2019
H.S. 2nd Year
ACCOUNTANCY
Full Marks: 100
Pass Marks: 30
Time: Three hours
1. (a) Fill in the blanks with
appropriate word/words: 1x4=4
(i) The liability of every shareholder
of a company is ____ .
(ii) Outstanding Subscription is shown
on the ______ side of the Balance Sheet.
(iii) If a partner takes over a
liability of the firm, that partner’s capital account is ______ .
(iv) Current ratio is the relationship
between ______ assets and current liabilities.
(b) Choose the correct alternative: 1x2=2
(i) Annual Report is issued by a company
to its:
(1) Directors
(2) Auditors
(3) Shareholders
(4) Management.
(ii) Financial statements of a company
include: 1
(1) Only Cash Flow Statement
(2) Only Profit and Loss Account
(3) Only Balance Sheet
(4) All of the above.
(c) State whether the following
statements are “True” or “False”.
(i) The deceased partner is entitled to
a share of profit for the period upto his death. 1
(ii) Profit or Loss on revaluation of
assets and liabilities is distributed among old partners in sacrificing ratio. 1
2. Give two distinctions between a
not-for-profit organization and a trading organization. 2
3. A and B are two partners sharing
profits and losses in the ratio of 3:2. C is a admitted as a new partner for ³/₁₀ th share which he
acquires ²/₁₀ th from A and ⅒th from B. Calculate
new profit sharing ratio. 2
Or
Give two conditions under which a
partnership firm is dissolved.
4. Mention any two features of a
debenture. 2
5. What is the meaning of Cash Flow from
Investing Activities? 2
6. What is meant by “super profit” in
relation to valuation of goodwill? 2
7. Mention three objectives of preparing
financial statements. 3
8. Calculate liquid ratio from the
following information: 3
Stock = ₹50,000/-
Debtors = ₹80,000/-
Bills Receivable = ₹10,000/-
Advance Tax = ₹4,000/-
Cash = ₹30,000/-
Creditors = ₹60,000/-
Bills Payable = ₹40,000/-
Machinery = ₹50,000/-
Bank Overdraft = ₹4,000/-
Debentures = ₹70,000/-
Or
What is Comparative Statement? Mention
two objectives of preparing Comparative Statement. 1+2=3
9. What are contingent liabilities?
Mention any two items. 1+2=3
Or
Explain the average profit method of
valuation of goodwill. 3
10. Calculate amount of medicines
consumed to be shown in the Income and Expenditure A/c for the year ended
31-12-2018: 3
01-01-2018 31-12-2018
(₹)
(₹)
Stock of Medicines 3,000 500
Creditors for Medicines 2,000 1,300
Amount paid for medicines during 2018 was
₹10,800/-
Or
Mention any three distinctions between
Receipts and Payments A/c and Income and Expenditure A/c. 3
11. Mention any three limitations of
Financial Statements. 3
Or
Write three objectives of preparing
Realisation Account. 3
12. North East Club had a Cash balance of
₹20,000/- and Bank balance of ₹35,000/- respectively on 01-04-2017. From the
following details prepare a Receipts and Payments Account for the year ended
31-03-2018: 5
Subscription Received: (₹)
(₹)
2016-17 30,000
2017-18
2,25,000
2018-19 10,000 2,65,000
Donation for Building 60,000
Entrance Fee 23,000
Life Membership Fee 20,000
Printing and Stationery 38,750
Lighting Expenses 26,250
Rent and Taxes Paid 17,000
Telephone Charges 2,600
Postage 2,000
Salaries 88,000
Insurance 15,000
Interest Received 18,000
Locker Rent Received 42,000
Purchase of Furniture 2,00,000
Cash in hand as on 31-03-2018 23,400
Or
Explain in brief the treatment of the
following items in preparation of Income and Expenditure Account: 5
(i) Subscription
(ii) Life Membership Fee
(iii) General Donation
(iv) Specific Donation
(v) Lagacy
13. What is Cash Flow Statement? Explain
its three limitations. 2+3=5
Or
From the following information calculate
the cash from operating activities:
14. A business has a current ratio of 3:1
and a quick ratio of 1.2:1. If the Working Capital is ₹1,80,000, calculate
current assets and stock. 5
Or
What are profitability ratios? What is
the significance of gross profit and operating profit ratio? 3+2=5
15. A, B and C were partners sharing
profits in the ratio of 3:2:1 respectively. Balance Sheet of the firm as at 31st
March, 2017 stood as follows: 5
“B” retired on the above date on the
following terms:
(i) Building to be appreciated by ₹8,800.
(ii) Provision for doubtful debts be made
@5% on debtors.
(iii) Goodwill of the firm be valued at
₹9,000.
Pass necessary Journal Entries.
Or
What is share forfeiture? State the
procedure of forfeiture of shares. 2+3=5
16. What is Partnership Deed? Mention its
four principal clauses. 1+4=5
Or
Following is the Balance Sheet of P, Q
and R as on March 31, 2018. 5
Q died on June 30, 2018. Under the
agreement the executors of the deceased partner were entitled to:
(a) Amount standing to the credit of
Partner’s Capital A/c.
(b) Interest on Capital @5% p.a.
(c) Share of goodwill on the basis of
twice the average of the past three years profit.
(d) Share of profit from the closing of
the last financial year to the date of death on the basis of last year’s profit
(2017-18).
(e) Profits for the last three years
were:
Year Profit (₹)
2015-16
12,000/-
2016-17 16,000/-
2017-18 14,000/-
Prepare Q’s capital account on the date
of his death.
17. Distinguish between Realisation
Account and Revaluation Account. 5
Or
A and B are partners sharing profits
equally. Balance Sheet on September 2018 was as follows: 5
The firm is dissolved on the above date. Assets are realised at ₹49,600. Creditors allowed a discount of 2% and Dissolution Expenses came to ₹544.
Give Journal Entries to close the books
of the firm.
18. Discuss the process for allotment of
shares of a company in case of oversubscription. 5
Or
Prepare a Comparative Income Statement from
the following particulars: 5
19. Following is the Trial Balance of
Rana and Raju as on 31st March, 2018: 8
Prepare
the Profit & Loss Account and Profit & Loss Appropriation Account for
the year ended 31st March, 2018 and a Balance Sheet of the Firm as
on that date after taking into consideration the following additional
information:
(i) Depreciate Machinery @10% p.a. and
Furniture @20% p.a.
(ii) Partners will get interest on
Capital @5% p.a.
(iii) Raju is entitled to a salary of
₹1,800 p.a.
(iv) The Profit sharing ratio between
Rana and Raju was 3:2.
20. M. S. Ltd. issued 1,000 equity shares
of ₹100 each payable as follows: 8
On Application - ₹25 per share
On Allotment - ₹25 per share
On First Call - ₹20 per share
On Final Call - ₹30 per share
All the shares were duly subscribed for,
called-up and paid-up, except Mr. A holding 400 shares did not pay the final
call money.
Show the entries in the Cash Book and
Journal of the company for the above transactions.
Or
Write short notes on: 3+3+2=8
(a) Redemption of Debentures
(b) Loss on Issue of Debentures
(c) Minimum Subscription.
21. S. K. Ltd. issued 1,000, 12%
Debentures of ₹100 each. Give journal entries for Redemption of the debentures
in the books of the company under the following conditions: 2+3+3=8
(i) Issued at Par and Redeemable at par
after 5 years.
(ii) Issued at Par and Redeemable at a
premium of 5% after 5 years.
(iii) Issued at a Premium of 5%
Redeemable at Par after 5 years.
Or
Write short notes on: 2+2+2+2=8
(i) Authorised Share Capital
(ii) Call-in-Arrear
(iii) Pro-Rata Allotment
(iv) Preference Share.
22. Vimal and Nirmal are partners in a
firm sharing profits and losses in the ratio 3:2. Their Balance Sheet as on 31st
December, 2018 was as under: 8
On that date Kailash was admitted as a
new partner. He paid ₹40,000 as his capital and ₹20,000 for his share of goodwill.
The new profit sharing ratio was agreed to be 2:1:1.
Pass Journal entries in the books of the
firm and show the Balance Sheet of the new firm.
Or
What is goodwill? Mention four factors
affecting the goodwill of a firm. Mention three conditions when valuation of
goodwill becomes necessary. 1+4+3=8
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