Students can access the CBSE Sample Papers for Class 12 Accountancy with Solutions and marking scheme Term 2 Set 11 will help students in understanding the difficulty level of the exam.
CBSE Sample Papers for Class 12 Accountancy Standard Term 2 Set 11 with Solutions
Maximum Marks: 40
Time allowed: 2 Hours
General Instructions:
- This question paper comprises two Parts -A and B. There are 12 questions in the question paper. All questions are compulsory.
- Question nos. 1 to 3 and 10 are Short Answer Type I Questions carrying 2 marks each.
- Question nos. 4 to 6 and 11 are Short Answer Type II Questions carrying 3 marks each.
- Question nos. 7 to 9 and 12 are Long Answer Type Questions carrying 5 marks each.
- There is no overall choice. However, an internal choice has been provided in 3 questions of three marks and 1 question of five marks.
Part A
(Accounting for Not-for-Profit Organisations, Partnership Firms, and Companies)
Short Answer (SA) Type I Questions (2 Marks)
Question 1.
Surender, Ramesh, Naresh and Mohan are partners in a firm sharing profits in 2:1:2:1 ratio. On the retirement of Naresh, the goodwill was valued at ₹ 2,16,000. Surender, Ramesh, and Mohan decided to share future profits equally. Pass the necessary journal entry for the treatment of goodwill without opening a goodwill account.
Answer:
Working Note
Calculation of Gaining Ratio Gaining Ratio = New Share – Old Share
Surender = \( \frac{1}{3}-\frac{2}{6}=\frac{2-2}{6}=\frac{0}{6}\) = 0;
Ramesh = \( \frac{1}{3}-\frac{1}{6}=\frac{2-1}{6}=\frac{1}{6}\)
Mohan = \(\frac{1}{3}-\frac{1}{6}=\frac{2-1}{6}=\frac{1}{6}\)
Gaining Ratio of Ramesh and Mohan =1:1
Naresh’s share of goodwill =2,16,000 x \(\frac{2}{6}\) = ₹ 72,100.
Question 2.
Distinguish between sacrificing ratio and gaining ratio.
Answer:
| Basis | Sacrificing Ratio | Gaining Ratio |
| Meaning | It is the ratio in which old partners agree to sacrifice their share of profit in favour of new partner. | It is the ratio in which continuing partners acquire the share of profit from outgoing partner. |
| Calculation | Sacrificing Ratio = Old Share – New Share | Gaining Ratio = New Share – Old Share |
Question 3.
Mahesh, Ramesh, and Suresh are sharing profits in the ratio of 2: 2 :1. Ramesh died on 30th June 2021 due to brain stroke. Sales for the year ended 31st March 2021 amounted to ₹ 12,00,000. Sales of ₹ 4,00,000 amounted between the period from 1st April 2021 to 30th June 2021. The profits for the year ended 31st March 2021 amounted to 11,20,000. Pass the necessary journal entry to record Ramesh’s share of profit till the date of his death.
Answer:
Percentage of profits to sales
For the year ended 31st March, 2021 = \( \frac{1,20,000}{12,00,000} \times 100\)
Profits upto the date of death = 10% of 4,00,000 = ₹ 40,100 Ramesh’s share of profit = 40,100 x \(\frac{2}{5}\) = ₹ 16,300
Short Answer (SA) Type II Questions (3 Marks)
Question 4.
A, B, C, D, and E were partners in a firm sharing profits and losses in the ratio of 5: 4 : 3: 2 :1 respectively. Unfortunately, D and E met with an accident in which both of them died. The goodwill of the firm was valued at ₹ 1,50,000 and A, B and C decided to share the future profits and losses in the ratio of 4: 6: 5 respectively.
Give the journal entries to record the above.
Answer:
Question 5.
Wadhwa Ltd. issued 60,000,15% debentures of ₹ 10 each credited as fully paid to the promoters for their services and issued 15,000,15% debentures of ₹ 10 each credited as fully paid to the underwriters for the underwriting services. Journalise these transactions.
Or
Prabhu Darbaar Pvt. Ltd. issued 20,000, 9% debentures of ₹ 100 each to the public at 10% discount on 1st April 2020. These debentures are redeemable after 6 years at a premium of 10%. Pass the necessary journal entries for issue of debentures and writing-off Toss on issue of debentures’ in same year of issue, if company has a balance of ₹ 1,60,000 in its securities premium reserve account.
Answer:
Working Note
Total Loss on Issue of Debentures Account = Discount on Issue of Debentures + Premium on Redemption of Debentures Account
= 2,00,000 + 2,00,000 = ₹ 4,00,000.
Question 6.
Pass the necessary journal entries for the following transactions on the dissolution of firm of Anju, Manju, and Sanju (who were sharing profits in the ratio of 2: 2:1) after the transfer of all assets (other than cash) and external liabilities to realisation account.
(i) Debtors were of ₹ 62,100. Anju takes over debtors amounted to ₹ 60,000 at ₹ 58,600 and the remaining debtors were sold to a debt collecting agency at 50% of the value.
(ii) Sundry assets were of ₹ 58,500. Manju is to take over some sundry assets at ₹ 36,(XX) (being 10% less than the book value). Sanju is to take over remaining sundry assets at 80% of the book value.
(iii) Sanju assumes the responsibility of discharge of Mrs. Sanju’s loan of ₹ 5,750 together with accrued interest of ₹ 1,150.
Or
Nisha and Saisha were partners. Nisha retired on 1st April 2020. The partnership deed provided for the following
(i) Profits to be divided as Nisha \(\frac{1}{2}\) , Saisha \(\frac{1}{3}\) and \(\frac{1}{6}\)th to be transferred to reserves.
(ii) The accounts are closed on 31st March each year.
(iii) At the time of retirement, he was entitled to the following
(a) Capital to the credit on the date of retirement.
(b) Share of goodwill based on three years’ purchase of the average profits of the preceding 3 years.
Additional Information:
Nisha’s capital ₹ 3,60,000, Saisha’s capital ₹ 2,40,000, reserves ₹ 90,000, cash ₹ 3,30,000 and investment ₹ 2,10,000. Prepare Nisha’s capital account. The profits for the three preceding years were ₹ 2,52,000, ₹ 2,70,000, and ₹ 2,97,000.
Answer:
Working Notes:
1. Calculation of Average Profit
Last 3 years’ total profit =2,52,100 + 2,70,100 + 2,97,000 = ₹ 8,19,000
Average Profit = \(\frac{8,19,000}{3}\) = ₹ 2,73,000
2. Calculation of Nisha’s Share of Goodwill
Firm’s Goodwill = Average Profit x Number of Years’ Purchase =2,73,100 x 3 = ₹ 8,19,000
Nisha’s Share of Goodwill = 8,19,100 x \(\frac{3}{5}\) = ₹ 4,91,400, to be contributed by Saisha.
(∵ Generally used 3:2)
3. Calculation of Nisha’s Share in Reserves
90,000 x \(\frac{3}{5}\) = ₹ 54,000
Long Answer (LA) Type Questions (5 Marks)
Question 7.
From the following receipts and payments account, prepare income and expenditure account for the year ending 31st December 2020 and balance sheet.
Receipts and Payments Account
Additional Information:
| Particulars | 1st January 2020 (₹) | 31st December 2020 (₹) |
| (i) Subscription Received in Advance | 600 | 1,920 |
| (ii) Outstanding Subscription | 1,200 | 2,220 |
| (iii) Stock of Stationery | 720 | 480 |
| (iv) Books | 8,100 | 9,900 |
| (v) Furniture | 9,600 | 4,800 |
| (vi) Outstanding Rent | 600 | 1,200 |
Answer:
Question 8.
Pass the necessary journal entries in the following cases
(i) Zen Ltd. invited applications for issuing 1,000,12% debentures of ₹ 100 each at a discount of 5%. These debentures were redeemable after three years at par. Applications for 1,200 debentures were received. Pro-rata allotment was made to all the applicants.
(ii) Designs Unlimited is in garment business. As its corporate social responsibility, it decided to install 100 toilets in the schools. The project was named Swastha Bharat. It purchased materials worth ₹ 2,25,000 from Indian Traders Ltd. Payment made as ₹ 5,000 by a cross cheque and remaining by issuing 10% debentures of ₹ 100 each at 10% premium.
Or
Complete the following journal entries
Answer:
Working Note Number of Equity Shares Issued = \(\frac{\text { Amount Due }}{\text { Issue Price }}=\frac{2,20,000}{110} \)
= 2,000 Debentures
Question 9.
Following receipts and payments account was prepared from the cash book of Youth Club for the year ending 31st December 2020.
Receipts and Payments Account
Prepare income and expenditure account for the year ended 31st December 2020 and a
balance sheet on that date after the following adjustments
(i) It was decided to treat \(\frac{1}{3}\) rd of the amount received on account of donation as income.
(ii) Insurance premium was paid in advance for 3 months.
(iii) Interest on investment ₹ 2,200 accrued was not received.
(iv) Rent ₹ 1,200, salary ₹ 1,800 and advertisement expenses ₹ 2,000 outstanding as on 31st December, 2020.
Answer:
Part B
(Analysis of Financial Statements)
Short Answer (SA) Type I Question (2 Marks)
Question 10.
State whether the following would result into inflow, outflow or no flow of cash.
(i) Declaration of a final dividend.
(ii) Payment of cash to creditors.
Answer:
(i) No flow of cash as final dividend is declared only, not yet paid.
(ii) Outflow of cash as payment to creditors leads to a decrease in cash.
Short Answer (SA) Type II Question (3 Marks)
Question 11.
From the following information given, prepare a common size statement of profit and loss
| Particulars | 2019 (₹) | 2020 (₹) |
| Revenue from Operations | 10,00,000 | 12,50,000 |
| Depreciation and Amortisation | 20,000 | 30,000 |
| Changes in Inventories of Stock-in-trade | 30,000 | (20,000) |
| Other Expenses | 30,000 | 50,000 |
| Purchases of Stock-in-trade | 7,20,000 | 8,70,000 |
| Tax | 50,000 | 50,000 |
Or
From the following balance sheets of Narayan Ltd, prepare a comparative balance sheet.
Balance Sheet
as at 31st March 2020 and 2019
Answer:
Long Answer (LA) Type Question (5 Marks)
Question 12.
From the following, calculate the net cash flow from operating activities
Additional Information
During the year, a piece of machinery costing ₹ 15,000 on which depreciation charged was ₹ 5,000 was sold for ₹ 5,000. Depreciation provided on fixed assets ₹ 15,000.
Dividend on equity shares @ 8% was paid on opening balance. An income tax ₹ 11,250 was provided. Additional debentures were issued at par on 1st October 2019 and bank loan was repaid on the same date. At the end of the year, preference shares were redeemed at a premium of 5%.
Answer:
Working Notes
1. Calculation of Net Profit before Tax
| Particulars | Amt (₹) |
| Closing Balance of Profit and Loss A/c | 37,500 |
| (+) Opening Balance of Profit and Loss A/c (Debit) | 35,000 |
| (+)Transfer to Reserve | 7,500 |
| (+) Dividend on Equity Shares | 9,000 |
| (+) Dividend on Preference Shares | 3,750 |
| (+) Provision for Tax | 11,250 |
| Net Profit before Tax | 1,04,000 |
