabilities, treatment of • develop the understanding and skill of
reserves, accumulated profits and losses,
 adjustment of capital accounts and treatment of goodwill as per AS-26, treatment
preparation of capital, current account and of revaluation of assets and re-assessment of
balance sheet. liabilities, treatment of reserves and
• Retirement and death of a partner: effect of accumulated profits, adjustment of capital
retirement / death of a partner on change in accounts and preparation of capital, current
profit sharing ratio, treatment of goodwill (as account and balance sheet of the new firm.
per AS 26), treatment for revaluation of • explain the effect of retirement / death of a
assets and reassessment of liabilities, partner on change in profit sharing ratio.
adjustment of accumulated profits, losses • develop the understanding of accounting
and reserves, adjustment of capital accounts treatment of goodwill, revaluation of assets
and preparation of capital, current account and re-assessment of liabilities and
and balance sheet. Preparation of loan adjustment of accumulated profits, losses
account of the retiring partner. and reserves on retirement / death of a
• Calculation of deceased partner’s share of partner and capital adjustment.
profit till the date of death. Preparation of • develop the skill of calculation of deceased
deceased partner’s capital account and his partner's share till the time of his death and
executor’s account. prepare deceased partner's and executor's
• Dissolution of a partnership firm: meaning account.
of dissolution of partnership and partnership • discuss the preparation of the capital
firm, types of dissolution of a firm. Settlement accounts of the remaining partners and the
of accounts - preparation of realization balance sheet of the firm after retirement /
account, and other related accounts: capital death of a partner.
accounts of partners and cash/bank a/c • understand the situations under which a
(excluding piecemeal distribution, sale to a partnership firm can be dissolved.
company and insolvency of partner(s)). • develop the understanding of preparation of
Note: realisation account and other related
(i) If the realized value of tangible assets is not given it accounts.
should be considered as realized at book value itself.
(ii) If the realized value of intangible assets is not
given it should be considered as nil (zero value).
(ii) In case, the realization expenses are borne by a
partner, clear indication should be given regarding the
payment thereof.

Unit-3 Accounting for Companies

Units/Topics Learning Outcomes

Accounting for Share Capital After going through this Unit, the students will be
• Features and types of companies. able to:
• Share and share capital: nature and types. • state the meaning of share and share capital
 • Accounting for share capital: issue and and differentiate between equity shares and
allotment of equity and preferences shares. preference shares and different types of
Public subscription of shares - over share capital.
subscription and under subscription of • understand the meaning of private placement
shares; issue at par and at premium, calls in of shares and Employee Stock Option Plan.
advance and arrears (excluding interest), • explain the accounting treatment of share
issue of shares for consideration other than capital transactions regarding issue of
cash. shares.
• Concept of Private Placement and Employee • develop the understanding of accounting
Stock Option Plan (ESOP), Sweat Equity. treatment of forfeiture and re-issue of
• Accounting treatment of forfeiture and re- forfeited shares.
issue of shares. • describe the presentation of share capital in
• Disclosure of share capital in the Balance the balance sheet of the company as per
Sheet of a company. schedule III part I of the Companies Act
2013.
Accounting for Debentures • explain the accounting treatment of different
• Debentures: Meaning, types, Issue of categories of transactions related to issue of
debentures at par, at a premium and at a debentures.
discount. Issue of debentures for • develop the understanding and skill of writing
consideration other than cash; Issue of of discount / loss on issue of debentures.
debentures with terms of redemption; • understand the concept of collateral security
debentures as collateral security-concept, and its presentation in balance sheet.
interest on debentures (concept of TDS is • develop the skill of calculating interest on
excluded). Writing off discount / loss on issue debentures and its accounting treatment.
of debentures. • state the meaning of redemption of
Note: Discount or loss on issue of debentures to be debentures.
written off in the year debentures are allotted from
Security Premium Reserve (if it exists) and then from
Statement of Profit and Loss as Financial Cost (AS
16)

Part B: Financial Statement Analysis

Unit 4: Analysis of Financial Statements

Units/Topics Learning Outcomes
Financial statements of a Company: After going through this Unit, the students will be
Meaning, Nature, Uses and importance of financial able to:
Statement. • develop the understanding of major headings
Statement of Profit and Loss and Balance Sheet in and sub-headings (as per Schedule III to the
prescribed form with major headings and sub Companies Act, 2013) of balance sheet as
headings (as per Schedule III to the Companies Act, per the prescribed norms / formats.
2013) • state the meaning, objectives and limitations
of financial statement analysis.
Note: Exceptional items, extraordinary items and • discuss the meaning of different tools of
profit (loss) from discontinued operations are 'financial statements analysis'.
excluded. • develop the skill of preparation of preparation
• Financial Statement Analysis: Meaning, of comparative and common size statement,
Significance Objectives, importance and understand their uses and difference
limitations. between the two.
• Tools for Financial Statement Analysis: • state the meaning, objectives and
Comparative statements, common size significance of different types of ratios.
statements, Ratio analysis, Cash flow • develop the understanding of computation of
analysis. current ratio and quick ratio.
• Accounting Ratios: Meaning, Objectives, • develop the skill of computation of debt equity
Advantages, classification and computation. ratio, total asset to debt ratio, proprietary ratio
• Liquidity Ratios: Current ratio and Quick and interest coverage ratio.
ratio. • develop the skill of computation of inventory
• Solvency Ratios: Debt to Equity Ratio, Total turnover ratio, trade receivables and trade
Asset to Debt Ratio, Proprietary Ratio and payables ratio and working capital turnover
Interest Coverage Ratio. Debt to Capital ratio and others.
Employed Ratio. • develop the skill of computation of gross
• Activity Ratios: Inventory Turnover Ratio, profit ratio, operating ratio, operating profit
Trade Receivables Turnover Ratio, Trade ratio, net profit ratio and return on investment.
Payables Turnover Ratio, Fixed Asset
Turnover Ratio, Net Asset Turnover Ratio
and Working Capital Turnover Ratio.
• Profitability Ratios: Gross Profit Ratio,
Operating Ratio, Operating Profit Ratio, Net
Profit Ratio and Return on Investment.

Note: Net Profit Ratio is to be calculated on the basis of profit before and after tax.

Unit 5: Cash Flow Statement

Units/Topics Learning Outcomes

• Meaning, objectives Benefits, Cash and Cash After going through this Unit, the students will
Equivalents, Classification of Activities and be able to:
preparation (as per AS 3 (Revised) (Indirect • state the meaning and objectives of cash flow
Method only) statement.
 • develop the understanding of preparation of
Note: Cash Flow Statement using indirect method
(i) Adjustments relating to depreciation and as per AS 3 with given adjustments.
amortization, profit or loss on sale of assets including
investments, dividend (both final and interim) and tax.
(ii) Bank overdraft and cash credit to be treated as
short term borrowings.
(iii) Current Investments to be taken as Marketable
securities unless otherwise specified.

Note: Previous years’ Proposed Dividend to be given effect, as prescribed in AS-4, Events occurring after the
Balance Sheet date. Current years’ Proposed Dividend will be accounted for in the next year after it is declared
by the shareholders.
Project Work

One specific project based on financial statement analysis of a company covering any two aspects from the
following:

1. Comparative and common size financial statements

2. Accounting Ratios
3. Segment Reports
4. Cash Flow Statements

OR

Part B: Computerised Accounting

Unit 4: Computerised Accounting

Overview of Computerised Accounting System

• Introduction: Application in Accounting.
• Features of Computerised Accounting System.
• Structure of CAS.
• Software Packages: Generic; Specific; Tailored.

Accounting Application of Electronic Spreadsheet.

• Concept of electronic spreadsheet.
• Features offered by electronic spreadsheet.
• Application in generating accounting information - bank reconciliation statement; asset accounting;
loan repayment of loan schedule, ratio analysis
• Data representation- graphs, charts and diagrams.

Using Computerized Accounting System.

• Steps in installation of CAS, codification and Hierarchy of account heads, creation of accounts.
• Data: Entry, validation and verification.
• Adjusting entries, preparation of balance sheet, profit and loss account with closing entries and
opening entries.
• Need and security features of the system.

Part C: Practical Work

Prescribed Books:
Financial Accounting -I Class XI NCERT Publication
Accountancy -II Class XI NCERT Publication
Accountancy -I Class XII NCERT Publication
Accountancy -II Class XII NCERT Publication
Accountancy – Computerised Accounting System Class XII NCERT Publication
 Suggested Question Paper Design
Accountancy (Code No. 055)
Class XII (2024-25)
Theory: 80 Marks 3 hrs.
Project: 20 Marks

S
N Typology of Questions Marks Percentage
1 Remembering and Understanding:
Exhibit memory of previously learned material by recalling facts, terms, basic concepts,
and answers.
44 55%
Demonstrate understanding of facts and ideas by organizing, comparing, translating,
interpreting, giving descriptions, and stating main ideas

3 Applying: Solve problems to new situations by applying acquired knowledge, facts,

techniques and rules in a different way. 19 23.75%

4
Analysing, Evaluating and Creating:
Examine and break information into parts by identifying motives or causes. Make
inferences and find evidence to support generalizations.
Present and defend opinions by making judgments about information, validity of ideas, or
17 21.25%
quality of work based on a set of criteria.
Compile information together in a different way by combining elements in a new pattern
or proposing alternative solutions.

TOTAL 80 100%
 BUSINESS STUDIES (Code No. 054)
Rationale
The courses in Business Studies and Accountancy are introduced at + 2 stage of Senior
Secondary Education as formal commerce education is provided after first ten years of
schooling. Therefore, it becomes necessary that instructions in these subjects are given
in such a manner that students have a good understanding of the principles and
practices bearing in business (trade and industry) as well as their relationship with the
society.

Business is a dynamic process that brings together technology, natural resources and
human initiative in a constantly changing global environment. To understand the
framework in which a business operates, a detailed study of the organisation and
management of business processes and its interaction with the environment is required.
Globalisation has changed the way organizations transact their business.

Information Technology is becoming a part of business operations in more and more

organisations. Computerised systems are fast replacing other systems. E-business and
other related concepts are picking up fast which need to be emphasized in the
curriculum.

The course in Business Studies prepares students to analyse, manage, evaluate and
respond to changes which affect business. It provides a way of looking at and interacting
with the business environment. It recognizes the fact that business influences and is
influenced by social, political, legal and economic forces.

It allows students to appreciate that business is an integral component of society and

develops an understanding of many social and ethical issues.

Therefore, to acquire basic knowledge of the business world, a course in Business

Studies would be useful. It also informs students of a range of study and work options
and bridges the gap between school and work.

Objectives:
• To inculcate business attitude and develop skills among students to pursue
higher education, world of work including self employment.
• To develop students with an understanding of the processes of business and its
environment;
• To acquaint students with the dynamic nature and inter-dependent aspects of
business;
• To develop an interest in the theory and practice of business, trade and industry;
• To familiarize students with theoretical foundations of the process of organizing
and managing the operations of a business firm;
• To help students appreciate the economic and social significance of business
activity and the social cost and benefits arising there from;
• To acquaint students with the practice of managing the operations and resources
of business;
• To enable students to act more effectively and responsibly as consumers,
employers, employees and citizens;
 BUSINESS STUDIES (Code No. 054)
CLASS–XI (2024-25)
Theory: 80 Marks 3 Hours
Project: 20 Marks

Units Periods Marks

Part A Foundations of Business
1 Nature and Purpose of Business 18 16
2 Forms of Business Organisations 24
3 Public, Private and Global Enterprises 18 14
4 Business Services 18
5 Emerging Modes of Business 10 10
6 Social Responsibility of Business and 12
Business Ethics
Total 100 40
Part B Finance and Trade
7 Sources of Business Finance 30 20
8 Small Business 16
9 Internal Trade 30 20
10 International Business 14
Total 90 40

Project Work (One) 30 20

Part A: Foundation of Business

Concept includes meaning and features

Unit 1: Evolution and Fundamentals of Business

Content After going through this unit, the

student/ learner would be able to:
History of Trade and Commerce in India: • To acquaint the History of Trade
Indigenous Banking System, Rise of and Commerce in India
Intermediaries, Transport, Trading
Communities: Merchant Corporations,
Major Trade Centres, Major Imports and
Exports, Position of Indian Sub-Continent
in the World Economy
• Understand the meaning of
Business – meaning and characteristics business with special reference to
economic and non-economic
activities.
• Discuss the characteristics of
business.
Business, profession and employment – • Understand the concept of
Concept business, profession and
employment.
• Differentiate between business,
profession and employment.
Objectives of business • Appreciate the economic and social
objectives of business.
• Examine the role of profit in
business.
Classification of business activities - • Understand the broad categories of
Industry and Commerce business activities- industry and
commerce.
Industry-types: primary, secondary, tertiary • Describe the various types of
Meaning and subgroups industries.
Commerce-trade: (types-internal, external; • Discuss the meaning of commerce,
wholesale and retail) and auxiliaries to trade and auxiliaries to trade.
trade; (banking, insurance, transportation, • Discuss the meaning of different
warehousing, communication, and types of trade and auxiliaries to
advertising) – meaning trade.
• Examine the role of commerce-
trade and auxiliaries to trade.
• Understand the concept of risk as a
Business risk-Concept special characteristic of business.
• Examine the nature and causes of
business risks.

Unit 2: Forms of Business organizations

Sole Proprietorship-Concept, merits and • List the different forms of business

limitations organizations and understand their
meaning.
• Identify and explain the concept,
merits and limitations of Sole
Proprietorship.
Partnership-Concept, types, merits and • Identify and explain the concept,
limitation of partnership, registration of a merits and limitations of a
partnership firm, partnership deed. Types Partnership firm.
of partners • Understand the types of
partnership on the basis of duration
and on the basis of liability.
• State the need for registration of a
partnership firm.
• Discuss types of partners –active,
sleeping, secret, nominal and
partner by estoppel.
Hindu Undivided Family Business: • Understand the concept of Hindu
Concept Undivided Family Business.
Cooperative Societies-Concept, merits, • Identify and explain the concept,
and limitations. merits and limitations of
Cooperative Societies.
• Understand the concept of
consumers, producers, marketing,
farmers, credit and housing co-
operatives.
Company - Concept, merits and limitations; • Identify and explain the concept,
Types: Private, Public and One Person merits and limitations of private and
Company – Concept public companies.
• Understand the meaning of one
person company.
• Distinguish between a private
company and a public company.
Formation of company - stages, important • Highlight the stages in the
documents to be used in formation of a formation of a company.
company • Discuss the important documents
used in the various stages in the
formation of a company.
Choice of form of business organization • Distinguish between the various
forms of business organizations.
• Explain the factors that influence
the choice of a suitable form of
business organization.

Unit 3: Public, Private and Global Enterprises

Public sector and private sector • Develop an understanding of Public

enterprises – Concept sector and private sector
enterprises
Forms of public sector enterprises: • Identify and explain the features,
Departmental Undertakings, Statutory merits and limitations of different
Corporations and Government Company forms of public sector enterprises
Global Enterprises – Feature • Develop an understanding of global
Joint venture enterprises, public private
Public private partnership – concept partnership by studying their
meaning and features.
Unit 4: Business Services
Business services – meaning and types. • Understand the meaning and types
Banking: Types of bank accounts - of business services.
savings, current, recurring, fixed deposit • Discuss the meaning and types of
and multiple option deposit account Business service Banking
• Develop an understanding of
difference types of bank account.
Banking services with particular reference • Develop an understanding of the
to Bank Draft, Bank Overdraft, Cash credit. different services provided by
E-Banking: meaning, types of digital banks
payments
Insurance – Principles. Types – life, health, • Recall the concept of insurance
fire and marine insurance – concept • Understand Utmost Good Faith,
Insurable Interest, Indemnity,
Contribution, Doctrine of
Subrogation and Causa Proxima as
principles of insurance
• Discuss the meaning of different
 types of insurance-life, health, fire,
marine insurance.
Postal Service - Mail, Registered Post, • Understand the utility of different
Parcel, Speed Post, Courier - meaning telecom services

Unit 5: Emerging Modes of Business

E - business: concept, scope and benefits • Give the meaning of e-business.

• Discuss the scope of e-business.
• Appreciate the benefits of e-
business
• Distinguish e-business from
traditional business.

Unit 6: Social Responsibility of Business and Business Ethics

Concept of social responsibility • State the concept of social

responsibility.
Case of social responsibility • Examine the case for social
responsibility.
Responsibility towards owners, investors, • Identify the social responsibility
consumers, employees, government and towards different interest groups.
community
Role of business in environment protection • Appreciate the role of business in
environment protection.
Business Ethics - Concept and Elements • State the concept of business
ethics.
• Describe the elements of business
ethics.

Part B: Finance and Trade

Unit 7: Sources of Business Finance

Concept of business finance • State the meaning, nature and

importance of business finance.
Owners’ funds- equity shares, preferences • Classify the various sources of
share, retained earnings funds into owners’ funds.
• State the meaning of owners’
funds.
Borrowed funds: debentures and bonds, • State the meaning of borrowed
loan from financial institution and funds.
commercial banks, public deposits, trade • Discuss the concept of debentures,
credit, Inter Corporate Deposits (ICD) bonds, loans from financial
institutions and commercial banks,
Trade credit and inter corporate
deposits.
• Distinguish between owners’ funds
and borrowed funds.
Unit 8: Small Business and Enterprises

Entrepreneurship Development (ED): • Understand the concept of

Concept, Characteristics and Need. Entrepreneurship Development
Process of Entrepreneurship Development: (ED), Intellectual Property Rights
Start-up India Scheme, ways to fund
start-up. Intellectual Property Rights and
Entrepreneurship
Small scale enterprise as defined by • Understand the meaning of small
MSMED Act 2006 (Micro, Small and business
Medium Enterprise Development Act)
Role of small business in India with special • Discuss the role of small business
reference to rural areas in India
Government schemes and agencies for • Appreciate the various Government
small scale industries: National Small schemes and agencies for
Industries Corporation (NSIC) and District development of small scale
Industrial Centre (DIC) with special industries. NSIC and DIC with
reference to rural, backward areas special reference to rural, backward
area.

Unit 9: Internal Trade

Internal trade - meaning and types • State the meaning and types of
services rendered by a wholesaler and a internal trade.
retailer • Appreciate the services of
wholesalers and retailers.

Types of retail-trade-Itinerant and small • Explain the different types of retail

scale fixed shops retailers trade.

Large scale retailers-Departmental stores, • Highlight the distinctive features of

chain stores – concept departmental stores, chain stores
and mail order business.

GST (Goods and Services Tax): Concept • Understand the concept of GST
and key-features

Unit 10: International Trade

International trade: concept and benefits • Understand the concept of

international trade.
• Describe the scope of international
trade to the nation and business
firms.
Export trade – Meaning and procedure • State the meaning and objectives
of export trade.
• Explain the important steps
involved in executing export trade.
Import Trade - Meaning and procedure • State the meaning and objectives
 of import trade.
• Discuss the important steps
involved in executing import trade.
Documents involved in International Trade; • Develop an understanding of the
indent, letter of credit, shipping order, various documents used in
shipping bills, mate’s receipt (DA/DP) international trade.
• Identify the specimen of the various
documents used in international
trade.
• Highlight the importance of the
documents needed in connection
with international trade transactions
World Trade Organization (WTO) meaning • State the meaning of World Trade
and objectives Organization.
• Discuss the objectives of World
Trade Organization in promoting
international trade.

Unit 11: Project Work

As per CBSE guidelines.

 Suggested Question Paper Design
Business Studies (Code No. 054)
Class XI (2024-25)
March 2025 Examination
Marks: 80 Duration: 3 hrs.

SN Typology of Questions Marks Percentage

Remembering and Understanding:
Exhibit memory of previously learned material by recalling facts,
terms, basic concepts, and answers.
1 Demonstrate understanding of facts and ideas by organizing, 44 55%
comparing, translating, interpreting, giving descriptions, and
stating main ideas

Applying: Solve problems to new situations by applying acquired

2 knowledge, facts, techniques and rules in a different way 19 23.75%

Analysing, Evaluating and Creating:

Examine and break information into parts by identifying motives or
causes. Make inferences and find evidence to support
generalizations.
Present and defend opinions by making judgments about
3 17 21.25%
information, validity of ideas, or quality of work based on a set of
criteria.
Compile information together in a different way by combining
elements in a new pattern or proposing alternative solutions.

Total 80 100%
 Business Studies
CLASS–XII (2024-25)

Theory: 80 Marks 3 Hours

Project: 20 Marks

Units Periods Marks

Part A Principles and Functions of Management
1. Nature and Significance of Management 12 16
2 Principles of Management 14
3 Business Environment 12
4 Planning 14 14
5 Organising 15
6 Staffing 16 20
7 Directing 15
8 Controlling 12
Total 110 50
Part B Business Finance and Marketing
9 Financial Management 20 15
10 Financial Markets 18
11 Marketing Management 30 15
12 Consumer Protection 12
Total 80 30

Part C Project Work (One) 30 20

Part A: Principles and Functions of Management

Unit 1: Nature and Significance of Management
Concept After going through this unit, the
student/ learner would be able to:
Management - concept, objectives, and • Understand the concept of
importance management.
• Explain the meaning of
‘Effectiveness and Efficiency.
• Discuss the objectives of
management.
• Describe the importance of
management.
Management as Science, Art and • Examine the nature of
Profession management as a science, art and
profession.
Levels of Management • Understand the role of top, middle
and lower levels of management
Management functions-planning, • Explain the functions of
organizing, staffing, directing and management
controlling
Coordination- concept and importance • Discuss the concept and
 characteristics of coordination.
• Explain the importance of
coordination.
Unit 2: Principles of Management
Principles of Management - concept and • Understand the concept of
significance principles of management.
• Explain the significance of
management principles.
Fayol’s principles of management • Discuss the principles of
management developed by Fayol.
Taylor’s Scientific management - principles • Explain the principles and
and techniques techniques of ‘Scientific
Management’.
• Compare the contributions of Fayol
and Taylor.
Unit 3: Business Environment
Business Environment- concept and • Understand the concept of
importance ‘Business Environment’.
• Describe the importance of
business environment
Dimensions of Business Environment - • Describe the various dimensions of
Economic, Social, Technological, Political ‘Business Environment’.
and Legal • Understand the concept of
demonetization
Demonetization - concept and features
Unit 4: Planning
Planning: Concept, importance and • Understand the concept of
limitation planning.
• Describe the importance of
planning.
• Understand the limitations of
planning.
Planning process • Describe the steps in the process
of planning.
Single use and Standing Plans. Objectives, • Develop an understanding of single
Strategy, Policy, Procedure, Method, Rule, use and standing plans
Budget and Programme • Describe objectives, policies,
strategy, procedure, method, rule,
budget and programme as types of
plans.

Unit 5: Organising

Organising: Concept and importance • Understand the concept of

organizing as a structure and as a
 process.
• Explain the importance of
organising.
Organising Process • Describe the steps in the process
of organizing
Structure of organisation- functional and • Describe functional and divisional
divisional concept. structures of organisation.
Formal and informal organization - concept • Explain the advantages,
disadvantages and suitability of
functional and divisional structure.
• Understand the concept of formal
and informal organisation.
• Discuss the advantages,
disadvantages of formal and
informal organisation.
Delegation: concept, elements and • Understand the concept of
importance delegation.
• Describe the elements of
delegation.
• Appreciate the importance of
Delegation.
Decentralization: concept and importance • Understand the concept of
decentralisation.
• Explain the importance of
decentralisation.
• Differentiate between delegation
and decentralisation.

Unit 6: Staffing

Staffing: Concept and importance of • Understand the concept of staffing.

staffing • Explain the importance of staffing
Staffing as a part of Human Resource • Understand the specialized duties
Management concept and activities performed by Human
Resource Management
Staffing process • Describe the steps in the process
of staffing
Recruitment process • Understand the meaning of
recruitment.
• Discuss the sources of recruitment.
• Explain the merits and demerits of
internal and external sources of
recruitment.
Selection – process • Understand the meaning of
selection.
• Describe the steps involved in the
process of selection.
Training and Development - Concept and • Understand the concept of training
importance, Methods of training - on the and development.
job and off the job - vestibule training, • Appreciate the importance of
apprenticeship training and internship training to the organisation and to
training the employees.
• Discuss the meaning of induction
training, vestibule training,
apprenticeship training and
internship training.
• Differentiate between training and
development.
• Discuss on the job and off the job
methods of training.

Unit 7: Directing

Directing: Concept and importance • Describe the concept of directing.

• Discuss the importance of directing
Elements of Directing • Describe the various elements of
directing
Motivation - concept, Maslow’s hierarchy of • Understand the concept of
needs, Financial and non-financial motivation.
incentives • Develop an understanding of
Maslow’s Hierarchy of needs.
• Discuss the various financial and
non-financial incentives.
Leadership - concept, styles - authoritative, • Understand the concept of
democratic and laissez faire leadership.
• Understand the various styles of
leadership.
Communication - concept, formal and • Understand the concept of
informal communication; barriers to communication
effective communication, how to overcome • Understand the elements of the
the barriers? communication process.
• Discuss the concept of formal and
informal communication.
• Discuss the various barriers to
effective communication.
• Suggest measures to overcome
barriers to communication.

Unit 8: Controlling

Controlling - Concept and importance • Understand the concept of

controlling.
• Explain the importance of
controlling.
Relationship between planning and • Describe the relationship between
controlling planning and controlling
Steps in process of control • Discuss the steps in the process of
controlling.
Part B: Business Finance and Marketing

Unit 9: Financial Management

Financial Management: Concept, role and • Understand the concept of financial

objectives management.
• Explain the role of financial
management in an organisation.
• Discuss the objectives of financial
management
Financial decisions: investment, financing • Discuss the three financial
and dividend - Meaning and factors decisions and the factors affecting
affecting them.
Financial Planning - concept and • Describe the concept of financial
importance planning and its objectives.
• Explain the importance of financial
planning.
Capital Structure – concept and factors • Understand the concept of capital
affecting capital structure structure.
• Describe the factors determining
the choice of an appropriate capital
structure of a company.
Fixed and Working Capital - Concept and • Understand the concept of fixed
factors affecting their requirements and working capital.
• Describe the factors determining
the requirements of fixed and
working capital.

Unit 10: Financial Markets

Financial Markets: Concept • Understand the concept of financial

market.
Money Market: Concept • Understand the concept of money
market.
Capital market and its types (primary and • Discuss the concept of capital
secondary) market.
• Explain primary and secondary
markets as types of capital market.
• Differentiate between capital
market and money market.
• Distinguish between primary and
secondary markets.
Stock Exchange - Functions and trading • Give the meaning of a stock
procedure exchange.
• Explain the functions of a stock
exchange.
• Discuss the trading procedure in a
stock exchange.
 • Give the meaning of depository
services and demat account as
used in the trading procedure of
securities.
Securities and Exchange Board of India • State the objectives of SEBI.
(SEBI) - objectives and functions • Explain the functions of SEBI.

Unit 11: Marketing

Marketing – Concept, functions and • Understand the concept of

philosophies marketing.
• Explain the features of marketing.
• Discuss the functions of marketing.
• Explain the marketing philosophies.
Marketing Mix – Concept and elements • Understand the concept of
marketing mix.
• Describe the elements of marketing
mix.
Product – branding, labelling and • Understand the concept of product
packaging – Concept as an element of marketing mix.
• Understand the concept of
branding, labelling and packaging.
Price - Concept, Factors determining price • Understand the concept of price as
an element of marketing mix.
• Describe the factors determining
price of a product.
Physical Distribution – concept, • Understand the concept of physical
components and channels of distribution distribution.
• Explain the components of physical
distribution.
• Describe the various channels of
distribution.
Promotion – Concept and elements; • Understand the concept of
Advertising, Personal Selling, Sales promotion as an element of
Promotion and Public Relations marketing mix.
• Describe the elements of promotion
mix.
• Understand the concept of
advertising.
• Understand the concept of sales
promotion.
• Discuss the concept of public
relations.

Unit 12: Consumer Protection

Consumer Protection: Concept and • Understand the concept of

importance consumer protection.
• Describe the importance of
 consumer protection.
• Discuss the scope of Consumer
Protection Act, 2019
The Consumer Protection Act, 2019: • Understand the concept of a
Source: consumer according to the
http://egazette.nic.in/WriteReadData/2019/210422.pdf Consumer Protection Act, 2019.
• Explain the consumer rights
Meaning of consumer • Understand the responsibilities of
Rights and responsibilities of consumers consumers
Who can file a complaint?
• Understand who can file a
Redressal machinery
complaint and against whom?
Remedies available
• Discuss the legal redressal
machinery under Consumer
Protection Act, 2019.
• Examine the remedies available to
the consumer under Consumer
Protection Act, 2019.
Consumer awareness - Role of consumer • Describe the role of consumer
organizations and Non-Governmental organizations and NGOs in
Organizations (NGOs) protecting consumers’ interests.

Unit 13: Project Work

 PROJECT WORK IN BUSINESS STUDIES FOR CLASS XI AND XII

Introduction

The course in Business Studies is introduced at Senior School level to provide students
with a sound understanding of the principles and practices bearing in business (trade
and industry) as well as their relationship with the society. Business is a dynamic
process that brings together technology, natural resources and human initiative in a
constantly changing global environment. With the purpose to help them understand the
framework within which a business operates, and its interaction with the social,
economic, technological and legal environment, the CBSE has introduced Project Work
in the Business Studies Syllabus for Classes XI and XII. The projects have been
designed to allow students to appreciate that business is an integral component of
society and help them develop an understanding of the social and ethical issues
concerning them.

The project work also aims to empower the teacher to relate all the concepts with what is
happening around the world and the student’s surroundings, making them appear more
clear and contextual. This will enable the student to enjoy studies and use his free time
effectively in observing what’s happening around.

By means of Project Work the students are exposed to life beyond textbooks giving them
opportunities to refer materials, gather information, analyze it further to obtain relevant
information and decide what matter to keep.

Objectives

After doing the Project Work in Business Studies, the students will be able to do the
following:
• develop a practical approach by using modern technologies in the field of
business and management;
• get an opportunity for exposure to the operational environment in the field of
business management and related services;
• inculcate important skills of team work, problem solving, time management,
information collection, processing, analysing and synthesizing relevant
information to derive meaningful conclusions
• get involved in the process of research work; demonstrate his or her capabilities
while working independently and
• make studies an enjoyable experience to cherish.

CLASS XI: GUIDELINES FOR TEACHERS

This section provides some basic guidelines for the teachers to launch the projects in
Business Studies. It is very necessary to interact, support, guide, facilitate and
encourage students while assigning projects to them.

The teachers must ensure that the project work assigned to the students whether
individually or in group are discussed at different stages right from assignment to drafts
review and finalization. Students should be facilitated in terms of providing relevant
materials or suggesting websites, or obtaining required permissions from business
houses, malls etc for their project. The periods assigned to the Project Work should be
suitably spaced throughout the academic session. The teachers MUST ensure that the
students actually go through the rigors and enjoy the process of doing the project rather
than depending on any readymade material available commercially.

The following steps might be followed:

1. Students must take any one topic during the academic session of Class XI.
2. The project may be done in a group or individually.
3. The topic should be assigned after discussion with the students in the class and
should then be discussed at every stage of submission of the draft/final project
work.
4. The teacher should play the role of a facilitator and should closely supervise the
process of project completion.
5. The teachers must ensure that the student’s self esteem should go up, and he
/she should be able to enjoy this process.
6. The project work for each term should culminate in the form of Power Point
Presentation/Exhibition/ Skit before the entire class. This will help in developing
ICT and communication skills among them.

The teacher should help students to identify any one project from the given
topics.

I. Project One: Field Visit

The objective of introducing this project among the students is to give a first hand
experience to them regarding the different types of business units operating in their
surroundings, to observe their features and activities and relate them to the theoretical
knowledge given in their text books. The students should select a place of field visit from
the following: – (Add more as per local area availability.)

1. Visit to a Handicraft unit.

2. Visit to an Industry.
3. Visit to a Whole sale market (vegetables, fruits, flowers, grains, garments, etc.)
4. Visit to a Departmental store.
5. Visit to a Mall.

The following points should be kept in mind while preparing this visit.

1. Select a suitable day free from rush/crowd with lean business hours.
2. The teacher must visit the place first and check out on logistics. It’s better to seek
permission from the concerned business- incharge.
3. Visit to be discussed with the students in advance. They should be encouraged
to prepare a worksheet containing points of observation and reporting.
4. Students may carry their cameras (at their own risk) with prior permission for
collecting evidence of their observations.

1. Visit to a Handicraft Unit

The purpose of visiting a Handicraft unit is to understand nature and scope of its
business, stake holders involved and other aspects as outlined below
a) The raw material and the processes used in the business: People /parties/firms from
which they obtain their raw material.
b) The market, the buyers, the middlemen, and the areas covered. c) The countries to
which exports are made.
d) Mode of payment to workers, suppliers etc.
e) Working conditions.
f) Modernization of the process over a period of time.
g) Facilities, security and training for the staff and workers.
h) Subsidies available/ availed.
i) Any other aspect that the teachers deem fit.

2. Visit to an Industry.

The students are required to observe the following:

a) Nature of the business organisation.

b) Determinants for location of business unit.
c) Form of business enterprise: Sole Proprietorship, Partnership, Undivided Hindu
Family, Joint Stock Company (a Multinational Company).
d) Different stages of production/process
e) Auxiliaries involved in the process.
f) Workers employed, method of wage payment, training programmes and facilities
available.
g) Social responsibilities discharged towards workers, investors, society, environment
and government.
h) Levels of management.
i) Code of conduct for employers and employees.
j) Capital structure employed- borrowed v/s owned.
k) Quality control, recycling of defective goods.
l) Subsidies available/availed.
m) Safety Measures employed.
n) Working conditions for labour in observation of Labour Laws.
o) Storage of raw material and finished goods.
p) Transport management for employees, raw material and finished goods.
q) Functioning of various departments and coordination among them (Production,
Human Resource, Finance and Marketing)
r) Waste Management.
s) Any other observation.

3. Visit to a whole sale market: vegetables/fruits/flowers/grains/garments etc.

The students are required to observe the following:

a) Sources of merchandise.
b) Local market practices.
c) Any linked up businesses like transporters, packagers, money lenders, agents, etc.
d) Nature of the goods dealt in.
e) Types of buyers and sellers.
f) Mode of the goods dispersed, minimum quantity sold, types of packaging employed.
g) Factors determining the price fluctuations.
h) Seasonal factors (if any) affecting the business.
i) Weekly/ monthly non-working days.
j) Strikes, if any- causes thereof.
k) Mode of payments.
l) Wastage and disposal of dead stock.
m) Nature of price fluctuations, reason thereof.
n) Warehousing facilities available\availed.
o) Any other aspect.

4. Visit to a Departmental store

The students are required to observe the following:

a) Different departments and their lay out.
b) Nature of products offered for sale.
c) Display of fresh arrivals.
d) Promotional campaigns.
e) Spaces and advertisements.
f) Assistance by Sales Personnel.
g) Billing counter at store – Cash, Credit Card/ Debit Card, swipe facility. Added
attractions and facilities at the counter.
h) Additional facilities offered to customers
i) Any other relevant aspect.

5. Visit to a Mall.

The students are required to observe the following:

a) Number of floors, shops occupied and unoccupied.

b) Nature of shops, their ownership status
c) Nature of goods dealt in: local brands, international brands,
d) Service business shops- Spas, gym, saloons etc.
e) Rented spaces, owned spaces,
f) Different types of promotional schemes.
g) Most visited shops.
h) Special attractions of the Mall- Food court, Gaming zone or Cinema etc.
i) Innovative facilities.
j) Parking facilities. Teachers may add more to the list.

II. Project Two: Case Study on a Product

a) Take a product having seasonal growth and regular demand with which students
can relate. For example,
• Apples from Himachal Pradesh, Kashmir.
• Oranges from Nagpur,
• Mangoes from Maharashtra/U.P./Bihar/Andhra Pradesh etc.
• Strawberries from Panchgani,
• Aloe vera from Rajasthan,
• Walnuts/almonds from Kashmir,
• Jackfruit from South,
• Guavas from Allahabad,
 • Pineapples from North East India,
• Tea from Assam,
• Orchids from Sikkim and Meghalaya,
• Pottery of Manipur,
• Fishes from coastal areas.

Students may develop a Case Study on the following lines:

(i) Research for change in price of the product. For example, apples in Himachal
Pradesh during plucking and non plucking season.
(ii) Effect on prices in the absence of effective transport system.
(iii) Effect on prices in the absence of suitable warehouse facilities.
(iv) Duties performed by the warehouses.
(v) Demand and supply situation of the product during harvesting season, prices
near the place of origin and away.
Students may be motivated to find out the importance of producing and selling these
products and their processed items along with the roles of Transport, Warehousing,
Advertising, Banking, Insurance, Packaging, Wholesale selling, Retailing, Co-operative
farming, Co-operative marketing etc.

The teacher may develop the points for other projects on similar lines for students to
work on.

The teacher may assign this project as ‘group’ project and may give different products to
different groups. It could conclude in the form of an exhibition.

III. Project Three: Aids to Trade

Taking any one AID TO TRADE, for example Insurance and gathering information on
following aspects

1. History of Insurance Lloyd’s contribution.

2. Development of regulatory Mechanism.
3. Insurance Companies in India
4. Principles of Insurance.
5. Types of Insurance. Importance of insurance to the businessmen.
6. Benefits of crop, orchards, animal and poultry insurance to the farmers.
7. Terminologies used (premium, face value, market value, maturity value, surrender
value) and their meanings.
8. Anecdotes and interesting cases of insurance. Reference of films depicting people
committing fraudulent acts with insurance companies.
9. Careers in Insurance.
Teachers to develop such aspects for other aids to trade.

IV. Project Four: Import /Export Procedure

Any one from the following

1. Import /Export procedure

The students should identify a product of their city/country which is imported /exported.
They are required to find the details of the actual import/export procedure. They may
take help from the Chambers of Commerce, Banker, existing Importers/Exporters, etc.

They should find details of the procedure and link it with their Text knowledge.

The specimens of documents collected should be pasted in the Project file with brief
description of each. They may also visit railway godowns/dockyards/ transport agencies
and may collect pictures of the same.

Presentation and submission of project report.

At the end of the stipulated term, each student will prepare and submit his/her project
report.
Following essentials are required to be fulfilled for its preparation and submission.
1. The total project will be in a file format, consisting of the recordings of the value of
shares and the graphs.
2. The project will be handwritten.
3. The project will be presented in a neat folder.
4. The project report will be developed in the following sequence-
Cover page should project the title, student information, school and year.
List of contents.
Acknowledgements and preface (acknowledging the institution, the news
papers read, T.V. channels viewed, places visited and persons who have
helped).
Introduction.
Topic with suitable heading.
Planning and activities done during the project, if any.
Observations and findings while conducting the project.
News paper clippings to reflect the changes of share prices.
Conclusions (summarised suggestions or findings, future scope of study).
Appendix (if needed).
Teachers report.
Teachers will initial preface page.
At the completion of the evaluation of the project, it will be punched in the
centre so that the report cannot be reused but is available for reference only.
The projects will be returned after evaluation. The school may keep the best
projects.

V. Project Five: A visit to any State Emporium (other than your school state).

The purpose of this project is that it leads to -

Development of deeper understanding of the diversity of products in the states like

Assam, Tripura, Nagaland, Mizoram, Manipur, Meghalaya, Sikkim, Arunachal Pradesh,
Jammu and Kashmir, Kerala, Chhatisgarh, Telangana, Andhra Pradesh and other states
of the country.
Sensitization and orientation of students about other states, their trade, business and
commerce,
Understanding the cultural and socio-economic aspects of the state by the students,
 Developing the understanding of role of folk art, artisanship and craftsmanship of the
state in its growth and economic development
Understanding the role of gifts of nature and natural produce in the development of
trade, business and commerce
Understanding the role of vocational skills and abilities on the livelihood of artisans/
craftsman
Understanding of entrepreneurial skills and abilities of the artisans/craftsman
Understanding of the unemployment problem of the state and role of art and craft of
the state in generating employment opportunities
Value aspect -
Sense of gratitude - by appreciating the contributions made by others in the
betterment of our lives
Appreciating the dignity of work
Sensitivity towards social, cultural, ethnical and religious differences Benefits of social
harmony and peace
Understanding and appreciating the unity in diversity in India
Appreciating differences in race, skin colour, languages, religion, habits, festivals,
clothing coexistence

Presentation and Submission of Project Report

At the end of the stipulated term, each student will prepare and submit his/her project
report.

Following essentials are required to be fulfilled for its preparation and submission.
1. Nature of the business organisation (emporium)
2. Determinants for location of the concerned emporium
3. Is the space rented or owned
4. Nature of the goods dealt in
5. Sources of merchandise of the emporium
6. Role of co-operative societies in the manufacturing and/or marketing of the
merchandise
7. Role of gifts of nature or natural produce in the development of goods/merchandise
8. Types of buyers and sellers
9. Modes of goods dispersed, minimum quantity sold and type of carrying bag or
package used for delivery of the products sold
10. Factors determining the pricing at the emporium
11. Comparison between the prices of goods available at the emporium with the prices
in the open market. Also highlight probable causes of variations if any.
12. Kind of raw material available naturally, used in making the products
13. The technique used in making the products i.e., hand made or machine made
14. Has the child labour being used in making the products sold at the emporium
15. Are the products eco-friendly, in terms of manufacturing, disposal and packing
16. Seasonal factors if any affecting the business of the emporium
17. Weekly/ Monthly non-working days
18. Mode of billing and payments - Cash, Credit Card/ Debit Card, Swipe facility.
19. Does the emporium sell its merchandise in installment / deferred payment basis
20. Do they provide home delivery and after sales services.
21. Different types of promotional campaigns / schemes
22. Assistance by Sales Personnel
23. Export orientation of this emporium and procedure used
24. Policies related to damaged/ returned goods
25. Any government facility available to the emporium
26. Warehousing facilities available / availed
27. Impact of tourism on the business of emporium
28. Additional facility offered to customers
29. Any Corporate Social Responsibility (CSR) assumed by the emporium
30. Contribution made by the emporium to its locality

ASSESSMENT

The marks will be allocated on the following heads.

1 Initiative, cooperativeness and participation 2 Mark

2 Creativity in presentation 2 Mark
3 Content, observation and research work 4 Marks
4 Analysis of situations 4 Marks
5 Viva 8 Marks
Total 20 Marks

CLASS XII: GUIDELINES FOR TEACHERS

Students are supposed to select one unit out of four and are required to make only
ONE project from the selected unit. (Consist of one project of 20 marks)

1. Help students to select any ONE Topic for the entire year.
2. The topic should be assigned after discussion with the students in the class and
should then be discussed at every stage of the submission of the project.

The teacher should play the role of a facilitator and should closely supervise the
process of project completion. The teachers must ensure that the project work
assigned to the students whether individually or in group are discussed at
different stages right from assignment to drafts review and finalization. Students
should be facilitated in terms of providing relevant materials or suggesting
websites, or obtaining required permissions from business houses, malls etc for
their project. The periods assigned to the Project Work should be suitably spaced
throughout the academic session. The teachers MUST ensure that the student
actually go through the rigors and enjoy the process of doing the project rather
than depending on any readymade material available outside.

3. The students must make a presentation of the project before the class.
4. The teachers must ensure that the student’s self-esteem and creativity is
enhanced and both the teacher and the student enjoy this process.
5. The teachers should feel pride in the fact that they have explored the different
dimensions of the project in an innovative way and their students have put in
genuine work.

I. Project One: Elements of Business Environment

The teachers should help the students in selecting any one element of the following:
1. Changes witnessed over the last few years on mode of packaging and its economic
impact. The teacher may guide the students to identify the following changes:
a) The changes in transportation of fruits and vegetables such as cardboard crates being
used in place of wooden crates, etc. Reasons for above changes.
b) Milk being supplied in glass bottles, later in plastic bags and now in tetra-pack and
through vending machines.
c) Plastic furniture [doors and stools] gaining preference over wooden furniture.
d) The origin of cardboard and the various stages of changes and growth.
e) Brown paper bags packing to recycled paper bags to plastic bags and cloth bags.
f) Re use of packaging [bottles, jars and tins] to attract customers for their products.
g) The concept of pyramid packaging for milk.
h) Cost being borne by the consumer/manufacturer.
i) Packaging used as means of advertisements.

2. The reasons behind changes in the following:

Coca – Cola and Fanta in the seventies to Thums up and Campa Cola in the eighties to
Pepsi and Coke in nineties.
The teacher may guide the students to the times when India sold Coca Cola and Fanta
which were being manufactured in India by the foreign companies.

The students may be asked to enquire about

a) Reasons of stopping the manufacturing of the above mentioned drinks in India THEN.
b) The introduction of Thums up and Campa cola range.
c) Re entry of Coke and introduction of Pepsi in the Indian market.
d) Factors responsible for the change.
e) Other linkages with the above.
f) Leading brands and the company having the highest market share.
g) Different local brands venturing in the Indian market.
h) The rating of the above brands in the market.
i) The survival and reasons of failure in competition with the international brands.
j) Other observations made by the students

The teacher may develop the following on the above lines

3. Changing role of the women in the past 25 years relating to joint families, nuclear
families, women as a bread earner of the family, changes in the requirement trend of
mixers, washing machines, micro wave and standard of living.
4. The changes in the pattern of import and export of different Products.
5. The trend in the changing interest rates and their effect on savings.
6. A study on child labour laws, its implementation and consequences.
7. The state of ‘anti plastic campaign,’ the law, its effects and implementation.
8. The laws of mining /setting up of industries, rules and regulations, licences required
for running that business.
9. Social factors affecting acceptance and rejection of an identified product. (Dish
washer, Atta maker, etc)
10. What has the effect of change in environment on the types of goods and services?
The students can take examples like:
a) Washing machines, micro waves, mixers and grinder.
b) Need for crèche, day care centre for young and old.
c) Ready to eat food, eating food outside, and tiffin centres.
11. Change in the man-machine ratio with technological advances resulting in change of
cost structure.
12. Effect of changes in technological environment on the behaviour of employee.

II. Project Two: Principles of Management

The students are required to visit any one of the following:
1. A departmental store.
2. An Industrial unit.
3. A fast food outlet.
4. Any other organisation approved by the teacher.
They are required to observe the application of the general Principles of management
advocated by Fayol.

Fayol’s principles
1. Division of work.
2. Unity of command.
3. Unity of direction.
4. Scalar chain
5. Espirit de corps
6. Fair remuneration to all.
7. Order.
8. Equity.
9. Discipline
10. Subordination of individual interest to general interest.
11. Initiative.
12. Centralisation and decentralisation.
13. Stability of tenure.
14. Authority and Responsibility

OR

They may enquire into the application of scientific management techniques by F.W.
Taylor in the unit visited.

Scientific techniques of management.

1. Functional foremanship.
2. Standardisation and simplification of work.
3. Method study.
4. Motion Study.
5. Time Study.
6. Fatigue Study
7. Differential piece rate plan.

Tips to teacher
(i) The teacher may organize this visit.
(ii) The teacher should facilitate the students to identify any unit of their choice and guide
them to identify the principles that are being followed.
(iii) Similarly they should guide the students to identify the techniques of scientific
management implemented in the organisation.
(iv) It may be done as a group activity.
(v) The observations could be on the basis of
The different stages of division of work resulting to specialisation.
Following instructions and accountability of subordinates to higher authorities.
Visibility of order and equity in the unit.
Balance of authority and responsibility.
Communication levels and pattern in the organisation.
Methods and techniques followed by the organisation for unity of direction and
coordination amongst all.
Methods of wage payments followed. The arrangements of fatigue study.
Derivation of time study.
Derivation and advantages of method study.
Organisational chart of functional foremanship.
Any other identified in the organisation
vi. It is advised that students should be motivated to pick up different areas of visit. As
presentations of different areas in the class would help in better understanding to the
other students.
vii. The students may be encouraged to develop worksheets. Teachers should help
students to prepare observation tools to be used for undertaking the project.
Examples; worksheets, questionnaire, interviews and organisational chart etc.

III. Project Three: Stock Exchange

The purpose of this project is to teach school students the values of investing and
utilising the stock market. This project also teaches important lessons about the
economy, mathematics and financial responsibility.

The basis of this project is to learn about the stock market while investing a specified
amount of fake money in certain stocks. Students then study the results and buy and sell
as they see fit.

This project will also guide the students and provide them with the supplies necessary to
successfully monitor stock market trends and will teach students how to calculate profit
and loss on stock.

The project work will enable the students to:

understand the topics like sources of business finance and capital market
understand the concepts used in stock exchange
inculcate the habit of watching business channels, reading business
journals/newspapers and seeking information from their elders.

The students are expected to:

a) Develop a brief report on History of Stock Exchanges in India. (your country)
b) Prepare a list of at least 25 companies listed on a Stock Exchange.
c) To make an imaginary portfolio totalling a sum of Rs. 50,000 equally in any of the 5
companies of their choice listed above over a period of twenty working days.

The students may be required to report the prices of the stocks on daily basis and
present it diagrammatically on the graph paper.
They will understand the weekly holidays and the holidays under the
Negotiable Instruments Act.
They will also come across with terms like closing prices, opening prices, etc.
 During this period of recording students are supposed to distinctively record
the daily and starting and closing prices of the week other days under the
negotiable instrument act so that they acquire knowledge about closing and
opening prices.
The students may conclude by identifying the causes in the fluctuations of
prices. Normally it would be related to the front page news of the a business
journal, for example,
Change of seasons.
Festivals.
Spread of epidemic.
Strikes and accidents
Natural and human disasters.
Political environment.
Lack of faith in the government policies.
Impact of changes in government policies for specific industry.
International events.
Contract and treaties at the international scene.
Relations with the neighbouring countries.
Crisis in developed countries, etc.

The students are expected to find the value of their investments and accordingly
rearrange their portfolio. The project work should cover the following aspects;
1. Graphical presentation of the share prices of different companies on different dates.
2. Change in market value of shares due to change of seasons, festivals, natural and
human disasters.
3. Change in market value of shares due to change in political environment/ policies of
various countries/crisis in developed countries or any other reasons
4. Identify the top ten companies out of the 25 selected on the basis of their market
value of shares.
It does not matter if they have made profits or losses.

IV. Project Four: Marketing

1. Adhesives 20. Cutlery
2. Air conditioners 21. Cycle
3. Baby diapers 22. DTH
4. Bathing Soap 23. Eraser
5. Bathroom cleaner 24. e-wash
6. Bike 25. Fairness cream
7. Blanket 26. Fans
8. Body Spray 27. Fruit candy
9. Bread 28. Furniture
10. Breakfast cereal 29. Hair Dye
11. Butter 30. Hair Oil
12. Camera 31. Infant dress
13. Car 32. Inverter
14. Cheese spreads 33. Jams
15. Chocolate 34. Jeans
16. Coffee 35. Jewellery
17. Cosmetology product 36. Kurti
18. Crayons 37. Ladies bag
19. Crockery 38. Ladies footwear
 39. Learning Toys 59. Sarees
40. Lipstick 60. Sauces/ Ketchup
41. Microwave oven 61. Shampoo
42. Mixers 62. Shaving cream
43. Mobile 63. Shoe polish
44. Moisturizer 64. Shoes
45. Music player 65. Squashes
46. Nail polish 66. Suitcase/ airbag
47. Newspaper 67. Sunglasses
48. Noodles 68. Tea
49. Pen 69. Tiffin Wallah
50. Pen drive 70. Toothpaste
51. Pencil 71. Wallet
52. Pickles 72. Washing detergent
53. Razor 73. Washing machine
54. Ready Soups 74. Washing powder
55. Refrigerator 75. Water bottle
56. RO system 76. Water storage tank
57. Roasted snacks 77. Wipes
58. Salt

Any more as suggested by the teacher.

The teacher must ensure that the identified product should not be items whose
consumption/use is discouraged by the society and government like alcohol
products/pan masala and tobacco products, etc.

Identify one product/service from the above which the students may like to
manufacture/provide [pre-assumption].

Now the students are required to make a project on the identified product/service
keeping in mind the following:
1. Why have they selected this product/service?
2. Find out ‘5’ competitive brands that exist in the market.
3. What permission and licences would be required to make the product?
4. What are your competitors Unique Selling Proposition.[U.S.P.]?
5. Does your product have any range give details?
6. What is the name of your product?
7. Enlist its features.
8. Draw the ‘Label’ of your product.
9. Draw a logo for your product.
10. Draft a tag line.
11. What is the selling price of your competitor’s product?
(i) Selling price to consumer
(ii) Selling price to retailer
(iii) Selling price to wholesaler

What is the profit margin in percentage to the

Manufacturer.
Wholesaler.
Retailer.
12. How will your product be packaged?
13. Which channel of distribution are you going to use? Give reasons for selection?
14. Decisions related to warehousing, state reasons.
15. What is going to be your selling price?
(i) To consumer
(ii) To retailer
(iii) To wholesaler
16. List 5 ways of promoting your product.
17. Any schemes for
(i) The wholesaler
(ii) The retailer
(iii) The consumer
18. What is going to be your ‘U.S.P?
19. What means of transport you will use and why?
20. Draft a social message for your label.
21. What cost effective techniques will you follow for your product.
22. What cost effective techniques will you follow for your promotion plan.
At this stage the students will realise the importance of the concept of marketing mix and
the necessary decision regarding the four P’s of marketing.
Product
Place
Price
Promotion

On the basis of the work done by the students the project report should include the
following:
1. Type of product /service identified and the (consumer/industries) process involve
there in.
2. Brand name and the product.
3. Range of the product.
4. Identification mark or logo.
5. Tagline.
6. Labeling and packaging.
7. Price of the product and basis of price fixation.
8. Selected channels of distribution and reasons thereof.
9. Decisions related to transportation and warehousing. State reasons.
10. Promotional techniques used and starting reasons for deciding the particular
technique.
11. Grading and standardization.

Presentation and Submission of Project Report

At the end of the stipulated term, each student will prepare and submit his/her project
report.

Following essentials are required to be fulfilled for its preparation and submission.
1. The total length of the project will be of 25 to 30 pages.
2. The project should be handwritten.
3. The project should be presented in a neat folder.
4. The project report should be developed in the following sequence-
Cover page should include the title of the Project, student information, school
and year.
 List of contents.
Acknowledgements and preface (acknowledging the institution, the places
visited and the persons who have helped).
Introduction.
Topic with suitable heading.
Planning and activities done during the project, if any.
Observations and findings of the visit.
Conclusions (summarized suggestions or findings, future scope of study).
Photographs (if any).
Appendix
Teacher’s observation.
Signatures of the teachers.
At the completion of the evaluation of the project, it should be punched in the
centre so that the report may not be reused but is available for reference only.
The project will be returned after evaluation. The school may keep the best
projects.

ASSESSMENT
Allocation of Marks = 20 Marks

The marks will be allocated under the following heads:

1 Initiative, cooperativeness and participation 2 Mark

2 Creativity in presentation 2 Mark
3 Content, observation and research work 4 Marks
4 Analysis of situations 4 Marks
5 Viva 8 Marks
Total 20 Marks
 Suggested Question Paper Design
Business Studies (Code No. 054)
Class XII (2024-25)
March 2025 Examination
Marks: 80 Duration: 3 hrs.

SN Typology of Questions Marks Percentage

Remembering and Understanding:
Exhibit memory of previously learned material by recalling facts,
terms, basic concepts, and answers.
1 Demonstrate understanding of facts and ideas by organizing, 44 55%
comparing, translating, interpreting, giving descriptions, and
stating main ideas

Applying: Solve problems to new situations by applying acquired

2 knowledge, facts, techniques and rules in a different way 19 23.75%

Analysing, Evaluating and Creating:

Examine and break information into parts by identifying motives or
causes. Make inferences and find evidence to support
generalizations.
Present and defend opinions by making judgments about
3 17 21.25%
information, validity of ideas, or quality of work based on a set of
criteria.
Compile information together in a different way by combining
elements in a new pattern or proposing alternative solutions.

Total 80 100%
 Chapter 1- Company Accounts Financial Statements of Not-for-Profit
Organisations

Practical Question

Question 1

From the information given below, prepare Receipts and Payments A/count of Railway Club for the
year ended March 31st, 2019:

₹ ₹
Cash in Hand on 1st April, 2018 4,390 Salaries 21,500
Subscription 37,600 Honorarium to Secretary 2,500
Donations 8,000 Interest Received on Investments 2,950
Entrance Fees 4,300 Printing and Stationery 350
Rent Received for Club Halls 5,250 Petty Cash Expenses 900
Electricity Charges 3,440 Insurance Premium Paid 310
Taxes paid 490

Solution:

Receipts and Payments A/c. as on March 31st,

Dr. Cr.
2019
Receipts ₹ Payments ₹
To balance b/d 4,390 By Electricity Charges 3,440
To Subscriptions 37,600 By Taxes Paid 490
To Donations 8,000 By Salaries 21,500
To Entrance Fees 4,300 By Honorarium to Secretary 2,500
To Rent Received for Club Halls 5,250 By Printing and Stationery 350
To Interest Received on
2,950 By Petty Cash Expenses 900
Investments
By Insurance Premium Paid 310
By balance c/d 33,000

62,490 62,490

Question 2

Bengal Cricket Club was inaugurated on 1st April, 2018. It had the following Receipts and
Payments during the year ended March 31st, 2019:

Receipts: Entrance Fees ₹ 10,000; Subscriptions ₹ 60,000; Donations ₹ 10,000.

Payments: Rent ₹ 15,000; Postages ₹ 1,000; Newspapers and Magazines ₹ 8,000; Investments ₹
30,000; Stationery ₹ 4,000; Entertainment Expenses ₹ 3,000; Miscellaneous Expenses ₹ 2,000.

Show the Receipts and Payments A/count for the year ended March 31st, 2019

Solution:
Dr. Receipts and Payments A/c. as on March 31st, 2019 Cr.
Receipts ₹ Payments ₹
To Entrance Fees 10,000 By Rent 15,000
To Subscriptions 60,000 By Postages 1,000
To Donations 10,000 By Newspapers and Magazines 8,000
By Investments 30,000
By Stationery 4,000
By Entertainment Expenses 3,000
By Miscellaneous Expenses 2,000
By balance c/d

17,000
(as on March 31st, 2019)

80,000 80,000

Question 3

The following information were obtained from the books of Delhi Club as on March 31st, 2019 at
the end of the first year of the Club, prepare Receipts and Payment A/count for the year ending
March 31st, 2019:

Receipts ₹ Payments ₹
Donation for Building and Library Room 2,00,000 Purchase of Land 10,000
Entrance Fees 17,000 Purchase of Furniture 1,30,000
Subscription 19,000 Salaries 4,800
Lockers Rent 1,660 Maintenance of Playgrounds 1,000
Refreshment Receipts 16,000 Rent 8,000
Government Grant 25,000 Refreshment Payments 8,000
Library Books 25,000
Purchase of 9% Government Bonds 1,60,000
Term Deposit with Bank 15,000

Solution:

Receipts and Payments A/c. as on March

Dr. Cr.
31st, 2019
Receipts ₹ Payments ₹
To Donation for Building and Library
2,00,000 By Purchase of Land 10,000
Room
To Entrance Fees 17,000 By Purchase of Furniture 1,30,000
To Subscription 19,000 By Salaries 4,800
To Lockers Rent 1,660 By Maintenance of Playgrounds 1,000
To Refreshment Receipts 16,000 By Rent 8,000
To Government Grant 25,000 By Refreshment Payments 8,000
To balance c/d 83,140 By Library Books 25,000
By Purchase of 9% Government
1,60,000
Bonds @ 9%
By Term Deposit with Bank 15,000

3,61,800 3,61,800

Question 4

From the following information, prepare Receipts and Payments A/count of Long-town Sports Club
for the year ending March 31st, 2019:

Particulars ₹ Particulars ₹
Opening Balance: Charity Given 10,000
Cash in Hand 50,000 Match Expenses 30,000
Cash at bank 60,000 Salaries 63,600
Subscription Received: Honorarium 4,000
2017-18 4,000 12% Investment Purchased 60,000
2018-19 1,40,000 Entrance Fees 4,000
2019-20 8,000 Interest on 12% Investments 6,000
Furniture Purchased 70,000 Closing Balance:
General Donations 20,000 Cash in Hand 24,000
Donations for Tournament 40,000 Cash at Bank ?

Solution:

Dr. Receipts and Payments A/c. as on March 31st, 2019 Cr.

Receipts ₹ Payments ₹
To Opening Balance: By Charity Given 10,000
Cash in Hand 50,000 By Match Expenses 30,000
Cash at Bank 60,000 By Salaries 63,600
To Subscriptions Received: By Honorarium 4,000
2017-18 4,000 By 12% Investment Purchased 60,000
2018-19 1,40,000 By Furniture Purchased 70,000
2019-20 8,000 By Closing Balance
To Entrance Fees 4,000 Cash in Hand 24,000
To General Donations 20,000 Cash at Bank (WN1) (Bal. Fig.) 70,400
To Donations for Tournament 40,000
To Interest on 12% Investments 6,000

3,32,000 3,32,000
Working Notes: Closing balance Evaluation

Total Receipts = ₹ 3,32,000

Total Payments = ₹ 2,37,600

Cash in Hand = ₹ 24,000

Cash at Bank = Total Receipts – (Total Payments + Closing Balance of Cash)

= ₹ [3,32,000 – 2,61,600] = ₹ 70,400

Question 5

From the following particulars of Evergreen club, prepare Receipts and payments A/count for the
year ended March 31st,2019:

₹ ₹
Cash in Hand on 1st April,2018 50,000 Newspaper and Magazines 87,000
Cash at Bank on 1st April,2018 3,40,000 Sale of Old Newspaper 12,000
Subscriptions Received 15,70,000 Books Purchased 3,40,000
Donations Received 2,80,000 Sports Materials Purchased 4,70,000
Investments purchased 5,00,000 Interest on Investments Received 50,000
Rent paid 50,000 Honorarium to coaches 1,50,000
General Expenses 2,30,000 Cash in Hand on March 31st,2019 30,000
Postage and stationery 25,000 Cash at Bank on March 31st ,2019 ?

Solution:

Receipts and Payments A/c as on March 31st, 2019

Dr. Cr.
Receipts ₹ Payments ₹
Balance b/d Investments Purchased 5,00,000
Cash in Hand 50,000 Rent Paid 50,000
Cash at Bank 3,40,000 3,90,000 General Expenses 2,30,000
Subscription Received 15,70,000 Postage and Stationery 25,000
Donation Received 2,80,000 Newspapers and Magazines 87,000
Sale of Old Newspapers 12,000 Books Purchased 3,40,000
Interest on Investments
50,000 Sports Material Purchased 4,70,000
Received
Honorarium to Coacher 1,50,000
Balance c/d
Cash in Hand 30000
Cash at Bank (Balancing
4,20000 4,50,000
Figure)
23,02,000 23,02,000

Question 6
How are the following items shown in the accounts of a Not-for-Profit Organisation ?

₹
Tournament Fund 50,000
Tournament Expenses 15,000
Receipts from Tournament 20,000

Solution:

Balance Sheet
Liabilities ₹ Assets ₹
Tournament Found 50,000
Add: Tournament Receipts 20,000
Less: Tournament Expenses (15,000) 55,000

Question 7

How are the following dealt with in the accounts of a Not-for-Profit Organisation

Case I Dr. ₹ Cr. ₹ Case II Dr. ₹ Cr. ₹

Match Fund

Prize Fund 35,000

12,000 Match Expenses 1,00,000

Investments of Match Fund

50,000
Prizes Paid 60,000
15,000 Interest on Match Fund 3,000
Match Expenses 19,000
Investments

Prizes Paid

Solution:

Case 1

Balance Sheet
Liabilities ₹ Assets ₹
Prize Fund 50,000
Less: Prize Paid (12,000) 38,000

Note: Here, ₹15,000 match expenses will not be deducted from the prize fund as it is kept for the
prizes. But, ₹15,000 match expenses will be debited to the Income and Expenditure Account as no
particular fund is kept for such expenses.

Case 2
Balance Sheet
Liabilities ₹ Assets ₹
Match Fund 1,00,000 Match Fund Investments 60,000
Less: Match Expenses (35,000)
Add: Interest on Match Fund Investments 3,000 68,000

Note: Here, ₹19,000 prizes amount will not be deducted from the match fund as it is kept for the
expenses relating to the Match. But, ₹19,000 prize amount will be debited to the Income and
Expenditure Account as no particular fund is kept for distribution of prizes. Similarly, the Match
Fund Investments interest will be added to the Match Fund as the income is linked to this
particular fund.

Question 8

How are the following dealt with while preparing the final accounts of a club?

Particulars Dr. (₹) Cr. (₹)

Match Fund …… 80,000
Match Fund Investments 72,000 ….
Match Fund Bank Balance 3,500 ….
Interest on Match Fund Investments ….. 2,880
Match Expenses 5,500 ….

Solution:

Balance Sheet as at March 31st, 2019

Liabilities ₹ Assets ₹
Match Fund 80,000 Match Fund Investment 72,000
Add: Interest on Match Fund Investment 2,880 Match Fund Bank Balance 3,500
Less: Match Expenses (5,500) 77,380

Question 9

From the following information of a club show the amounts of match expenses and match fund in
the appropriate Financial Statements of the club for the year ended on 31st March, 2019:

Particulars ₹
Match expenses paid during the year ended 31st March, 2019 1,02,000
Match Fund as on 31st March, 2019 24,000
Donation for Match Fund (Received during the year ended 31st March, 2019) 40,000
Proceeds from the sale of match tickets (Received during the year ended 31st March,
15,000
2019)

Solution:

Balance Sheet as at March 31st, 2019

Liabilities ₹ Assets ₹
Match Fund 24,000
Add: Donation for Match Fund 40,000
Add: Proceed from Sale of Tickets 15,000
Less: Match Expenses (Note) (79,000) NIL

Dr. Income and Expenditure A/c as on March 31st, 2019 Cr.

Expenditure ₹ Income ₹
Match Expenses (Note) 23,000

Note: ₹1,02,000 is a total Match expenses,however, the available amount is ₹ 79,000 (i.e. ₹
24,000 + ₹ 40,000 + ₹15,000). This indicates that only ₹ 79,000 is accessible through the fund
while ₹ 23,000 (i.e. ₹ 1,02,000 – ₹ 79,000) the remaining amount is debited to the Income and
Expenditure Account.

Question 10

Show how are the following items dealt with while preparing the final accounts for the year ended
31st March, 2019 of a Not-for-profit Organisation:

Case I

Expenditure on construction of the Pavilion is ₹ 6,00,000. The construction work is in progress and
has not yet been completed. Capital Fund as of 31st March, 2018 is ₹ 20,00,000.

Case II

Expenditure on construction of the Pavilion is ₹ 6,00,000. The construction work is in progress and
has not yet been completed. Pavilion Fund as of 31st March, 2018 is ₹ 10,00,000 and Capital Fund
as at 31st March, 2018 is ₹ 20,00,000.

Case III

Expenditure on construction of the Pavilion is ₹ 6,00,000. The construction work is in progress and
has not yet been completed. Pavilion Fund as of 31st March, 2018 is ₹ 10,00,000, and Capital
Fund as at 31st March, 2018 is ₹ 20,00,000. Donation Received for the Pavilion on 1st January,
2019 is ₹ 5,00,000.

Solution:

Case 1

Balance Sheet as on March 31st, 2019

Liabilities ₹ Assets ₹
Capital Fund 20,00,000 Pavilion Work-in-Progress 6,00,000

Case 2

Balance Sheet as on March 31st, 2019

Liabilities ₹ Assets ₹
Pavilion Work-in-
Pavilion Fund 10,00,000 6,00,000
Progress
Less: Expenditure on Construction of
(6,00,000) 4,00,000
Pavilion
Capital Fund 20,00,000
Add: Pavilion Work-in-Progress 6,00,000 26,00,000

Case 3

Balance Sheet as on March 31st, 2019

Liabilities ₹ Assets ₹
Pavilion Fund 10,00,000
Pavilion Work-in-
Add: Donation 5,00,000 6,00,000
Progress
Less: Expenditure on Construction of
(6,00,000) 9,00,000
Pavilion
Capital Fund 20,00,000
Add: Pavilion Work-in-Progress 6,00,000 26,00,000

Question 11

How is Entrance Fees dealt with while preparing the final accounts for the year ended 31st March,
2019 in each of the following alternative cases?

Case I During the year ended 31st March, 2019, Entrance Fees received was ₹ 1,00,000.

Case II During the year ended 31st March, 2019, Entrance Fees received was ₹ 1,00,000.Out of
this, ₹ 25,000 was received from individuals whose membership is not yet approved.

Solution:

Case 1

Income and Expenditure A/c

as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Entrance Fees 1,00,000

Case 2

Income and Expenditure A/c

as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Entrance Fees 75,000
(1,00,000 – 25,000)

Question 12

In the year ended 31st March, 2019, subscriptions received by the Jaipur Literary Society were ₹
4,20,000. These subscriptions include ₹ 14,000 received for the year ended 31st March, 2018. On
31st March, 2019, subscriptions due but not received were ₹ 10,000. What amount should be
credited to Income and Expenditure Account for the year ended 31st March, 2019 as subscription?

Solution:

Income and Expenditure A/c as on March 31st, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Subscription 4,20,000
Less: Outstanding for 2017-18 14,000
Add: Outstanding for 218-19 10,000 4,16,000

Question 13

Subscriptions received during the year ended 31st March , 2019 are: ₹ ₹
For the year ended 31st March, 2018 1,600
For the year ended 31st March, 2019 84,400
For the year ended 31st March, 2020 3,200 89,200

There are 450 members, each paying an annual subscription of ₹ 200; ₹ 1,800 were in arrears for
the year ended 31st March, 2018.

Calculate amount of subscriptions to be credited to Income and Expenditure Account for the year
ended 31st March, 2019.

Solution:

Income and Expenditure A/c as on ended March 31st, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Subscription
(450 Members × Rs 200 each) 90,000

Question 14
In the year ended 31st March, 2019, subscriptions received by Kings Club, Delhi were ₹ 4,09,000
including ₹ 5,000 for the year ended 31st March, 2018 and ₹ 10,000 for the year ended 31st
March, 2020. At the end of the year ended 31st March, 2019, subscriptions outstanding for the
year ended 31st March, 2019 were ₹ 15,000. The subscriptions due but not received at the end of
the previous year, i.e., 31st March, 2018 were ₹ 8,000, while subscriptions received in advance on
the same date were ₹ 18,000.

Calculate amount of subscriptions to be credited to Income and Expenditure Account for the year
ended 31st March, 2019.

Solution:

Subscription as on March 31st, 2019

Particulars ₹
Received subscription for the year 2018-19 4,09,000
Add: Outstanding subscription for 2018-19 (present year) 15,000
Less: Received subscription for 2017-18 (Previous year) (5,000)
Add: Received advanced subscription in 2017-18 (Previous year) 18,000
Less: Received advanced subscription for 2019-20 (Next year) 10,000)
Credited subscription to Income and Expenditure Account 4,27,000

Question 15

From the following information, calculate amount of subscriptions to be credited to the Income and
Expenditure Account for the year ended 31st March, 2019:

₹
1st April, 2018 Subscriptions in Arrears 50,000
Subscriptions Received in Advance 30,000
31st March, 2019 Subscriptions in Arrears 25,000
Subscriptions Received in Advance 70,000

Subscriptions received during the year ended 31st March, 2019 – ₹ 3,00,000

Subscription still in arrears for the year 2017 – 18 – ₹ 10,000.

Solution:

Particulars ₹
Subscription received for the year 2018-19 3,00,000
Less: Subscription-in-Arrears for the year 2017-18 50,000
Add: Subscription-in-Arrears for the year 2018-19 25,000
Add: Subscription-in Advance for the year 2018-19 30,000
Less: Subscription-in Advance for the year 2019-20 70,000
Credited subscription to Income and Expenditure Account 2,35,000

Question 16
Calculate amount of subscriptions which will be treated as income for the year ended 31st March,
2019 for each of the following cases:

Particulars ₹
(i) Subscriptions collected during the year ended 31st March, 2019 2,50,000

Case
I. (ii) Subscriptions in arrears for the year ended 31st March, 2019 6,000

(iii) Subscriptions received in advance for the year ended 31st March, 2020 5,000

(i) Subscriptions collected during the year ended 31st March, 2019
49,000

Case
(ii) Subscriptions for the year ended 31st March, 2019 collected in the year
II. 3,000
ended 31st March, 2018
2,000
(iii) Subscriptions unpaid for the year ended 31st March, 2019

(i) Subscriptions received during the year ended 31st March, 2019
25,000

Case
(ii) Subscriptions outstanding in the beginning of the year ended 31st March,
III. 3,000
2019
5,000
(iii) Subscriptions not yet collected for the year ended 31st March, 2019

(i) Subscriptions received during the year ended 31st March, 2019
80,000

Case (ii) Subscriptions outstanding in the beginning of the year ended 31st March,
5,000
IV. 2019
8,000
(iii) Subscriptions not yet collected for the year ended 31st March, 2019
2,000
(iv) Subscriptions received in advance for the year ended 31st March, 2020

(i) Subscriptions received during the year ended 31st March, 2019 90,000

(ii) Subscriptions outstanding at the end of the year ended 31st March, 2018 5,000
Case
V. (iii) Subscriptions received in advance on 31st March, 2018 3,000

(iv) Subscriptions received in advance on 31st March, 2019 4,000

(v) Subscriptions not yet collected for the year ended 31st March, 2019 6,000

Solution:

Case 1

Subscription statement as on March 31st, 2019

Particulars ₹
Collected subscriptions in the year 2018-19 2,50,000
Add: Subscriptions-in-arrears for the year 2018-19 6,000
Less: Received advance subscriptions for the year 2019-20 (5,000)
Subscriptions Income for the year 2018-19 2,51,000

Case 2

Subscription statement as on March 31st, 2019

Particulars ₹
Collected subscriptions in the year 2018-19 49,000
Add: Collected subscriptions for the year 2018-19 in 2017-18 3,000
Add: Unpaid subscriptions for the year 2018-19 2,000
Subscriptions Income for the year 2018-19 54,000

Case 3

Subscription statement as on March 31st, 2019

Particulars ₹
Received subscriptions for the year 2018-19 25,000
Less: Outstanding subscriptions in the starting of the year 2018-19 (3,000)
Add: Subscriptions not collected for the year 2018-19 5,000
Subscriptions Income for the year 2018-19 27,000

Case 4

Subscription statement as on March 31st, 2019

Particulars ₹
Received subscriptions for the year 2018-19 80,000
Less: Outstanding subscriptions in the starting of the year 2018-19 (5,000)
Add: Subscriptions not collected yet for the year 2018-19 8,000
Less: Received advance subscriptions for the year 2019-20 (2,000)
Subscriptions Income for the year 2018-19 81,000

Case 5

Subscription statement as on March 31st, 2019

Particulars ₹
Received subscriptions for the year 2018-19 90,000
Less: Outstanding subscriptions at the year end 2017-18 (5,000)
Add: Received advance subscriptions on March 31st, 2018 3,000
Less: Received advance subscriptions on March 31st, 2019 (4,000)
Add: Subscriptions not collected yet for the year 2018-19 6,000
Subscriptions Income for the year 2018-19 90,000

Question 17

From the following particulars, calculate amount of subscriptions to be credited to the Income and
Expenditure Account for the year ended 31st March, 2019:

₹
(a) Subscriptions in arrears on 31st March, 2018 500
Subscriptions received in advance on 31st March, 2018 for the year ended on 31st
(b) 1,100
March, 2019
Total Subscriptions received during the year ended 31st March, 2019 (including ₹
(c) 400 for the year ended 31st March, 2018, ₹ 1,200 for the year ended 31st March, 35,400
2020 and ₹ 300 for the year ended 31st March, 2021)
(d) Subscriptions outstanding for year ended 31st March, 2019 400

Solution:

Subscription statement as on March 31st, 2019

Particulars ₹
Subscriptions received during 2018-19 35,400
Less: Received subscriptions-in-arrears for the year 2017-18 (400)
Less: Received-in-advance subscriptions for the year 2019-20 (1,200)
Less: Received-in-advance subscriptions for the year 2017-18 (300)
Add: Outstanding subscriptions for the year 2018-19 400
Add: Received subscriptions in the year 2017-18 for 2018-19 1,100
Credited subscriptions to Income and Expenditure Account 35,000

Question 18

How are the following items of subscriptions shown in the Income and Expenditure Account for the
year ended 31st March, 2019 and Balance Sheets as at 31st March, 2018 and 2019?

₹
Subscriptions received during the year ended 31st March, 2019 3,58,500
Subscriptions outstanding on 31st March, 2018 30,000
Subscriptions received in Advance on 31st March,2018 22,500
Subscriptions received in Advance on 31st March, 2019 13,500
Subscriptions outstanding on 31st March, 2019 37,500

(including ₹ 12,500 for the year ended 31st March, 2018)

Solution:
Income and Expenditure Account as on March 31, 2019
Dr. Cr.
Expenditure ₹ Income ₹
Subscriptions 3,58,500
Add: Outstanding subscription at the end 37,500
Add: Advance subscription in the beginning 22,500
Less: Outstanding subscription in the beginning 30,000
Less: Advance subscription at the end 13,500 3,75,000

Balance Sheet as on March 31, 2018

Liabilities ₹ Assets ₹
Subscription received in Advance 2,250 Subscriptions Outstanding 3,000
Balance Sheet as on March 31, 2019
Liabilities ₹ Assets ₹
Received advance subscription 1,350 Outstanding subscriptions 3,750

Question 19

From the following information, calculate amount of subscriptions outstanding for the year ended
31st March, 2019:

A club has 200 members each paying an annual subscription of ₹ 1,000. The Receipts and
Payments Account for the year showed a sum of ₹ 2,05,000 received as subscriptions. The
following additional information is provided :

₹
Subscriptions Outstanding on 31st March, 2018 30,000
Subscriptions Received in Advance on 31st March, 2019 40,000
Subscriptions Received in Advance on 31st March, 2018 14,000

Solution:

Dr. Subscriptions A/c as on 31st March, 2019 Cr.

Particulars ₹ Particulars ₹

Income & Expenditure

2,00,000 Bank (Received subscriptions) 2,05,000

(200 members × ₹ 100 each)

In the beginning, outstanding

30,000 Received advance subscriptions 14,000
Subscriptions
At the end, outstanding subscriptions
Received subscription in advance 40,000 51,000
(Balancing Figure)
2,70,000 2,70,000
Question 20

From the following information, prepare Subscription Account for the year ending 31st March,
2019:

31st March, 2018 31st March, 2019

Particulars
₹ ₹

Subscription in Arrears 20,000 18,000

Subscription in Advance 13,000 11,000

In the year ending 31st March, 2019, subscription received were ₹ 2,10,000 (including ₹ 6,000 of
arrears from previous year) and subscription arrears of previous year were written off ₹ 4,000.

Solution:

Dr. Subscriptions A/c as on 31st March, 2019 Cr.

Date Particulars ₹ Date Particulars ₹
2018 2018
To Outstanding April By Advance received
April 1 20,000 13,000
Subscriptions A/c 1 subscriptions A/c
2019 2019
March To Advance received March By Subscriptions written off
11,000 4,000
31 subscriptions e A/c 31 (Inc. & Exp. A/c)
To Income & Expenditure
A/c
March March
2,14,000 By Bank A/c 2,10,000
31 31
(Bal. Fig.)

March By Outstanding Subscriptions

18,000
31 A/c
2,45,000 2,45,000

Question 21

On the basis of information given below, calculate the amount of medicines to be debited to the
Income and Expenditure Account of Good Health Hospital for the year ended 31st March, 2019:

1st April, 2018 31st March, 2019

Particulars
₹ ₹

Stock of Medicines 1,75,750 1,44,650

Creditors for Medicines 15,06,900 18,20,700

Medicines purchased during the year ended 31st March, 2019 were ₹ 60,80,700.
Solution:

Medicine Consumed statement as on 31st March, 2019

Particulars ₹
Purchased medicine for the year 2018-19 60,80,700
Add: Beginning stock as on April 1st, 2018 1,75,750
Less: End Stock as on March 31st, 2019 (1,44,650)
Debited medicine to Income and Expenditure Account 61,11,800

Question 22

Calculate amount of medicines consumed during the year ended 31st March, 2019: ₹
Opening Stock of Medicines 1,00,000
Opening Creditors for Medicines 90,000
Cash purchases of Medicines during the year 3,00,000
Closing Stock of Medicines 1,50,000
Closing Creditors for Medicines 1,30,000

Solution:

Medicine Consumed statement as on 31st March, 2019

Particulars ₹
Medicine purchases in cash during the year 2018-19 3,00,000
Add: Medicines Opening Stock 1,00,000
Less: Medicines Closing Stock 1,50,000
Add: Closing Creditors of Medicines 1,30,000
Less: Opening Creditors of Medicines 90,000
Medicines Consumed in the year 2018-19 2,90,000

Question 23

Calculate amount to be posted to the Income and Expenditure Account for the year ended 31st
March, 2019:

Amount paid for stationery during the year ended 31st March, 2019 – ₹5,400; Stock
(i)
of Stationery in Hand on 31st March, 2019 – ₹ 250.
Stock of Stationery in Hand on 1st April, 2018 – ₹ 1,500; Payment made for
(ii) Stationery during the year ended 31st March, 2019 – ₹ 5,400; Stock of Stationery in
Hand on 31st March, 2019 – ₹ 250.
₹
(iii) Stock of Stationery on 1st April, 2018 1,500
Creditors for Stationery on 1st April, 2018 1,000
Amount paid for Stationery during the year 5,400
Stock of Stationery on 31st March, 2019 250

Solution:
(i)

Stationery Consumed as on March 31st, 2019

Particulars ₹
Paid stationery amount as on 31st March, 2019 5,400
Less: Closing Stock as on March 31st, 2019 250
Stationery amount to be posted to Income and Expenditure Account 5,150

(ii)

Stationery Consumed as on March 31st, 2019

Particulars ₹
Stationery payment as on 31st March, 2019 5,400
Add: Stock opening as on April 1st, 2018 1,500
Less: Stock Closing as on March 31st, 2019 250
Stationery amount to be recorded to Income and Expenditure Account 6,650

(iii)

Stationery Consumed as on March 31st, 2019

Particulars ₹
Paid stationery amount as on 31st March, 2019 5,400
Add: Stock opening as on April 1st, 2018 1,500
Less: Stock Closing as on March 31st, 2019 250
Less: Creditors for Stationery at the starting (i.e April 1st, 2018) 1,000
Stationery amount to be recorded to Income and Expenditure Account 5,650

Question 24

On the basis of the following information, calculate amount that will appear against the term
‘Stationery Used’ in the Income and Expenditure Account for the year ended 31st March, 2019:

₹
Stock of Stationery as at 1st April, 2018 12,000
Creditors for Stationery as at 1st April, 2018 25,600
Amount paid for Stationery during the year ended 31st March, 2019 1,40,000
Stock of Stationery as at 31st March, 2019 23,200
Creditors for Stationery as at 31st March,2019 24,000

Solution:

Stationery Consumed as on March 31st, 2019

Particulars ₹
Paid stationery amount for the year 2018-19 1,40,000
Add: Stock opening as on April 1st, 2018 12,000
Less: Stock Closing as on March 31st, 2019 (23,200)
Add: Creditors at the end (i.e March 31st, 2019) 24,000
Less: Creditors in the beginning (i.e April 1st, 2018) (25,600)
Stationery amount to be recorded to Income and Expenditure Account 1,27,200

Question 25

Calculate the amount that will be posted to the Income and Expenditure Account for the year
ended March 31st, 2019:

₹
Stock of Stationery as at 1st April, 2018 30,000
Creditors for Stationery on 1st April, 2018 20,000
Advance paid for stationery carried forward from the year ended 31st March, 2018 2,000
Amount paid for the stationary during the year ended 31st March, 2019 1,08,000
Stock of stationery on 31st March, 2019 5,000
Creditors for stationery on 31st March, 2019 13,000
Advance paid for stationery on 31st March, 2019 3,000

Solution:

Stationery Consumed as on March 31st, 2019

Particulars ₹
Paid stationery amount for year 2018-19 1,08,000
Add: Stock opening as on April 1st, 2018 30,000
Less: Stock Closing as on March 31st, 2019 5,000
Less: Creditors in the beginning (i.e April 1st, 2018) 20,000
Add: Creditors at the end (i.e March 31st, 2019) 13,000
Add: Advance at the starting (i.e April 1st, 2018) 2,000
Less: Advance at the end (i.e March 31st, 2019) 3,000
Stationery amount to be recorded to Income and Expenditure Account 1,25,000

Question 26

Calculate the amount of sports material to be transferred to income and Expenditure Account of
Raman Bhalla Sports Club, Ludhiana, for the year ended 31st March, 2018:

Particulars ₹
(i) Sports material sold during the year (Book Value ₹ 50,000) 56,000
(ii) Amount paid to creditors for sports materials 91,000
(iii) Cash purchase of sports material 40,000
(iv) Sports material as on 31st March, 2017 50,000
(v) Sports material as on 31st March, 2018 55,000
(vi) Creditors for sports material as on 31st March, 2017 37,000
(vii) Creditors for sports material as on 31st March, 2018 45,000
Solution:

Evaluation of Sports material amount consumed and to be debited to Income & Expenditure A/c
Particulars ₹
Amount Paid to the creditors of Sports Materials 91,000
Less: Creditors of the sports material as on 31st March, 2017 37,000
Closing Stock of Sports Material as on 31st March, 2018 55,000
Sports Material sold during the year 50,000
Add: Creditors of the sports material as on 31st March, 2018 45,000
Cash purchase of Sports Material 40,000
Opening Stock of Sports Material as on 31st March, 2017 50,000
Sports Material consumed during the year to be debited to Income & Expenditure A/c 84,000

Question 27

How are the following dealt with while preparing the final accounts for the year ended 31st , 2019?

Receipt and Payments Account (An Extract)

for the year ended 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
By Payments for Sports Material 1,40,000
Balance Sheet (as extract) as at 1st April, 2018
Liabilities ₹ Assets ₹
Creditors for Sports Materials 6,000 Sports Materials 8,000

Additional information :

Sports Materials in Hand on 31st March, 2019 – ₹ 22,000.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Sports Material 1,40,000
Add: Opening Stock 8,000
Less: Closing Stock (22,000)
Less: Creditors in the beginning (6,000) 1,20,000

Balance Sheet as on March 31, 2019

Liabilities ₹ Assets ₹
Stock of Sport Materials 22,000

Alternatively, Sports Material consumed can also be calculated as.

Creditors A/c
Dr. Cr.
Expenditure ₹ Income ₹
Bank A/c 1,40,000 Balance b/d (Creditors in the beginning) 6,000
(Amount paid for sports materials) Purchases A/c (Balancing Figure) 1,34,000

1,40,000 1,40,000

Sports Material Consumed = Opening Stock + Purchases – Closing Stock = ₹8,000 + ₹1,34,000 –
₹22,000 = ₹1,20,000

Question 28

How are the following dealt with while preparing the final accounts for the year ended 31st March,
2019?

Receipt and Payments Account (An Extract)

for the year ended 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
By Payments for Medicines 1,50,000

Additional information :

As at 1st April, 2018 As at 31st March, 2019

(₹) (₹)

Stock of Medicines 50,000 75,000

Creditors for Medicines 40,000 60,000

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Medicine 1,50,000
Add: Opening Stock 50,000
Less: Closing Stock (75,000)
Less: Creditors in the beginning (40,000)
Add: Creditors at the end 60,000 1,45,000

Balance Sheet as on March 31, 2018

Liabilities ₹ Assets ₹
Creditors for Medicines 40,000 Stock of Medicines 50,000
Balance Sheet as on March 31, 2019
Liabilities ₹ Assets ₹
Creditors for Medicines 60,000 Stock of Medicines 75,000

Question 29

How are the following dealt with while preparing the final accounts of a sports club for the year
ended 31st March, 2019?

Dr. Cr.
Receipts ₹ Payments ₹
To Sale of Sports Materials 26,000 By Creditors for Sports Materials 61,000
(Book value ₹ 20,000) By Cash purchase of Sports Materials 10,000

Additional information :

As at 31st March, 2018 As at 31st March, 2019

(₹) (₹)

Sports Materials 20,000 25,000

Creditors for Sports Materials 7,000 15,000

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Profit on Sale of Sports Material (26,000 –
Payment for Sports Material 71,000 6,000
20,000)
Add: Opening Stock 20,000
Less: Closing Stock 25,000
Less: Creditors in the
7,000
beginning
Add: Creditors at the end 15,000
Less: Book Value of Material
20,000 54,000
Sold
Balance Sheet as on March 31, 2018
Liabilities ₹ Assets ₹
Creditors for Sport Materials 7,000 Stock of Sport Materials 20,000
Balance Sheet as on March 31, 2019
Liabilities ₹ Assets ₹
Creditors for Sport Materials 15,000 Stock of Sport Materials 25,000

Question 30

From the following information of a Not-for-Profit Organisation, show the ‘Sports Materials’ item in
the Income and Expenditure Account for the year ended 31st March, 2019 and Balance Sheets as
at 31st March, 2018 and 31st March, 2019:

31st March, 2018 31st March, 2019

Particulars
₹ ₹

Stocks of Sports Materials 6,200 4,800

Creditors for Sports Materials 9,800 7,200

CreAdvance to supplies for sports materials 11,000 19,000

Payment to suppliers for Sports Materials during the year was ₹ 1,02,000. There were no cash
purchases made.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Sports Material Consumed 92,800
Balance Sheet as on March 2018
Liabilities ₹ Assets ₹
Sports Materials Creditors 9,800 Sports Materials Stock 6,200
Paid Advance for Sports Materials 11,000

Balance Sheet as on March 2019

Liabilities ₹ Assets ₹
Sports Materials Creditors 7,200 Sports Materials Stock 4,800
Paid Advance for Sports Materials 19,000

Working Notes:

Calculation of Sports Material Consumed

Particulars ₹
Sports Material 1,02,000
Add: Opening Stock 6,200
Less: Closing Stock 4,800
Less: Creditors in the beginning 9,800
Add: Creditors at the end 7,200
Less: Advance at the end 19,000
Add: Advance in the beginning 11,000
92,800
Creditors for Sports Material Account
Dr. Cr.
Expenditure ₹ Income ₹
Balance b/d (Advance in the Balance b/d (Creditors in the
11,000 9,800
beginning) beginning)
Bank A/c (Amount paid for
1,02,000 Purchases A/c (Balancing Figure) 91,400
stationery)
Balance c/d (Creditors at the end) 7,200 Balance c/d (Advance at the end) 19,000
1,20,200 1,20,200

Sports Material Consumed = Opening Stock + Purchases – Closing Stock = ₹6,200 + ₹91,400 –
₹4,800 = ₹ 92,800

Question 31

The book value of furniture on 1st April, 2018 is ₹ 60,000. Half of this furniture is sold for ₹
20,000 on 30th September, 2018. Depreciation is to be charged on furniture @ 10% p.a.

Calculate loss on sale of furniture. Show how the loss on sale and depreciation on furniture will be
shown in the Income and Expenditure Account for the year ended 31st March, 2019.

Solution:

Furniture Account
Dr. Cr.
Date Particulars ₹ Date Particulars ₹
2018 2018
April 1 Balance b/d September 30 Depreciation A/c Furniture 1 (for 6 Months) 1.500
Furniture 1 30,000 September 30 Bank A/c (Sale) Furniture 1 20,000
30,000

Furniture 2 September 30 Income and Expenditure (Sale Loss) 8,500

60,000

2019
March 31 Depreciation Furniture 2 (for whole year) 3,000
Balance c/d Furniture 2 (30,000 – 3,000) 27,000
 60,000 60,000

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Depreciation on Furniture
(1,500 + 3,000) 4,500
Loss on Sale of Furniture 8,500

Working Note:

Profit or Loss Evaluation on Furniture Sale

Particulars ₹
Furniture Sold Book Value as on 1st April, 2018 30,000
Less: 6 months Depreciation (3,000 X 10% X 6/12) 1,500
Furniture Book Value as on 30th September, 2018 28,500
Less: Sale Value 20,000
Loss on Furniture Sale 8,500

Question 32

Delhi Youth Club has furniture at a value of ₹ 2,20,000 in its book on 31st March, 2018. It sold old
furniture, having a book value of ₹ 20,000 as of 1st April , 2018 at a loss of 20% on 31st
December, 2018. Furniture is to be depreciated @ 10% p.a. Furniture costing ₹ 1,50,000 was also
purchased on 1st October, 2018.

Prepare Furniture Account for the year ended 31st March, 2019.

Solution:

Furniture Account
Dr. Cr.
Date Particulars ₹ Date Particulars ₹

2018 2018
December Depreciation Furniture II(for 9
April 1 To Balance b/d 1,500
31 Months)
Furniture I December
Bank (Sale Furniture II) 14,800
(2,00,000) 31
Furniture I I December Income and Expenditure (Loss on
2,20,000 3,700
(20,000) 31 Sale)
To Bank A/c Bank

October1 1,50,000 2019

Furniture I I I
 March 31 Depreciation
Furniture I (20,000)
Furniture III (7,500) (6 Months) 27,500
March 31 Balance c/d
Furniture I 1,80,000
Furniture III 1,42,500 3,22,500
3,70,000 3,70,000

Working Note:

Profit or Loss Evaluation on Furniture Sale

Particulars ₹
Furniture I Book Value as on April 1st, 2018 20,000
Less: 9 months Depreciation (20,000 × 10% × 9/12) (1,500)
Book Value as on 31st December, 2018 18,500
Less: Loss on Sale of Furniture (18,500 × 20%) (3,700)
Furniture Sale Value 14,800

Question 33

In the year ended 31st March, 2019, salaries paid amounted to ₹ 2,04,000. Ascertain the amount
chargeable to the Income and Expenditure Account for the year ended 31st March, 2019 from the
following additional information:

₹
Salaries Prepaid on March 31st, 2018 24,000
Salaries Prepaid on March 31st, 2019 12,000
Salaries Outstanding on March 31st, 2018 18,000
Salaries Outstanding on March 31st, 2019 15,000

Solution:

Salaries as on March 31, 2019

Particulars ₹
Salaries paid 2,04,000
Add: Salaries prepaid as on 31st March, 2018 24,000
Less: Salaries Prepaid as on 31st March, 2019 12,000
Less: Salaries Outstanding as on 31st March, 2018 18,000
Add: Salaries Outstanding as on 31st March, 2019 15,000
Chargeable salaries to Income and Expenditure Account 2,13,000

Question 34

How are the following items dealt with while preparing Income and Expenditure Account of a club
for the year ended 31st March, 2019?
 1st April, 2018 31st March, 2019
Outstanding Locker Rent ₹ 4,600 ₹ 6,300
Advance Locker Rent ₹ 3,000 ₹ 4,000

Locker Rent received during the year ended 31st March, 2019 – ₹ 52,000.

Solution:

Dr. Income and Expenditure Account as on 31st March, 2019 Cr.

Expenditure ₹ Income ₹
Locker Rent Received 52,000
Add: Outstanding at the end 6,300
Add: Advance in the beginning 3,000
Less: Outstanding in the beginning 4,600
Less: Advance at the end 4,000 52,700

Question 35

Prepare Income and Expenditure Account for the year ended 31st March, 2019 from the following:

Receipt and Payment Account

for the year ended 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d (cash) 1,80,000 By Salaries 4,80,000
To Subscriptions 9,00,000 By Rent 50,000
To Sale of Investments 2,00,000 By Stationery 20,000
To Sale of Old Furniture (Book Value ₹ 40,000) 30,000 By Defence Bonds 3,00,000
To Donations 10,000 By Furniture 2,00,000
By Bicycles 30,000
By Balance c/d (Cash) 2,40,000

13,20,000 13,20,000

Solution:

Income and Expenditure Account as on 31st March,

Dr. Cr.
2019
Expenditure ₹ Income ₹
Salaries 4,80,000 Subscriptions 9,00,000
Rent 50,000 Donation 10,000
Stationery 20,000
Loss on Old Furniture Sale 10,000
Surplus (Balancing Figure) 3,50,000
9,10,000 9,10,000

Question 36

Prepare Income and Expenditure Account from the following Receipts and Payments Account of
Delhi Nursing Society for the year ended 31st March, 2019:

Receipt and Payment Account

for the year ended 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d (Cash at Bank) 2,01,000 By Salaries of Nurses 65,600
To Subscriptions 1,11,500 BY Board, Laundry, and Domestic Help 38,000
To fees from Non-members 27,000 By Rent, Rates, and Taxes 20,000
To Government Grant 1,00,000 By Cost of Car 2,00,000
To Donation for Building Fund 1,56,000 By Expenses of Car 84,000
To Interest 3,800 By Drug and Incidental Expenses 67,000
By Balance c/d (Cash at Bank) 1,24,700

5,99,300 5,99,300

Donation of ₹ 10,000 received for the Building Fund was wrongly included in the Subscriptions
Account. A bill of medicines purchased during the year amounted to ₹12,800 was outstanding.
Government Grant is not for a specific purpose.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Salaries of Nurses 65,600 Subscriptions 11,1500
Board, Laundry, and Domestic Help 38,000 Less: Donation for Building (10000) 1,01,500
Rent Rates and Taxes 20,000 Fees from Non-members 27,000
Expenses of Car 84,000 Municipal Grant 1,00,000
Drugs and Incidental Expenses 67,000 Interest 3,800
Add: Outstanding Expenses 12,800 79,800 Deficit (Balancing Figure) 55,100
2,87,400 2,87,400

Question 37
Following is the Receipts and Payments Account of You Bee Forty Club for the year ended 31st
March, 2019:

Receipt and Payment A/c as on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d (cash) 1,50,000 By Salaries and Wages 1,60,000
To Subscriptions By Office Expenses 35,000
2016-2017 60,000 By Sports Equipments 3,40,000
2018-2019 3,50,000 By Telephone Charges 24,000
To Donations 50,000 By Electricity Charges 32,000
To Entrance Fees 80,000 By Travelling Expenses 65,000
By Balance c/d (Cash) 34,000

6,90,000 6,90,000

Additional information :

(a) Outstanding Subscriptions for the year ended 31st March, 2019 – ₹ 55,000.

(b) Outstanding Salaries and Wages – ₹ 40,000.

(c) Depreciate Sports Equipment by 25%.

Prepare Income and Expenditure Account of the Club from the above particulars.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Salaries and Wages 1,60,000 Subscriptions 3,50,000
Add: Outstanding for the
Add: Outstanding 40,000 2,00,000 55,000 4,05,000
year 2018-19
Office Expenses 35,000 Donations 50,000
Telephone Charges 24,000 Entrance Fees 80,000
Electricity Charges 32,000
Travelling Expenses 65,000
Sports Equipments Depreciation
85,000
(34,0000 × 25%)
Surplus (Balancing Figure) 94,000
5,35,000 5,35,000

Question 38

From the following Receipts and Payments Account of Jaipur Sports Club, prepare Income and
Expenditure Account for the year ended 31st March, 2019:

Receipt and Payment A/c on 31st March, 2019

 Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d 2,00,000 By Rent 60,000
To Entrance Fees: (including ₹15,000 for 2017 – 18)
2017 – 18 10,000 By Insurance Premium 60,000
2018 – 19 50,000 60,000 (including ₹15,000 for 2019 – 20)
To Subscriptions: By Sports Equipments 50,000
2017 – 18 10,000 By Furniture 60,000
2018 – 19 (90%) 90,000 (Purchased on 31st March, 2019)
2019 – 20 5,000 1,05,000 By 8% Fixed Deposit 1,20,000
To Life Membership Fees 20,000 (Made on 1st October, 2018)
To Donations 1,20,000 By Tournament Expenses 10,000
To Donation for Tournament 50,000 By Books 20,000
To Subscription for Governor’s Party 15,000 By Newspapers 1,000
To Interest on 8% Fixed Deposit 2,400 By Printing and Stationery 19,000
To Sale of Old Newspapers 300 By Balance c/d 1,80,000
To Sale of Old Sports Materials 500
(Book Value ₹ 1,200)
To Locker Rent 6,800
(including ₹ 600 for 2017 – 18)
5,80,000 5,80,000

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Rent 60,000 Entrance Fees (2018-19) 50,000
Less: For 2017-18 (15,000) 45,000 Subscription 2018-19 90,000
Add: Outstanding for 2018-19
10,000 1,00,000
(9,000 × 10/9 )
Insurance Premium 60,000 Donations 1,20,000
Less: For 2019-20 (15,000) 45,000 Interest on Fixed Deposits 2,400
Printing and Stationery 20,000 Add: Accrued Interest 2,400 4,800
Loss on Sale of Sports Material
700 Sale of Old Newspapers 300
(1200 -500)
Surplus (Balancing Figure) 1,70,600 Locker Rent 6,800
Less: For 2017-18 600 6200

2,81,300 2,81,300
Working Notes:

Evaluation of Investment Interest

Interest on Investment for 6 Months (1,20,000 × 8% × 6/12) 4,800

Less: Interest Received₹ 2,400
Accrued Interest on Investment 2,400

Question 39

Following is the information given in respect of certain items of a Sports Club. Show these items in
the Income and Expenditure Account and the Balance Sheet of the Club as at 31st March, 2019:

Particulars ₹
Sports Fund as on 1st April, 2018 3,50,000
Sports Fund Investments 3,50,000
Interest on Sports Fund Investments 40,000
Donations for Sports Fund 1,50,000
Sports Prizes awarded 1,00,000
Expenses on Sports Events 40,000
General Fund 8,00,000
General Fund Investments 8,00,000
Interest on General Fund Investments 80,000

Solution:

Dr. Income and Expenditure A/c as on 31st March, 2019 Cr.

Expenditure ₹ Income ₹
By Interest on General Fund Investments 80,000
Dr. Balance Sheet as on 31st March, 2019 Cr.
Liabilities ₹ Assets ₹
Sports Fund 4,00,000 Sports Fund Investment 3,50,000
General Fund 8,00,000 General Fund Investment 8,00,000

Working Notes:

1)

Calculation of Sports Fund Balance ₹

Sports Fund as on April 1st, 2018 3,50,000
Add: Sports Fund Donations 1,50,000
Sports Fund Investment Interest 40,000
Less: Sports Prizes Awarded 1,00,000
Sports Fund Expenses 40,000
Sports Fund Balance posted as Liabilities on the Balance Sheet as on 31st March, 2019 4,00,000

Question 40
Prepare Income and Expenditure Account from the following particulars of Youth Club for the year
ended on 31st March, 2018:

Receipt and Payment A/c on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d (Cash) 32,500 By Salaries 31,500
To Subscription: By Postage 1,250
2016-17 1,500 By Rent 9,000
2017-18 60,000 By Printing and Stationery 14,000
2018-19 1,800 63,300 By Sports Material 11,500
To Donations (Billiards Table) 90,000 Bu Miscellaneous Expenses 3,100
To Entrance Fees 1,100 By Furniture (1st October, 2017) 20,000
To Sale of Old Magazines 450 By 10% Investment (1st October, 2017) 70,000
By Balance c/d (31st March, 2018) 27,000

1,87,350 1,87,350

Additional Information:

(i) Subscription outstanding as at 31st March, 2018 ₹ 16,200.

(ii) ₹ 1,200 is still in arrears for the year 2016-17 for subscription.

(iii) Value of sports material at the beginning and at the end of the year was ₹ 3,000 and ₹ 4,500
respectively.

(iv) Depreciation to be provided @ 10% p.a. on furniture.

Solution:

In the books of Youth Club

Income and Expenditure A/c for the year ended
Dr. Cr.
31st March, 2018
Amount Amount

Expenditure Income
(₹) (₹)

To Salaries 31,500 By Subscriptions 60,000

Add: Outstanding Subscriptions
To Postage 1,250 15,000 75,000
(16,200 – 1,200)
To Rent 9,000
To Printing and Stationery 14,000 By Entrance fees 1,100
To Consumed Sports Material (WN1) 10,000 By Old Magazines sale 450
To Miscellaneous Expenses 3,100 By Interest Investments 3,500
To Furniture Depreciation (20,000 ×
1,000 (70,000 × 10/100 × 6/12)
10/100 × 6/12)
To Surplus 10,200

80,050 80,050

Working Notes:

(i) Sports Material Consumed = Opening Stock + Purchases – Closing Stock

= ₹ (3,000 + 11,500 – 4,500) = ₹ 10,000

(ii) Furniture Depreciation 20,000 = 20,000 X 612 X 10100 = ₹1,000

(iii) Investment Interest = 70,000 X 10100 X 612 = 3,500

Question 41

Following is the Receipts and Payments Account of Delhi Football Club for the year ended 31st
March, 2019:

RECEIPTS AND PAYMENTS ACCOUNT

for the year ended 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d (Cash) 18,000 By Building 4,00,000
To Donations for Building 4,50,000 By Project Expenses 90,000
(Young Talent Search and
To Donations 50,000
Development)
To Government Grant 1,00,000 By Match Expenses 90,000
(Young Talent Search and
By Furniture 1,21,000
Development)
To Life Membership Fees 40,000 By 10% Investments 1,60,000
To Match Fund 80,000 (Purchased on 1st July, 2018)
To Subscriptions 52,000 By Salaries 70,000
To Locker Rent 4,000 By Insurance 3,500
To Interest on Investments 10,000 By Sundry Expenses 4,700
To Sale of Furniture 1,00,000 By Closing c/d (Cash) 4,800
(Book value ₹ 80,000) By Bank (Young Talent 10,000
To Entrance Fees 50,000 Search and Development

9,54,000 9,54,000

Additional Information:
(i) During the year ended 31st March, 2019, the club had 550 members and each paying an
annual subscription of ₹ 100.

(ii) Salaries Outstanding as at 1st April, 2018 were ₹ 10,000 and as at 31st March, 2019 were ₹
5,000.

Prepare Income and Expenditure Account of the Club for the year ended 31st March, 2019.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Subscriptions (550 members × Rs
To Salaries 70,000 55,000
100 each)
Add: Outstanding at the end 5,000 Entrance Fees 50,000
Less: Outstanding in the
(10,000) 65,000
beginning
To Insurance 3,500 Donations 50,000
To Sundry Expenses 4,700 Locker Rent 4,000
Profit on Furniture Sale (1,00,000 –
To Match Expenses 90,000 20,000
80,000)
Less: Match Fund (80,000) 10,000 Investment Interest 10,000
Surplus (Balancing Figure) 1,07,800 Add: Interest 2,000 12,000
1,91,000 1,91,000

Working Notes: Evaluation of Investment Interest

Investment Interest for 9 Months (1,60,000 × 10% × 9/12) 12,000

Less: Interest Received (10,000)
Accrued Interest on Investment 2,000

Question 42

Following is the summary of cash transactions of the Royal Club for the year ended 31st March,
2019:

RECEIPTS AND PAYMENTS ACCOUNT

for the year ended 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d By Rent 16,800
Cash in Hand 10,000 By Wages 24,500
Cash at Bank 21,900 31,900 By Electricity Charges 7,200
To Entrance Fees 25,500 By Honorarium 43,500
To Subscriptions 1,60,000 By Books 21,300
To Donations 16,500 By Office Expenses 45,000
To Life Membership Fees 25,000 By 3% Fixed Deposit 80,000
To Profit on Entertainment 5,600 (1st October, 2018)
By Balance c/d: 24,200
By Balance c/d 2,000
Cash in Hand 2,000
Cash at Bank 24,200 26,200
2,64,500 2,64,500

In the beginning of the year, the club possessed Books of ₹ 2,00,000 and Furniture of ₹ 85,000.
Subscriptions in arrears in the beginning of the year amounted to ₹ 3,500 and at the end of the
year ₹ 4,500 and six months Rent was due both in the beginning of the year and at the end of the
year.

Prepare Income and Expenditure Account of the club for the year ended 31st March, 2019 and its
Balance Sheet as at that date after writing off ₹ 5,000 and ₹ 11,300 on Furniture and books
respectively.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Rent 16,800 Entrance Fees 25,500
Less: Outstanding Rent in the
8,400 Subscriptions 1,60,000
beginning (WN1)
Add: Outstanding Rent at the Less: Outstanding in
8,400 16,800 3,500
end the beginning
Wages 24,500 Add:Outstanding 4,500 1,61,000
Lighting Charge 7,200 Donations 16,500
Lecturer’s Fee 43,500 Profit on Entertainment 5,600
Interest Accrued on Fixed
Office Expenses 45,000 1,200
Deposits
Depreciation on: (80,000 × 3% × 6/12)
Books 11,300
Furniture 5,000 16,300
Surplus (Balancing Figure) 56,500
2,09,800 2,09,800
Balance Sheet as on 31st March,
2018
Liabilities ₹ Assets ₹
Outstanding Rent 6,000 Books 2,00,000
Capital Fund (Balancing
3,14,400 Furniture 85,000
Fig.)
 Subscriptions 3,500
Outstanding
Cash and Bank 31,900

3,20,400 3,20,400
Balance Sheet

as on 31st March 2019

Liabilities ₹ Assets ₹
Rent Outstanding 6,000 Subscriptions Outstanding 4,500
Capital Fund 3,14,400 Books 2,00,000
Add : Life Membership Fees 25,000 Add : Purchases 21,300
Add : Surplus 56,500 3,95,900 Less : Deprecation (11,300) 2,10,000
Furniture 85000
Less : Depreciation (5,000) 80,000
Fixed Deposits 80,000
Add : Interest 1,200 81,200
Cash at Bank 24,200
Cash in hand 2,000
4,01,900 4,01,900

Question 43

From the following Receipts and Payments Account of Social Club and the information supplied,
prepare Income and Expenditure Account for the year ended 31st March, 2019 and Balance Sheet
as at that date:

RECEIPTS AND PAYMENTS ACCOUNT

for the year ended 31st March ,2019

Dr. Cr.
Receipts (₹) Payments (₹)
To Balance b/d 7,000 By Salaries 28,000
To Subscriptions: By General Expenses 6,000
2017-18 5,000 By Electricity Charges 4,000
2018-19 20,000 By Books 10,000
2019-20 4,000 29,000 By Newspapers 8,000
To Hire of Ground 14,000 By Balance c/d 4,000
To Surplus from Entertainment Events 8,000
To Sale of Old Newspapers 2,000
 60,000 60,000

(a) The club has 50 members each paying an annual subscription of ₹ 500. Subscriptions
Outstanding on 31st March,2018 were ₹ 6,000.

(b) On 31st March, 2019, Salaries Outstanding amounted to ₹ 2,000. Salaries paid in the year
ended 31st March, 2019 included ₹ 6,000 for the year ended 31st March, 2018.

(c) On 1st April, 2018, the club owned Building valued at ₹ 2,00,000; Furniture ₹ 20,000 and
Books ₹ 20,000.

(d) Provide depreciation on Furniture at 10%.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Subscription (50 members × ₹ 500
Salaries 28,000 25,000
each)
Add: Outstanding for 2018-19 2,000 Received Rent from the use of hall 14,000
Less: Outstanding for 2017-18 6,000 24,000 Entertainment Profit 8,000
General Expenses 6,000 Sale of Old Newspapers 2,000
Electricity Charges 4,000
Newspapers 8,000
Depreciation on Furniture (2,000 ×
2,000
10%)
Surplus (Balancing Figure) 5,000
49,000 49,000

Balance Sheet as on April 01, 2018

Liabilities ₹ Assets ₹
Salaries Outstanding 6,000 Subscriptions Outstanding 6,000
Capital Fund 2,47,000 Building 2,00,000
(Balancing Figure) Furniture 20,000
Books 20,000
Cash and Bank 7,000
2,53,000 2,53,000
Balance Sheet as on April 01, 2019
Liabilities ₹ Assets ₹
Advance Subscription 4,000 Outstanding Subscription
Outstanding Salaries 2,000 For the year 2018-19 (25,000 – 20,000) 5,000
Capital Fund 2,47,000 For the year 2017-18 (6,000 – 5,000) 1,000 6,000
Add: Surplus 5,000 2,52,000 Building 2,00,000
Furniture 20,000
 Less: 10% Depreciation 2,000 18000
Books 20,000
Add: Purchases 10,000 30,000
Cash and Bank 4,000
2,58,000 2,58,000

Question 44

From the following Receipts and Payments Account and additional information given below,
prepare Income and Expenditure Account and Balance Sheet of Rural Literacy Society as on 31st
March, 2019:

RECEIPTS AND PAYMENTS ACCOUNT

for the year ended 31 st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d: By General Expenses 32,000
Cash in Hand 40,000 By Newspaper 18,500
Cash at Bank 1,55,500 By Electricity 30,000
To Subscriptions: By Fixed Deposit with Bank 1,80,000
(On 30th September, 2018 @ 10%
2017-18 12,000
p.a.)
2018-19 2,65,000 By Books 70,000
2019-20 5,000 2,82,000 By Salary 36,000
To Legacy 12,500 By Rent 65,000
To Government Grant 1,20,000 By Postage Charges 3,000
To Sale of Old Furniture 37,000 By Furniture (purchased) 1,05,000
(Book value ₹ 50,000) By Balance c/d:
To Interest received on Fixed
4,500 Cash in Hand 30,000
Deposit
Cash at Bank 82,000
6,51,500 6,51,500

Additional information:

(i) Subscription outstanding as on 31st March, 2018 ₹ 20,000 and on 31st March, 2019 ₹ 15,000.

(ii) On 31st March, 2019, salary outstanding ₹ 6,000 and one month rent paid in advance.

(iii) On 1st April, 2018, society owned furniture ₹ 1,20,000 and books ₹ 50,000.

Solution:
Income and Expenditure Account as on March 31, 2019
Dr. Cr.
Expenditure ₹ Income ₹
General Expenses 32,000 Subscriptions 2,65,000
Newspaper 18,500 Add: Current O/s 7,000 2,72,000
Electricity 30,000 Old NewsPaper Sale 12,500
Salary 36,000 Grant from Government 1,20,000
Add: Outstanding 6,000 42,000 Interest on Fixed Deposit 9,000
Rent 65,000 (18,000 for 6 months @ 10%)
Less: Prepaid 5,000 60,000
Postage Charges 3,000
Loss on Sale of Furniture 13,000
Surplus 2,15,000
4,13,500 4,13,500

Balance Sheet as on March 31, 2019

Liabilities ₹ Assets ₹
Capital Fund Books 50,000
Opening Balance 3,85,500 Add: Purchases 70,000 1,20,000
Add: Surplus 2,15,000 6,00,500 Rent Prepaid 5,000
Salary Outstanding 6,000 Furniture 1,20,000
Received Subscription in Advance 5,000 Add: Purchases 1,05,000
Less: Sale 50,000 1,75,000
Fixed Deposit 1,80,000
Add: Interest 4,500 1,84,500
Subscriptions Outstanding 15,000
Cash 30,000
Bank 82,000
6,11,500 6,11,500

Working Notes 1: Ascertainment of Capital Fund

Balance Sheet as on March 31, 2018

Liabilities ₹ Assets ₹
Capital Fund 3,85,500 Outstanding Subscriptions 20,000
Books 50,000
Furniture 1,20,000
Cash 40,000
Bank 1,55,500
3,85,500 3,85,500
Question 45

Glaxo Club’s Balance Sheet as at 1st April, 2018 was as under:

Liabilities (₹) Assets (₹)

Capital Fund 2,00,000 Sports Equipments 50,000
Tournament Fund 60,000 Grounds 1,20,000
Subscriptions in Advance 6,000 Billiards Tables 60,000
Salaries Unpaid 11,000 Subscriptions Outstanding 8,000
Cash and Bank Balances 39,000

2,77,000 2,77,000

Receipts and Payments Account for the year ended 31st March, 2019 was:

RECEIPTS AND PAYMENTS ACCOUNT

for the year ended 31st March, 2019

Dr. Cr.
Receipts (₹) Payments (₹)
To Opening Balance 39,000 By Wages and Salaries 60,000
To Subscriptions 1,81,000 By Upkeep of Grounds 10,000
To Sale of Old Materials 1,500 By Stationery 15,000
To Sale of Sports Equipment 6,000 By Audit Fee 2,000
(Book value ₹ 10,000) By Expenses on Tournament 65,000
To Entrance Fees 2,000 By Sports Equipments 20,000
To Life Membership Fees 50,000 By 5% Investments 40,000
To Donations for Tournament 20,000 (On 1st October, 2018)
By Cash and Bank Balances 87,500
2,99,500 2,99,500

Subscriptions still to be received are ₹ 5,500 but subscriptions already received include ₹ 4,000 for
next year. Salaries still unpaid are ₹ 6,000. Sports Equipments are now valued at ₹ 45,000.
Prepare Income and Expenditure Account and the Balance Sheet, after charging 10% depreciation
on Billiards Tables.

Answer:

Income and Expenditure A/c as on 31st

Dr. Cr.
March, 2019
Expenditure ₹ Income ₹
To Loss on Sale of Sports Equipment 4,000 By Subscriptions 1,81,000
Add: Advance Subscriptions
To Sports Equipments used (WN1) 15,000 6,000
(Prev. Year)
To Wages and Salaries [60,000 – Less: Advance Subscriptions
55,000 4,000
5,000 (Prev. Year)] (Next Year)
Subscriptions Received
To Upkeep of Ground 10,000 2,500 1,80,500
(Prev. Year)
To Stationery 15,000 By Sale of Old Materials 1,500
To Audit Fees 2,000 By Entrance Fees 2,000
To Depreciation on Billiards Table By Interest Accrued on 5%
6,000 1,000
(60,000 × 10/100) Investments
To Surplus 78,000 (40,000 × 5/100 × 6/12)

1,85,000 1,85,000

Working Notes:

Sports Material Consumed = Opening Stock + Purchases – Closing Stock – Sales

= ₹ (50,000 + 20,000 – 45,000 – 10,000) = ₹ 15,000
Balance Sheet of Glaxo Club as at 31st March, 2019
Liabilities ₹ Assets ₹
Capital Fund 2,00,000 Sports Equipment 45,000
Add: Life Membership fee 50,000 Grounds 1,20,000
Add: Surplus 78,000 3,28,000 Billiards Table 60,000
Less: Depreciation 6,000 54,000
Tournament Fund 60,000
Add: Donations 20,000 Investments 5% 40,000
Less: Tournament Expenses 65,000 15,000 Investments Interest 1,000
Outstanding Subscriptions 5,500
Advance Subscriptions Received 4,000 Cash and Bank Balances 87,500
Unpaid Salaries 6,000

3,53,000 3,53,000

Question 46

From the following Receipts and Payments Account and additional information relating to the star
Cricket Club, prepare Income and Expenditure Account for the year ended 31st March, 2019 and
Balance Sheet as at that date:

RECEIPTS AND PAYMENTS ACCOUNT

Dr. Cr.
Receipts (₹) Payments (₹)
To Balance b/d: By Upkeep of Fields 20,000
Cash in Hand 1st April, 2018 10,000 By Tournament Expenses 7,000
Cash at Bank as per Pass 20,000 30,000 By Rates and Insurance 2,000
Book
To Members’ Subscriptions 50,000 By Telephone 500
To Admission Fee 3,000 By Stationery 1,000
To Sale of Old Bats, etc. 500 By General Charges 500
To Hire of Ground 3,000 By Secretary’s Honorarium 2,000
To Subscriptions for Tournament 10,000 By Bats, Balls, etc. 7,000
To Donations 75,000 By Balance c/d:
Cash in Hand 31st March,
To Legacy Donations 25,000 1,00,000
2019
Cash at Bank as per Pass
56,500 1,56,500
Book
1,96,500 1,96,500
Assets on 1st April, 2018: ₹
Stock of Bats and Balls 15,000
Stationery 2,000
Subscriptions Due 5,000

Subscriptions due on 31st March, 2019 amounted to ₹ 7,500. Write off 50% of Bats, Balls (not
considering sale) and 25% of Stationery.

Solution

Income and Expenditure A/c for the year ended

Dr. Cr.
31st March, 2019
Expenditure ₹ Income ₹
To Upkeep of fields 20,000 By Member’s Subscriptions 50,000
Add: Outstanding Subscriptions (7,500 –
To Rates and Insurance 2,000 2,500 52,500
5,000)
To Telephone 500 By Admission fee 3,000
To General Charges 500 By Donations 75,000
To Secretary’s Honorarium 2,000 By Legacy Donations 25,000
To Bats and Balls written
11,000 By Hire of Ground 3,000
off (WN1)
To Stationery written off
750 By Sale of Old bats, etc. 500
(WN2)
To Surplus 1,22,250
1,59,000 1,59,000

Working Note

1) Bats and Balls Amount = Opening Stock + Purchases

= ₹ (15,000 + 7,000) = ₹ 22,000
Bats and Balls written off = ₹ (22,000×50/100) = ₹ 11,000
2) Stationery Amount = Opening Stock + Purchases
 = ₹(2,000 + 1,000)= ₹3,000
Stationery written off = ₹(3,000×25/100)= ₹750

3)

Balance Sheet as on 1st April, 2018

Liabilities ₹ Assets ₹
Capital Fund (Balancing Figure) 52,000 Bats and Balls 15,000
Stationery 2,000
Subscriptions due 5,000
Cash in Hand 10,000
Cash at Bank 20,000

52,000 52,000
Balance Sheet as on 31st March, 2019
Liabilities ₹ Assets ₹
Capital Fund (WN3) 52,000 Bats and Balls stock 15,000
Add: Surplus 1,22,250 1,74,250 Add: Purchases 7,000
Less: Written off 11,000 11,000
Tournament Subscriptions 10,000
Less: Expenses of Tournament 7,000 3,000 Stationery 2,000
Add: Purchases 1,000
Less: Written off 750 2,250

Outstanding Subscriptions 7,500

Cash in Hand 1,00,000
Cash at Bank 56,500

1,77,250 1,77,250

Question 47

From the following Receipts and Payments Account of Mumbai Theatre Club, prepare Income and
Expenditure Account for the year ended 31st March, 2019 and Balance Sheet as at that date:

RECEIPTS AND PAYMENTS ACCOUNT

Dr. Cr.
Receipts (₹) Payments (₹)
To Balance b/d: By Salary 20,000
Cash and Bank 1,40,000 By Repair Expenses 5,000
To Donations 50,000 By Furniture 60,000
To Subscriptions 1,20,000 By Miscellaneous Expenses 5,000
To Entrance Fees 10,000 By Investments 60,000
To Interest on Investments 1,000 By Insurance Premium 2,000
To Interest Received from Bank 4,000 By Billiard Table 80,000
To Sale of Old Newspapers 1,500 By Paper, lnk, etc. 1,500
To Sale of Drama Tickets 10,500 By Drama Expenses 5,000
By Balance c/d:
Cash and Bank 98,500
3,37,000 3,37,000

Additional Information:

(i) Subscriptions in arrear for the year ended 31st March, 2019 ₹ 9,000 and subscriptions in
advance for the year ending 31st March, 2020 ₹ 3,500.

(ii) Insurance Premium outstanding ₹ 400.

(iii) Miscellaneous expenses prepaid ₹ 900.

(iv) 8% interest has accrued on investment for five months.

(v) Billiard Table costing ₹ 3,00,000 was purchased during last year and ₹ 2,20,000 were paid for
it.

Solution:

Income and Expenditure A/c fas on 31st

Dr. Cr.
March, 2019
Expenditure ₹ Income ₹
To Salary 20,000 By Donations 50,000
To Repair Expenses 5,000 By Subscriptions 1,20,000
Add: Subscriptions
To Miscellaneous Expenses 5,000 9,000
Outstanding
Less: Advance
Less: Prepaid Expenses 900 4,100 3,500 1,25,500
Subscriptions
To Insurance Premium 2,000 By Entrance Fees 10,000
By Interest on
Add: Outstanding Premium 400 2,400 1,000
Investments
Add: Accrued Interest
To Paper, Ink, etc. 1,500 2,000 3,000
(WN1)
To Drama Expenses 5,000 By Interest received from Bank 4,000
To Surplus- Excess of Income over
1,66,500 By Sale of Old Newspapers 1,500
Expenditure
By Sale of Drama Tickets 10,500

2,04,500 2,04,500

Working Notes 1:
5 months Interest on Investments = ₹ (60,000 × 8/100 × 5/12)
= ₹ 2,000

Working Notes 2:

Balance Sheet as on 1st April, 2018

Liabilities ₹ Assets ₹
Capital Fund (Balancing Figure) 3,60,000 Billiard Table 3,00,000
Cash and Bank 1,40,000
Billiard Table Creditors 80,000

4,40,000 4,40,000

Balance Sheet as on 31st March, 2019

Liabilities ₹ Assets ₹
Capital Fund (WN2) 3,60,000 Furniture 60,000
Add: Surplus 1,66,500 5,26,500 Investments 60,000
Billiard Table 3,00,000
Insurance Premium

400 Prepaid Miscellaneous Expenses 900

Outstanding

Advance Subscriptions 3,500 Investments Interest 2,000

Subscriptions Outstanding 9,000
Cash and Bank 98,500

5,30,400 5,30,400

Question 48

Following Receipts and Payments Account was prepared from the Cash Book of Delhi Charitable
Trust for the year ending 31st March, 2019:

Receipt and Payment A/c as on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d: By Charity 1,15,000
Cash in Hand 1,15,000 By Rent and Taxes 32,000
Cash at Bank 1,26,000 By Salary 60,000
To Donations 90,000 By Printing 6,000
To Subscriptions 4,28,000 By Postage 3,000
To Legacies Donations 1,80,000 By Advertisements 45,000
To Interest on Investment 45,000 By Insurance 20,000
To Sale of old Newspaper 2,000 By Furniture 2,16,000
By Investment 2,30,000
By Balance c/d:
Cash in Hand 99,000
Cash at Bank 1,60,000

9,86,000 9,86,000

Prepare Income and Expenditure Account for the year ended 31st March, 2019, and Balance Sheet
as on that date after the following adjustments:

(i) Insurance premium was paid for insurance taken w.e.f. 1st July, 2018.

(ii) Interest on investment ₹ 11,000 accrued was not received.

(iii) Rent ₹ 6,000; Salary ₹ 9,000 and advertisement expenses ₹ 10,000 outstanding as on 31st
March, 2019.

(iv) Legacy Donation is towards construction of Library Block.

Solution:

Income and Expenditure Account as on March 31st, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Charity 1,15,000 Donation 90,000
Rent 32,000 Subscription 4,28,000
Add: Outstanding 6,000 38,000 Interest on Investments (45,000 + 11,000) 56,000
Salary 60,000 Sale of Old Newspapers 2,000
Add: Outstanding 9,000 69,000
Advertisement 45,000
Add: Outstanding 10,000 55,000
Insurance 20,000
Less: Prepaid 5,000 15,000
Printing 6,000
Postage 3,000
Surplus 2,75,000
5,76,000 5,76,000
Balance Sheet as on March 31, 2019
Liabilities ₹ Assets ₹
Capital Fund Cash 99,000
Opening Balance 2,41,000 Bank 1,60,000
Add: Legacy 1,80,000 Insurance Prepaid 5,000
Add: Surplus 2,75,000 6,96,000 Furniture 2,16,000
Rent Outstanding 6,000 Investment 2,30,000
 Add: Interest 11,000 2,41,000

7,21,000 7,21,000

Working Notes 1: Ascertainment of Capital Fund

Balance Sheet as on March 31, 2018

Liabilities ₹ Assets ₹
Capital Fund 2,41,000 Cash 1,15,000
Banks 1,26,000
2,41,000 2,41,000

Question 49

Given Below is the Receipts and Payments Account of a Mayur Club for the year ended 31st March,
2019:

Receipt and Payment A/c

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d 1,02,500 By Salaries 60,000
To Subscriptions: By Expenses 7,500
2017-18 4,000 By Drama Expenses 45,000
2018-19 2,05,000 By Newspapers 15,000
2019-20 6,000 2,15,000 By Municipal Taxes 4,000
To Donations 54,000 By Charity 35,000
To Proceeds of Drama Tickets 95,000 By Investments 2,00,000
To Sale of Waste Paper 4,500 By Electricity Charges 14,500
By Balance c/d 90,000

4,71,000 4,71,000

Prepare club’s Income and Expenditure Account for the year ended 31st March, 2019 and Balance
Sheet as at that date after taking the following information into account:

(i) There are 500 members, each paying an annual subscription of ₹ 500, ₹ 5,000 are still in
arrears for the year ended 31st March, 2018.

(ii) Municipal Taxes amounted to ₹ 4,000 per year is paid up to 30th June and ₹ 5,000 are
outstanding of salaries.

(iii) Building stands in the books at ₹ 5,00,000.

(iv) 6% interest has accrued on investments for five months.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Municipal Taxes 4,000 Subscription (500 members × Rs 500) 2,50,000
Interest Accrued on Investment

Add: Prepaid in 2017-18 1,000 5,000

(2,00,000 X 6100 X 512)

Less: Prepaid in 2018-19 1,000 4,000 Profit from Drama:

Salaries 60,000 Proceeds 95,000
Add: Outstanding 5,000 65,000 Less: Drama Expenses 45,000 50,000
Expenses 7,500 Sale of Waste Paper 4,500
Newspapers 15,000 Donations 54,000
Charity 35,000
Electricity Charges 14,500
Surplus (Balancing Figure) 2,22,500
3,63,500 3,63,500

Balance Sheet as on April 01, 2018

Liabilities ₹ Assets ₹
Subscriptions Outstanding (4,000 + 5,000) 9,000
Capital Fund (Balancing Figure) 6,12,500 Municipal Taxes Prepaid 1,000
Building 5,00,000
Cash and Bank 1,02,500
6,12,500 6,12,500

Balance Sheet as on April 01, 2018

Liabilities ₹ Assets ₹
Subscription Advance 6,000 Outstanding Subscriptions
Outstanding Salaries 5,000 For 2018-19 (2,50,000 – 2,05,000) 45,000
For 2017-18 5,000 50,000
Capital Fund 6,12,500 Prepaid Municipal Taxes 1,000
Add: Surplus 2,22,500 8,35,000 Building 5,00,000
Investments 2,00,000
Add: Accrued Interest 5,000 2,05,000
Cash at Bank 90,000
8,46,000 8,46,000

Question 50

From the following Receipts and Payments Account of Kapil Dev Club and from the given additional
information, prepare Income and Expenditure Account for the year ending 31st December, 2019
and the Balance Sheet as at that date:
Receipt and Payment A/c as on 31st March, 2019
Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d 1,90,000 By Salaries 3,30,000
To Subscriptions 6,60,000 By Sports Material 4,00,000
Investment Interest 40,000 By Balance c/d 1,60,000
@ 8% p.a. for full year
8,90,000 8,90,000

Additional Information:

(i) The club had received ₹ 20,000 for subscription in 2017-18 for 2018-19.

(ii) Salaries had been paid only for 11 months.

(iii) Stock of sports materials on 31st March, 2018 was ₹ 3,00,000 and on 31st March, 2019 ₹
6,50,000.

Solution:

Income and Expenditure Account as on 31st March,2019

Dr. Cr.
Expenditure ₹ Income ₹
Salary 3,30,000 Subscription 6,60,000
Add: Outstanding Salaries Add: Advance in the
30,000 3,60,000 20,000 6,80,000
(WN3) beginning
Sports Materials Consumed 50,000 Investments Interest 40,000
Surplus 3,10,000
7,20,000 7,20,000
Balance Sheet as on 31st March,2019
Liabilities ₹ Assets ₹
Outstanding Salaries 30,000 Investments (WN4) 5,00,000
Capital Fund 9,70,000 Stock of Sports Material 6,50,000
Add: Surplus 3,10,000 12,80,000 Cash 1,60,000

13,10,000 13,10,000

Working Notes 1: Sports Material Consumed Evaluation

Particulars ₹
Sports Material Purchased 4,00,000
Add: Opening Stock of Sports Material 3,00,000
Less: Closing Stock of Sports Material 6,50,000

Sports Material Consumed 50,000

Working Notes 2: Capital Fund Evaluation

Balance Sheet as on April 01,2018
Liabilities ₹ Assets ₹
Subscription Received in Advance 20,0000 Investments 5,00,000
Capital Fund (Balancing Figure) 9,70,000 Stock of Sports Material 3,00,000
Cash 1,90,000

9,90,000 9,90,000

Working Notes 3: Outstanding Salaries Evaluation

Outstanding Salaries = 3,30,000 X 111 = ₹ 30,000

Working Notes 3: Investments Evaluation

Investments = 40,000× 1008 = ₹ 5,00,000

Question 51

From the following information and Receipts and Payments Account of Delhi Medical Society,
prepare Income and Expenditure Account for the year ended 31st March, 2019 and Balance Sheet
as at that date.

Receipt and Payment A/c as on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Balance b/d 31,900 By Rent 16,800
To Entrance Fees 5,500 By Wages 24,500
To Subscriptions 1,80,000 By Lighting Charges 7,200
To Donations 16,500 By Books 24,800
To Life Membership Fees 25,000 By Medicines 1,00,000
To Government Grant 2,00,000 By Doctors Salaries 80,000
To Proceeds of Seminar 23,200 By Office Expenses 45,000
To Interest on Deposits 2,400 By 8% Fixed Deposits 1,20,000
(On 1st October, 2018)
By Seminar Expenses 20,200
By Cash in Hand 26,000
By Bank A/c 20,000

4,84,500 4,84,500

Other information:

On 31st March, 2018, the Club possessed books of ₹ 2,00,000 and Furniture of ₹ 85,000. Provide
depreciation on these assets @ 10% including the purchases during the year.

Subscriptions in arrears in the beginning of the year amounted to ₹ 3,500 and at the end of the
year ₹ 5,500 were outstanding.

The Club paid three months’ rent in advance both in the beginning and at the end of the year.
Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Rent 16,800 Entrance Fees 5,500
Add: Advance in the
4,200 Subscriptions 1,80,000
beginning
Less: Advanced at the end (4,200) 16,800 Add: Arrears at the end 5,500
Less: Arrears in the
Wages 24,500 (3,500) 1,82,000
beginning
Lighting Charges 7,200 Donations 16,500
Office Expenses 45,000 Deposits Interest 2,400
Depreciation on: Add: Interest 2,400 4,800
Furniture 8,500 Profit from Seminar:
Books 22,480 30,980 Proceeds 23,200
Surplus (Balancing Figure) 87,320 Less: Expenses (20,200) 3,000
2,11,800 2,11,800

Balance Sheet as on April 01, 2018

Liabilities ₹ Assets ₹
Advance Rent 4,200
Subscription-in-Arrears 3,500
Books 2,00,000
Capital Fund (Balancing Figure) 3,24,600 Furniture 85,000
Cash in Hand 31,900
3,24,600 3,24,600

Balance Sheet as on April 01, 2018

Liabilities ₹ Assets ₹
Subscription-in-Arrears 5,500
Advance Rent 4,200
Books 2,00,000
Government Grant 2,00,000 Add: Purchase 24,800
Less: Medicines 1,00,000 2,24,800
Less: Salaries 80,000 20,000 Less: Depreciation @ 10% (22,480) 2,02,320
Capital Fund 3,24,600 Furniture 85,000
Add: Surplus 87,320 Less: 10% Depreciation 8,500 76,500
Add: Life Membership 25,000 4,36,920 Cash in Hand 26,000
Cash at Bank 20,000
Fixed Deposit @ 8% 1,20,000
 Add: Interest on deposit 2,400 1,22,400
4,56,920 4,56,920

Working Note: Fixed Deposits Interest Evaluation

Interest on Fixed Deposits (1,20,000 × 8% × 612) 4,800

Less: Received Interest (2,400)
Interest on Fixed Deposits 2,400

Question 52

Receipts and Payments Account of Shankar Sports Club is given below for the year ended 31st
March, 2019:

Receipt and payment A/c as on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Cash in Hand (Opening) 2,600 By Rent 18,000
To Entrance Fee 3,200 By Wages 7,000
To Donation for Building 23,000 By Billiard Table 14,000
To Locker Rent 1,200 By Furniture 10,000
To Life Membership Fee 7,000 By Interest 2,000
To Profit from Entertainment 3,000 By Postage 1,000
To Subscription 40,000 By Salary 24,000
By Cash In Hand (Closing) 4,000

80,000 80,000

Prepare Income and Expenditure Account and Balance Sheet with the help of following
information:

Subscription outstanding on 31st March, 2018 is ₹ 1,200 and ₹ 2,300 on 31st March, 2019;
opening stock of postage stamps is ₹ 300 and closing stock is ₹ 200; Rent ₹ 1,500 related to the
year ended 31st March, 2018 and ₹ 1,500 is still unpaid. On 1st April, 2018 the club owned
furniture ₹ 15,000, Furniture valued at ₹ 22,500 on 31st March, 2019. The club has a loan of ₹
20,000 (@ 10% p.a.) which was taken, in the year ended 31st March, 2018.

Solution:

Dr. Income and Expenditure A/c as on 31st March, 2019 Cr.

Amount Amount

Expenditure Income
(₹) (₹)

To Rent 18,000 By Entrance Fess 3,200

To Wages 7,000 By Locker Rent 1,200
To Interest 2,000 By Profit from Entertainment 3,000
To Postage Consumed (WN1) 1,100 By Subscriptions 40,000
To Depreciation on Furniture Less: Outstanding Sub. (31st March,
2,500 1,200
(WN2) 2018)
Add: Outstanding Sub. (31st March,
To Salary 24,000 2,300 41,100
2019)

By Deficit- Excess of Expenditure over Income 6,100

54,600 54,600

Working Notes :

1. Postage Consumed = Opening Stock + Purchases – Closing Stock – Sales

= ₹ (300 + 1,000 – 200) = ₹ 1,100
2. Depreciation on Furniture = Opening Value + Purchases – Closing Value
= ₹ (15,000 + 10,000 – 22,500) = ₹ 2,500
3.
Balance Sheet of Shankar Sports Club as at 1st April, 2018
Liabilities ₹ Assets ₹
Loan @ 10% p.a. 20,000 Furniture 15,000
Outstanding Rent 1,500 Postage 300
Outstanding Subscriptions 1,200
Cash in Hand 2,600
Capital Fund Deficit (Balancing Figure) 2,400

21,500 21,500
Balance Sheet of Shankar Sports Club as at 1st April, 2019
Liabilities ₹ Assets ₹
Loan @10% p.a. 20,000 Capital Fund Deficit 2,400
Donation for Building 23,000 Add: Deficit 6,100 8,500
Rent Outstanding 1,500 Furniture 22,500
Fees for Life Membership 7,000 Billiard Table 14,000
Postage 200
Outstanding Subscriptions 2,300
Cash in Hand 4,000
Furniture 22,500

51,500 51,500

Question 53
From the following particulars relating to the Ramakrishna Mission Charitable Hospital, prepare
Income and Expenditure Account for the year ended 31st March, 2019 and Balance Sheet as at
that date.

Receipt and Payment A/c as on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Cash in Hand on 1st April, 2018 71,300 By Medicines 3,05,900
To Subscriptions 4,79,960 By Doctor’s Honorarium 90,000
To Donations 1,45,000 By Salaries 2,75,000
To Interest Investment @ 7% 70,000 By Petty Expenses 4,610
To Proceeds from Charity Show 1,04,500 By Equipments 1,50,000
By Expenses on Charity Show 7,500
By Cash in Hand on 31st March, 2018 37,750

8,70,760 8,70,760

As at 1st April, 2018 As at 31st March, 2019

Additional Information:
(₹) (₹)

Subscriptions Due 2,400 2,800

Subscriptions Received in Advance 640 1,000
Stock of Medicines 88,100 97,400
Estimated value of Equipments 2,12,000 3,16,000
Building (cost less depreciation) 4,00,000 3,80,000

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Medicine 30,590 Subscription 47,996
Add: Opening Stock 8,810 Add: Due for 2018-19 280
Less: Closing Stock (9,740) 29,660 Less: Due for 2017-18 (240)
Doctor’s Honorarium 9,000 Less: Advance for 2019-20 (100)
Salaries 27,500 Add: Advance for 2018-19 64 48,000
Petty Expenses 461 Donations 14,500
Charity Show Expenses 750 Investments Interest 7,000
Equipments Depreciation 4,600 Proceeds from Charity Show 10,450
Building Depreciation 2,000
Surplus (Balancing Figure) 5,979
 79,950 79,950

Balance Sheet as on April 01, 2018

Liabilities ₹ Assets ₹
Subscription Advance 64 Due Subscription 240
Capital Fund (Balancing Figure) 1,77,316 Medicines Stock 8,810
Equipments 21,200
Building 40,000
Cash in Hand 7,130
Investments 1,00,000
1,77,380 1,77,380
Balance Sheet as on April 01, 2019
Liabilities ₹ Assets ₹
Advance Subscription 100 Subscription Due 280
Capital Fund 1,77,316 Medicines Stock 9,740
Add: Surplus 5,979 1,83,295 Equipments 21,200
Add: Purchases 15,000
36,200
Less: Depreciation (4,600) 31,600
Building 40,000
Less: Depreciation (2,000) 38,000
Cash in Hand 3,775
Investments @ 7% 1,00,000
1,83,395 1,83,395

Working Note: Investment Evaluation

= Interest X 100RateofReturn

= 7,000 X 1007 = ₹ 1,00,000

Question 54

Following is the Receipt and Payment Account of Women’s Welfare Club for the year ended 31st
March, 2019:

Receipt and Payment A/c as on 31st March, 2019

Dr. Cr.
Receipts ₹ Payments ₹
To Cash in Hand 22,500 Salary 1,25,000
To Cash at Bank 50,000 By Stationery 17,000
To Subscriptions 8,17,500 By Electric Charges 95,500
To Donations 30,000 By Insurance 75,000
To Government Grant 1,50,000 By Equipments 3,00,000
To Sale of Newspapers 3,000 By Petty Expenses 5,000
To Proceeds of Charity Show 1,65,000 By Expenses on Charity Show 1,29,000
To Interest Investments @ 10% 70,000 By Newspapers 10,000
To Income Sundries 4,000 By Lectures Fee 1,65,000
By Honorarium to secretary 1,20,000
By Cash in Hand 20,500
By Cash at Bank 2,50,000

13,12,000 13,12,000

Additional Information:

1st April, 2018 31st March, 2019

Particulars
(₹) (₹)

Outstanding Salaries 12,000 18,000

Insurance Prepaid 7,000 3,000
Subscription Outstanding 37,500 25,000
Subscription received in advance 17,500 10,000
Electricity Charges outstanding … 12,500
Stock of Stationery 22,500 7,000
Equipments 2,56,000 5,02,000
Building 12,00,000 11,40,000

Prepare Income and Expenditure Account for the year ended 31st March, 2019,and Balance Sheet
as on that date.

Solution:

Income and Expenditure Account as on March 31, 2019

Dr. Cr.
Expenditure ₹ Income ₹
Stationery 32,500 Donation 30,000
Electricity Charges 95,500 Government Grant 1,50,000
Add: Outstanding 12,500 1,08,000 Sale of Old Newspapers 3,000
Salary 1,25,000 Proceeds of Charity Show (Net) 36,000
Add: Current O/s 18,000 Interest on Investments 70,000
Less: Previous O/s 12,000 1,31,000 Sundries Income 4,000
Insurance 75,000 Subscription 8,17,500
Add: Previous 7,000 Add: Current O/s 25,000
Less: Current 3,000 79,000 Add: Previous Adv. 17,500
Petty Expenses 5,000 Less: Previous O/s 37,500
Newspaper 10,000 Less: Current Adv. 10,000 8,12,500
Lectures Fees 1,65,000
Honorarium to Secretary 1,20,000
Depreciation on Equipment 54,000
Depreciation on Building 60,000
Surplus 3,41,000
11,05,500 11,05,500

Balance Sheet as on March 31, 2019

Liabilities ₹ Assets ₹
Capital Fund Prepaid Insurance 3,000
Opening Balance 22,66,000 Outstanding Subscription 25,000
Add: Surplus 3,41,000 26,07,000 Investments 7,00,000
Salary Outstanding 18,000 Equipment 2,56,000
Received Advance Subscription 10,000 Add: Purchases 3,00,000
Outstanding Electricity Charges 12,500 Less: Depreciation 54,000 5,02,000
Cash 20,500
Bank 2,50,000
Building 12,00,000
Less: Depreciation 60,000 11,40,000
Stock of Stationery 7,000
26,47,500 26,47,500

Working Notes 1: Capital Fund Evaluation

Balance Sheet as on March 31, 2018

Liabilities ₹ Assets ₹
Outstanding Salary 12,000 Prepaid Insurance 7,000
Subscription Received in Advance 17,500 Subscription Outstanding 37,500
Capital Fund 22,66,000 Stock of Stationery 22,500
Equipment 2,56,000
Building 12,00,000
Cash 22,500
Bank 50,000
Investments 7,00,000
22,95,500 22,95,500
 Chapter 2- Accounting for Partnership Firms-
Fundamentals
Exercise

Question 1

In the absence of Partnership Deed, what are the rules related to :

(a) Salaries of partners,

(b) Interest on partners’ capitals

(c) Interest on partners’ loan

(d) Division of profit, and

(e) Interest on partners’ drawings

Solution:

The rules are

(a) Partners will not be allowed any salary

(b) On partner’s capital, no interest will be allowed

(c) Only 6% interest in Partner’s Loan

(d) Profit distribution to be done in equal ratio

(e) In partner’s drawings, no Interest will be charged

Question 2

Following differences have arisen among P, Q and R. State who is correct in each case:

(a) P used ₹ 20,000 belonging to the firm and made a profit of ₹ 5,000. Q and R want the amount
to be given to the firm?

(b) Q used ₹ 5,000 belonging to the firm and suffered a loss of ₹ 1000. He wants the firm to bear
the loss?

(c) P and Q want to purchase goods from A Ltd., R does not agree?

(d) Q and R want to admit C as a partner, P does not agree?

Solution:

(a) P will pay ₹20,000 along with ₹ 5,000 profit to the company as the money belongs to the
company. It is because of the relation between the principal and agent. Here, P is both the
principal and the agent to Q and R and the firm. And according to the Partnership Act rules, if an
agent makes a profit made by utilising the firm’s assets is due to the company.

(b) Q has to pay the firm ₹ 5,000. The Partnership Act, 1932, all the partnership firm partners’ are
liable for all the losses made by their negligence. In this scenario, Q is liable for the loss as he has
utilized the company’s property and portrayed himself as a principal and not an agent to the firm
and other partners.

(c) A partner can purchase and trade products without discussing with the other partners. The
discussion happens only if a partner has some restriction to purchase and trade firm properties
and a public notice is issued.

(d) In this scenario, C will not be included in the firm as P, has disagreed to admit C. The Act says,
a new partner will not get admission to a firm if the existing partners disagree for his/her
admission.

Question 3

A, B and C are partners in a firm. They do not have a Partnership Deed. At the end of the first year
of the commencement of the firm, they have faced the following problems :

(a) A wants that interest on capital should be allowed to the partners but B and C do not agree.

(b) B wants that the partners should be allowed to draw a salary but A and C do not agree.

(c) C wants that the loan given by him to the firm should bear interest @ 10% p.a. but A and B do
not agree.

(d) A and B having contributed larger amounts of capital, desire that the profits should be divided
in the ratio of their capital contribution but C does not agree.

State how you will settle these disputes if the partners approach you for purpose.

Solution:

Disputes Reasonable Judgements

The partnership Act says, no capital interest
A wants that interest on capital should be
will be granted because between A, B, and C
(a) allowed to the partners but B and C do not
no agreement has bee signed regarding
agree.
capital interest.
B wants that the partners should be allowed to No partners are liable for any salary because
(b)
draw a salary but A and C do not agree. of no partnership agreement.
C wants that the loan given by him to the firm Only 6% interest is allowed on a partner’s
(c) should bear interest @ 10% p.a. but A and B loan when there is no partnership
do not agree. agreement.
A and B having contributed larger amounts of
capital, desire that the profits should be Profits will be equally shared in the absence
(d)
divided in the ratio of their capital contribution of a partnership agreement
but C does not agree.

Question 4

Jaspal and Rosy were partners with a capital contribution of ₹ 10,00,000 and ₹ 5,00,000
respectively. They do not have a Partnership Deed. Jaspal wants that profits of the firm should be
shared in their capital ratio. Rosy convinced Jaspal that profits should be shared equally. Explain
how Rosy would have convinced Jaspal for sharing the profit equally.

Solution:

In any partnership firm when there is no partnership deed, then the rule of the Indian Partnership
Act of 1932 applies. In the act, when the agreement is not signed then the profit should be
distributed equally to all the partners.

In this scenario, Jaspal’s point of view does not align with the partnership Act rule and therefore,
Rosy would have convinced her by explaining her the Partnership Act, 1932 provisions.

Question 5

Harshad and Dhiman have been in partnership since 1st April, 2018. No partnership agreement
was made. They contributed ₹ 4,00,000 and ₹ 1,00,000 respectively as capital. In addition,
Harshad advanced an amount of ₹ 1,00,000 to the firm on 1st October, 2018. Due to long illness,
Harshad could not participate in business activities from 1st August, 2018 to 30th September,
2018. Profit for the year ended 31st March, 2019 was ₹ 1,80,000. The dispute has arisen between
Harshad and Dhiman.

Harshad Claims :

(i) He should be given interest @ 10% per annum on capital and loan;

(ii) Profit should be distributed in the ratio of capital;

Dhiman Claims :

(i) Profit should be distributed equally;

(ii) He should be allowed ₹ 2,000 p.m. as remuneration for the period he managed the business in
the absence of Harshad;

(iii) Interest on Capital and loan should be allowed @ 6% p.a.

You are required to settle the dispute between Harshad and Dhiman. Also, prepare Profit and Loss
Appropriation Account.

Solution:

Harshad Declaration:

(i) According to Indian partnership act 1932, in the absence of agreement, only 6% of interest is
allowed on a partner’s loan and no interest will be incurred in partner’s capital..

(ii) As per the partnership act 1932, in the absence of agreement profit will be shared equally.

Dhiman Claims:

(i) True, according to partnership act 1932, if no agreement is signed between the partners the
profit will be equally distributed.

(ii) No partners are entitled to any sort of salary or remuneration when there is no agreement.

(iii) Here, if there is no agreement between the partners only 6% will be allowed to partner’s loan
and no interest in a partner’s capital.

Profit Distribution:

Profit and Loss Adjustment Account as on 31st

Dr. Cr.
March, 2019
Particulars ₹ Particulars ₹
Interest on Partner’s Loan Profit and Loss A/c 1,80,000
Harshad 1,00,000 × (6/100) ×
3,000
(6/12)
Profit and Loss Appropriation A/c 1,77,000
1,80,000 1,80,000

Profit and Loss Appropriation Account as on 31st March,

Dr. Cr.
2019
Particulars ₹ Particulars ₹
Profit transferred to Profit and Loss Adjustment A/c 1,77,000
Harshad’s Capital 88,500
Dhiman’s Capital 88,500
1,77,000 1,77,000

Question 6

A and B are partners from 1st April 2018, without a Partnership Deed and they introduced capitals
of ₹ 35,000 and ₹ 20,000 respectively. On 1st October 2018, A advanced loan of ₹ 8,000 to the
firm without any agreement as to interest. The profit and Loss Account for the year ended 31st
March 2019 shows a profit of ₹ 15,000 but the partners cannot agree on payment of interest and
on the basis of division of profits.

You are required to divide the profits between them giving reasons for your method.

Solution:

Profit and Loss Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
A’s Loan Interest 240 Profit (before Interest) 15,000
Profit transferred to:
A’s Capital A/c 7,380
B’s Capital A/c 7,380 14,760
15,000 15,000

Working Notes 1: Loan interest Evaluation

Loan interest to be provided @ 6% p.a.

Loan Amount = ₹ 8,000

Time (from 1st October to 31st March) = 6 months

A’s loan interest = 8,000 X 6/100 X 6/12 = ₹ 240

Working Notes 1: Profit Share of Partner Evaluation

Equal distribution of profit

Profit after A’s loan Interest = ₹ 15,000 − ₹ 240 = ₹ 14,760

Therefore, A and B profit-sharing = 14,760 X 1/2 = ₹7,380

Question 7

A and B are partners in a firm sharing profits in the ratio of 3: 2. They had advanced to the firm a
sum of ₹ 30,000 as a loan in their profit-sharing ratio on 1st October, 2017. The Partnership Deed
is silent on interest on loans from partners. Compute interest payable by the firm to the partners,
assuming the firm closes its books every year on 31st March.

Solution:

The total advanced amount given by the partners = ₹ 30,000

Profit-sharing ratio = 3:2

A’s advance = 30,000 X 3/5 = ₹18,000

B’s advance = 30,000 X 2/5 = ₹12,000

Duration (from 1st October, 2017 to 31st March, 2018) = 6 months

Rate of Interest = 6% p.a.

Interest incurred on Advances Evaluation

A’s advance interest = 18,000 X 6/100 X 6/12 = ₹ 540

B’s advance interest = 12,000 X 6/100 X 6/12 = ₹ 360

Note: Because there is no partnership agreement only 6% of the interest rate is allowed on the
loan.

Question 8

X and Y are partners sharing profits and losses in the ratio of 2 : 3 with capitals ₹ 2,00,000 and ₹
3,00,000 respectively. On 1st October, 2018, X and Y gave loans of ₹ 80,000 and ₹ 40,000
respectively to the firm. Show distribution of profits/losses for the year ended 31st March, 2019 in
each of the following alternative cases:

Case 1: If the profits before interest for the year amounted to ₹ 21,000.

Case 2: If the profits before interest for the year amounted to ₹ 3,000.

Case 3: If the profits before interest for the year amounted to ₹ 5,000.

Case 4: If the loss before interest for the year amounted to ₹ 1,400.

Solution:

Loan Interest Evaluation

X’s loan interest for six months = 80,000 X 6/100 X 6/12 = ₹ 2,400

Y’s loan interest for six months = 40,000 X 6/100 X 6/12 = ₹ 1,200

Case 1- Profits without the interest = ₹ 21,000

Profit and Loss Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
X’s Loan Interest 2,400 Profit (before interest) 21,000
Y’s Loan Interest 1,200
Profit transferred to
X’s Capital A/c (17,400 X 2/5 6,960
Y’s Capital A/c (17,400 X 3/5) 10,440 17,400
21,000 21,000

Case 2 – Profits before interest ₹ 3,000

Profit and Loss Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on X’s Loan 2,400 Profit (before interest) 3,000
Interest on Y’s Loan 1,200 Loss transferred to-
X’s Capital A/c (600 × 2/5) 240
Y’s Capital A/c (600 × (3/5) 360 600

3,600 3,600

Case 3- Profits before interest ₹ 5,000

Profit and Loss Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on X’s Loan 2,400 Profit (before interest) 5,000
Interest on Y’s Loan 1,200
Profit transferred to:
X’s Capital A/c (1400 × 2/5) 560
Y’s Capital A/c (1400 × 3/5) 840 1,400
5,000 5,000

Case 4- Loss before interest ₹ 1,400

Profit and Loss Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Loss (before interest) 1,400 Loss transferred to-
Interest on X’s Loan 2,400 X’s Capital A/c (5,000 × 2/5) 2,000
Interest on Y’s Loan 1,200 Y’s Capital A/c (5,000 × 3/5) 3,000 5,000

5,000 5,000

Question 9

Bat and Ball are partners sharing the profits in the ratio of 2 : 3 with capitals of ₹ 1,20,000 and ₹
60,000 respectively. On 1st October, 2018, Bat and Ball gave loans of ₹ 2,40,000 and ₹ 1,20,000
respectively to the firm. Bat had allowed the firm to use his property for business for a monthly
rent of ₹ 5,000. The loss for the year ended 31st March, 2019 before rent and interest amounted
to ₹ 9,000. Show distribution of profit/loss.

Solution:

Profit and Loss Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Loss (before interest) 9,000
Rent (5,000 x 12) 60,000 Loss transferred to:
Bat’s loan Interest 7,200 Bat’s Capital A/c 31,920
Ball’s loan Interest 3,600 Ball’s Capital A/c 47,880 79,800
79,800 79,800

Working Notes 1: Partner’s Loan Interest

Bat’s Loan interest for six months = ₹ 2,40,000 X 6/100 X 6/12 = ₹ 7,200

Bat’s Loan interest for six months = ₹1,20,000 X 6/100 X 6/12 = ₹ 3,600

Working Notes 2: Loss distribution to partners Evaluation

Bat’s Loan share = 79,800 X 2/5 = ₹ 31,920

Ball’s Loan share = 79,800 X 3/5 = ₹ 47,880

Question 10

A and B are partners. A’s Capital is ₹ 1,00,000 and B’s Capital is ₹ 60,000. Interest on capital is
payable @ 6% p.a. B is entitled to a salary of ₹ 3,000 per month. Profit for the current year before
interest and salary to B is ₹ 80,000.

Prepare Profit and Loss Appropriation Account.

Solution:

Profit and Loss Appropriation A/c

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital: Profit and Loss A/c (Net Profit) 80,000
A 6,000
B 3,600 9,600
Salary to B (₹ 3,000 × 12) 36,000
Profit transferred to:
A’s Capital A/c 17,200
B’s Capital A/c 17,200 34,400
80,000 80,000

Working Notes 1: Capital Interest Evaluation

A’s Capital Interest = ₹ 1,00,000 X 6/100 = ₹ 6,000

B’s Capital Interest = ₹ 60,000 X 6/100 = ₹ 3,600

Working Notes 2: Partner Profit Sharing Evaluation

Divisible Profit = ₹ 80,000 – ₹ 9,600 – ₹ 36,000 = ₹ 34,400

A and B profit sharing = 34,4000 X 1/2 = ₹17,200 each

Question 11

X, Y and Z are partners in a firm sharing profits in 2 : 2 : 1 ratio. The fixed capitals of the partners
were : X ₹5,00,000; Y ₹ 5,00,000 and Z ₹ 2,50,000 respectively. The Partnership Deed provides
that interest on capital is to be allowed @ 10% p.a. Z is to be allowed a salary of ₹ 2,000 per
month. The profit of the firm for the year ended 31st March, 2018 after debiting Z’s salary was ₹
4,00,000.

Prepare Profit and Loss Appropriation Account.

Solution:

Profit and Loss Appropriation A/c as on 31st March 2018

Dr. Cr.
Particulars ₹ Particulars ₹
Profit and Loss A/c

Interest on Capital: 4,00,000

(After Z’s salary net Profit)

X 50,000
Y 50,000
Z 25,000 1,25000
Profit transferred to:
X’s Capital A/c 1,10,000
Y’s Capital A/c 1,10,000
Z’s Capital A/c 55,000 2,75,000
4,00,000 4,00,000

Working Notes 1: Z’s salary will not be debited to the Profit and Loss Appropriation A/c because
₹ 4,00,000 Profit is given after adjusting Z’s salary.

Working Note 2: Capital Interest Evaluation

X’s Capital Interest = ₹5,00,000 X 10/100 = ₹50,000

Y’s Capital Interest = ₹5,00,000 X 10/100 = ₹50,000

Z’s Capital Interest = ₹2,50,000 X 10/100 = ₹25,000

Working Note 3: Partner’s profit sharing Evaluation

Profit sharing ratio = 2 : 2 : 1

X’s Profit Share = ₹2,75,000 X 2/5 = ₹ 1,10,000

Y’s Profit Share = ₹2,75,000X 2/5 = ₹ 1,10,000

Z’s Profit Share = ₹2,75,000 X 1/5 = ₹ 55,000

Question 12

X and Y are partners sharing profits in the ratio of 3 : 2 with capitals of ₹ 8,00,000 and ₹ 6,00,000
respectively. Interest on capital is agreed @ 5% p.a. Y is to be allowed an annual salary of ₹
60,000 which has not been withdrawn. Profit for the year ended 31st March, 2019 before interest
on capital but after charging Y’s salary amounted to ₹ 2,40,000.

A provision of 5% of the profit is to be made in respect commission to the manager. Prepare an

account showing the allocation profits.

Solution:

Profit and Loss Adjustment Account as on 31st March 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Profit and Loss A/c

Commission for Manager (3,00,000×5%) 15,000 2,40,000

(Net Profit after Y’s
salary)

Y’s Salary 60,000

Transferred profit to Profit and Loss
2,85,000
A/cAppropriation A/c
3,00,000 3,00,000

Profit and Loss Appropriation A/c as on 31st March 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Salary to Y 60,000 Profit and Loss Adjustment A/c 2,85,000
Interest on Capital: (After manager’s commission)
X 40,000
Y 30,000 70,000
Profit transferred to:
X’s Capital A/c 93,000
Y’s Capital A/c 62,000 1,55,000

2,85,000 2,85,000

Working Notes 1: Manager’s Commission Evaluation

Profit for making Managers’ Commission = 2,40,000 + 60,000 (Y’s Salary) = ₹3,00,000

Manager’s Commission=₹(3,00,000 X 5/100) = 415,000

Working Notes 2: Capital Interest Evaluation

X’s Capital Interest =( ₹ 8,00,000 X 5/100) = ₹40,000

Y’s Capital Interest =( ₹ 6,00,000 X 5/100) = ₹30,000

Working Notes 3: Partner’s capital share Evaluation

Distribution of profit = ₹ 2,85,000 − ₹ 60,000 − ₹ 70,000 = ₹1,55,000

X’s Share of Profit=₹(1,55,000 X 3/5 = ₹ 93,000

Y’s Share of Profit=₹(1,55,000 X 2/5 = ₹ 62,000

Question 13

Prem and Manoj are partners in a firm sharing profits in the ratio of 3 : 2. The Partnership Deed
provided that Prem was to be paid a salary of ₹ 2,500 per month and Manoj was to get a
commission of ₹ 10,000 per year. Interest on capital was to be allowed @ 5% p.a. and interest on
drawings was to be charged @ 6% p.a. Interest on Prem’s drawings was ₹ 1,250 and on Manoj’s
drawings was ₹ 425. Interest on Capitals of the partners were ₹ 10,000 and ₹ 7,500 respectively.
The firm earned a profit of ₹ 90,575 for the year ended 31st March, 2018.

Prepare Profit and Loss Appropriation Account of the firm.

Solution:

Profit and Loss Appropriation Account as on 31st March 2018

Dr. Cr.
Particulars ₹ Particulars ₹
Prem Salary (₹ 2,500 × 12) 30,000 Profit and Loss A/c (Net Profit) 90,575
Manoj Commission 10,000 Interest on Drawings A/c:
Capital Interest: Prem 1,250
Prem 10,000 Manoj 425 1,675
Manoj 7,500 17,500
Profit transferred to:
Prem’s Current A/c 20,850
Manoj’s Current A/c 13,900 34,750
92,250 92,250

Working Notes 1: Capital Interest Evaluation

Prem’s Capital Interest = 2,00,000 X 5/100 = ₹ 10,000

Manoj’s Capital Interest = 1,50,000 X 5/100 = ₹ 7,500

Working Notes 2: Partner Profit Share Evaluation

Profit sharing ratio = 3 : 2

Profit sharing for Prem = 34,750 X 3/5= ₹ 20,850

Profit sharing for Manoj = 34,750 X 2/5= ₹ 13,900

Question 14

Reema and Seema are partners sharing profits equally. The Partnership Deed provides that both
Reema and Seema will get monthly salary of Rs 15,000 each, Interest on Capital will be allowed @
5% p.a. and Interest on Drawings will be charged @ 10% p.a. Their capitals were Rs 5,00,000
each and drawings during the year were Rs 60,000 each.

The firm incurred a loss of Rs 1,00,000 during the year ended 31st March, 2018.

Prepare Profit and Loss Appropriation Account for the year ended 31st March, 2018.

Solution:

Profit and Loss Appropriation A/c as on 31st March, 2018

Dr. Cr.
Particulars ₹ Particulars ₹
Profit and Loss A/c 1,00,000 Interest on Drawings A/c:
Reema 3,000
Seema 3,000 6,000
Loss transferred to
Reema 47,000
Seema 47,000 94,000
1,00,000 1,00,000

Note: There will be no capital and salary share to the partners as the company has incurred loss.

Working Notes 1: Partner Drawing Evaluation

Reema’s Share = 60,000 X 10% X 6/12 = ₹3,000

Seema’s Share = 60,000 X 10% X 6/12 = ₹3,000

Question 15

Bhanu and Partab are partners sharing profits equally. Their fixed capitals as on 1st April, 2018 are
₹ 8,00,000 and ₹ 10,00,000 respectively. Their drawings during the year were ₹ 50,000 and ₹
1,00,000 respectively. Interest on Capital is a charge and is to be allowed @ 10% p.a. and interest
on drawings is to be charged @ 15% p.a. Net Profit for the year ended 31st March, 2019 was ₹
1,20,000.

Prepare Profit and Loss Appropriation Account.

Solution:

Profit and Loss Appropriation Account as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest A/c: Profit and Loss A/c 1,20,000
Bhanu’s Current A/c 80,000 Interest on Drawings A/c:
Partap’s Current A/c 1,00,000 1,80,000 Bhanu’s Current A/c 3,750
Partap’s Current A/c 7,500 11,250
Loss transferred to
Bhanu’s Current A/c 24,375
Partap’s Current A/c 24,375 48,750

1,80,000 1,80,000

Working Note 1: Partner Drawing Interest Evaluation

Bhanu’s Drawing Interest – 50,000 X 15% X 6/12 = ₹3,750

Pratap’s Drawing Interest – 1,00,000 X 15% X 6/12 = ₹7,500

Working Note 2: Partner Capital Interest Evaluation

Bhanu’s Capital Interest – 50,000 X 10% ₹ 80,000

Pratap’s Capital Interest – 1,00,000 X 10% = ₹ 1,00,000

Question 16

Amar and Bimal entered into partnership on 1st April, 2018 contributing ₹ 1,50,000 and ₹
2,50,000 respectively towards capital. The Partnership Deed provided for interest on capital @
10% p.a. It also provided that Capital Accounts shall be maintained following the Fixed Capital
Accounts method. The firm earned net profit of ₹ 1,00,000 for the year ended 31st March 2019.

Pass the Journal entry for interest on capital.

Solution:

Journal
Debit Credit
Date Particulars L.F.
₹ ₹
March
Profit & Loss Appropriation A/c Dr. 40,000
31
To Amar’s Current A/c 15,000
To Bimal’s Current A/c 25,000
(Capital interest transferred to Profit & Loss Appropriation
A/c)

Working Notes 1: Capital Interest Evaluation

Amar’s Capital Interest = 1,50,000 X 10/100 = ₹15,000

Amar’s Capital Interest = 2,50,000 X 10/100 = ₹25,000

Question 17

Kamal and Kapil are partners having fixed capitals of ₹ 5,00,000 each as on 31st March, 2018.
Kamal introduced further capital of ₹ 1,00,000 on 1st October, 2018 whereas Kapil withdrew ₹
1,00,000 on 1st October, 2018 out of capital.

Interest on capital is to be allowed @ 10% p.a.

The firm earned net profit of ₹ 6,00,000 for the year ended 31st March 2019.

Pass the Journal entry for interest on capital and prepare Profit and Loss Appropriation Account.

Solution:

Journal
Credit
Date Particulars L.F. Debit ₹
₹
March
Profit & Loss Appropriation A/c Dr. 1,00,000
31
To Kamal’s Current A/c 55,000
To Kapil’s Current A/c 45,000
 (Capital interest transferred to Profit & Loss Appropriation
A/c)
Profit and Loss Appropriation A/c as on 31st March 2019
Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest A/c: Profit and Loss A/c 6,00,000
Kamal 55,000
Kapil 45,000 1,00,000
Profit transferred to:
Kamal’s Current A/c 2,50,000
Kapil’s Current A/c 2,50,000 5,00,000
6,00,000 6,00,000

Working Notes 1: Capital Interest Evaluation

Question 18

Simran and Reema are partners sharing profits in the ratio of 3 : 2. Their capitals as on 31st
March, 2018 were ₹ 2,00,000 each whereas Current Accounts had balances of ₹ 50,000 and ₹
25,000 respectively interest is to be allowed @ 5% p.a. on balances in Capital Accounts. The firm
earned net profit of ₹ 3,00,000 for the year ended 31st March 2019.

Pass the Journal entries for interest on capital and distribution of profit. Also prepare Profit and
Loss Appropriation Account for the year.

Solution:

Journal
Date Particulars L.F. Debit ₹ Credit ₹
Profit & Loss Appropriation A/c Dr. 20,000
To Simran’s Current A/c 10,000
To Reema’s Current A/c 10,000
(Interest on capital transferred to Profit & Loss Appropriation
A/c)

Profit & Loss Appropriation A/c 2,80,000

To Simran’s Current A/c 1,68,000
To Reema’s Current A/c 1,12,000
(Profit transferred to Partners’ Current A/c)

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital A/c: Profit and Loss A/c 3,00,000
Simran 10,000
Reema 10,000 20,000
Profit transferred to:
Simran’s Current A/c 1,68,000
Reema’s Current A/c 1,12,000 2,80,000
3,00,000 3,00,000

Working Notes 1: Capital Interest Evaluation

Capital Interest Simran’s = 2,00,000 X 5/100 = ₹ 10,000

Capital Interest Simran’s = 2,00,000 X 5/100 = ₹ 10,000

Question 19

Anita and Ankita are partners sharing profits equally. Their capitals, maintained following the
Fluctuating Capital Accounts Method, as on 31st March, 2018 were ₹ 5,00,000 and ₹ 4,00,000
respectively. Partnership Deed provided to allow interest on capital @ 10% p.a. The firm earned
net profit of ₹ 2,00,000 for the year ended 31st March, 2019.

Pass the Journal entry for interest on capital.

Solution:

Journal
Debit Credit
Date Particulars L.F.
₹ ₹
2019
March
Profit & Loss Appropriation A/c Dr. 90,000
31
To Anita’s Capital A/c 50,000
To Ankita’s Capital A/c 40,000
(Capital Interest transferred to Profit & Loss Appropriation
A/c)

Working Notes 1: Capital Interest Evaluation

Capital Interest Anita’s = 5,00,000 X 10/100 = ₹50,000

Capital Interest Ankita’s = 4,00,000 X 10/100 = ₹40,000

Question 20

Ashish and Aakash are partners sharing profit in the ratio of 3 : 2. Their Capital Accounts showed
a credit balance of ₹ 5,00,000 and ₹ 6,00,000 respectively as on 31st March, 2019 after debit of
drawings during the year of ₹ 1,50,000 and ₹ 1,00,000 respectively. Net profit for the year ended
31st March, 2019 was ₹ 5,00,000. Interest on capital is to be allowed @ 10% p.a.

Pass the Journal entry for interest on capital and prepare Profit and Loss Appropriation Account.
Solution:

Journal
Date Particulars L.F. Debit ₹ Credit ₹
March
Profit & Loss Appropriation A/c Dr. 1,35,000
31
To Ashish’s Capital A/c 65,000
To Aakash’s Capital A/c 70,000
(Capital Interest transferred to Profit & Loss Appropriation
A/c)
3,65,000
Profit & Loss Appropriation A/c 2,19,000
To Ashish’s Capital A/c 1,46,000
To Akash’s Capital A/c
(Profit transferred to Partners’ Capital A/c)

Profit and Loss Appropriation Account as on 31st March 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital A/c: Profit and Loss A/c 5,00,000
Ashish 65,000
Aakash 70,000 1,35,000
Profit transferred to:
Ashish’s Capital A/c 2,19,000
Aakash’s Capital A/c 1,46,000 3,65,000
5,00,000 5,00,000

Working Notes 1: Opening Capital Evaluation

Particulars Ashish Aakash

Capital at the end 5,00,000 6,00,000
Add: Drawings made 1,50,000 1,00,000
Capital at the beginning 6,50,000 7,00,000

Working Notes 2: Capital Interest Evaluation

Ashish’s Capital Interest = 6,50,000 X 10/100 = ₹65,000

Askash’s Capital Interest = 7,00,000 X 10/100 = ₹70,000

Question 21

Naresh and Sukesh are partners with capital of ₹ 3,00,000 each as on 31st March, 2019. Naresh
had withdrawn ₹ 50,000 against capital on 1st October, 2018 and also ₹ 1,00,000 besides the
drawings against capital. Sukesh also had drawings of ₹ 1,00,000.
Interest on capital is to be allowed @ 10% p.a.

Net profit for the year was ₹ 2,00,000, which is yet to be distributed.

Pass the Journal entries for interest on capital and distribution of profit.

Solution:

Journal
Credit
Date Particulars L.F. Debit ₹
₹
March
Profit & Loss Appropriation A/c Dr. 82,500
31
To Naresh’s Capital A/c 42,500
To Sukesh’s Capital A/c 40,000
(Capital interest transferred to Profit & Loss Appropriation
A/c)
Profit & Loss Appropriation A/c Dr. 1,17,500
To Naresh’s Capital A/c 58,750
To Sukesh’s Capital A/c 58,750
(Profit transferred to Partners’ Capital A/c)

Working Notes 1 : Opening Capital Evaluation

Particulars Naresh Sukesh

Capital at the end 3,00,000 3,00,000
Add: Capital drawings out 50,000 –
Add: Profit drawings against 1,00,000 1,00,000
Capital at the beginning 4,50,000 4,00,000

Working Notes 1 : Capital Interest Evaluation

Question 22

On 1st April, 2013, Jay and Vijay entered into partnership for supplying laboratory equipment to
government schools situated in remote and backward areas. They contributed capital of ₹ 80,000
and ₹ 50,000 respectively and agreed to share the profits in the ratio of 3 : 2. The partnership
Deed provided that interest on capital shall be allowed at 9% per annum. During the year the firm
earned a profit of ₹ 7,800. Showing your calculations clearly, prepare ‘Profit and Loss
Appropriation Account’ of Jay and Vijay for the year ended 31st March, 2014.

Solution:

Profit and Loss Appropriation A/c as on March 2014

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital A/c: Profit and Loss A/c 7,800
Jay 4,800
Vijay 3,000 7,800

7,800 7,800

Working Notes 1: Capital interest Evaluation

Jay’s Capital = 80,000 X 9/100 = ₹7,200

Vijay’s Capital = 50,000 X 9/100 = ₹4,500

Total Interest = 7,200 + 4,500 = ₹ 11,700

Working Notes 2: Proportionate Interest on Capital Evaluation

Jay Proportionate Interest = 7,200/11,700 x 7,800 = ₹4,800

Vijay Proportionate Interest = 4,500/11,700 x 7,800 = ₹3,000

Question 23

Amar, Bhanu, and Charu are partners in a firm. Amar and Bhanu are to get an annual salary of ₹
1,20,000 p.a. each as they are fully involved in the business. Net profit for the year is ₹ 4,80,000.
Determine the share of profit to be credited to each partner.

Solution:

Profit and Loss Appropriation A/c

Dr. Cr.
Particulars ₹ Particulars ₹
Salary: Profit and Loss A/c 4,80,000
Amar 1,20,000
Bhanu 1,20,000 2,40,000
Profit transferred to:
Amar’s Capital A/c 80,000
Bhanu’s Capital A/c 80,000
Charu’s Capital A/c 80,000 2,40,000
4,80,000 4,80,000

Question 24

A, B and C are partners sharing profits and losses in the ratio of 2 : 2 : 1 respectively. A is entitled
to a commission of 10% on the net profit. Net profit for the year is ₹ 1,10,000.

Determine the amount of commission payable to A.

Solution:

Net Profit before commission = ₹ 1,10,000

Commission to A = 10% of Net Profit before commission was charged

Commission to A = Net Profit X Rate/100

= 1,10,000 X 10/100 = ₹ 11,000

Question 25

X, Y and
Z are partners sharing profits and losses equally. As per Partnership Deed,
Z is entitled to a commission of 10% on the net profit after charging such commission. The net
profit before charging commission is ₹ 2,20,000.

Determine the amount of commission payable to

Z.

Solution:

Net Profit before Commission = ₹ 2,20,000

Commission to Z = Net Profit 10% after charging commission

Commission to A = Net Profit X Rate/100+Rate

= 2,20,000 X 10/100 = ₹ 20,000

Question 26

A, B, C, and D are partners in a firm sharing profits as 4 : 3 : 2 : 1 respectively. It earned a profit

of ₹ 1,80,000 for the year ended 31st March, 2018. As per the Partnership Deed, they are to
charge a commission @ 20% of the profit after charging such commission which they will share as
2 : 3 : 2 : 3. You are required to show appropriation of profits among the partners.

Solution:

Profit and Loss Appropriation A/c as on 31st March, 2018

Dr. Cr.
Particulars ₹ Particulars ₹
Partners’ Commission: Profit and Loss A/c (Net Profit) 1,80,000
A 6,000
B 9,000
C 6,000
D 9,000 30,000
Profit transferred to:
A’s Capital A/c 60,000
B’s Capital A/c 45,000
C’s Capital A/c 30,000
D’s Capital A/c 15,000 1,50,000
1,80,000 1,80,000

Working Notes 1 : Partners’ Commission Evaluation

Partners’ Commission = Net Profit 20% after commission charged

Partner’s Commission = Net Profit X \(\frac{Rate}{100

+ Rate}\)

=1,80,000 X 20/100+20

=1,80,000 X 20/120 = ₹30,000

Partners commission in the ratio 2 : 3 : 2 : 3

A’s Commission = 30,000 X 2/10 = ₹ 6,000

B’s Commission = 30,000 X 3/10 = ₹ 9,000

C’s Commission = 30,000 X 2/10 = ₹ 6,000

D’s Commission = 30,000 X 3/10 = ₹ 9,000

Working Notes 2 : Partners’ Profit Share Evaluation

Distribution of Profit = ₹ 1,80,000 − ₹ 30,000 = ₹ 1,50,000

Profit sharing ratio = 4 : 3 : 2 : 1

A’s Commission = 1,50,000 X 4/10 = ₹ 60,000

B’s Commission = 1,50,000 X 3/10 = ₹ 45,000

C’s Commission = 1,50,000 X 2/10 = ₹ 30,000

D’s Commission = 1,50,000 X 1/10 = ₹ 15,000

Question 27

X and
Y are partners in a firm.
X is entitled to a salary of ₹ 10,000 per month and commission of 10% of the net profit after
partners’ salaries but before charging commission.
Y is entitled to a salary of ₹ 25,000 p.a. and commission of 10% of the net profit after charging all
commission and partners’ salaries. Net profit before providing for partners’ salaries and
commission for the year ended 31st March, 2019 was ₹ 4,20,000. Show distribution of profit.

Solution:

Profit and Loss Appropriation A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Partners’ Salary: Profit and Loss A/c (Net Profit) 4,20,000
X (10,000 × 12) 1,20,000
Y 25,000 1,45,000
Partners’ Commission:
X 27,500
Y 22,500 50,000
Profit transferred to:
X’s Capital A/c 1,12,500
Y’s Capital A/c 1,12,500 2,25,000
4,20,000 4,20,000
Working Note 1: Commission Evaluation

X’s Commission = Net Profit @ 10% after partners’ salaries.

Profit after Partner’s Salaries = 4,20,000 − 1,45,000 = ₹ 2,75,000

X ‘s Commission = Profit after salaries X 10/100

= 2,75,000 X 10/100 = ₹27,500

Commission to Y = Net Profit @ 10% after partners’ salaries and Commission

Profit after partners’ salaries and commission = 4,20,000 − 1,45,000 − 27,500 = ₹ 2,47,500

Y ‘s Commission = Profit after partners’ salaries and commission X 10/100+Rate

= 2,47,500 X 10/110 = ₹22,500

Working Note 1: Partner’s Profit Sharing Evaluation

Profit’s for distribution = 4,20,000 − 1,45,000 − 50,000 = ₹ 2,25,000

Profit sharing ratio = 1 : 1

Profit sharing of X and Y each = 2,25,000 X 1/2 = ₹1,12,500

Question 28

Ram and Mohan, two partners, drew for their personal use ₹ 1,20,000 and ₹ 80,000. Interest is
chargeable @ 6% p.a. on the drawings. What is the amount of interest chargeable from each
partner?

Solution:

Since, the drawing’s date made by the partners is not mentioned, the interest drawing is evaluated
on average basis for six months.

Ram’s Drawing Interest = 1,20,000 X 6/100 X 6/12 = ₹3,600

Mohan’s Drawing Interest = 80,000 X 6/100 X 6/12 = ₹2,400

Question 29

Brij and Mohan are partners in a firm. They withdrew ₹ 48,000 and ₹ 36,000 respectively during
the year evenly in the middle of every month. According to the partnership agreement, interest on
drawings is to be charged @ 10% p.a.

Calculate interest on drawings of the partners using the appropriate formula.

Solution:

Every month in the middle, drawings are made even, so, drawings interest is evaluated for six
months.

Brij’s Drawings Interest=₹ 48,000 X 10/100 X 6/12 = ₹2,400

Mohan’s Drawings Interest=₹ 36,000 X 10/100 X 6/12 = ₹1,800

Question 30

A and B are partners sharing profits equally. A drew regularly ₹ 4,000 in the beginning of every
month for six months ended 30th September, 2019. Calculate interest on drawings @ 5% p.a. for
a period of six months.
Solution:

Drawing amount = 4,000

Number of Drawing = 6

Total Drawings = 4,000 X 6 = ₹ 24,000

Rate of Interest = 5% p.a

= 6+1/2

= 3.5 months

Drawing Interest = Total Drawings X Rate/100 X Time/12

= 24,000 X 5/100 x 3.5/12

=350

Question 31

One of the partners in a partnership firm has withdrawn ₹ 9,000 at the end of each quarter,
throughout the year. Calculate interest on drawings at the rate of 6% per annum.

Solution:

Drawings Amount = ₹ 9,000 per quarter

Annual Drawings = ₹ (9,000 × 4) = ₹ 36,000

Interest Rate on Drawings = 6% p.a.

Question 32

A and B are partners sharing profits equally. A drew regularly ₹ 4,000 at the end of every month
for six months ended 30th September, 2019. Calculate interest on drawings @ 5% p.a. for a
period of six months.

Solution:

Drawing amount = 4,000

Number of Drawing = 6

Total Drawings = 4,000 X 6 = ₹ 24,000

Rate of Interest = 5% p.a

= 5+0/2

= 2.5 months

Drawing Interest = Total Drawings X Rate/100 X Time/12

= 24,000 X 5/100 x 2.5/12

=250

Question 33

Calculate interest on drawings of Ashok @ 10% p.a. for the year ended 31st March, 2019, in each
of the following alternative cases:

Case 1. If he withdrew ₹ 7,500 at the beginning of each quarter.

Case 2. If he withdrew ₹ 7,500 at the end of each quarter.

Case 3. If he withdrew ₹ 7,500 during the middle of each quarter.

Solution:

Drawings Total = 7,500 × 4 = ₹ 30,000

Interest Rate = 10% p.a.

Case (1)

In the beginning of each quarter when equal amount is withdrawn, the drawing interest would be
evaluated for 7.5 months as an average period.

Drawing Interest = Total Drawings X Rate/100 X Time/12

So, Ashok’s interest on drawing = 30,000 X 10/100 X 7.5/12 = ₹1,875

Case (2)

At the end of each quarter when equal amount is withdrawn, the drawing interest would be
evaluated for 4.5 months as an average period.

Drawing Interest = Total Drawings X Rate/100 X Time/12

So, Ashok’s interest on drawing = 30,000 X 10/100 X 4.5/12 = ₹1,125

Case (3)

At the middle of each quarter when equal amount is withdrawn, the drawing interest would be
evaluated for 6 months as an average period.

Drawing Interest = Total Drawings X Rate/100 X Time/12

So, Ashok’s interest on drawing = 30,000 X 10/100 X 6/12 = ₹1,500

Question 34

Kanika and Gautam are partners doing a dry cleaning business in Lucknow, sharing profits in the
ratio 2 : 1 with capitals ₹ 5,00,000 and ₹ 4,00,000 respectively. Kanika withdrew the following
amounts during the year to pay the hostel expenses of her son:

1st April ₹ 10,000

1st June ₹ 9,000
1st November ₹ 14,000
1st December ₹ 5,000

Gautam withdrew ₹ 15,000 on the first day of April, July, October and January to pay rent for the
accommodation of his family. He also paid ₹ 20,000 per month as rent for the office of partnership
which was in a nearby shopping complex.

Calculate interest on drawings @ 6% p.a.

Solution:

Kanika’s Drawings interest = ₹ 1,500

Gautam’s Drawings interest= ₹ 2,250

Working Notes 1: Kanika’s Drawings interest Evaluation

By Product Method
Amount Months Product

Date
(I) (II) (I × II)

April 1 10,000 12 1,20,000

June 1 9,000 10 90,000
November 1 14,000 5 70,000
December 1 5,000 4 20,000
Product Sum 3,00,000

Drawing Interest = Total product sum X Rate/100 X Time/12

= 3,00,000 X 6/100 X 1/12 = ₹1,500

Working Notes 2: Gautam’s Drawings Interest Evaluation

At the beginning of the quarter, Gautam withdrew ₹ 15,000.

Drawing Interest = Drawings Total X Rate/100 X Time/12

= (15,000×4) X 6/100 X 7.5/12 = ₹2,250

Question 35

A and B are partners sharing Profit and Loss in the ratio 3 : 2 having Capital Account balances of ₹
50,000 and ₹ 40,000 on 1st April, 2018. On 1st July, 2018, A introduced ₹ 10,000 as his additional
capital whereas B introduced only ₹ 1,000. Interest on capital is allowed to partners @ 10% p.a.

Calculate interest on capital for the financial year ended 31st March, 2019.

Solution:

A’s Capital Interest Evaluation

Date Capital × Period = Product

1st April, 2018 to 30th June, 2018 50,000 × 3 = 1,50,000
1st July, 2018 to 31st March, 2019 60,000 × 9 = 5,40,000
Product Total 6,90,000

A’s Capital Interest = Total product sum X Rate/100 X Time/12

= 6,90,000 X 10/100 X 1/12 = ₹5,750

B’s Capital Interest Evaluation

Date Capital × Period = Product

1st April, 2018 to 30th June, 2018 40,000 × 3 = 1,20,000
1st July, 2018 to 31st March, 2019 41,000 × 9 = 3,69,000
Product Total 4,89,000

B’s Capital Interest = Total product sum X Rate/100 X Time/12

= 4,89,000 X 10/100 X 1/12 = ₹4,075

Question 36

Ram and Mohan are partners in a business. Their capitals at the end of the year were ₹ 24,000
and ₹ 18,000 respectively. During the year, Ram’s drawings and Mohan’s drawings were ₹ 4,000
and ₹ 6,000 respectively. Profit (before charging interest on capital) during the year was ₹ 16,000.
Calculate interest on capital @ 5% p.a. for the year ended 31st March, 2019.

Solution:

Capital Interest is evaluated on the partner’s capital opening balance.

Particulars Ram ₹ Mohan ₹

Capital at the end 24,000 18,000
Less: Profit credited (1:1) (8,000) (8,000)
Add: Debited Drawings 4,000 6,000
Capital at the beginning 20,000 16,000

Ram’s Capital Interest = ₹ 20,000 X 5/100 = ₹ 1,000

Mohan’s Capital Interest = ₹ 16,000 X 5/100 = ₹ 800

Question 37

Following is the extract of the Balance Sheet of Neelkant and Mahadev as on 31st March, 2019.

Liabilities ₹ Assets ₹
Neelkant’s Capital 10,00,000 Sundry Assets 30,00,000
Mahadev’s Capital 10,00,000
Neelkant’s Current A/c 1,00,000
Mahadev’ Current A/c 1,00,000
Profit and Loss Appropriation A/c (2018-19) 8,00,000
30,00,000 30,00,000

During the year, Mahadev’s drawings were ₹ 30,000. Profits during the year ended 31st March,
2019 is ₹ 10,00,000. Calculate interest on capital @ 5% p.a. for the year ending 31st March,
2019.

Solution:

Neelkant’s Capital Interest 10,00,000 X 5/100 = ₹50,000

Mahadev’s Capital Interest 10,00,000 X 5/100 = = ₹ 50,000

Note: Since, both the partners capital and current accounts are mentioned, we can assume that
both the partners capital is fixed. Therefore, when there is a fixed capital and drawing the capital
balance does not get affected, but the current account does.

So, in this particular case the beginning and the closing capital remains the same and the capital
interest is evaluated on the fixed capital balances.

Question 38

From the following Balance Sheet of Long and Short, calculate interest on capital @ 8% p.a. for
the year ended 31st March, 2019.

Balance Sheet as on 31st March, 2019

Liabilities ₹ Assets ₹
Long’s Capital A/c 1,20,000 Fixed Assets 3,00,000
Short’s Capital A/c 1,40,000 Other Assets 60,000
General Reserve 1,00,000
3,60,000 3,60,000

During the year, Long withdrew ₹ 40,000 and Short withdrew ₹ 50,000. Profit for the year was ₹
1,50,000 out of which ₹ 1,00,000 was transferred to General Reserve.

Solution:

Capital at the beginning Evaluation as on 1st, 2018

Long Short

Particulars
₹ ₹

Capital at the end 1,60,000 1,40,000

Less: Profit Adjusted (1,50,000 – 1,00,000) in 1:1 ratio (25,000) (25,000)
Add: Drawings Adjusted – 50,000
Capital in the beginning 1,35,000 1,65,000

Long’s Capital Interest = 1,35,000 X 8/100 = ₹10,800

Short’s Capital Interest = 1,65,000 X 8/100 = ₹13,200

Question 39

Moli and Bholi contribute ₹ 20,000 and ₹ 10,000 respectively towards capital. They decide to allow
interest on capital @ 6% p.a. Their respective share of profits is 2 : 3 and the net profit for the
year is ₹ 1,500. Show distribution of profits:

(i) when there is no agreement except for interest on capitals; and

(ii) when there is an agreement that the interest on capital as a charge.

Solution:

Capital Interest Evaluation

Moli’s Capital Interest =₹(20,000 × 6/100) = ₹ 1,200

Bholi’s Capital Interest =₹(10,000 × 6/100) = ₹ 600

Total Capital Interest = (1,200+600) = ₹1,800

Case (1)

When there is no agreement except for interest on capitals

Profit at the year end= ₹ 1,500

Total Interest = ₹ 1,800

In this scenario, the total capital interest is more than the profit available for distribution. So, ₹
1,500 profit will be distributed between Moli and Bholi.THe distribution will be according to their
capital interest ratio.

Particulars Moli : Bholi

Interest on Capital 1,200 : 600
or, Ratio of interest on Capital 2:1

Moli’s Capital Interest = (1,500 X 2/3) = ₹1,000

Bholi’s Capital Interest = (1,500 X 1/3) = ₹500

Case (2)

Moli’s Capital Interest =₹(20,000 × 6/100) = ₹ 1,200

Bholi’s Capital Interest =₹(10,000 × 6/100) = ₹ 600

Total Interest (1,200+600) = ₹ 1,800

Firm’s total profit = ₹ 1,500

So, the firm encountered the loss of ₹ 300 and shared between Moli and Bholi as per their profit
sharing ratio of 2 : 3.

Moli Loss = (300 X 2/5) = ₹ 120

Bholi Loss = (300 X 3/5) = ₹ 180

Question 40

Amit and Bramit started business on 1st April, 2018 with capitals of ₹ 15,00,000 and ₹ 9,00,000
respectively. On 1st October, 2018, they decided that their capitals should be ₹ 12,00,000 each.
The necessary adjustments in capitals were made by introducing or withdrawing by cheque.
Interest on capital is allowed @ 8% p.a. Compute interest on capital for the year ended 31st
March, 2019.

Solution:

Amit’s Capital Interest Evaluation

Date Capital × Period = Product

1st April, 2018 to 30th Sept, 2018 15,00,000 × 6 = 90,00,000
1st Oct. 01, 2018 to 31st March, 2019 12,00,000 × 6 = 72,00,000
Product Sum 1,62,00,000

Amit’s Capital Interest = Product Sum X Rate/100 1/12

= 1,62,00,000 X 8/100 X 1/12

= ₹ 1,08,000

Bramit’s Capital Interest Evaluation

Date Capital × Period = Product

1st April, 2018 to 30th Sept, 2018 9,00,000 × 6 = 54,00,000
1st Oct. 01, 2018 to 31st March, 2019 12,00,000 × 6 = 72,00,000
Product Sum 1,26,00,000

Bramit’s Capital Interest = Product Sum X Rate/100 1/12

= 1,26,00,000 X 8/100 X 1/12

= ₹ 84,000

Question 41

Simrat and Bir are partners in a firm sharing profits and losses in the ratio of 3 : 2. On 31st March,
2019 after closing the books of account, their Capital Accounts stood at ₹ 4,80,000 and ₹ 6,00,000
respectively. On 1st May, 2018, Simrat introduced an additional capital of ₹ 1,20,000 and Bir
withdrew ₹ 60,000 from his capital.On 1st October, 2018, Simrat withdrew ₹ 2,40,000 from her
capital and Bir introduced ₹ 3,00,000. Interest on capital is allowed at 6% p.a. Subsequently, it
was noticed that interest on capital @ 6% p.a. had been omitted. Profit for the year ended 31st
March, 2019 amounted to ₹ 2,40,000 and the partners’ drawings had been: Simrat – ₹ 1,20,000
and Bir – ₹ 60,000. Compute the interest on capital if the capitals are (a) fixed, and (b)
fluctuating.

Solution:

Case (1): When Capital is fixed:

Working Notes: Opening Capital Evaluation

Particulars Simrat Bir

Capital at the end 4,80,000 6,00,000
Add: Drawings out of capital 2,40,000 60,000
Less: New capital introduced 1,20,000 3,00,000
Opening Capital 6,00,000 3,60,000

Case 2: When capitals are fluctuating:

Working Notes: Opening Capital Evaluation

Particulars Simrat Bir

Capital at the end 4,80,000 6,00,000
Add: Drawings out of capital 2,40,000 60,000
Add: Drawings out of profit 1,20,000 60,000
Less: New capital introduced 1,20,000 3,00,000
Less: Profit credited 1,44,000 96,000
Operating Capital 5,76,000 3,24,000

Question 42

C and D are partners in a firm; C has contributed ₹ 1,00,000 and D ₹ 60,000 as capital. Interest in
payable @ 6% p.a. and D is entitled to a salary of ₹ 3,000 per month. In the year ended 31st
March, 2019, the profit was ₹ 80,000 before interest and salary. Divide the amount between C and
D.

Solution:

Profit and Loss Appropriation A/c as on 31stMarch,2019

Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest: Profit and Loss A/c (Net Profit) 80,000
C 6,000
D 3,600 9,600
D salary (3000 × 12) 36,000
Profit transferred to :
C’s Capital A/c 17,200
D’s Capital A/c 17,200 34,400
80,000 80,000

Working Notes 1: Capital Interest Evaluation

C’s Capital Interest = 1,00,000 X 6/100 = ₹ 6,000

D’s Capital Interest = 60,000 X 6/100 = ₹ 3,600

Working Notes 2: Partner’s profit share Evaluation

Available profit for distribution = 80,000 − 9,600 − 36,000 = ₹ 34,400

Profit sharing between C and D = ₹ 34,400 X 1/2 = ₹ 17,200 each

So, Total amount C received = Capital Interest + Profit Share = ₹ 6,000 + ₹ 17,200 = ₹ 23,200
Total amount D received = Interest on Capital + Salary + Profit Share = ₹ 3,600 + ₹ 36,000 + ₹
17,200 = ₹ 56,800

Question 43

Amit and Vijay started a partnership business on 1st April, 2018. Their capital contributions were ₹
2,00,000 and ₹ 1,50,000 respectively. The Partnership Deed provided as follows:

(a) Interest on capital be allowed @ 10% p.a.

(b) Amit to get a salary of ₹ 2,000 per month and Vijay ₹ 3,000 per month.

(c) Profits are to be shared in the ratio of 3 : 2.

Net profit for the year ended 31st March, 2019 was ₹ 2,16,000. Interest on drawings amounted to
₹ 2,200 for Amit and ₹ 2,500 for Vijay.

Prepare Profit and Loss Appropriation Account.

Solution:

Profit and Loss Appropriation Account as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest: Profit and Loss A/c (Net Profit) 2,16,000
Amit 20,000 Drawings Interest A/c:
Vijay 15,000 35,000 Amit 2,200
Salary to: Vijay 2,500 4,700
Amit (2,000 × 12) 24,000
Vijay (3,000 × 12) 36,000 60,000
Profit transferred to:
Amit’s Capital A/c 75,420
Vijay’s Capital A/c 50,280 1,25,700
2,20,700 2,20,700

Working Notes 1: Capital Interest Evaluation

Amit’s Capital Interest = 2,00,000 X 10/100 = ₹ 20,000

Vijay’s Capital Interest = 1,50,000 X 10/100 = ₹ 15,000

Working Notes 1: Each Partner’s profit sharing evaluation

Divisible Profit = ₹ 2,16,000 + ₹ 4,700 − ₹ 35,000 − ₹ 60,000 = ₹ 1, 25,700

Profit sharing ratio = 3 : 2

Amit’s Profit Share = 1,25,700 X 3/5 = ₹ 75,420

Vijay’s Profit Share = 1,25,700 X 2/5 = ₹ 50,280

Question 44

Show how the following will be recorded in the Capital Accounts of the Partners Sohan and Mohan
when their capitals are fluctuating:
 Sohan (₹) Mohan (₹)
Capital on 1st April, 2018 4,00,000 3,00,000
Drawings during the year ended 31st march, 2019 50,000 30,000
Interest on Capital 5% 5%
Interest on Drawings 1,250 750
Share of Profit for the year ended 31st march, 2019 60,000 50,000
Partner’s Salary 36,000 …..
Commission 5,000 3,000

Solution:

Partners’ Capital Accounts

Dr. Cr.
Particulars Sohan ₹ Mohan ₹ Particulars Sohan ₹ Mohan ₹
Drawings A/c 50,000 30,000 Balance b/d 4,00,000 3,00,000
Drawings Interest A/c 1,250 750 Interest on Capital A/c 20,000 15,000
P&L Appropriation A/c 60,000 50,000
Balance c/d 4,69,750 3,37,250 Partners’ Salary 36,000 –
Commission 5,000 3,000
5,21,000 3,68,000 5,21,000 3,68,000

Working Note: Capital Interest Evaluation

Sohan’s Capital Interest = 4,00,000 X 5/100 = ₹ 20,000

Mohan’s Capital Interest = 3,00,000 X 5/100 = ₹ 15,000

Question 45

Sajal and Kajal are partners sharing profits and losses in the ratio of 2 : 1. On 1st April, 2018 their
Capitals were: Sajal – ₹ 50,000 and Kajal – ₹ 40,000.

Prepare Profit and Loss Appropriation Account and the Partners’ Capital Accounts at the end of the
year after considering the following items:

(a) Interest on Capital is to be allowed @ 5% p.a.

(b) Interest on the loan advanced by Kajal for the whole year, the amount of loan being ₹ 30,000.

(c) Interest on partners’ drawings @ 6% p.a. Drawings: Sajal ₹ 10,000 and Kajal ₹ 8,000.

(d) 10% of the divisible profit is to be transferred to Reserve.

Net profit for the year ended 31st March, 2019 is ₹ 68,460.

Note: Net profit means net profit after debit of interest on loan by the partner.

Solution:

Profit and Loss A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Kajal’s loan Interest @ 6% p.a. 1,800 Profit 70,260
Profit transferred to P/L Appropriation A/c 68,460

70,260 70,260
Profit and Loss Appropriation A/c as on 31st March, 2019
Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest A/c: Profit and Loss A/c 68,460
Sajal 2,500
Kajal 2,000 4,500 Drawings Interest A/c:
Sajal 300
Reserve 6,450 Kajal 240 540
Profit transferred to:
Sajal’s Capital A/c 38,700
Kajal’s Capital A/c 19,350 58,050
69,000 69,000
Partners’ Capital Accounts
Dr. Cr.
Particulars Sajal ₹ Kajal ₹ Particulars Sajal ₹ Kajal ₹
Drawings A/c 10,000 8,000 Balance b/d 50,000 40,000
Interest on Drawings A/c 300 240 Interest on Capital A/c 2,500 2,000
P&L Appropriation A/c 38,700 19,350
Balance c/d 80,900 53,110
91,200 61,350 91,200 61,350

Working Notes 1: Capital Interest Evaluation

Sajal’s Capital Interest = 50,000 X 5/100 = ₹ 2,500

Kajal’s Capital Interest = 20,000 X 5/100 = ₹ 2,000

Working Notes 2: Drawings Interest Evaluation

Sajal’s Drawings Interest = 10,000 X 6/100 X 6/12= ₹ 300

Kajal’s Drawings Interest = 20,000 X 6/100 X 6/12= ₹ 240

Working Notes 3: Amount to be transferred to Reserve Evaluation

Reserve Amount = 10% of Divisible Profit

Divisible Profit = Profit + Interest on Drawings − Interest on Capital

= 68,460 + 540 − 4,500 = ₹ 64,500

So, Reserve Amount = 64,500 X 10/100 = ₹ 6,450

Working Notes 4: Each Partner’s Profit Sharing Evaluation

Available Profit for Distribution = 68,460 + 540 − 4,500 − 6,450 = ₹ 58,050

Profit sharing ratio = 2 : 1

Sajal’s Profit Share = 58,050 X 2/3 = ₹ 38,700

Kajal’s Profit Share = 58,050 X 1/3 = ₹ 19,7350

Question 46

A and B are partners sharing profits and losses in the ratio of 3 : 1. On 1st April, 2018, their
capitals were: A ₹ 50,000 and B ₹ 30,000. During the year ended 31st March, 2019 they earned a
net profit of ₹ 50,000. The terms of partnership are:

(a) Interest on capital is to allowed @ 6% p.a.

(b) A will get a commission @ 2% on turnover.

(c) B will get a salary of ₹ 500 per month.

(d) B will get commission of 5% on profits after deduction of all expenses including such
commission.

Partners’ drawings for the year were: A ₹ 8,000 and B ₹ 6,000. Turnover for the year was ₹
3,00,000.

After considering the above facts, you are required to prepare Profit and Loss Appropriation
Account and Partners’ Capital Accounts.

Solution:

Profit and Loss Appropriation Account as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital: Profit and Loss A/c (Net Profit) 50,000
A 3,000
B 1,800 4,800
B’s Salary (500 × 12) 6,000
Partner’s Commission
A 6,000
B 1,581 7,581
Profit transferred to:
A’s Capital A/c 23,714
B’s Capital A/c 7,905 31,619
50,000 50,000
Partners’ Capital A/c
Dr. Cr.
Particulars A₹ B₹ Particulars A₹ B₹
Drawings A/c 8,000 6,000 Balance b/d 50,000 30,000
Capital Interest A/c 3,000 1,800
Commission A/c 6,000 1,581
Salary A/c 6,000
Balance c/d 74,714 41,286 P/L Appropriation A/c 23,714 7,905
82,714 47,286 82,714 47,286

Working Notes 1: Capital Interest Evaluation

A’s Capital Interest = 50,000 X 6/100 = ₹ 3,000

B’s Capital Interest = 30,000 X 6/100 = ₹ 1,800

Working Notes 2: Partner’s Commission Evaluation

A’s Commission = 2% on turnover

= 2/100 X 3,00,000 = ₹6,000

B’s Commission = 5% on profit after all expenses along with commission

Profits after all expense = ₹ 50,000 − ₹ 4,800 − ₹ 6,000 −₹ 6,000 = ₹ 33,200

So, Commission to B = Profits after all expense X Rate/100+Rate

= 33,200 X 5/105 = ₹1,581 (Approx)

Working Notes 3: Partners’ Profit Share Evaluation

Available Profit for Distribution = ₹ 50,000 −₹ 4,800 − ₹ 6,000 − ₹ 7,581 = ₹ 31,619

Profit sharing ratio = 3 : 1

Profit Share of A = 31,619 X 3/4 = ₹ 23,714

Profit Share of b = 31,619 X 1/4 = ₹ 7,905

Question 47

A, B and C were partners in a firm having capital of ₹ 50,000 ; ₹ 50,000 and ₹ 1,00,000
respectively. Their Current Account balances were A: ₹ 10,000; B: ₹ 5,000 and C: ₹ 2,000 (Dr.).
According to the Partnership Deed the partners were entitled to an interest on Capital @ 10% p.a.
C being the working partner was also entitled to a salary of ₹ 12,000 p.a. The profits were to be
divided as:

(a) The first ₹ 20,000 in proportion to their capitals.

(b) Next ₹ 30,000 in the ratio of 5 : 3 : 2.

(c) Remaining profits to be shared equally.

The firm earned net profit of ₹ 1,72,000 before charging any of the above items.

Prepare Profit and Loss Appropriation Account and pass necessary Journal entry for the
appropriation of profits.

Solution:

Profit and Loss Appropriation A/c

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital: Profit and Loss A/c (Net Profit) 1,72,000
A 5,000
B 5,000
C 10,000 20,000
Salary to C 12,000
Profit transferred to:
A’s Current A/c 50,000
B’s Current A/c 44,000
C’s Current A/c 46,000 1,40,000
1,72,000 1,72,000
Journal Entry
Credit
Date Particulars L.F. Debit ₹
₹
Capital Interest A/c Dr. 20,000
To A’s Current A/c 5,000
To B’s Current A/c 5,000
To C’s Current A/c

10,000
(Partners’ capital interest allowed to partners)

Salary A/c Dr. 12,000

To C’s Current A/c 12,000
(C’s Salary)

Profit and Loss Appropriation A/c Dr. 1,40,000

To A’s Current A/c 50,000
To B’s Current A/c 44,000
To C’s Current A/c 46,000
(Available Profit for distribution transferred to partners’ current
A/c)

Working Notes 1: Capital Interest Evaluation

A’s Capital Interest = 50,000 X 10/100 = ₹ 5,000

B’s Capital Interest = 50,000 X 10/100 = ₹ 5,000

C’s Capital Interest = 1,00,000 X 10/100 = ₹ 10,000

Working Notes 2: Partners’ Profit Share Evaluation

Available Profits for Distribution = ₹ 1,72,000 − ₹ 20,000 − ₹ 12,000

= ₹ 1,40,000

(a) Distribution of first ₹ 20,000 in 1:1:2 as the Capital Ratio.

Profit Share of A = 20,000 X 1/4= ₹ 5,000

Profit Share of B = 20,000 X 1/4= ₹ 5,000

Profit Share of C = 20,000 X 2/4= ₹ 10,000

(b) Distribution of ₹ 30,000 in 5:3:2 ratio

Profit Share of A = 30,000 X 5/10= ₹ 15,000

Profit Share of B = 30,000 X 3/10= ₹ 9,000

Profit Share of C = 30,000 X 2/10= ₹ 6,000

(c). Remaining Profit for distribution = ₹ 1,40,000 − ₹ 20,000 − ₹ 30,000 = ₹ 90,000

The remaining ₹ 90,000 profit will be shared between the partners.

A,B, and C each will receive = 90,000 X 1/3 = ₹ 30,000

S, the total profit share of each partner’s will be:

A’s total profit share = 5,000 + 15,000 + 30,000 = ₹ 50,000

B’s total profit share = 5,000 + 9,000 + 30,000 = ₹ 44,000

C’s total profit share = 10,000 + 6,000 + 30,000 = ₹ 46,000

Question 48

A and B are partners sharing profits in the ratio of 3 : 2 with capitals of ₹ 50,000 and ₹ 30,000
respectively. Interest on capital is agreed @ 6% p.a. B is to be allowed an annual salary of ₹
2,500. During the year profit prior to interest on capital but after charging B’s salary amounted to
₹ 12,500. A provision of 5% of the profits is to be made in respect of the Manager’s Commission.

Solution:

Profit and Loss A/c

Dr. Cr.
Particulars ₹ Particulars ₹
Manager’s Commission 750 Profit before B’s Salary 15,000
(5% of Rs 15,000) (12,500 + 2,500)
Transferred Profit t to Profit and Loss Appropriation A/c 14,250
15,000 15,000
Profit and Loss Appropriation A/c
Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest A/c: Profit and Loss A/c 14,250
A 3,000
B 1,800 4,800
B’s Salary 2,500
Profit transferred to:
A’s Capital A/c 4,170
B’s Capital A/c 2,780 6,950
14,250 14,250
Partners’ Capital Accounts
Dr. Cr.
Particulars A B Particulars A B
Balance c/d 57,170 37,080 Balance b/d 50,000 30,000
Interest on Capital A/c 3,000 1,800
Salary A/c 2,500
P/L Appropriation A/c 4,170 2,780
57,170 37,080 57,170 37,080

Working Notes 1 : Manager’s Commission Evaluation

Managers’ Commission = 5% on Net Profit (before Salary)

Profit before Salary = Profit after Salary + Salary = 12,500 + 2500 = ₹ 15,000

So, Managers’ Commission = 15,000 X 5/100 = ₹750

Working Notes 2 : Capital Interest Evaluation

A’s Capital Interest = 50,000 X 6/100 = ₹ 3,000

B’s Capital Interest = 50,000 X 6/100 = ₹ 1,800

Working Notes 3 : Partners’ Profit Sharing Evaluation

Profit available for distribution = ₹ 12,500 − ₹ 750 − ₹ 3,000 − ₹ 1,800 = ₹ 6,950

Profit Sharing Ratio = 3:2

Profit Share of A = 6,950 x 3/5 = ₹ 4,170

Profit Share of B = 6,950 x 2/5 = ₹ 2,750

Question 49

P, Q and R are in a partnership and as of 1st April, 2018 their respective capitals were: ₹ 40,000,
₹ 30,000 and ₹ 30,000. Q is entitled to a salary of ₹ 6,000 and R ₹ 4,000 p.a. payable before
division of profits. Interest is allowed on capital @ 5% p.a. and is not charged on drawings. Of the
divisible profits, P is entitled to 50% of the first ₹ 10,000, Q to 30% and R to 20%, rest of the
profit are shared equally. Profits for the year ended 31st March, 2019, after debiting partners’
salaries but before charging interest on capital was ₹ 21,000 and the partners had drawn ₹ 10,000
each on account of salaries, interest and profit.

Prepare Profit and Loss Appropriation Account for the year ended 31st March, 2019 showing the
distribution of profit and the Capital Accounts of the partners.

Solution:

Profit and Loss Appropriation A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital: Profit (after Salary) 21,000
P 2,000
Q 1,500
R 1,500 5,000
Profit transferred to:
P’s Capital A/c 7,000
Q’s Capital A/c 5,000
R’s Capital A/c 4,000 16,000
21,000 21,000

Partners’ Capital A/c

Dr. Cr.
Particulars P Q R Particulars P Q R
Drawings A/c 10,000 10,000 10,000 Balance b/d 40,000 30,000 30,000
Salaries A/c – 6,000 4,000
Capital Interest A/c 2,000 1,500 1,500
Balance c/d 39,000 32,500 29,500 P/L Appropriation A/c 7,000 5,000 4,000
49,000 32,500 29,500 49,000 32,500 29,500

Working Notes 1: Capital Interest Evaluation

P’s Capital Interest = 40,000 X 5/100 = ₹ 2,000

Q’s Capital Interest = 30,000 X 5/100 = ₹ 1,500

R’s Capital Interest = 30,000 X 5/100 = ₹ 1,500

Working Notes 2: Partners’ Profit Share Evaluation

Available Profit for distribution = ₹ 21,000 −₹ 5000 = ₹ 16,000

a. Distribution of first ₹ 10,000 into P 50%, Q 30%, and R 20%

Profit Share of P = 10,000 X 50/100 = ₹ 5,000

Profit Share of Q = 10,000 X 30/100 = ₹ 3,000

Profit Share of R = 10,000 X 20/100 = ₹ 2,000

b. Distribution of remaining Profit ₹ 6,000 (16,000 − 10,000) equally

P, Q, and R Profit Share = 6,000 X 1/3 = ₹2,000 each

So, the total profit share of P, Q, and R will be

P’s Total Profit Share= 5,000 + 2,000 = ₹ 7,000

Q’s Total Profit Share= 3,000 + 2,000 = ₹ 5,000

R’s Total Profit Share= 2,000 + 2,000 = ₹ 4,000

Question 50

A, B and C are partners sharing profits and losses in the ratio of A 1/2, B 3/10, C 1/5 after
providing for interest @ 5% on their respective capitals, viz., A ₹ 50,000; B ₹ 30,000 and C ₹
20,000 and allowing B and C a salary of ₹ 5,000 each per annum. During the year ended 31st
March, 2019, A has drawn ₹ 10,000 and B and C in addition to their salaries have drawn ₹ 2,500
and ₹ 1,000 respectively. Profit and Loss Account for the year ended 31st March, 2019 showed a
net profit of ₹ 45,000. On 1st April, 2018, the balances in the Current Accounts of the partners
were A (Cr.) ₹ 4,500; B (Cr.) ₹ 1,500 and C (Cr.) ₹ 1,000. Interest is not charged on Drawings or
Current Account balances. Show Partners’ Capital and Current Accounts as at 31st March, 2019
after division of profits in accordance with the partnership agreement.
Solution:

Profit and Loss Appropriation A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest : Profit and Loss A/c 45,000
A 2,500
B 1,500
C 1,000 5,000
Salary to:
B 5,000
C 5,000 10,000
Profit transferred to:
A’s Current A/c 15,000
B’s Current A/c 9,000
C’s Current A/c 6,000 30,000
45,000 45,000

Partners’ Capital Accounts

Dr. Cr.
Particulars A B C Particulars A B C
Balance b/d 50,000 30,000 20,000
Balance c/d 50,000 30,000 20,000
50,000 30,000 20,000 50,000 30,000 20,000
Partners’ Current Accounts
Dr. Cr.
Particulars A B C Particulars A B C
Drawings A/c 10,000 7,500 6,000 Balance b/d 4,500 1,500 1,000
Interest on Capital A/c 2,500 1,500 1,000
Salaries A/c 5,000 5,000
Balance c/d 12,000 9,500 7,000 P/L Appropriation A/c 15,000 9,000 6,000
22,000 17,000 13,000 22,000 17,000 13,000

Working Notes 1: Capital Interest Evaluation

A’s Capital Interest = 50,000 X 5/100 = ₹ 2,500

B’s Capital Interest = 30,000 X 5/100 = ₹ 1,500

C’s Capital Interest = 20,000 X 5/100 = ₹ 1,000

Working Notes 2: Partners’ Profit Share Evaluation

Available Profit for Distribution = ₹ 45,000 −₹ 15,000 = ₹ 30,000

A’s Capital Interest = 5 30,000 X 1/2 = ₹ 15,000

B’s Capital Interest = 30,000 X 3/10 = ₹ 9,000

C’s Capital Interest = 30,000 X 1/15 = ₹ 6,000

Question 51

Ali the Bahadur are partners in a firm sharing profits and losses as Ali 70% and Bahadur 30%.
Their respective capitals as at 1st April, 2018 stand as Ali ₹ 25,000 and Bahadur ₹ 20,000. The
partners are allowed interest on capitals @ 5% p.a. Drawings of the partners during the year
ended 31st March, 2019 amounted to ₹ 3,500 and ₹ 2,500 respectively.

Profit for the year, before charging interest on capital and annual salary of Bahadur @ ₹ 3,000,
amounted to ₹ 40,000, 10% of divisible profit is to be transferred to Reserve.

You are asked to show Partners’ Current Account and Capital Accounts recording the above
transactions.

Solution:

Partners’ Capital Accounts

Dr. Cr.
Particulars Ali Bahadur Particulars Ali Bahadur
Balance b/d 25,000 20,000
Balance c/d 25,000 20,000
25,000 20,000 25,000 20,000

Partners’ Current Accounts

Dr. Cr.
Particulars Ali Bahadur Particulars Ali Bahadur
Drawings A/c 3,500 2,500 Interest on Capital A/c 1,250 1,000
Bahadur’s Salary A/c 3,000
Balance c/d 19,642 10,883 P/L Appropriation A/c 21,892 9,383
23,142 13,383 23,142 13,383

Working Notes 1:

Profit and Loss Appropriation A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital: Profit and Loss A/c 40,000
Ali 1,250
Bahadur 1,000 2,250
Reserve 3,475
Bahadur’s Salary 3,000
Profit transferred to:
Ali’s Capital A/c 21,892
Bahadur’s Capital A/c 9,383 31,275
40,000 40,000
Working Notes 2 : Capital Interest Evaluation

Ali’s Capital Interest = 25,000 X 5/100 = ₹ 1,250

Bahadur’s Capital Interest = 20,000 X 5/100 = 1,000

Working Notes 3 : Amount to be Transferred to Reserve Evaluation

Amount transferred to Reserve =10% of Divisible Profits

=10% X (₹ 40,000− ₹ 2,250− ₹ 3,000)= ₹ 3,475

Working Notes 4 : Partners’ Profit Sharing Evaluation

Profit available for distribution = ₹ 40,000 − ₹ 2,250 − ₹ 3,000 − ₹ 3,475 = ₹ 31,275

Ali’s Profit Share = 31,275 X 70/100 = ₹ 1,892

Bahadur’s Profit Share = 31,275 X 30/100 = ₹ 9,383

Question 52

Amal, Bimal and Kamal are three partners. On 1st April, 2018, their Capitals stood as: Amal ₹
40,000, Bimal ₹ 30,000 and Kamal ₹ 25,000. It was decided that:

(a) they would receive interest on Capital @ 5% p.a.,

(b) Amal would get a salary of ₹ 250 per month,

(c) Bimal would receive commission @ 4% on net profit after deducting commission, interest on
capital and salary, and

(d) After deducting all of these 10% of the profit should be transferred to the General Reserve.

Before the above items were taken into account, net profit for the year ended 31st March, 2019
was ₹ 33,360. Prepare Profit and Loss Appropriation Account and the Capital Accounts of the
Partners.

Solution:

Profit and Loss Appropriation A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest: Profit and Loss A/c 33,360
Amal 2,000 (Net Profit)
Bimal 1,500
Kamal 1,250 4,750
Amal Salary(250 × 12) 3,000
Commission to Bimal 985
General Reserve 2,462
Profit transferred to:
Amal’s Capital A/c 7,388
Bimal’s Capital A/c 7,388
Kamal’s Capital A/c 7,387 22,163
33,360 33,360
Partners’ Capital Accounts
Dr. Cr.
Particulars Amal Bimal Kamal Particulars Amal Bimal Kamal
Balance b/d 40,000 30,000 25,000
Capital Interest A/c 2,000 1,500 1,250
Salary A/c 3,000 – –
Commission – 985 –
Balance c/d 52,388 39,873 33,637 P/L Appropriation A/c 7,388 7,388 7,387
52,388 39,873 33,637 52,388 39,873 33,637

Working Notes 1: Capital Interest Evaluation

Amal’s Capital Interest = 40,000 X 5/100 = ₹ 2,000

Bimal’s Capital Interest = 30,000 X 5/100 = ₹ 1,500

Kamal’s Capital Interest = 25,000 X 5/100 = ₹ 1,250

Working Notes 2 : Bimal Commission Evaluation

Bimal Commission = 4% on Net Profits after Commission

Profit after expenses = ₹ 33,360 − ₹ 4,750 − ₹ 3,000 = ₹ 25,610

Bimal Commission = Profit after Expenses X Rate/100+Rate

Therefore, = 25,610 X 4/104 = ₹ 985

Working Notes 3 : Amount to be transferred to General Reserve Evaluation

General Reserve Amount = 10% of Profit

= (33,360 – 4,750 – 3,000 – 985) x 10/100

= 24,625 X 10/100 = ₹ 2,462

Working Notes 3 : Partners’ Profit Share Evaluation

Available Profit for Distribution = ₹ 33,360 − ₹ 4,750 − ₹ 3,000− ₹ 985 − ₹ 2,462

= ₹ 22,163

Profit Share for each Partners’ Amal, Bimal, and Kamal = 22,163 X 1/3 = ₹ 7,388

Question 53

Amit, Binita and Charu are three partners. On 1st April, 2018, their Capitals stood as: Amit ₹
1,00,000, Binita ₹ 2,00,000 and Charu ₹ 3,00,000. It was decided that:

(a) they would receive interest on Capital @ 5% p.a.,

(b) Amit would get a salary of ₹ 10,000 per month,

(c) Binita would receive commission @ 5% of net profit after deduction of commission, and

(d) 10% of the net profit would be transferred to the General Reserve.

Before the above items were taken into account, the profit for the year ended 31st March, 2019
was ₹ 5,00,000.
Prepare Profit and Loss Appropriation Account and the Capital Accounts of the partners.

Solution:

Profit and Loss Appropriation A/c as on 31st March, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Interest on Capital: Profit and Loss A/c (Net Profit) 5,00,000
Amit 5,000
Binita 10,000
Charu 15,000 30,000
Salary to Amit (10,000 × 12) 1,20,000
Commission to Binita 23,810
General Reserve 50,000
Profit transferred to:
Amit’s Capital A/c 92,063
Binita’s Capital A/c 92,063
Charu’s Capital A/c 92,064 2,76,190
33,360 33,360
Partners’ Capital Accounts
Dr. Cr.
Particulars Amit Binita Charu Particulars Amit Binita Charu
Balance b/d 1,00,000 2,00,000 3,00,000
Interest on
5,000 10,000 15,000
Capital A/c
Salary A/c 1,20,000 – –
Commission – 23,810 –
P/L Appropriation
Balance c/d 3,17,063 3,25,873 4,07,064 92,063 92,063 92,064
A/c
3,17,063 3,25,873 4,07,064 3,17,063 3,25,873 4,07,064

Working Notes 1 : Capital Interest Evaluation

Amit Interest = 1,00,000 X 5/100 = ₹ 5,000

Binita Interest = 2,00,000 X 5/100 = ₹ 10,000

Charu Interest = 3,00,000 X 5/100 = ₹ 15,000

Working Notes 2 : Binita Commission Evaluation

Binita Commission = Net Profit X Rate/100+Rate

= 5,00,000 X 5/105 = ₹ 23,810

Working Notes 3 : Amount to be transferred to General Reserve Evaluation

Amount for General Reserve = 10% of Profit

= 5,00,000 X 10100 = ₹ 50,000

Working Notes 4 : Partners’ Profit Share Evaluation

Available Profit for Distribution = ₹ 5,00,000 – ₹ 30,000 – ₹ 1,20,000 – ₹ 23,810 – ₹ 50,000

= ₹ 2,76,190

Profit share of each of the partners = 2,76,190 X 1/3 = ₹ 92, 063

Question 54

Anita, Bimla and Cherry are three partners. On 1st April, 2018, their Capitals stood as: Anita ₹
1,00,000, Bimla ₹ 2,00,000 and Cherry ₹ 3,00,000. It was decided that:

(a) they would receive interest on Capital @ 5% p.a.,

(b) Anita would get a salary of ₹ 5,000 per month,

(c) Bimla would receive commission @ 5% of net profit after deduction of commission, and

(d) 10% of the net divisible profit would be transferred to the General Reserve.

Before the above items were taken into account, the profit for the year ended 31st March, 2019
was ₹ 5,00,000. Prepare Profit and Loss Appropriation Account and the Capital Accounts of the
partners.

Solution:

Profit and Loss Appropriation A/c as on March 31, 2019

Dr. Cr.
Particulars ₹ Particulars ₹
Capital Interest: Profit and Loss A/c (Net Profit) 5,00,000
Anita 5,000
Bimla 10,000
Cherry 15,000 30,000
Anita Salary (5,000 × 12) 60,000
Commission to Bimla 23,810
General Reserve 38,619
Profit transferred to:
Anita’s Capital A/c 1,15,857
Bimla’s Capital A/c 1,15,857
Cherry’s Capital A/c 1,15,857 3,47,571
5,00,000 5,00,000
Partners’ Capital Accounts
Dr. Cr.
Particulars Anita Bimla Cherry Particulars Anita Bimla Cherry
Balance b/d 1,00,000 2,00,000 3,00,000
Interest on Capital A/c 5,000 10,000 15,000
Salary A/c 60,000 – –
Commission – 23,810 –
Balance c/d 2,80,857 3,49,667 4,30,857 P/L Appropriation A/c 1,15,857 1,15,857 1,15,857
2,80,857 3,49,667 4,30,857 2,80,857 3,49,667 4,30,857

Working Notes 1: Capital Interest Evaluation

Anita’s Interest = 1,00,000 X 5/100 = ₹ 5,000

Bimal’s Interest = 2,00,000 X 5/100 = ₹ 10,000

Cherry’s Interest = 3,00,000 X 5/100 = ₹ 15,000

Working Notes 2 : Bimal Commission Evaluation

Bimla Commission = Net Profit X Rate/100+Rate

= 5,00,000 X 5/100 = ₹ 23,810

Working Notes 3 : Amount to be transferred to General Reserve Evaluation

Amount for General Reserve = 10% of Divisible Profit

=3,86,190 X 10/100 = ₹ 38,619

Divisible Profit = ₹ 5,00,000 – ₹ 30,000 – ₹ 23,810 – ₹ 60,000 = ₹ 3,86,190

Working Notes 4 : Partners’ Profit Share Evaluation

Profit available for Distribution = ₹ 5,00,000 –₹ 30,000 – ₹ 60,000 – ₹ 23,810 – ₹ 38,619

= ₹ 3,47,571

Profit share of each partner’s = 3,47,571 X 1/3 = ₹ 1,15,857

 Chapter 10- Redemption of Debentures
Question 1

The provisions of the Companies Act, 2013 in respect of redemption of debentures

are to protect the interest of,

Debentureholders
Creditors
Shareholders
Bankers

Answer: Debentureholders

Question 2

Central Bank Ltd. is to redeem 40,000. 10% debentures of ₹. 100/- each on 31st
December 2018. How much amount should it invest in specified securities?

₹. 6,00,000/-
₹. 10,00,000/-
₹. 5,00,000/-
Nil

Answer: ₹. 6,00,000/-

Question 3

SBI Ltd. has outstanding 1,00,000; 10% debentures ₹.10/- each issued in 2005 due
for redemption on 30th June 2018. How much amount of debentures redemption
reserve must be created before the redemption of debentures begins and also how
much amount should it invest in specified securities?

Pass necessary journal entries at the time of redemption of debentures.

Solution:

JOURNAL OF SBI LTD.

Date Particulars L.F. Dr. (₹) Cr. (₹)
June 10% Debentures A/c
Dr. 10,00,000
30
To Debentureholders’ A/c 10,00,000
(Being the amount due to debenture holders
2018 on redemption)
Debentureholders’ A/c
Dr. 10,00,000

To Bank A/c 10,00,000

(Being the amount due to the debenture
 holders paid)

Question 4

ABC Ltd. issued 1,00,000; 9% debentures of ₹.50/- each @ a premium of 10% on

June 30th, 2016 redeemable on 31st March, 2018. The issue was fully subscribed.
The company decided to transfer the amount to DRR on 31st March 2017 and invest
in Fixed Deposit earning interest @ 10% p.a. on 1st April 2017 to meet the legal
requirement. The tax was deducted at source (TDS) by the bank @ 10%.

Pass the necessary journal entries for issue and redemption of debentures along with
the interest on the investment.

Solution:

JOURNAL

Date Particulars L.F. Dr. (₹) Cr. (₹)

Bank A/c
Dr. 55,00,000
June
To Debentures Application and Allotment
30, 55,00,000
A/c
2016
(Being the application money received at a
premium of 10%)
Debentures Application and Allotment A/c
Dr. 55,00,000

To 9% Debentures A/c 50,00,000

June
30 To Securities Premium Reserve A/c 5,00,000
(Being the application money transferred to
9% debentures and securities premium
reserve account)
Surplus, i.e., Balance in statement of P&L A/c
Dr. 12,50,000
March
31, To Debentures redemption reserve A/c 12,50,000
2017
(Being 25% of the value of outstanding
debentures transferred to DRR)
Debentures redemption investment A/c
Dr. 7,50,000
April
To Bank A/c 7,50,000
1
(Being 15% of the value of debentures to be
redeemed invested in Government securities)
March Bank A/c
Dr. 8,17,500
31,
2018 TDS collected A/c Dr. 7,500

To Debentures redemption investment A/c 7,50,000

To Interest earned A/c 75,000
(Being the investments bearing 10% interest
p.a. realised on the redemption of
debentures; TDS deducted @ 10% on
interest)
9% Debentures A/c
Dr. 50,00,000
March
To Debentureholders’ A/c 50,00,000
31
(Being the amount due on redemption of
debentures)
Debentureholders’ A/c
Dr. 50,00,000
March
To Bank A/c 50,00,000
31
(Being the payment made to redeem the
debentures)
Debentures redemption reserve A/c
Dr. 12,50,000
March
To General reserve A/c 12,50,000
31
(Being the DRR transferred to general reserve
after redemption of debentures)
Interest earned A/c
Dr. 75,000
March
To Statement of P&L A/c 75,000
31
(Being the interest earned on DRI transferred
to the statement of P&L)

Question 5

The premium payable on redemption of debentures is in the nature of,

Liability account
Asset account
Expense account
None of these

Answer: Liability account

Question 6

A public limited company is a manufacturer of chemical fertilisers. It’s annual

turnover is ₹. 50 crores. The company had issued 5,000, 12% debentures of ₹. 500/-
each at par. Calculate the amount of debentures redemption reserve which needs to
be created to meet the requirements of law.

Answer : Required Debentures Redemption Reserve (DRR) = 25% of redemption

value

= 25% X 25,00000

= ₹ 6,25,000

Question 7

On March 31st 2013, P Ltd. had ₹.8,00,000/-; 9% debentures due for redemption.
The company had a balance of ₹. 1,40,000/- in its DRR. Calculate the amount
transferred to be in DRR.

Answer: Amount transferred to DRR = 25% of redemption value

= (25% X ₹ 8,00,000) – ₹1,40,000

= ₹60,000
 Chapter 9- Issue of Debentures
Question 1

X company issued 4,000; 10% debentures of ₹. 100/- each, payable ₹. 20/- on the
application and balance amount on the allotment. The debentures are redeemable after 5
years. Applications were received for the issued debentures and allotment was made to all the
applicants. The amount was received on due dates.

Pass the necessary journal entries.

Solution:

JOURNAL

Date Particulars L.F. Dr (₹) Cr (₹)

Bank A/c Dr. 80,000

To Debentures application A/c 80,000
(Being the application money received on 4,000; 10%
debentures @ ₹. 20/ debenture)
Debenture application A/c Dr. 80,000
To 10% debentures A/c 80,000
(Being the allotment of 4,000; 10% debentures of ₹.
100 each)
Debenture allotment A/c Dr. 3,20,000
To 10% debentures A/c 3,20,000
(Being the amount due on 4,000; 10% debentures on
allotment @ ₹.80/- debenture)
Bank A/c Dr. 3,20,000
Debenture allotment A/c 3,20,000
(Being the amount received against allotment)

Question 2

Axe Ltd. issued 20,000; 9% debentures of ₹. 100/- each at a discount of 4% on 1st April
2018, payable ₹. 30/- on the application and the balance on the allotment. The debentures
are redeemable after 5 years. Pass necessary journal entries.

Solution:

JOURNAL

Date Particulars L.F. Dr (₹) Cr (₹)

2018 Bank A/c

Dr. 6,00,000
April 1
 To Debentures application A/c 6,00,000
(Being the application money on 20,000; 9%
debentures @ ₹. 30/- each received)
Debentures application A/c Dr. 6,00,000
To 9% debentures A/c 6,00,000
(Being the debentures application money transferred
to 9% debenture A/c)
Debenture allotment A/c Dr. 13,20,000
Discount on issue of debentures A/c Dr. 80,000
To 9% debentures A/c 14,00,000
(Being the allotment money due on 20,000; 9%
debentures)
Bank A/c
Dr. 13,20,000

To Debenture allotment A/c 13,20,000

(Being the amount received on allotment)

Question 3

Titan Watches Ltd. issued 7,500, 8% debentures of ₹. 100/- each at par for a subscription
payable along with the applications. The subscription was received for 7,000 debentures. The
debentures were duly allotted. Pass the journal entries.

Solution:

In the books of Titan Watches Ltd.

JOURNAL

Date Particulars L.F. Dr (₹) Cr (₹)

Bank A/c Dr. 7,00,000

To debentures application and allotment A/c 7,00,000
(Being the applications received for 7,000; 8%
debentures @ ₹. 100/- debenture)
Debentures application and allotment A/c Dr. 7,00,000
To 8% debentures A/c 7,00,000

(Being 7,000; 8% debentures of ₹. 100/- each

alloted)

Question 4

Hibiscus Ltd. purchased a piece of land from JNR Ltd. and paid the consideration as follows:

Issued a cheque for ₹. 10,00,000/-

 Issued a bill exchange for 3 months for ₹. 5,00,000/-
Issued 5,000; 9% Debentures of ₹. 100/- each at par redeemable at 10% premium
after 5 years.

Pass the journal entry.

Solution:

Date Particulars L.F. Dr (₹) Cr (₹)

Land A/c Dr. 20,00,000
Loss on the issue of debentures A/c Dr. 50,000
To Bank A/c 10,00,000
To Bills Payable A/c 5,00,000
To 9% Debentures A/c 5,00,000
To premium on redemption of debentures A/c 50,000
(Being the land purchased and consideration paid)

Question 5

V Ltd. issued 5,000; 9% debentures of ₹. 100/- each at par and also raised a loan of ₹.
80,000/- from the bank, collaterally secured by ₹. 1,00,000/-; 9% debentures. How will be
the debentures shown in the balance sheet of the company assuming that the company has
passed journal entry for the issue of debentures as collateral security in the books?

Solution:

An Extract of Balance Sheet of V Ltd. as at…

Particulars Note No. ₹

EQUITY AND LIABILITIES

Non-Current Liabilities 1
Long-term Borrowings 5,80,000

Note to Accounts

Long-term Borrowings
5,00,000

5,000; 9% debentures of ₹.100/- each 80,000

Loan from bank
1,000; 9% debentures of ₹. 100/- each issued as Collateral Security 1,00,000
Less: Debentures Suspense A/c 1,00,000
5,80,000
Question 6

Debentures are shown in the Balance Sheet of a firm below the head of,

Non-current liabilities
Current liabilities
Share capital
None of these

Answer: Non-current liabilities

Question 7

Debentureholders are,

Owners of the company

Lenders of the company
Vendors of the company
Customers of the company

Answer: Lenders of the company

 Chapter 9- Issue of Debentures
Question 1

X company issued 4,000; 10% debentures of ₹. 100/- each, payable ₹. 20/- on the
application and balance amount on the allotment. The debentures are redeemable after 5
years. Applications were received for the issued debentures and allotment was made to all the
applicants. The amount was received on due dates.

Pass the necessary journal entries.

Solution:

JOURNAL

Date Particulars L.F. Dr (₹) Cr (₹)

Bank A/c Dr. 80,000

To Debentures application A/c 80,000
(Being the application money received on 4,000; 10%
debentures @ ₹. 20/ debenture)
Debenture application A/c Dr. 80,000
To 10% debentures A/c 80,000
(Being the allotment of 4,000; 10% debentures of ₹.
100 each)
Debenture allotment A/c Dr. 3,20,000
To 10% debentures A/c 3,20,000
(Being the amount due on 4,000; 10% debentures on
allotment @ ₹.80/- debenture)
Bank A/c Dr. 3,20,000
Debenture allotment A/c 3,20,000
(Being the amount received against allotment)

Question 2

Axe Ltd. issued 20,000; 9% debentures of ₹. 100/- each at a discount of 4% on 1st April
2018, payable ₹. 30/- on the application and the balance on the allotment. The debentures
are redeemable after 5 years. Pass necessary journal entries.

Solution:

JOURNAL

Date Particulars L.F. Dr (₹) Cr (₹)

2018 Bank A/c

Dr. 6,00,000
April 1
 To Debentures application A/c 6,00,000
(Being the application money on 20,000; 9%
debentures @ ₹. 30/- each received)
Debentures application A/c Dr. 6,00,000
To 9% debentures A/c 6,00,000
(Being the debentures application money transferred
to 9% debenture A/c)
Debenture allotment A/c Dr. 13,20,000
Discount on issue of debentures A/c Dr. 80,000
To 9% debentures A/c 14,00,000
(Being the allotment money due on 20,000; 9%
debentures)
Bank A/c
Dr. 13,20,000

To Debenture allotment A/c 13,20,000

(Being the amount received on allotment)

Question 3

Titan Watches Ltd. issued 7,500, 8% debentures of ₹. 100/- each at par for a subscription
payable along with the applications. The subscription was received for 7,000 debentures. The
debentures were duly allotted. Pass the journal entries.

Solution:

In the books of Titan Watches Ltd.

JOURNAL

Date Particulars L.F. Dr (₹) Cr (₹)

Bank A/c Dr. 7,00,000

To debentures application and allotment A/c 7,00,000
(Being the applications received for 7,000; 8%
debentures @ ₹. 100/- debenture)
Debentures application and allotment A/c Dr. 7,00,000
To 8% debentures A/c 7,00,000

(Being 7,000; 8% debentures of ₹. 100/- each

alloted)

Question 4

Hibiscus Ltd. purchased a piece of land from JNR Ltd. and paid the consideration as follows:

Issued a cheque for ₹. 10,00,000/-

 Issued a bill exchange for 3 months for ₹. 5,00,000/-
Issued 5,000; 9% Debentures of ₹. 100/- each at par redeemable at 10% premium
after 5 years.

Pass the journal entry.

Solution:

Date Particulars L.F. Dr (₹) Cr (₹)

Land A/c Dr. 20,00,000
Loss on the issue of debentures A/c Dr. 50,000
To Bank A/c 10,00,000
To Bills Payable A/c 5,00,000
To 9% Debentures A/c 5,00,000
To premium on redemption of debentures A/c 50,000
(Being the land purchased and consideration paid)

Question 5

V Ltd. issued 5,000; 9% debentures of ₹. 100/- each at par and also raised a loan of ₹.
80,000/- from the bank, collaterally secured by ₹. 1,00,000/-; 9% debentures. How will be
the debentures shown in the balance sheet of the company assuming that the company has
passed journal entry for the issue of debentures as collateral security in the books?

Solution:

An Extract of Balance Sheet of V Ltd. as at…

Particulars Note No. ₹

EQUITY AND LIABILITIES

Non-Current Liabilities 1
Long-term Borrowings 5,80,000

Note to Accounts

Long-term Borrowings
5,00,000

5,000; 9% debentures of ₹.100/- each 80,000

Loan from bank
1,000; 9% debentures of ₹. 100/- each issued as Collateral Security 1,00,000
Less: Debentures Suspense A/c 1,00,000
5,80,000
Question 6

Debentures are shown in the Balance Sheet of a firm below the head of,

Non-current liabilities
Current liabilities
Share capital
None of these

Answer: Non-current liabilities

Question 7

Debentureholders are,

Owners of the company

Lenders of the company
Vendors of the company
Customers of the company

Answer: Lenders of the company