SAMPLE QUESTION PAPER - 5

SUBJECT- ACCOUNTANCY (055)

CLASS XII (2024-25)

Time Allowed: 3 hours Maximum Marks: 80

General Instructions:
1. This question paper contains 34 questions. All questions are compulsory.
2. This question paper is divided into two parts, Part A and B.
3. Part - A is compulsory for all candidates.
4. Part - B has two options i.e. (i) Analysis of Financial Statements and (ii)
Computerised Accounting. Students must attempt only one of the given options.
5. Question 1 to 16 and 27 to 30 carries 1 mark each.
6. Questions 17 to 20, 31and 32 carries 3 marks each.
7. Questions from 21 ,22 and 33 carries 4 marks each
8. Questions from 23 to 26 and 34 carries 6 marks each
9. There is no overall choice. However, an internal choice has been provided in 7
questions of one mark, 2 questions of three marks, 1 question of four marks and 2
questions of six marks.
Part A:- Accounting for Partnership Firms and Companies
1. An increase in the value of assets at the time of admission of a partner is: [1]

a) Debited to Partner's Capital b) Credited to Partner's Capital

Account. Account

c) Debited to Revaluation A/c d) Credited to Revaluation Account

2. Assertion (A): Capital account of partners generally has a credit balance. [1]
Reason (R): Current account has either a debit or credit balance.

a) Both A and R are true and R is b) Both A and R are true but R is
the correct explanation of A. not the correct explanation of A.

c) A is true but R is false. d) A is false but R is true.

3. X Ltd. Forfeited 500 shares of ₹ 10 each fully called up, on which ₹ 4000 has been [1]
paid up. 300 of these shares were reissued for a payment of 2400.
Amount to be transferred to capital reserve will be

a) 1200 b) 1800

c) 2400 d) Nil

OR
Sunbeam Limited issued 4,000, 6% Debentures of ₹ 100 each at ₹ 95 per debenture. 6%
Debentures account will be credited by:

a) ₹ 4,00,000 b) ₹ 3,80,000

c) ₹ 20,000 d) ₹ 4,40,000

4. Due to change in the profit sharing ratio, Pooja's gain is th while Sonu’s sacrifice is
1

5
[1]
1

5
th. They decided to adjust the following without affecting their book values, by
passing a single adjustment entry:
General Reserve ₹ 20,000
Profit & Loss Account (Dr.) ₹ 30,000
The necessary adjustment entry will be:

a) Debit Sonu’s capital account by b) Debit Pooja’s capital account by

₹ 10,000 and credit Pooja’s ₹ 2,000 and credit Sonu’s capital
capital account by ₹ 10,000. account by ₹ 2,000.

c) Debit Sonu’s capital account by d) Debit Pooja's capital account by

₹ 2,000 and credit Pooja’s ₹ 10,000 and credit Sonu’s
capital account by ₹ 2,000. capital account by ₹ 10,000.

OR
Relationship between the partners is of.

a) Senior-Subordinate b) Junior-Senior Relationship.

Relationship.

c) Close relatives. d) Agent and Principal.

5. A and B are partners sharing profits in 3 : 2 with capitals of ₹ 6,00,000 and ₹ 4,00,000 [1]
respectively. They are entitled to interest on their capitals @10% p.a. and A is also
entitled to a rent of ₹ 10,000 per month for use of his property by the firm. Net Profit
earned by the firm for the year ended 31st March 2023 was ₹ 3,00,000. B's share of
profit will be:

a) ₹ 1,20,000 b) ₹ 32,000

c) ₹ 80,000 d) ₹ 72,000

6. Raj Ltd. purchased a building for ₹ 5,00,000 payable as 15% in cash and balance by [1]
allotment of 9% debentures of ₹ 100 each at a premium of 25%. Number of
debentures issued will be:

a) 4,000 b) 5,000

c) 4,250 d) 3,400

OR
Debenture Application Account is in the nature of

a) Nominal Account b) Asset account

c) Personal Account d) Real Account

7. Assertion (A): The equity shareholders are paid dividend on the shares held by them. [1]
Reason (R): As the equity shareholders are the owners and dividend form their
earning.

a) Both A and R are true and R is b) Both A and R are true but R is
the correct explanation of A. not the correct explanation of A.

c) A is true but R is false. d) A is false but R is true.

8. A, Band C are partners sharing profits in 3 : 2 : 1 B retires, and the balance of his [1]
Capital A/c after adjusting reserves and his share of goodwill was ₹ 2,40,000. The
remaining partners gave B an unrecorded vehicle valued at ₹ 60,000 and the balance
payable to B was discharged by giving a Bank draft. What will be the amount of the
Bank Draft?
 a) ₹ 2,60,000 b) ₹ 2,40,000

c) ₹ 1,80,000 d) ₹ 2,00,000

OR
A and B are partners in a firm. They are entitled to interest on their capitals but the net
profit was not sufficient for this interest, then the net profit will be distributed among
partners in:

a) Capital Ratio b) Agreed Ratio

c) Equally d) Profit Sharing Ratio

Question No. 9 to 10 are based on the given text. Read the text carefully and answer the [2]
questions:
Mohit and Sonu are equal partner Their capitals as on 1st April, 2020 are 1,00,000 and
2,00,000 respectively. Profits for the year 2020-21 were ₹ 90,000. As per the agreement,
interest on capitals was ₹ 10,000 and ₹ 20,000 respectively and interest on drawings was ₹
6,000 and ₹ 10,000 respectively. Mohit’s salary was ₹ 2,000 p.m. and Sonu’s salary was ₹
5,000 p.a.
Accountant, however, committed the mistake and credited the profit in the capital ratio,
Without interest on capitals, drawings and salary.

9. With what amount was Sonu’s account credited with initially?

a) ₹ 45,000 b) ₹ 30,000

c) ₹ 60,000 d) 90,000

10. What was the total salary required to be credited?

i. ₹ 70,000
ii. ₹ 84,000
iii. ₹ 29,000
iv. ₹ 48,000
a) Option (iv) b) Option (ii)

c) Option (i) d) Option (iii)

11. P and Q are partners sharing Profits in the ratio of 2 : 1 with fixed capitals of ₹ [1]
10,00,000 and ₹ 5,00,000 respectively. After closing the accounts for the year ending
31st March 2022 it was discovered that interest on Drawings was Charged from P is ₹
600 but partnership deed is silent on interest on Drawings.
In the adjusting entry, Q’s Current Account will be:

a) Neither debited nor credited b) Credited with 200

because there is no interest on
drawings of Q

c) Debited with 200 d) Credited with 400

12. Gaurav Ltd. took over the assets of ₹ 4,80,000 and Liabilities of ₹ 80,000 of Girish [1]
Ltd. for a consideration of ₹ 3,20,000. An amount of ₹ 20,000 paid by an acceptance
in favour of Girish Ltd. payable after 3 months and the balance by issue of equity
shares of ₹ 100 each at a premium of 50%.
Number of Shares to be issued:

a) 2,400 b) 1,800

c) 2,000 d) 2,200

13. X Ltd. issued a prospectus inviting applications for 10,000 shares of ₹ 50 each at a [1]
premium of ₹ 20 per share, payable as follows:
On Application - ₹ 10 (including ₹ 4 premium)
On Allotment - ₹ 20 (including ₹ 5 premium)
On First Call - ₹ 30 (including ₹ 6 premium)
On Second & Final Call - Balance Amount
A shareholder holding 1,000 shares failed to pay the first call and second & final call
money and his shares were forfeited after the final call.
In the entry for forfeiture of shares, Share Capital Account will be debited with:

a) ₹ 50,000 b) ₹ 29,000

c) ₹ 11,000 d) ₹ 70,000

14. The document that contains the terms of partnership is called: [1]
 a) Partnership Deed b) Partnership Contract

c) Partnership Rules d) Partnership Agreement

15. X and Y were partners in a firm sharing profits in the ratio of 7 : 3. Z was admitted for [1]
th share in the profits which he took 75% from X and remaining from Y.
1

Sacrificing ratio of X and Y:

a) 1 : 1 b) 7 : 3

c) 3 : 1 d) 3 : 2

OR
Divya and Aruna were partners in a firm. Yogesh was admitted as a new partner for th 1

share in the profits of the firm. Yogesh brought proportionate capital. Capitals of Divya
and Aruna after all adjustments were ₹ 64,000 and ₹ 46,000 respectively. Capital brought
by Yogesh was:

a) ₹ 27,500 b) ₹ 28,000

c) ₹ 55,000 d) ₹ 22,000

16. On dissolution of the firm, amount received from sale of unrecorded asset is credited [1]
to:

a) Partner’s Capital Accounts b) Cash Account

c) Realisation Account d) Profit and Loss Account

17. A and B were partners in a firm sharing profits and losses in the ratio of 2 : 1. With [3]
effect from 1st April, 2023 they agreed to share profits and losses equally. Calculate
the individual partner’s gain or sacrifice due to change in ratio.

18. D, E and F were partners in a firm sharing profits in the ratio of 5 : 7 : 8. Their fixed [3]
capitals on 1st April, 2022 were D - ₹ 5,00,000, E - ₹ 7,00,000 and F - ₹ 8,00,000.
Their partnership Deed provided for the following:
i. Interest on capital @10% p.a.
ii. Salary of ₹ 10,000 per month to F.
iii. Interest on drawing @12% p.a.
h
 D withdrew ₹ 40,000 on 30th April, 2022; E withdrew ₹ 50,000 on 30th June 2022
and F withdrew ₹ 30,000 on 31st March, 2023.
During the year ended 31st March, 2023 the firm earned a profit of ₹ 3,50,000.
Prepare the Profit and Loss Appropriation Account for the year ended 31st March,
2023.

OR
Rahul and Mohit were partners in a firm. Their partnership deed provided that the profits
shall be divided as follows:
First ₹ 20,000 to Rahul and the balance in the ratio of 4 : 1. The profits for the year ended
31st March, 2023 were ₹ 60,000 which had been distributed among the partners. On 1-4-
2022 their capitals were Rahul ₹ 90,000 and Mohit ₹ 80,000. Interest on capital was to be
provided @ 6% p.a. While preparing the profit and loss appropriation interest on capital
was omitted.
Pass necessary rectifying entry for the same. Show your workings clearly.

19. Raj Ltd. purchased furniture of ₹ 2,20,000 from M/s. Furniture Mart. 50% of the [3]
amount was paid to M/s. Furniture Mart by accepting a Bill of Exchange and for the
balance the company issued 9% Debentures of ₹ 100 each at a premium of 10% in
favour of M/s. Furniture Mart.
Pass necessary Journal entries in the books of Raj Ltd.

OR
What is the minimum time interval between two consecutive calls according to Table F of
Schedule I?

20. Calculate capital employed by Liabilities Side Approach and Assets Side Approach [3]
from the following Balance Sheet:
Liabilities ₹ Assets ₹
Capital A/cs: Land and Building 3,00,000
Gaurav 2,00,000 Goodwill 60,000
Ashish 2,00,000 4,00,000 Investments (Trade) 1,00,000
Reserves 1,80,000 Stock 1,00,000
Sundry Creditors 1,80,000 Sundry Debtors 1,40,000
 Outstanding
20,000 Cash at Bank 60,000
Expenses
Deferred Revenue Expenditure:
20,000
Advertisement Suspense
7,80,000 7,80,000

21. A Company invited applications for 5,000 shares of ₹ 100 each. The amount is [4]
payable as follows:
On Application ₹ 20 per share
On Allotment ₹ 30 per share
On First Call ₹ 20 per share
On Second and Final Call ₹ 30 per share
Applications were received for 8,000 shares. Applications for 1,000 shares were
rejected and pro-rata allotment was made to the remaining applicants.
All calls were made and duly paid except:
i. Govind, the holder of 200 shares paid the two calls with allotment.
ii. Sanjay, the holder of 300 shares failed to pay the first and second call money.
Pass necessary journal entries to record the above transactions.

22. Record necessary journal entries to realize the following unrecorded assets and [4]
liabilities in the books of Paras and Priya:
i. There was old furniture in the firm which had been written off completely in the
books. This was sold for ₹ 3,000,
ii. Ashish, an old customer whose account for ₹ 1,000 was written-off as bad in the
previous year, paid 60%, of the amount,
iii. Paras agreed to take over the firm’s goodwill (not recorded in the books of the
firm), at a valuation of ₹ 30,000,
iv. There was an old typewriter that had been written off completely from the books. It
was estimated to realize ₹ 400. It was taken away by Priya at an estimated price less
25%,
v. There were 100 shares of ₹ 10 each in Star Limited acquired at a cost of ₹ 2,000
which had been written off completely from the books. These shares are valued @ ₹
 6 each and divided among the partners in their profit sharing ratio.

23. CTE Ltd. issued a prospectus inviting applications for 50,000 Equity Shares of ₹ 10 [6]
each, payable ₹ 5 as per application (including ₹ 2 as premium), ₹ 4 as per allotment
and the balance towards first and final call.
Applications were received for 65,000 shares. Application money received on 5,000
shares was refunded with letter of regret and allotments were made on pro-rata basis to
the applicants of 60,000 shares.
Mr. Sundar to whom 700 shares were allotted failed to pay the allotment money and
his shares were forfeited by the Directors on his subsequently failure to pay the call
money.
All the forfeited shares were subsequently sold to Mr. Jay credited as fully paid-up for
₹ 9 per share.
You are required to set out the Journal entries and the relevant entries in the Cash
Book.

OR
Arun Ltd. was registered with a capital of ₹ 5,00,000 in shares of ₹ 10 each and issued
20,000 such shares at a premium of ₹ 2 per share, payable as ₹ 2 per share on application,
₹ 5 per share on allotment (including premium) and ₹ 2 per share on first call made three
months later. All the money payable on application and allotment was duly received but
when the first call was made, one shareholder paid the entire balance on his holding of 300
shares and another shareholder holding 1,000 shares failed to pay the first call money. Pass
Journal entries to record the above transactions and show how they will appear in the
company's Balance Sheet.

24. W and R were partners in a firm sharing profits in the ratio of 3: 2 respectively. On [6]
31st March, 2013, their balance sheet was as follows
Balance Sheet
as at 31st March, 2013
Amt Amt
Liabilities Asssets
(Rs) Rs
Creditors 17,500 Cash 2,500
Investment Fluctuation
4,000 Debtors 10,000
Fund
 (-) Provision for Doubtful
Bank Loan 10,000 (350) 9,650
Debts
Capital A/cs Stock 12,500
W 20,000 Plant 17,500
R 15,000 35,000 Patents 10,350
Investments 10,000
Goodwill 4,000
66,500 66,500
B was admitted as a new partner on the following conditions
i. B will get 4

15
th share of profits.
ii. B had to bring Rs 15,000 as his capital.
iii. B would pay cash for his share of goodwill based on 2.5 years purchase of average
profit of last 4 years.
iv. The profits of the firm for the years ending 31st March, 2010, 2011, 2012 and 2013
were Rs 10,000, Rs 7,000, Rs 8,500, and Rs 7,500 respectively.
v. Stock was valued at Rs 10,000 and provision for doubtful debts was raised up to Rs
500.
vi. Plant was revalued at Rs 20,000.
Prepare revaluation account, partners’ capital account and the balance sheet of the
new firm.

OR
A, B and C were partners sharing profits in the ratio 5: 3: 2 respectively. Their summarised
balance sheet was as follows :
Balance Sheet
Liabilities Amt(Rs) Assets Amt(Rs)
Capital Accounts Goodwill 80,000
A 2,80,000 Machinery 3,60,000
B 2,00,000 Debtors 1,40,000
C 1,20,000 6,00,000 Stock 1,80,000
 Liabilities Amt(Rs) Assets Amt(Rs)
Current Liabilities 1,84,000 Cash 24,000
7,84,000 7,84,000
C retired on 1.4.2009. It was agreed that :
i. Machinery is revalued at Rs. 4,80,000.
ii. C’s interest in the firm is valued at Rs 1,88,000 after taking into consideration
revaluation of assets, liabilities and accumulated profits/losses etc.
iii. The entire sum payable to C is to be brought in by A and B in such a way that their
capital should be in their new profit sharing ratio of 2: 1.
iv. A cash balance of Rs 17,000 should be kept in the firm as a minimum balance.
Prepare revaluation account, partners’ capital accounts, and balance sheet of the new firm.

25. Anita, Gaurav and Sonu were partners in a firm sharing profits and losses in [6]
proportion to their capitals. Their Balance Sheet as at 31st March, 2019 was as
follows:
Balance Sheet of Anita, Gaurav and Sonu as at 31st March, 2019
Amount Amount
Liabilities Assets
(₹) (₹)
Capitals: Land and Building 5,00,000
Anita 2,00,000 Investments 1,20,000
Gaurav 2,00,000 Debtors 1,50,000
Less: Provision for
Sonu 1,00,000 5,00,000 10,000 1,40,000
doubtful debts
Investment Fluctuation
40,000 Stock 1,00,000
Fund
General Reserve 30,000 Cash at Bank 1,70,000
Creditors 4,60,000
10,30,000 10,30,000
On the above date, Anita retired from the firm and the remaining partners decided to
carry on the business. It was agreed to revalue the assets and reassess the liabilities as
 follows:
i. Goodwill of the firm was valued at ₹ 3,00,000 and Anita’s share of goodwill was
adjusted in the capital accounts of the remaining partners, Gaurav and Sonu.
ii. Land and Building was to be brought up to 120% of its book value.
iii. Bad debts amounted to ₹ 20,000. A provision for doubtful debts was to be
maintained at 10% on debtors.
iv. Market value of investments was ₹ 1,10,000.
v. ₹ 1,00,000 was paid immediately by cheque to Anita out of the amount due and the
balance was to be transferred to her loan account which was to be paid in two equal
annual instalments along with interest @ 10% p.a
Prepare the Revaluation Account, Partners’ Capital Accounts and the Balance Sheet of
the reconstituted firm on Anita’s retirement.

26. P Ltd. issued 10,000, 8% debentures of ₹ 100 each at a premium of 10% on 1-4-2022. [6]
It purchased Property, Plant & Equipment of the value of ₹ 2,50,000 and took over
current liabilities of ₹ 40,000 and issued 8% debentures at a premium of 5% to the
vendor. On the same date it took loan from the Bank for ₹ 1,00,000 and issued 8%
debentures as Collateral Security. Record the relevant journal entries in the books of P
Ltd. and prepare the extract of balance sheet on 31-3-2023. Ignore interest.

Part B :- Analysis of Financial Statements

27. XYZ Ltd. wants to assess future earning capacity of its business. It will conduct: [1]

a) external analysis b) Internal analysis

c) long-term analysis d) short-term analysis

OR
Assets are divide in to

a) 2 b) 8

c) 10 d) 1

28. Inventory Turnover Ratio is calculated under --------- [1]

a) Activity Ratio b) Profitability Ratio

 c) Solvency Ratio d) Liquidity Ratio

29. Is payment for the purchase of fixed assets will be classified as an operating activity [1]
for both finance and non-finance company?

a) No these are financing activities b) Yes these are Operating

activities

c) Not to be recorded d) No these are investing activities

OR
Pick the odd one out:

a) Proceeds from long-term loans b) Cash received as royalty

c) Issue of debentures in cash d) Issue of shares in cash

30. Example of cash flow from financing activity is: [1]

a) cash received from customer b) receipt of dividend on

investment

c) purchase of fixed asset d) payment of dividend

31. Operating Cycle and the expected period of realisation of trade receivables is given [3]
below. How will you classify the asset?
Particulars (i) (ii) (iii) (iv) (v) (vi) (vii)
Operating Cycle (Months) 9 17 10 10 14 24 10
Expected period of realisation of trade receivables
8 15 11 15 16 20 12
(Months)

32. From the following balance sheet of a company, calculate Debt-Equity Ratio: [3]
Balance Sheet
Particulars Note No. ₹
I. Equity and Liabilities
1. Shareholders’ funds
(a) Share capital 8,00,000
(b) Reserves and Surplus 1 1,00,000
2. Share application money pending allotment 2,00,000
3. Non-Current Liabilities
Long-term borrowings 1,50,000
Current liabilities 1,50,000
14,00,000
II. Assets
1. Non-Current Assets
a) Fixed assets
-Tangible assets 2 11,00,000
2. Current Assets
a) Inventories 1,00,000
b) Trade receivables 90,000
c) Cash and cash equivalents 1,10,000
14,00,000
Notes to Accounts
₹
1. Share Capital
Equity Share Capital 6,00,000
Preference Share Capital 2,00,000
8,00,000
Fixed Assets
₹
2 . Tangible Assets:
Plant and Machinery 5,00,000
Land and Building 4,00,000
Motor Car 1,50,000
 Furniture 50,000
11,00,000

33. From the following Statement of Profit and Loss of Raman Ltd, prepare a [4]
Comparative Statement of Profit and Loss for the year ended 31st March, 2022:
2021 - 22 2020 - 21
Particulars Note No.
₹ ₹
Revenue from Operations 26,00,000 20,00,000
Employee Benefit Expenses 6,00,000 5,00,000
Other Expenses 12,00,000 10,00,000
Tax Rate 50%

OR
Prepare comparative statement of profit and loss from the following information:
31st March, 2015 31st March, 2014
Particulars
Amt (Rs.) Amt (Rs.)

Revenue from Operations 12,00,000 8,00,000

Purchase of Stock-in-trade 7,80,000 5,20,000
Change in Inventories of
40,000 80,000
Stock-in-trade
10% of Cost of Revenue 8% of Cost of Revenue from
Other Expenses
from Operations Operations
Tax Rate 30% 40%

34. Following is the Balance Sheet of Meena Limited as at 31st March, 2023: Prepare [6]
Cash Flow Statement when Cash Flow from Financing Activities is ₹ 2,12,500.
Note 31st March, 31st March,
Particulars
No. 2023 2022
₹ ₹
I. EQUITY AND LIABILITIES
1. Shareholders' Funds
(a) Share Capital 3,00,000 1,00,000
(b) Reserves and Surplus 1 25,000 1,20,000
2. Non-Current Liabilities
Long-term Borrowings 2 80,000 60,000
3. Current Liabilities
(a) Trade Payables 6,000 20,000
(b) Short-term Provisions 68,000 70,000
TOTAL 4,79,000 3,70,000
II. ASSETS
1. Non-Current Assets
(a) Property, Plant and Equipment and
Intangible Assets
(i) Property, Plant and Equipment 4 3,36,000 1,92,000
2. Current Assets
(a) Inventories 67,000 60,000
(b) Trade Receivables 51,000 65,000
(c) Cash and Bank Balances 25,000 49,000
(d) Other Current Assets - 4,000
TOTAL 4,79,000 3,70,000
Note to Accounts:
31st March, 31st March,
Particulars
2023 2022
₹ ₹
1. Reserves and Surplus
Surplus, i.e., Balance in Statement of Profit and
25,000 1,20,000
Loss

2. Long-term Borrowings
10% Long-term Loan 80,000 60,000
 3. Short-term Provisions
Provisions for Tax 68,000 70,000

4. Property, plant and equipment :

Machinery 3,84,000 2,15,000
Accumulated Depreciation (48,000) (23,000)
3,36,000 1,92,000
Additional Information:
i. Additional loan was taken on 1st July, 2022.
ii. Tax of ₹ 53,000 was paid during the year.
iii. Machinery of the book value of ₹ 80,000 (Accumulated Depreciation ₹ 20,000) was
sold at a loss of ₹ 18,000.