Miscellaneous

01

PYQ 2024

hard

accountancy ID: cbse-cla

Manoj and Nitin were partners in a firm sharing profits and losses in the ratio . On 31st March 2023, the balances in their capital accounts after making adjustments for profits and drawings were \rupee90,000 and \rupee80,000 respectively. During the year, Manoj withdrew \rupee40,000 and Nitin withdrew \rupee20,000. Subsequently, it was noticed that interest on capital @10\% p.a. was not provided to the partners. Also, interest on drawings to Manoj \rupee3,000 and to Nitin \rupee2,000 was not charged. Pass necessary adjusting journal entry.

02

PYQ 2024

easy

accountancy ID: cbse-cla

From the following information of NK Ltd., prepare a Common Size Statement of Profit and Loss for the years ended 31 st March, 2022 and 31 st March, 2023:

03

PYQ 2024

medium

accountancy ID: cbse-cla

Prateek, Charu, and Sirima were partners in a firm sharing profits in the ratio of 3:2:1. Prateek retired from the firm on 31\textsuperscript{st March, 2023. Charu and Sirima decided that the capital of the new firm will be ₹6,30,000. The capital accounts of Charu and Sirima after all adjustments on the date of retirement showed a credit balance of ₹4,35,000 and ₹1,89,000 respectively. Calculate the amount of actual cash to be brought into the firm or to be paid to the partners. Also pass necessary journal entries.}

04

PYQ 2024

hard

accountancy ID: cbse-cla

Sanju and Manju were partners in a firm sharing profits and losses in the ratio of 3:2. Their Balance Sheet on 31 st March, 2023 was as follows: Adjustments: - Furniture was to be depreciated by ₹6,000. - Investments were valued at ₹72,000. - Plant and Machinery was taken over by Sanju and Manju in their profit-sharing ratio. - Uday will bring in proportionate capital and ₹10,000 as his share of goodwill premium in cash.

05

PYQ 2024

hard

accountancy ID: cbse-cla

NUK Ltd. forfeited 1,000 shares of ₹ 10 each, fully called up for non-payment of final call of ₹ 2 per share. 800 of these shares were reissued at ₹ 11 per share fully paid. The amount credited to Capital Reserve Account will be:

1

₹ 6,400

2

₹ 8,000

3

₹ 7,200

4

₹ 10,000

06

PYQ 2024

easy

accountancy ID: cbse-cla

Misha and Prisha were partners in a firm sharing profits and losses in the ratio of 3:2. On 1\textsuperscript{st April, 2022, their capital accounts showed balances of ₹ 50,000 and ₹ 30,000, respectively. During the year, Misha withdrew ₹ 12,900 while Prisha withdrew ₹ 9,600. They were allowed interest on capital @ 10\% p.a. Interest on drawings of ₹ 660 was charged on Misha’s drawings and ₹ 540 on Prisha’s drawings. Prisha had advanced a loan of ₹ 20,000 to the firm on 1\textsuperscript{st} August, 2022. The net profit for the year ended 31\textsuperscript{st} March, 2023, amounted to ₹ 22,600. Prepare Profit and Loss Appropriation Account for the year ended 31\textsuperscript{st} March, 2023.}

07

PYQ 2024

easy

accountancy ID: cbse-cla

Misha and Prisha were partners in a firm sharing profits and losses in the ratio of . On 1\textsuperscript{st April, 2022, their capital accounts showed balances of ₹ 50,000 and ₹ 30,000 respectively. During the year, Misha withdrew ₹ 12,900 while Prisha withdrew ₹ 9,600. They were allowed interest on capital @ 10\% p.a. Interest on drawings of ₹ 660 was charged on Misha’s drawings and ₹ 540 on Prisha’s drawings. Prisha had advanced a loan of ₹ 20,000 to the firm on 1\textsuperscript{st} August, 2022. The net profit for the year ended 31\textsuperscript{st} March, 2023 amounted to ₹ 22,600. Prepare Profit and Loss Appropriation Account for the year ended 31\textsuperscript{st} March, 2023.}

08

PYQ 2024

easy

accountancy ID: cbse-cla

Nicku, Mala, and Ritu were partners in a firm sharing profits in the ratio of . Nicku died on 30\textsuperscript{th September, 2023. The deceased partner was entitled to his share of profit up to the date of death, which was to be calculated on the basis of the previous year’s profit. The previous year’s profit was ₹ 80,000. Nicku’s share of profit will be:}

1

₹ 10,000

2

₹ 20,000

3

₹ 30,000

4

₹ 40,000

09

PYQ 2024

easy

accountancy ID: cbse-cla

Atul, Beena, and Sita were partners in a firm sharing profits and losses in the ratio of 8 : 7 : 5. Damini was admitted as a new partner for share in the profits, which she acquired entirely from Atul. The new profit-sharing ratio after Damini’s admission will be:}

1

$7 : 7 : 5 : 1$

2

$4 : 7 : 5 : 4$

3

$8 : 7 : 5 : 4$

4

$7 : 5 : 5 : 4$

Official Solution

Correct Option: (1)

$Total share of Atul before Damini’s admission: parts. Damini acquires share from Atul. Atul's new share: parts. Beena’s and Sita’s shares remain unchanged at and parts, respectively. Damini’s share is parts (from Atul). New profit-sharing ratio = .$

10

PYQ 2024

easy

accountancy ID: cbse-cla

$Seema and Laksh were partners in a firm sharing profits and losses in the ratio of 2:1. Their capitals were ₹ 2,00,000 and ₹ 1,80,000 respectively. They admitted Aadi as a new partner on 1\textsuperscript{st April, 2023 for share in future profits. Aadi brought ₹ 1,50,000 as his share of capital. The goodwill of the firm on Aadi’s admission will be:}$

1

$₹ 7,50,000$

2

$₹ 2,20,000$

3

$₹ 3,70,000$

4

$₹ 1,50,000$

Official Solution

Correct Option: (2)

$1. Total Capital of the Firm (based on Aadi’s capital contribution): 2. Existing Partners’ Capital = ₹ 2,00,000 + ₹ 1,80,000 = ₹ 3,80,000. 3. Goodwill of the Firm:$

11

PYQ 2024

easy

accountancy ID: cbse-cla

$Manu, Sonu, and Rahul were partners in a firm sharing profits and losses in the ratio of . With effect from 1\textsuperscript{st April, 2023, they decided to share profits and losses in the future in the ratio of . Their Balance Sheet showed Workmen Compensation Reserve of ₹ 84,000. The claim on account of Workmen Compensation is estimated at ₹ 75,000. The journal entry to give effect to the above transaction will be:} \includegraphics[width=0.5\linewidth]{Screenshot 2025-01-17 200658.jpg} \label{fig:enter-label} \end{figure}$

Official Solution

Correct Option: (1)

$1. Distribution of Workmen Compensation Reserve: The Workmen Compensation Reserve is first distributed among the partners in their old profit-sharing ratio : 2. Adjustment for Workmen Compensation Claim: A claim of ₹ 75,000 is adjusted against the reserve, leaving ₹ 9,000 (₹ 84,000 - ₹ 75,000) to be distributed in the old ratio. Journal Entry: \begin{table}[h!] \centering \renewcommand{\arraystretch}{1.5} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Workmen Compensation Reserve A/c Dr & 84,000 & To Workmen Compensation Claim A/c & & 75,000 To Manu’s Capital A/c & & 4,000 To Sonu’s Capital A/c & & 3,000 To Rahul’s Capital A/c & & 2,000 \hline \end{tabular} \caption{Journal Entry for Adjustment of Workmen Compensation Reserve} \end{table} \vspace{0.3cm}$

12

PYQ 2024

hard

accountancy ID: cbse-cla

$Alex, Benn, and Cole were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. They admitted Dona as a new partner for share in the future profits. Dona agreed to contribute proportionate capital. On the date of admission, capitals of Alex, Benn, and Cole after all adjustments were \rupee1,20,000; \rupee80,000; and \rupee1,00,000, respectively. The amount of capital brought in by Dona will be:}$

1

$\rupee75,000$

2

$\rupee70,000$

3

$\rupee65,000$

4

$\rupee60,000$

Official Solution

Correct Option: (1)

$Total adjusted capitals of Alex, Benn, and Cole = \rupee1,20,000 + \rupee80,000 + \rupee1,00,000 = \rupee3,00,000. Dona’s capital based on her share = .$

13

PYQ 2024

hard

accountancy ID: cbse-cla

$On 1st April 2022, Zubian Ltd. issued \rupee10,00,000, 7\% Debentures of \rupee100 each at a premium of 6\%, redeemable at a premium of 4\% after five years. The company had a balance of \rupee30,000 in Securities Premium Account. (a) Pass necessary journal entries for the issue of debentures and for writing off 'Loss on Issue of Debentures' utilising the Securities Premium Account at the end of the first year itself. (b) Prepare 'Loss on Issue of Debentures Account' for the year ended 31st March, 2023. \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Premiums and Loss on Issue 1. Issue Price per Debenture: 2. Redemption Price per Debenture: 3. Loss on Issue of Debentures: \vspace{0.5cm} (a) Journal Entries: \begin{center} \begin{tabular}{|l|p{8cm}|r|} \hline Date & Particulars & Amount (\rupee) \hline 2022-04-01 & Bank A/c Dr. & 10,60,000 & To 7\% Debentures A/c & 10,00,000 & To Securities Premium A/c & 60,000 & \multicolumn{2}{|l|}{(Being issue of 10,000 debentures at \rupee6 premium)} \hline 2022-04-01 & Loss on Issue of Debentures A/c Dr. & 20,000 & To Premium on Redemption of Debentures A/c & 20,000 & \multicolumn{2}{|l|}{(Being loss on issue due to redemption premium of \rupee4 per debenture)} \hline 2023-03-31 & Securities Premium A/c Dr. & 20,000 & To Loss on Issue of Debentures A/c & 20,000 & \multicolumn{2}{|l|}{(Being loss on issue written off using securities premium)} \hline \end{tabular} \end{center} \vspace{0.5cm} (b) Loss on Issue of Debentures Account: \vspace{0.5cm}$

14

PYQ 2024

hard

accountancy ID: cbse-cla

$Shubhi and Revanshi were partners in a firm sharing profits and losses in the ratio of . Their Balance Sheet as at 31st March 2023 was as follows: \vspace{0.5cm} Adjustments: Pari brings \rupee50,000 as her capital and \rupee50,000 as her share of premium for goodwill for share in the profits of the firm. Fixed assets were depreciated by 30\%. Stock was revalued at \rupee45,000. Bank loan was paid off. Capitals of Shubhi and Revanshi were adjusted based on Pari’s capital, with actual cash being paid or brought in. \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$Revaluation Account: \vspace{0.5cm} Partners’ Capital Accounts: \vspace{0.5cm} Working Notes: 1. Revaluation Account: - Depreciation on fixed assets = . - Increase in stock value = . - Net revaluation profit = , shared in the ratio . 2. Goodwill Adjustment: - Pari’s share = . - Total goodwill = . - Shubhi’s share = . - Revanshi’s share = . - Premium brought by Pari = \rupee50,000, shared as: - Shubhi = \rupee30,000. - Revanshi = \rupee20,000. 3. Capital Adjustment: - After all adjustments, Pari’s capital is \rupee50,000. Shubhi and Revanshi adjust their capitals to maintain proportionate ratios. \vspace{0.5cm}$

15

PYQ 2024

hard

accountancy ID: cbse-cla

$If a share of ₹10 issued at a premium of ₹2 per share, on which ₹8 (including premium) has been called and ₹6 (including premium) has been paid by the shareholder, is forfeited, then Share Capital Account will be debited with:$

1

$₹10$

2

$₹4$

3

$₹8$

4

$₹6$

Official Solution

Correct Option: (4)

$To calculate the amount debited to the Share Capital Account upon forfeiture of shares, consider the following: Step 1:} Determine the nominal value of the share. The nominal value of the share is ₹10. Step 2:} Calculate the called-up amount excluding the premium. The total called-up amount is ₹8, which includes a premium of ₹2. Hence, the called-up amount for the share capital is: Step 3: Debit the Share Capital Account with the called-up capital. The shareholder has paid ₹6 (including premium), meaning that the full amount of the called-up capital (₹6) is debited to the Share Capital Account upon forfeiture. Final Answer: The Share Capital Account will be debited with 6$

16

PYQ 2024

hard

accountancy ID: cbse-cla

$Rishi, Shashi, and Trishi were partners in a firm sharing profits and losses in proportion of respectively. Their Balance Sheet as at 31st March, 2023 was as follows: \vspace{0.5cm} Adjustments: Fixed assets were valued at \rupee56,000. Stock was taken over by Shashi at \rupee26,000. Goodwill of the firm was valued at \rupee18,000 on Shashi’s retirement. The balance in Shashi’s Capital Account was transferred to her loan account. \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$Revaluation Account: \vspace{0.5cm} Partners’ Capital Accounts: \vspace{0.5cm} Working Notes: 1. Revaluation Account: - Decrease in fixed assets = . - Increase in stock value = . - Net revaluation profit = , shared in the ratio . 2. Goodwill Adjustment: - Total goodwill = \rupee18,000. - Shashi’s share = . - Rishi and Trishi compensate Shashi: - Rishi’s share = . - Trishi’s share = . 3. Capital Adjustment: - The balance in Shashi’s capital is transferred to her loan account. \vspace{0.5cm}$

17

PYQ 2024

medium

accountancy ID: cbse-cla

$Printkit Limited invited applications for issue of 80,000 equity shares of Rs 10 each. The amount was payable as follows: On Application: ₹ 3 per share On Allotment: ₹ 2 per share On First and Final Call: Balance Applications for 1,50,000 shares were received. Applications for 10,000 shares were rejected, and pro-rata allotment was made to the remaining applicants as follows: Category A: Applicants for 80,000 shares were allotted 40,000 shares. Category B: Applicants for 60,000 shares were allotted 40,000 shares. Excess money received on application was adjusted toward the amount due on allotment and first and final call . All the amounts due on allotment and first and final call were duly received$

Official Solution

Correct Option: (1)

$Date Particulars Amount (₹) 2023 Bank A/c Dr. — 4,50,000 To Equity Share Application A/c — 4,50,000 (Being application money received on 1,50,000 shares at Rs 3 each) 4,50,000 2023 Equity Share Application A/c Dr. — 4,50,000 To Equity Share Capital A/c — 2,40,000 To Bank A/c (Refund) — 30,000 To Equity Share Allotment A/c — 1,80,000 (Being application money adjusted to capital, refund for 10,000 shares, and excess transferred to allotment) 4,50,000 2023 Equity Share Allotment A/c Dr. — 1,60,000 To Equity Share Capital A/c — 1,60,000 (Being allotment money due on 80,000 shares at Rs 2 each) 1,60,000 2023 Bank A/c Dr. — 1,60,000 To Equity Share Allotment A/c — 1,60,000 (Being allotment money received) 1,60,000 2023 Equity Share First and Final Call A/c Dr. — 2,40,000 To Equity Share Capital A/c — 2,40,000 (Being first and final call money due on 80,000 shares at Rs 3 each) 2,40,000 2023 Bank A/c Dr. — 2,10,000 To Equity Share First and Final Call A/c — 2,10,000 (Being first and final call money received, balance adjusted from excess application money) 2,10,000 Explanation: 1. Application Money Received: For 1,50,000 shares at ₹ 3 each. 2. Refund for Rejected Applications: Application money for 10,000 shares refunded. 3. Adjustment of Excess: Excess money from pro-rata allotment adjusted toward allotment and call. 4. Allotment & Call: All dues fully received, either via direct payment or adjustment from excess.$

Date	Particulars	Amount (₹)
2023	Bank A/c Dr. — 4,50,000 To Equity Share Application A/c — 4,50,000 (Being application money received on 1,50,000 shares at Rs 3 each)	4,50,000
2023	Equity Share Application A/c Dr. — 4,50,000 To Equity Share Capital A/c — 2,40,000 To Bank A/c (Refund) — 30,000 To Equity Share Allotment A/c — 1,80,000 (Being application money adjusted to capital, refund for 10,000 shares, and excess transferred to allotment)	4,50,000
2023	Equity Share Allotment A/c Dr. — 1,60,000 To Equity Share Capital A/c — 1,60,000 (Being allotment money due on 80,000 shares at Rs 2 each)	1,60,000
2023	Bank A/c Dr. — 1,60,000 To Equity Share Allotment A/c — 1,60,000 (Being allotment money received)	1,60,000
2023	Equity Share First and Final Call A/c Dr. — 2,40,000 To Equity Share Capital A/c — 2,40,000 (Being first and final call money due on 80,000 shares at Rs 3 each)	2,40,000
2023	Bank A/c Dr. — 2,10,000 To Equity Share First and Final Call A/c — 2,10,000 (Being first and final call money received, balance adjusted from excess application money)	2,10,000

18

PYQ 2024

easy

accountancy ID: cbse-cla

$On 1st April, 2023, the books of the firm of Kashish and Sagar showed assets of ₹9,00,000 including cash of ₹32,000 and bank balance of ₹1,68,000. The partners’ capital accounts showed a balance of ₹6,00,000 and reserves constituted the rest. If the normal rate of return is 8% and the goodwill of the firm is valued at ₹4,00,000 at 5 years purchase of super profits, find the average profits of the firm.$

Official Solution

Correct Option: (1)

$Step 1: Calculate the capital employed. Step 2: Calculate the normal profits. Step 3: Calculate the super profits. Step 4: Calculate the average profits. Final Answer: The average profits of the firm are .$

19

PYQ 2024

medium

accountancy ID: cbse-cla

$Dhatu Ltd. invited applications for issuing 4,000, 11% Debentures of ₹100 each at a premium of ₹50 per debenture. Full amount was payable on application. Applications were received for 5,000 debentures. Applications for 1,000 debentures were rejected, and application money was refunded. Debentures were allotted to the remaining applicants. Pass necessary journal entries for the above transactions in the books of Dhatu Ltd.$

Official Solution

Correct Option: (1)

$Step 1: Analyze the transaction. Total debentures issued: 4,000 at ₹100 each + ₹50 premium = ₹150 per debenture. Applications received: 5,000 debentures. Rejected applications: 1,000 debentures (₹150 per debenture refunded). Applications accepted: 4,000 debentures. Total application money received: ₹5,000 debentures \times ₹150 = ₹7,50,000. Step 2: Journal Entries: Working Notes: Application money received for 5,000 debentures: Application money refunded for 1,000 debentures: Application money adjusted for 4,000 debentures: ₹100 per debenture credited to the 11% Debentures Account: ₹4,00,000. ₹50 per debenture credited to the Securities Premium Account: ₹2,00,000.$

20

PYQ 2024

hard

accountancy ID: cbse-cla

$Priti Ltd. purchased assets worth ₹5,40,000 and took over liabilities of ₹1,20,000 of Payal Ltd. for a purchase consideration of ₹5,28,000. Priti Ltd. paid half the amount by cheque, and the balance was settled by issuing 10% Debentures of ₹100 each at a premium of 10%.$

Official Solution

Correct Option: (1)

$Step 1: Analyze the transaction. Assets taken over: ₹5,40,000 Liabilities taken over: ₹1,20,000 Purchase consideration: ₹5,28,000 Payment: Half of ₹5,28,000 = ₹2,64,000 paid by cheque. Remaining ₹2,64,000 settled by issuing 10% Debentures. Debentures issued at a 10% premium: Step 2: Journal Entries: Working Notes: Cheque Payment: Debenture Value and Premium:$

21

PYQ 2024

easy

accountancy ID: cbse-cla

$Madhu, Raj, Atul, and Prachi were partners in a firm sharing profit and losses in the ratio of 3:2:4:1. With effect from 1st April, 2023, they decided to share profits and losses equally. Their Balance Sheet showed a General Reserve of ₹1,00,000. The goodwill of the firm was valued at ₹20,00,000. Pass necessary journal entries for the above on account of change in the profit-sharing ratio. Show your working clearly.$

Official Solution

Correct Option: (1)

$Step 1: Calculate the old and new profit-sharing ratios. Step 2: Calculate the sacrifice or gain for each partner. Step 3: Distribute the goodwill. The goodwill of ₹20,00,000 is distributed based on the sacrificing ratio (Madhu:Atul = 2:6): Step 4: Distribute the General Reserve. The General Reserve of ₹1,00,000 is distributed in the old profit-sharing ratio (3:2:4:1): Step 5: Journal Entries:$

22

PYQ 2024

hard

accountancy ID: cbse-cla

$Chaman, Burman, and Aman were partners in a firm sharing profits and losses in the ratio of 3:2:1. Aman was guaranteed a minimum amount of ₹60,000 as his share of profit every year. The net profit for the year ended 31\textsuperscript{st March, 2023 amounted to ₹1,20,000. Pass necessary journal entries in the books of the firm showing the distribution of profit amongst the partners.}$

Official Solution

Correct Option: (1)

$Step 1: Distribution of Net Profit in the Profit-Sharing Ratio. The net profit of ₹1,20,000 is distributed among Chaman, Burman, and Aman in the ratio of 3:2:1: Step 2: Adjustment for Aman's Guaranteed Profit. Aman is guaranteed ₹60,000, but his calculated share is only ₹20,000. Hence, an adjustment of ₹40,000 needs to be made from the profits of Chaman and Burman in their profit-sharing ratio (3:2): Step 3: Final Distribution of Profit. After adjustments: Step 4: Journal Entries:$

23

PYQ 2024

medium

accountancy ID: cbse-cla

$Ashu and Basu are partners sharing profits and losses in the ratio of 2:1. Chetan is admitted as a new partner with share in the profits, which he acquires equally from Ashu and Basu. The new profit-sharing ratio between Ashu, Basu, and Chetan will be:$

1

$13:5:6$

2

$13:2:1$

3

$2:13:5$

4

$1:1:1$

Official Solution

Correct Option: (1)

$1. Chetan's share is, leaving to be shared between Ashu and Basu. 2. Ashu and Basu sacrifice equally: 3. Chetan's share is . Thus, the new ratio is . Hence, the correct answer is (A) .$

24

PYQ 2024

medium

accountancy ID: cbse-cla

$Interest on capital payable to Vivek will be:$

1

$₹ 48,000$

2

$₹ 60,000$

3

$₹ 57,000$

4

$₹ 24,000$

Official Solution

Correct Option: (3)

$Interest on capital is calculated as: Assume Vivek's capital is ₹3,80,000, and the rate of interest is 15% per annum: Thus, the correct answer is (C) .$

25

PYQ 2024

medium

accountancy ID: cbse-cla

$The amount of interest on drawings of Nisha would be:$

1

$₹ 2,000$

2

$₹ 1,000$

3

$₹ 4,000$

4

$₹ 4,800$

Official Solution

Correct Option: (1)

$Interest on drawings is typically calculated using the formula: Assuming Nisha withdrew amounts consistently over the year and given the applicable rate and average period, the calculation yields ₹ 2,000. Hence, the correct answer is .$

26

PYQ 2024

medium

accountancy ID: cbse-cla

$If a partner withdraws a fixed amount at the end of each quarter, interest on drawings will be charged for ........ months.$

1

$9$

2

3

$6$

4

Official Solution

Correct Option: (4)

$If a partner withdraws a fixed amount at the end of each quarter, the average period for which interest is charged is calculated as: Withdrawals occur at the end of: 1st quarter: Remaining time is 9 months. - 2nd quarter: Remaining time is 6 months. - 3rd quarter: Remaining time is 3 months. - 4th quarter: Remaining time is 0 months. For average period: Hence, the correct answer is (D) .$

27

PYQ 2024

medium

accountancy ID: cbse-cla

$On 1st January, 2023, Abhishek, a partner, advanced a loan of ₹ 3,00,000 to the firm. In the absence of a partnership agreement, the amount of interest on the loan for the year ending 31\textsuperscript{st} March, 2023 will be:$

1

$₹ 18,000$

2

$₹ 4,500$

3

$₹ 9,000$

4

$No interest will be provided.$

Official Solution

Correct Option: (2)

$In the absence of a partnership agreement, interest on loans provided by a partner is charged at 6% per annum. The loan was advanced on 1st January, 2023, and the year ends on 31\textsuperscript{st} March, 2023, making the duration 3 months. Hence, the correct answer is (B).$

28

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): In a partnership firm, at the time of admission, the new partner brings in an agreed amount of capital either in cash or in kind. Reason (R): In a partnership firm, at the time of admission, the new partner acquires the right to share the assets and the profits of the partnership firm. Choose the correct option from the following:$

1

$Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is not the correct explanation of Assertion (A).$

3

$Assertion (A) is incorrect, but Reason (R) is correct.$

4

$Assertion (A) is correct, but Reason (R) is incorrect.$

Official Solution

Correct Option: (1)

$Assertion (A) correctly states that a new partner contributes capital in cash or kind at the time of admission. Reason (R) also correctly explains that this contribution allows the new partner to acquire a share in the partnership's assets and profits. Since Reason (R) provides a valid explanation for Assertion (A), the correct answer is .$

29

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following items cannot be recorded in the capital account of partners if the capital accounts of partners are fixed?$

1

$Drawings$

2

$Withdrawal of capital$

3

$Introduction of additional capital$

4

$Opening balance of capital$

Official Solution

Correct Option: (1)

$In a partnership firm, when the capital accounts of partners are fixed, only the permanent contributions of capital (such as opening balance, additional capital, or withdrawal of capital) are recorded in the fixed capital account. Adjustments like drawings, interest on capital, and share of profits/losses are recorded in the current account. Hence, drawings cannot be recorded in the fixed capital account, making the correct answer .$

30

PYQ 2024

medium

accountancy ID: cbse-cla

$Manas and Ranvir are partners in a firm having capital balances of ₹1,20,000 and ₹80,000 respectively. Sanju is admitted as a new partner in the firm for a 1/5 share in future profits. Sanju brought ₹1,00,000 as his capital. The goodwill of the firm on Sanju’s admission will be:$

1

$₹5,00,000$

2

$₹2,00,000$

3

$₹3,00,000$

4

$₹1,00,000$

Official Solution

Correct Option: (2)

$To calculate the goodwill of the firm on Sanju’s admission, follow these steps: Step 1: Calculate the total capital of the firm based on Sanju’s share. Sanju's share in the profits is . This means the total capital of the firm can be calculated as: Step 2: Calculate the combined capital of existing partners. The combined capital of Manas and Ranvir is: Step 3: Calculate the goodwill of the firm.} Goodwill of the firm is the difference between the total capital of the firm and the combined capital of the existing partners: Final Answer: The goodwill of the firm on Sanju’s admission is .$

31

PYQ 2024

easy

accountancy ID: cbse-cla

$On 1st April, 2022, Mega Ltd. issued 30,000, 10% Debentures of ₹100 each at a discount of 10%. The total amount of interest due on debentures for the year ending 31st March, 2023 will be:}$

1

$₹2,70,000$

2

$₹3,00,000$

3

$₹27,000$

4

$₹30,000$

Official Solution

Correct Option: (2)

$Step 1: Calculate the total debenture amount. The face value of each debenture is ₹100, and 30,000 debentures were issued. Therefore: Step 2: Calculate the annual interest. The interest rate is 10%, so the total interest for one year is:$

32

PYQ 2024

medium

accountancy ID: cbse-cla

$If a share of ₹100 on which ₹70 has been paid is forfeited, then at which minimum price can it be re-issued?$

1

$₹100$

2

$₹30$

3

$₹70$

4

$₹130$

Official Solution

Correct Option: (2)

$For a forfeited share, the minimum re-issue price is the amount unpaid at the time of forfeiture. Here, the unpaid amount is: Thus, the minimum re-issue price is ₹30.$

33

PYQ 2024

medium

accountancy ID: cbse-cla

$Misha Ltd. issued 6,000, 8% Debentures of ₹100 each at ₹96 per debenture. 8% Debentures Account will be credited by:$

1

$₹5,76,000$

2

$₹24,000$

3

$₹6,00,000$

4

$₹60,000$

Official Solution

Correct Option: (3)

$The face value of the debentures is ₹100 each. When issuing 6,000 debentures, the 8% Debentures Account is credited with the total face value. The discount on issue (₹4 per debenture) is recorded separately as a loss. Calculation:$

34

PYQ 2024

medium

accountancy ID: cbse-cla

$Maharaja Ltd. took over assets of ₹15,00,000 and liabilities of ₹2,00,000 of Dolphin Ltd. for an agreed purchase consideration of ₹12,60,000. It was agreed that the purchase consideration will be paid by issuing 11% Debentures of ₹100 each at 10% discount. The number of debentures issued will be:$

1

$13,000$

2

$12,600$

3

$10,000$

4

$14,000$

Official Solution

Correct Option: (4)

$To calculate the number of debentures issued, use the formula: Step 1:} Calculate the Issue Price per Debenture. The face value of each debenture is ₹100, but it is issued at a 10% discount. Therefore: Step 2:} Calculate the Number of Debentures. Final Answer: The number of debentures issued is .$

35

PYQ 2024

medium

accountancy ID: cbse-cla

$Raju, Sohan, and Tina are partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Tina is guaranteed a minimum amount of ₹40,000 as a share of profit every year. Any deficiency arising on that account shall be borne by Raju. If profit of the firm for the year ended 31st March, 2023 is ₹1,60,000, Raju will bear a deficiency of:$

1

$₹8,000$

2

$₹40,000$

3

$₹48,000$

4

$₹4,000$

Official Solution

Correct Option: (1)

$Step 1: Calculate Tina's profit share. Step 2: Determine the deficiency. Since Raju is responsible for the deficiency, he will bear ₹8,000.$

36

PYQ 2024

medium

accountancy ID: cbse-cla

$Kishore and Bimal are partners in a firm sharing profits and losses in the ratio of 4:3. Nand is admitted as a new partner in the firm for share in the profits. Kishore and Bimal decide to share profits and losses equally in the future. The sacrificing ratio of Kishore and Bimal will be:}$

1

$1:1$

2

$4:3$

3

$11:3$

4

$3:11$

Official Solution

Correct Option: (3)

$Kishore and Bimal initially share profits and losses in the ratio 4:3. When Nand is admitted for a share in profits, the new profit-sharing ratio needs to be determined. The firm will now have Nand's share (), leaving the remaining to be shared by Kishore and Bimal. Since Kishore and Bimal now decide to share equally, the new ratio for them will be total profit share equally divided, i.e., each. To find the sacrificing ratio, calculate the old share, new share, and the difference for both Kishore and Bimal. Kishore: Old share =, New share = Bimal: Old share =, New share = Calculate the loss in share: Kishore's sacrifice = Bimal's sacrifice = Therefore, their sacrificing ratio is . Simplifying this gives us a ratio of 11:3. Thus, the correct sacrificing ratio between Kishore and Bimal is: 11:3 .$

37

PYQ 2024

medium

accountancy ID: cbse-cla

$The debentures which do not have a specific charge on the assets of the company are called:$

1

$Redeemable Debentures$

2

$Unsecured Debentures$

3

$Zero Coupon Rate Debentures$

4

$Non-Convertible Debentures$

Official Solution

Correct Option: (2)

$Debentures are classified based on whether they are secured against company assets. Unsecured Debentures, also known as naked debentures, do not have any specific charge on the company's assets. These debentures rely on the general creditworthiness of the issuer for repayment.$

38

PYQ 2024

medium

accountancy ID: cbse-cla

$Nominal/Authorised share capital is:$

1

$That part of the share capital which is issued by the company.$

2

$The amount of share capital which is actually applied for by the prospective shareholders.$

3

$The maximum amount of share capital which a company is authorised to issue.$

4

$The amount actually paid by the shareholders.$

Official Solution

Correct Option: (3)

$Nominal or authorised share capital refers to the maximum value of shares that a company is authorised to issue as per its Memorandum of Association. It represents the upper limit of share capital that a company can legally raise. Hence, the correct answer is (C).$

39

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): The court does not intervene when dissolution of partnership takes place. Reason (R): Dissolution of partnership takes place by mutual agreement between the partners. Choose the correct option from the following:$

1

$Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is not} the correct explanation of Assertion (A).$

3

$Assertion (A) is incorrect, but Reason (R) is correct.$

4

$Assertion (A) is correct, but Reason (R) is incorrect.$

Official Solution

Correct Option: (1)

$Dissolution of a partnership can take place by mutual agreement, and in such cases, there is no intervention by the court. Assertion (A) correctly states that the court does not intervene, and Reason (R) correctly explains that this is because dissolution is by mutual agreement. Hence, the correct answer is (A).$

40

PYQ 2024

medium

accountancy ID: cbse-cla

$At the time of dissolution of a firm, the total assets were ₹ 6,00,000 and outside liabilities were ₹ 2,40,000. If assets realised ₹ 7,20,000 and realisation expenses of ₹ 8,000 were paid, the profit or loss on realisation will be:$

1

$Loss ₹ 1,20,000$

2

$Profit ₹ 1,20,000$

3

$Loss ₹ 1,12,000$

4

$Profit ₹ 1,12,000$

Official Solution

Correct Option: (4)

$To calculate the profit or loss on realisation, use the formula: Substitute the given values: The profit on realisation is ₹ 4,72,000. However, after accounting for initial total assets, the net profit is: Hence, the correct answer is (D) Profit ₹ 1,12,000.$

41

PYQ 2024

hard

accountancy ID: cbse-cla

$Neeru and Meetu are partners in a firm with capitals of ₹ 2,00,000 and ₹ 1,50,000 respectively. If the firm earned a profit of ₹ 17,500 for the year ended 31st March 2023, then interest on capital @ 10% p.a. would be:$

1

$Neeru ₹ 15,000; Meetu ₹ 20,000$

2

$Neeru ₹ 8,750; Meetu ₹ 8,750$

3

$Neeru ₹ 20,000; Meetu ₹ 15,000$

4

$Neeru ₹ 10,000; Meetu ₹ 7,500$

Official Solution

Correct Option: (4)

$The interest on capital (IOC) is calculated at the rate of p.a. on the capital contributions of Neeru and Meetu. The total interest exceeds the available profit of ₹ 17,500. Therefore, the interest will be adjusted in the ratio of their capitals, which is . Hence, the correct answer is (D) Neeru ₹ 10,000; Meetu ₹ 7,500.$

42

PYQ 2024

medium

accountancy ID: cbse-cla

$Bhim, Arjun, and Nakul were partners in a firm sharing profits and losses in the ratio of . With effect from 1st April 2023, they agreed to share profits equally. Due to the change in the profit-sharing ratio, Arjun's gain or sacrifice will be:$

1

$Sacrifice$

2

$Gain$

3

$Sacrifice$

4

$Gain$

Official Solution

Correct Option: (2)

$The initial profit-sharing ratio is, and the new profit-sharing ratio is (equal sharing). For Arjun: Calculate Arjun's sacrifice or gain: Substitute values: Find the LCM of denominators and, which is : Since the result is positive, it represents a gain . Hence, the correct answer is (B) Gain .$

43

PYQ 2024

medium

accountancy ID: cbse-cla

$Shri Ganga Ltd. was registered with an authorised capital of ₹ 7,00,000 divided into equity shares of ₹ 10 each. It offered to the public for subscription 50,000 equity shares. The amount was payable as follows: On application: ₹ 4 per share On allotment: ₹ 4 per share On first and final call: Balance The issue was fully subscribed. All the amounts were duly received except the first and final call money on 4,000 equity shares. These shares were forfeited. For forfeiture of these shares Calls in Arrears Account will be: (A) credited by ₹ 7,000 (B) debited by ₹ 5,000 (C) credited by ₹ 5,000 (D) debited by ₹ 7,000$

1

2

3

4

Official Solution

Correct Option: (3)

$The amount of unpaid calls on these forfeited shares is ₹ 5 per share. The Calls in Arrears account will be credited by ₹ 5,000 (for the unpaid portion) from the forfeited shares.$

44

PYQ 2024

hard

accountancy ID: cbse-cla

$On 31\textsuperscript{st March, 2023, the capitals of Raghav and Diya stood at ₹ 4,00,000 and ₹ 3,00,000 respectively, after the necessary adjustment in respect of drawings and net profit. Subsequently, it was discovered that interest on capital @ 10\% p.a. had been omitted. The Net Profit for the year ended 31\textsuperscript{st} March, 2023 amounted to ₹ 1,00,000. During the year ended 31\textsuperscript{st} March, 2023, Raghav’s drawings were ₹ 2,000 drawn at the beginning of each month, while Diya’s drawings were ₹ 3,000 drawn at the beginning of each quarter. Pass the necessary adjustment entry.}$

Official Solution

Correct Option: (1)

$1. Interest on capital: - Raghav’s interest = ₹ 4,00,000 10\% = ₹ 40,000 - Diya’s interest = ₹ 3,00,000 10\% = ₹ 30,000 2. Interest on drawings: - Raghav’s interest on drawings: - ₹ 2,000 12 months 10\% = ₹ 2,400 - Diya’s interest on drawings: - ₹ 3,000 4 quarters 10\% = ₹ 1,200 Adjustment entry for omitted interest on capital and interest on drawings: Journal entry: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Interest on Capital (Raghav) A/c Dr & 40,000 & Interest on Capital (Diya) A/c Dr & 30,000 & To Raghav’s Capital A/c} & & 40,000 To Diya’s Capital A/c} & & 30,000 \hline \end{tabular} \end{center}$

45

PYQ 2024

easy

accountancy ID: cbse-cla

$Gundola Ltd. took over assets of ₹ 9,00,000 and liabilities of ₹ 3,00,000 from AK Ltd. for an agreed purchase consideration of ₹ 14,00,000. The payment was made by issuing a cheque of ₹ 4,60,000 and balance by issue of 8\% Debentures at a discount of 10\%. Record necessary journal entries in the books of Gundola Ltd. for the above transactions.$

Official Solution

Correct Option: (1)

$The following journal entries will be recorded in the books of Gundola Ltd.: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Assets A/c & 9,00,000 & -- To Liabilities A/c & -- & 3,00,000 To AK Ltd. & -- & 14,00,000 (Being purchase of assets and assumption of liabilities) & & \hline AK Ltd. A/c & 14,00,000 & -- To Bank A/c & -- & 5,00,000 To 8\% Debentures A/c & -- & 9,00,000 (Being payment made by bank draft and issue of debentures at a discount) & & \hline Discount on Issue of Debentures A/c & 1,00,000 & -- To AK Ltd. & -- & 1,00,000 (Being discount on debentures adjusted) & & \hline \end{tabular} \end{center} Explanation: - Gundola Ltd. acquired assets worth ₹ 9,00,000 and liabilities worth ₹ 3,00,000 for a total purchase consideration of ₹ 14,00,000. - The payment was made by: - ₹ 5,00,000 through a bank draft. - The remaining ₹ 9,00,000 by issuing 8\% debentures at a 10\% discount. The total face value of debentures issued = ₹ 9,00,000 / 0.90 = ₹ 10,00,000. The ₹ 1,00,000 discount is adjusted in the Discount on Issue of Debentures Account.$

46

PYQ 2024

hard

accountancy ID: cbse-cla

$Sumi Ltd. acquired assets of ₹ 8,00,000 and took over sundry creditors of ₹ 2,00,000 from Pandora Ltd. for a purchase consideration of ₹ 9,00,000. The payment was made by issuing a cheque of ₹ 4,60,000 and the remaining amount by issuing 9\% Debentures of ₹ 100 each at a premium of 10\%. Pass the necessary journal entries for the above transactions in the books of Sumi Ltd.$

Official Solution

Correct Option: (1)

$The following journal entries will be recorded in the books of Sumi Ltd.: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Assets A/c & 8,00,000 & -- Sundry Creditors A/c & -- & 2,00,000 To Pandora Ltd. & -- & 9,00,000 (Being the purchase of assets and assumption of liabilities) & & \hline Pandora Ltd. A/c & 9,00,000 & -- To Bank A/c & -- & 4,60,000 To 9\% Debentures A/c & -- & 4,00,000 To Securities Premium A/c & -- & 40,000 (Being payment made to Pandora Ltd. through cheque and issue of debentures at a 10\% premium) & & \hline \end{tabular} \end{center} Explanation: - Sumi Ltd. acquired assets worth ₹ 8,00,000 and took over creditors worth ₹ 2,00,000 for a total purchase consideration of ₹ 9,00,000. - The payment of ₹ 9,00,000 was made through: - ₹ 4,60,000 by cheque. - ₹ 4,00,000 by issuing 9\% debentures at par, and the remaining ₹ 40,000 was credited to the Securities Premium Account as the debentures were issued at a 10\% premium.$

47

PYQ 2024

medium

accountancy ID: cbse-cla

$The average profit for the last five years of a firm of Suman and Dhawan was ₹ 6,00,000. The normal rate of return in a similar business is 10\%. Goodwill of the firm is valued at ₹ 40,000, calculated by capitalizing super profit. Find out the amount of capital employed by the firm.$

Official Solution

Correct Option: (1)

$The capital employed in the firm is calculated using the formula: To calculate the super profit: Let the capital employed be . Now, substituting in the goodwill formula: Thus, the capital employed in the firm is ₹ 20,00,000.$

48

PYQ 2024

medium

accountancy ID: cbse-cla

$Sangeet, Anju and Shiva were partners in a firm sharing profits and losses in the ratio of 3 : 4 : 5. Sangeet died on 31st July, 2023. Sangeet’s share in the profits of the firm till the date of death was to be calculated on the basis of sales. Sales during the year 2022 - 23 were ₹ 40,000 and sales from 1st April, 2023 to 31st July, 2023 were ₹ 10,000. The profit for the year ended 31st March, 2023 was ₹ 40,000. Calculate Sangeet’s share of profit up to the date of death and pass the necessary journal entry for the same in the books of the firm. Show your workings clearly.$

Official Solution

Correct Option: (1)

$To calculate Sangeet’s share of profit, we need to calculate the proportion of sales till the date of death: - Total sales = ₹ 40,000 (before 1st April, 2023) + ₹ 10,000 (from 1st April to 31st July, 2023) = ₹ 50,000. - Sangeet’s share of profit is based on the sales during the period of death. - Sales during the period of death = ₹ 10,000. The share of profit is divided in the ratio of the sales. Sangeet’s share of profit is calculated as: Journal Entry:$

49

PYQ 2024

medium

accountancy ID: cbse-cla

$Geeta and Hari were partners in a firm sharing profits and losses in the ratio of . Krish was admitted as a new partner for share in profits of the firm which he acquired from Geeta and Hari in the ratio of . Krish brought ₹ 1,00,000 as his share of capital and ₹ 50,000 as premium for goodwill in cash. The sacrificing ratio of Geeta and Hari will be:$

1

$3 : 2$

2

$1 : 1$

3

$2 : 3$

4

Official Solution

Correct Option: (3)

$Krish’s share of profit is . Geeta and Hari give up their share in the ratio of to Krish. Geeta sacrifices and Hari sacrifices . The sacrificing ratio between Geeta and Hari is .$

50

PYQ 2024

medium

accountancy ID: cbse-cla

$Seema and Laksh were partners in a firm sharing profits and losses in the ratio of . Their capitals were ₹ 2,00,000 and ₹ 1,80,000 respectively. They admitted Aadi as a new partner on 1\textsuperscript{st April, 2023 for share in future profits. Aadi brought ₹ 1,50,000 as his share of capital. The goodwill of the firm on Aadi’s admission will be:}$

1

$₹ 7,50,000$

2

$₹ 2,20,000$

3

$₹ 3,70,000$

4

$₹ 1,50,000$

Official Solution

Correct Option: (2)

$Aadi’s capital contribution is ₹ 1,50,000 for a share in the firm. Based on this, the total capital of the firm is calculated as: The combined capital of Seema and Laksh is: The goodwill of the firm is the difference between the total capital and the existing capital of the partners: Since Aadi’s share of goodwill is of the total goodwill: The goodwill adjustment in the books leads to the total goodwill as ₹ 2,20,000.$

51

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): Partners’ current accounts maintained under ‘Fixed Capital Method’ may show a debit or a credit balance. Reason (R): In the ‘Fixed Capital Method’, all items like share of profit or loss, interest on capital, drawings, interest on drawings etc. are recorded in the partners’ capital accounts. Choose the correct option from the following:$

1

$Assertion (A) and Reason (R) are correct, but Reason (R) is not} the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, and Reason (R) is the correct explanation of Assertion (A).$

3

$Assertion (A) is correct, but Reason (R) is not correct.$

4

$Both Assertion (A) and Reason (R) are not correct.$

Official Solution

Correct Option: (3)

$Under the Fixed Capital Method, partners’ current accounts may show a debit or a credit balance depending on transactions like drawings, share of profit, and interest on drawings. These adjustments are made in the current accounts, not in the capital accounts. However, the Reason is incorrect because, under the Fixed Capital Method, such items are not recorded in the capital accounts; they are adjusted in the current accounts.$

52

PYQ 2024

medium

accountancy ID: cbse-cla

$Manu, Sonu and Rahul were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 2. With effect from 1st April, 2023, they decided to share profits and losses in the ratio of 3 : 2 : 1. Their Balance Sheet showed Workmen Compensation Reserve of ₹ 84,000. The claim on account of Workmen Compensation is estimated at ₹ 75,000. The journal entry to give effect to the above transaction will be: \begin{table}[h!] \centering \begin{tabular}{|c|l|c|c|} \hline Date & Particulars & Dr Amount (₹) & Cr Amount (₹) \hline (A) & Workmen Compensation Reserve A/c & 84,000 & 75,000 & To Workmen Compensation Claim A/c & & & To Manu’s Capital A/c & 4,000 & & To Sonu’s Capital A/c & 3,000 & & To Rahul’s Capital A/c & 2,000 & \hline (B) & Workmen Compensation Reserve A/c & 84,000 & 75,000 & To Workmen Compensation Claim A/c & & & To Manu’s Capital A/c & 4,000 & & To Sonu’s Capital A/c & 3,000 & & To Rahul’s Capital A/c & 2,000 & \hline (C) & Manu’s Capital A/c & 500 & 500 & To Rahul’s Capital A/c & & \hline (D) & Workmen Compensation Reserve A/c & 84,000 & 75,000 & To Workmen Compensation Claim A/c & & & To Manu’s Capital A/c & 4,000 & & To Sonu’s Capital A/c & 3,000 & & To Rahul’s Capital A/c & 2,000 & \hline \end{tabular} \caption{Journal Entry for Workmen Compensation Reserve} \end{table}$

Official Solution

Correct Option: (1)

$- The Workmen Compensation Reserve is debited to transfer the reserve to the Workmen Compensation Claim account. - The claim is distributed among the partners according to their new profit-sharing ratio. - The balance in the Workmen Compensation Reserve is credited to the capital accounts of the partners, based on their new profit-sharing ratio. The journal entry is as follows: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Workmen Compensation Reserve A/c & 84,000 & -- To Workmen Compensation Claim A/c & -- & 75,000 To Manu’s Capital A/c (4/9 of ₹ 9,000) & -- & 4,000 To Sonu’s Capital A/c (3/9 of ₹ 9,000) & -- & 3,000 To Rahul’s Capital A/c (2/9 of ₹ 9,000) & -- & 2,000 \hline \end{tabular} \end{center}$

53

PYQ 2024

medium

accountancy ID: cbse-cla

$Abha, Manju, and Rhea were partners in a firm sharing profits and losses in the ratio of . During the year ended 31\textsuperscript{st March, 2023, Rhea withdrew ₹ 30,000 at the beginning of each half year. Interest on Rhea’s drawings @ 10\% p.a. for the year ended 31\textsuperscript{st} March, 2023 will be:}$

1

$₹ 6,000$

2

$₹ 4,500$

3

$₹ 3,000$

4

$₹ 1,500$

Official Solution

Correct Option: (2)

$Interest on Rhea’s drawings is calculated as follows: - Rhea withdrew ₹ 30,000 at the beginning of each half year. - For the first withdrawal (₹ 30,000) at the beginning of the first half year, it remained in the firm for 12 months: - For the second withdrawal (₹ 30,000) at the beginning of the second half year, it remained in the firm for 6 months: Therefore, the total interest on Rhea's drawings is:$

54

PYQ 2024

easy

accountancy ID: cbse-cla

$Shrikant and Ajay were partners in a firm sharing profits and losses in the ratio of . Shrikant withdrew ₹ 10,000 in the beginning of each quarter during the year ended 31\textsuperscript{st March, 2023. Interest on Shrikant’s drawings @ 6\% p.a for the year ended 31\textsuperscript{st} March, 2023 will be:}$

1

$₹ 2,400$

2

$₹ 1,200$

3

$₹ 1,500$

4

$₹ 900$

Official Solution

Correct Option: (3)

$Shrikant withdrew ₹ 10,000 at the beginning of each quarter. The total amount withdrawn during the year is: For withdrawals made at the beginning of each quarter, the average time period for the year is months (as per the time factor calculation). The interest on drawings is calculated as: Substituting the values:$

55

PYQ 2024

medium

accountancy ID: cbse-cla

$Aaroh, Bhuvan, and Charu were partners in a firm sharing profits and losses in the ratio of . Charu died. Aaroh and Bhuvan acquired Charu’s share in the ratio of . The new profit-sharing ratio between Aaroh and Bhuvan after Charu’s death will be:$

1

2

3

4

Official Solution

Correct Option: (3)

$Charu’s total share is parts. Aaroh and Bhuvan acquire Charu’s share in the ratio of . Aaroh’s new share: Bhuvan’s new share: Thus, the new profit-sharing ratio between Aaroh and Bhuvan becomes:$

56

PYQ 2024

medium

accountancy ID: cbse-cla

$Hema and Tara were partners in a firm sharing profits and losses in the ratio of . They admitted Ojas as a new partner. Hema surrendered of her share and Tara surrendered of her share in favour of Ojas. The new profit-sharing ratio of Hema, Tara, and Ojas will be:$

1

2

3

4

Official Solution

Correct Option: (1)

$The total share of Hema and Tara was 5 parts (2 parts for Hema and 3 parts for Tara). Hema’s share after surrender: Tara’s share after surrender: Ojas’s share: The new shares of Hema, Tara, and Ojas are: Finding a common denominator and simplifying:$

57

PYQ 2024

medium

accountancy ID: cbse-cla

$Sanya, Sarthak, and Nitya were partners in a firm sharing profits and losses in the ratio of . They decided to dissolve the firm on 31\textsuperscript{st March, 2023. On this date, the firm had debtors amounting to ₹ 3,00,000 and provision for doubtful debts of ₹ 30,000. On dissolution, debtors for ₹ 20,000 proved bad and the remaining debtors realised 90\%. Amount realised from the debtors will be:}$

1

$₹ 3,00,000$

2

$₹ 2,25,000$

3

$₹ 2,80,000$

4

$₹ 2,52,000$

Official Solution

Correct Option: (4)

$The total amount realised from the debtors is calculated as follows: Out of the remaining debtors, ₹ 20,000 were bad, so: Since 90\% of the remaining debtors were realised, the total amount realised is: Including ₹ 20,000 from the bad debts, the total realised is ₹ 2,52,000.$

58

PYQ 2024

medium

accountancy ID: cbse-cla

$Lata, Mehu, and Namita were partners in a firm sharing profits and losses in the ratio of . They decided to dissolve the firm on 31st March, 2023. Creditors took over stock of book value of ₹ 80,000 at 80\%, in part settlement of their amount of ₹ 90,000. The balance amount was paid to the creditors by cheque. The amount paid by cheque to the creditors will be:$

1

$₹ 26,000$

2

$₹ 64,000$

3

$₹ 80,000$

4

$₹ 1,44,000$

Official Solution

Correct Option: (1)

$Amount settled by creditors = ₹ 80,000 80\% = ₹ 64,000. The balance amount paid to creditors = ₹ 90,000 - ₹ 64,000 = ₹ 26,000. Thus, the amount paid by cheque to the creditors is ₹ 26,000.$

59

PYQ 2024

medium

accountancy ID: cbse-cla

$Aaroh, Bhuvan, and Charu were partners in a firm sharing profits and losses in the ratio of . Charu died. Aaroh and Bhuvan acquired Charu’s share in the ratio of . The new profit-sharing ratio between Aaroh and Bhuvan after Charu’s death will be:$

1

2

3

4

Official Solution

Correct Option: (3)

$Charu’s total share is parts. Aaroh and Bhuvan acquire Charu’s share in the ratio of . Aaroh’s new share: Bhuvan’s new share: Thus, the new profit-sharing ratio between Aaroh and Bhuvan becomes:$

60

PYQ 2024

medium

accountancy ID: cbse-cla

$Hema and Tara were partners in a firm sharing profits and losses in the ratio of . They admitted Ojas as a new partner. Hema surrendered of her share and Tara surrendered of her share in favour of Ojas. The new profit-sharing ratio of Hema, Tara, and Ojas will be:$

1

2

3

4

Official Solution

Correct Option: (2)

$The total share of Hema and Tara was 5 parts (2 parts for Hema and 3 parts for Tara). Ojas’s share = . The new shares of Hema, Tara, and Ojas become . Simplifying the ratio:$

61

PYQ 2024

medium

accountancy ID: cbse-cla

$Tapti’s share of profit will be:$

1

$₹ 11,500$

2

$₹ 34,500$

3

$₹ 10,500$

4

$₹ 23,000$

Official Solution

Correct Option: (3)

$Tapti’s share of profit is calculated based on the profit-sharing ratio between the partners. Assuming the total profit is provided and the profit-sharing ratio is given, the calculation for Tapti’s share is as follows: By substituting the correct values, the calculation yields Tapti’s share as ₹ 10,500.$

62

PYQ 2024

medium

accountancy ID: cbse-cla

$Sheena’s interest on drawings will be:$

1

$₹ 5,000$

2

$₹ 4,000$

3

$₹ 3,000$

4

$₹ 2,000$

Official Solution

Correct Option: (4)

$Interest on drawings is calculated using the formula: Given the amount of drawings, rate of interest, and time period, this formula is applied to determine the interest on Sheena’s drawings. Based on the provided data:$

63

PYQ 2024

hard

accountancy ID: cbse-cla

$KLB Ltd. forfeited 3,000 shares of ₹ 10 each, ₹ 8 per share called up for non-payment of first call of ₹ 2 per share. All these shares were reissued at ₹ 7 per share, ₹ 8 paid up. The amount transferred to Capital Reserve Account will be:$

1

$₹ 18,000$

2

$₹ 24,000$

3

$₹ 15,000$

4

$₹ 3,000$

Official Solution

Correct Option: (3)

$- The total amount called up on 3,000 shares is ₹ 8 per share (₹ 10 paid up - ₹ 2 remaining unpaid). - The amount received on forfeited shares = ₹ 8 \times 3,000 = ₹ 24,000. - The amount forfeited on each share = ₹ 2 per share (first call remaining unpaid), so the total amount forfeited = ₹ 2 \times 3,000 = ₹ 6,000. - When the shares are reissued at ₹ 7 per share, ₹ 8 paid up, the Capital Reserve will be the difference between the amount received on forfeited shares and the reissue amount:$

64

PYQ 2024

medium

accountancy ID: cbse-cla

$The debentures which do not carry a specific rate of interest are called:$

1

$Zero Coupon Rate Debentures$

2

$Specific Coupon Rate Debentures$

3

$Unsecured Debentures$

4

$Secured Debentures$

Official Solution

Correct Option: (1)

$Zero Coupon Rate Debentures are issued without any specified interest rate. Instead of paying interest periodically, they are issued at a discount, and the investor receives the face value upon maturity.$

65

PYQ 2024

medium

accountancy ID: cbse-cla

$Lexa Ltd. issued 50,000 equity shares of ₹ 10 each at a premium of ₹ 2 per share. The amount was payable as follows: On application and allotment - ₹ 7 per share (including premium). On first and final call - Balance. The issue was fully subscribed. All the money was duly received except the first and final call on 1,000 equity shares. These shares were forfeited. On forfeiture of these shares, Calls in Arrears Account will be:$

1

$credited by ₹ 7,000$

2

$debited by ₹ 5,000$

3

$credited by ₹ 5,000$

4

$debited by ₹ 7,000$

Official Solution

Correct Option: (3)

$The amount unpaid on these shares for the first and final call is ₹ 5 per share (₹ 7 per share on the first and final call minus ₹ 2 already paid as premium). So, the Calls in Arrears Account will be credited by ₹ 5,000.$

66

PYQ 2024

medium

accountancy ID: cbse-cla

$Alfa Ltd. offered for public subscription 50,000 equity shares of ₹ 10 each at ₹ 110 per share. The entire amount was payable on application. Applications were received for 48,000 shares and allotment was made to all the applicants. The amount received on application will be:$

1

$₹ 52,80,000$

2

$₹ 55,00,000$

3

$₹ 50,00,000$

4

$₹ 48,00,000$

Official Solution

Correct Option: (1)

$The amount received on application will be the total number of shares applied for (48,000 shares) multiplied by the application price (₹ 110 per share).$

67

PYQ 2024

medium

accountancy ID: cbse-cla

$Minimum subscription for allotment of shares as per Securities and Exchange Board of India (SEBI) guidelines cannot be less than 90\% of which of the following capital?$

1

$Reserve Capital$

2

$Nominal Capital$

3

$Subscribed Capital$

4

$Issued Capital$

Official Solution

Correct Option: (4)

$According to SEBI guidelines, the minimum subscription for the allotment of shares must be at least 90\% of the issued capital. Issued capital refers to the portion of the authorized capital that the company offers to the public for subscription.$

68

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): When the shares are forfeited, share capital account is debited with the amount called up and credited to (i) respective unpaid calls account i.e., calls in arrears and (ii) share forfeiture account with the amount already received on shares. Reason (R): When the shares are forfeited, all entries relating to the shares forfeited, except those relating to securities premium, already recorded in accounting records must be reversed. Choose the correct option from the following:$

1

$Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is not} the correct explanation of Assertion (A).$

3

$Assertion (A) is incorrect, but Reason (R) is correct.$

4

$Assertion (A) is correct, but Reason (R) is incorrect.}$

Official Solution

Correct Option: (1)

$When shares are forfeited, the share capital account is debited with the total called-up amount. The amount received is credited to the share forfeiture account, and any unpaid amount is transferred to the respective unpaid calls account (e.g., calls in arrears). Reason (R) explains that all entries relating to the forfeited shares, except those involving securities premium, must be reversed, which aligns with proper accounting practice.$

69

PYQ 2024

medium

accountancy ID: cbse-cla

$Write the steps to create ‘If’ function using formula tab and dialogue box on a given spreadsheet where the total income less expenses if greater than ₹ 10,000 then 10% savings and if income is less than ₹ 10,000 then 5% savings. Also write the syntax of the result.$

Official Solution

Correct Option: (1)

$To create the IF function in a spreadsheet: Click on the cell where the result is to be displayed. Go to the formula tab and click on the “Insert Function” option. In the dialogue box, select IF from the function list. In the logical test field, enter the condition: =(income - expenses) < 10000 . In the value if true field, enter: =(income - expenses) * 10% . In the value if false field, enter: =(income - expenses) * 5% . Press “OK” to apply the formula The syntax of the function is:$

70

PYQ 2024

medium

accountancy ID: cbse-cla

$What is ‘data formatting’? What tools are used to format a given data?$

Official Solution

Correct Option: (1)

$Data formatting refers to the process of arranging or structuring data in a specific format for better presentation and readability. It involves modifying the appearance of data, such as setting number formats, fonts, or alignment. Tools used to format data include: 1. Spreadsheet Software (Excel, Google Sheets): Offers options for number formatting, text alignment, font styles, and cell colors. 2. Data Visualization Tools (Tableau, Power BI): Provide options to format charts, graphs, and tables. 3. Word Processors (Microsoft Word): Used to format tables, lists, and text for reports.$

71

PYQ 2024

medium

accountancy ID: cbse-cla

$What is meant by Accounting Cycle? List its basic phases.$

Official Solution

Correct Option: (1)

$The accounting cycle refers to the complete process of recording and processing all financial transactions over a specific period. It helps in generating accurate financial statements. The basic phases of the accounting cycle include: 1. Identifying Transactions: Recognizing financial transactions as they occur. 2. Recording Transactions: Entering transaction data into journals. 3. Posting to Ledger: Transferring journal entries to the respective accounts in the ledger. 4. Trial Balance: Preparing a trial balance to ensure debits equal credits. 5. Adjusting Entries: Making necessary adjustments for accrued or deferred transactions. 6. Financial Statements: Preparing the income statement, balance sheet, and cash flow statement. 7. Closing Entries: Closing temporary accounts and transferring their balances to permanent accounts.$

72

PYQ 2024

medium

accountancy ID: cbse-cla

$State any three limitations of Computerised Accounting System.$

Official Solution

Correct Option: (1)

$1. Initial Cost: Setting up a computerized accounting system involves high initial costs for software, hardware, and training. 2. Technical Issues: Computerized systems are susceptible to technical failures such as hardware breakdowns, software bugs, or data corruption. 3. Security Concerns: The system may be vulnerable to cyber-attacks or unauthorized access if proper security measures are not implemented.$

73

PYQ 2024

medium

accountancy ID: cbse-cla

$What is meant by ‘resizing of chart’? How can it be done? Explain.$

Official Solution

Correct Option: (1)

$Resizing a chart refers to adjusting the dimensions (height and width) of a chart within a document or a spreadsheet. This allows the chart to better fit within the available space or to emphasize certain aspects of the data presented. To resize a chart: - Click on the chart to select it. - Drag the corner or edge of the chart to adjust its size. - Alternatively, use the chart formatting options to set specific dimensions for the chart.$

74

PYQ 2024

medium

accountancy ID: cbse-cla

$A Null value is a special value which represents:$

Official Solution

Correct Option: (1)

$A Null value represents the absence of any data or information for a given item. It is not a value, but rather indicates that the value is missing or not applicable.$

75

PYQ 2024

medium

accountancy ID: cbse-cla

$‘Sales and Accounts Receivable Sub-system’ of Accounting Information System deals with which of the following?$

Official Solution

Correct Option: (1)

$The 'Sales and Accounts Receivable Sub-system' focuses on managing the sales ledger and keeping track of accounts receivable. This includes recording all sales transactions and monitoring outstanding amounts owed by customers.$

76

PYQ 2024

medium

accountancy ID: cbse-cla

$‘Data, people \_\_\_\_\_\_\_, \_\_\_\_\_\_\_ and software’ are five pillars of a Computerised Accounting System (CAS). Which of the pillars of CAS are missing from the statement?$

1

$Procedures and Hardware$

2

$Printer and CPU$

3

$Mouse and Desktop$

4

$Information and Accounts$

Official Solution

Correct Option: (1)

$- The five pillars of a Computerised Accounting System (CAS) are: 1. Data 2. People 3. Procedures 4. Hardware 5. Software$

77

PYQ 2024

medium

accountancy ID: cbse-cla

$How many logical values can be entered into a logical function?$

1

$525$

2

$552$

3

$255$

4

$15$

Official Solution

Correct Option: (4)

$- Logical functions typically have a limitation on the number of logical arguments they can accept, which is 15 in most spreadsheet or programming tools.$

78

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following, identify a ‘Data label’ as a chart element:$

1

$Details and positions a legend on the chart.$

2

$Indicates the individual value plotted on the chart.$

3

$Details the data value and categories below the chart.$

4

$Is a descriptive text for the chart.$

Official Solution

Correct Option: (2)

$- Statement I is correct: The issue of debentures typically results in cash inflow, as it represents borrowing money from investors. - Statement II is incorrect: The issue of debentures for purchasing machinery does not result in an outflow of cash. Instead, it would result in a financing inflow from the debentures, while the machinery purchase would result in an outflow from investing activities.$

79

PYQ 2024

medium

accountancy ID: cbse-cla

$The process of comparing input data with some unknown data is called:$

1

$Data storage$

2

$Data entry$

3

$Data validation$

4

$Data filter$

Official Solution

Correct Option: (3)

$- Data validation is the process of ensuring that input data matches certain criteria, including comparing it with a reference or known dataset to verify its accuracy or acceptability. - Data storage involves saving data for future use, while data entry is the process of inputting data. Data filtering is used to retrieve specific data based on conditions.$

80

PYQ 2024

hard

accountancy ID: cbse-cla

$Prepare a ‘Common Size Statement of Profit and Loss’ of Neurosci Ltd. for the year ended 31 st March, 2023 from the following information:$

Official Solution

Correct Option: (1)

81

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following information, prepare Comparative Statement of Profit and Loss for the year ended 31 st March, 2023:$

Official Solution

Correct Option: (1)

82

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following information calculate ‘Gross Profit Ratio’:$

Official Solution

Correct Option: (1)

$To calculate the Gross Profit Ratio, we need to first find the gross profit. The formula for Gross Profit is: Where COGS is calculated as: Now, Gross Profit Ratio is given by: Hence, the Gross Profit Ratio is 62%.$

83

PYQ 2024

medium

accountancy ID: cbse-cla

$Classify the following items under major heads and sub-heads (if any) in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013: Livestock Accrued incomes Unpaid dividend$

Official Solution

Correct Option: (1)

$Livestock: Major Head: Non-Current Assets Sub-Head: Property, Plant and Equipment Accrued incomes: Major Head: Current Assets Sub-Head: Other Current Assets Unpaid dividend: Major Head: Current Liabilities Sub-Head: Other Current Liabilities Journal Entries:$

84

PYQ 2024

medium

accountancy ID: cbse-cla

$is also known as Acid-Test Ratio.$

1

$Current Ratio$

2

$Quick Ratio$

3

$Gross Profit Ratio$

4

$Operating Ratio$

Official Solution

Correct Option: (2)

$The Quick Ratio, also known as the Acid-Test Ratio, is a measure of a company’s ability to meet its short-term liabilities using its most liquid assets (excluding inventory).$

85

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following is not an objective of ‘Analysis of Financial Statements’?$

1

$To assess the current profitability and operational efficiency of the firm.$

2

$To ascertain the relative importance of different components of the financial position of the firm.$

3

$To consider the impact of price level changes.$

4

$To identify the reasons for change in the profitability/financial position of the firm.$

Official Solution

Correct Option: (3)

$The analysis of financial statements focuses on evaluating the profitability, operational efficiency, and financial health of the firm. It does not consider the impact of price level changes, as such adjustments are addressed in inflation accounting or specialized price level adjustments.$

86

PYQ 2024

medium

accountancy ID: cbse-cla

$Current Ratio of Super Ltd. is 2:1. Which of the following transactions will result in a decrease in this ratio?$

1

$Payment of ₹ 40,000 to creditors$

2

$Sale of furniture (book value ₹ 38,000) for ₹ 16,000 only$

3

$Repayment of long-term loan of ₹ 7,00,000$

4

$Cash collected from debtors ₹ 1,18,000$

Official Solution

Correct Option: (3)

$The current ratio is the ratio of current assets to current liabilities. 1. Payment to creditors (₹ 40,000) reduces both current assets (cash) and current liabilities (creditors) proportionally, keeping the ratio unchanged. 2. Sale of furniture does not affect the current ratio as furniture is a non-current asset. 3. Repayment of a long-term loan reduces current assets (cash) but does not impact current liabilities, resulting in a decrease in the current ratio. 4. Cash collection from debtors only shifts assets within the current category (debtors to cash), keeping the ratio unchanged.$

87

PYQ 2024

medium

accountancy ID: cbse-cla

$What will be the effect of ‘Purchase of Marketable Securities for Cash’ on Cash Flow Statement?$

Official Solution

Correct Option: (1)

$The purchase of marketable securities for cash does not change the overall cash position as it involves a transfer between cash and another short-term asset. This transaction is considered a reclassification within the balance sheet and has no direct impact on the cash flow statement.$

88

PYQ 2024

medium

accountancy ID: cbse-cla

$Statement I: Issue of Debentures will result in inflow of cash. Statement II: Issue of Debentures to the vendors for purchase of machinery will result in outflow of cash. Choose the correct option from the following:$

Official Solution

Correct Option: (1)

$- Statement I is correct: The issue of debentures typically results in cash inflow, as it represents borrowing money from investors. - Statement II is incorrect: The issue of debentures for purchasing machinery does not result in an outflow of cash. Instead, it would result in a financing inflow from the debentures, while the machinery purchase would result in an outflow from investing activities.$

89

PYQ 2024

medium

accountancy ID: cbse-cla

$'Paid ₹ 5,00,000 to acquire shares in Neligare Industries and received a dividend of ₹ 30,000 after acquisition.' This transaction will result in:$

Official Solution

Correct Option: (1)

$The transaction involves the acquisition of shares, which is an investment activity. Therefore, the outflow related to the acquisition of shares is classified as an investing activity. The dividend received is also part of the investing activities but is not mentioned in the outflow. Hence, the correct classification is a cash outflow under investing activities.$

90

PYQ 2024

easy

accountancy ID: cbse-cla

$Zee Ltd. invited applications for issuing 40,000 shares of ₹10 each at a premium of ₹2 per share. The amount was payable as follows: On Application - ₹4 per share On Allotment - ₹5 per share (including premium) On First Call - ₹2 per share On Second and Final Call - Balance Applications were received for 60,000 shares. Applications for 12,000 shares were rejected and money returned to the applicants. The shares were allotted on a pro-rata basis to the applicants of 48,000 shares. The excess money received on application was adjusted towards sums due on allotment. All shareholders paid the allotment money except one shareholder who had applied for 1,200 shares. His shares were forfeited immediately after allotment. First call was made thereafter and all the money due was received. The second and final call was not yet made. Pass necessary journal entries for the above transactions in the books of Zee Ltd.$

Official Solution

Correct Option: (1)

$Journal Entries: Working Notes: Application money received: . Application money adjusted to capital for 40,000 shares: . Excess application money adjusted to allotment: shares' worth, i.e., . Allotment dues: . Forfeiture of 1,200 shares: Called-up capital: . Premium not received: . Forfeited amount: .$

91

PYQ 2024

medium

accountancy ID: cbse-cla

$Pass the necessary journal entries for the following transactions on the dissolution of the partnership firm of Sharma and Verma after the various assets (other than cash and bank balance) and outside liabilities have been transferred to Realisation Account: (i) Sharma paid creditors ₹ 34,000 in full settlement of their claim of ₹ 40,000. (ii) Verma agreed to pay his wife’s loan of ₹ 8,000. (iii) There was an old typewriter which had been written off completely from the books. It was estimated to realise ₹ 3,000. It was taken over by Verma at the estimated price less 20%. (iv) Neelu, an old customer whose account for ₹ 1,500 was written off as bad debt in the previous year, paid 80% of the amount. (v) Dissolution expenses amounting to ₹ 8,000 were paid by Sharma. (vi) Loss on realisation ₹ 40,000 was to be distributed between Sharma and Verma in their profit-sharing ratio of 3:2.$

Official Solution

Correct Option: (1)

$Journal Entries:$

92

PYQ 2024

medium

accountancy ID: cbse-cla

$Pass necessary journal entries for issue of debentures for the following transactions: (i) Suhavo Ltd. issued 10,000, 11% Debentures of ₹ 100 each at a discount of 10%, redeemable at a premium of 5%. (ii) Mudit Ltd. issued 20,000, 9% Debentures of ₹ 100 each at a premium of 5%, redeemable at a premium of 10%. (iii) Sudip Ltd. issued 30,000, 8% Debentures of ₹ 100 each at par, redeemable at a premium of 5%.$

Official Solution

Correct Option: (1)

$1. Journal Entries for Suhavo Ltd.: 2. Journal Entries for Mudit Ltd.: 3. Journal Entries for Sudip Ltd.:$

93

PYQ 2024

medium

accountancy ID: cbse-cla

$Using the worksheet, find out the error and its reason for the given 'VLOOKUP' syntax: (i) =VLOOKUP(B1, B4 : D6, 2, 0) (ii) =SQRT(VLOOKUP(C2, C2 : D8, 2, 0) - 100) (iii) =VLOOKUP(B5, B6 : D8, 1, 0) (iv) =VLOOKUP(B3, B2 : D8, 5, 0) (v) =VLOOKUP(B5, B3 : D8, 0, 0) (vi) =VLOOKUP(B2, B2 : D7, 2, 0)/0$

Official Solution

Correct Option: (1)

$Explanation:The lookup value must be in the first column of the range.The column index must be within the range of the table array.Common errors include \#N/A, \#VALUE!, or \#REF! due to incorrect parameters$

94

PYQ 2024

medium

accountancy ID: cbse-cla

$What is Data formatting? What tools are used to format a given data?$

Official Solution

Correct Option: (1)

$Data Formatting: - Data formatting refers to organizing and presenting data in a structured, readable, and visually appealing manner. - It ensures that the data is easy to interpret, analyze, and use for decision-making. - Formatting includes applying styles, alignment, fonts, colors, borders, and number formats to enhance the data’s appearance and clarity. - Properly formatted data improves communication, highlights important information, and prevents misinterpretation. Tools Used for Data Formatting: 1. Font Formatting: - Tools for changing font style, size, color, and effects (bold, italic, underline). - Used to emphasize headings or key data points. 2. Alignment Tools: - Options to align text horizontally (left, center, right) or vertically (top, middle, bottom). - Indentation and wrapping text for better cell layout. 3. Number Formatting: - Formats for numbers, dates, percentages, and currencies. - Example: Converting “1000” to “₹ 1,000.00” or “50” to “50%”. 4. Conditional Formatting: - Applies formatting (colors, icons, bars) based on specific criteria, such as highlighting negative values in red. 5. Borders and Shading: - Adding borders, background colors, or patterns to differentiate sections of data. 6. Data Validation: - Restricts input to a specific range, type, or format to maintain consistency and accuracy. 7. Custom Styles and Themes: - Predefined styles and themes to ensure consistency across multiple sheets or documents. 8. Excel Formatting Shortcuts: - Use quick tools like the Format Painter to copy formatting across cells. Importance of Data Formatting: - Well-formatted data improves comprehension and reduces errors in analysis. - It helps present data professionally, making reports and dashboards more effective. - It enhances data visualization by applying meaningful formats to graphs and charts.$

95

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Password Security’ and ‘Data Audit’ as security features of Computerised Accounting System.$

Official Solution

Correct Option: (1)

$Password Security: - Password security ensures that only authorized users can access the accounting system. - Each user is assigned a unique username and password, which restricts unauthorized entry and protects sensitive financial information. - Passwords are encrypted within the system, further enhancing security. - This feature allows multiple levels of access control, ensuring that specific users can only access the information they are permitted to view or modify. - Regular updates and strong password policies, such as requiring a mix of letters, numbers, and special characters, strengthen the system's security. Data Audit: - A data audit involves tracking all modifications, deletions, and additions made to the accounting records. - It provides a clear trail of who accessed or altered the data, ensuring accountability. - Data audit logs include details such as the date, time, and user who performed each action, making it easier to detect unauthorized changes. - This feature aids in compliance with legal and regulatory requirements by ensuring the integrity of financial data. - It also assists in identifying and rectifying errors in the records promptly.$

96

PYQ 2024

medium

accountancy ID: cbse-cla

$State the parameters of Excel’s PMT function. What is the use of this function?$

Official Solution

Correct Option: (1)

$Parameters of PMT Function:} The PMT function in Excel calculates the payment for a loan based on constant payments and a constant interest rate. Its parameters are: 1. Rate:} The interest rate per period. 2. Nper:} Total number of payment periods in the loan term. 3. Pv:} Present value or the principal loan amount. 4. Fv (optional):} The future value or the cash balance you want after the last payment (default is 0). 5. Type (optional):} Indicates when payments are due: 0 for end of the period (default) and 1 for beginning of the period. Use of PMT Function:} - The PMT function helps determine the regular payment amount required to pay off a loan over a specified period, considering the loan's interest rate and term. - It is widely used in financial modeling and loan calculations.$

97

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Transparency and Control’ and ‘Accuracy and Speed’ as features of Computerised Accounting System.$

Official Solution

Correct Option: (1)

$Transparency and Control:} - A computerised accounting system ensures transparency by providing access to real-time data and reports. - It enhances control as users can track every transaction and identify errors easily through automated checks and logs. - The system facilitates a clear audit trail, helping maintain the integrity of financial data. Accuracy and Speed:} - The system performs calculations with high accuracy, reducing the chances of human error. - Automation in repetitive tasks like ledger posting, invoice generation, and reporting increases the speed of operations. - It allows organizations to generate reports and analyze data quickly for decision-making.$

98

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following is not contained on the formula tab on Excel ribbon?$

1

$Function library$

2

$Defined names$

3

$Calculations$

4

$Page layout$

Official Solution

Correct Option: (4)

$Page Layout is found on a different tab of the Excel ribbon, while the other options (Function Library, Defined Names, and Calculations) are located under the Formula tab.$

99

PYQ 2024

medium

accountancy ID: cbse-cla

$In a graph, the area bounded by different axes is known as:$

1

$Legend$

2

$Data point$

3

$Axis title$

4

$Plot area$

Official Solution

Correct Option: (4)

$The plot area of a graph refers to the area bounded by the axes, which contains the data points. It is where the data is visually represented in the graph.$

100

PYQ 2024

medium

accountancy ID: cbse-cla

$Identify the type of software which is suited for large and medium organisations and can be linked to other information systems.$

1

$Specific$

2

$Generic$

3

$Tailored$

4

$Both (B) and (C)$

Official Solution

Correct Option: (1)

$Specific software is designed to meet the exact requirements of a particular organization, making it suitable for large and medium-sized organizations. It can also be linked to other information systems as per the organization's needs. Generic software, on the other hand, is not specialized and is meant for general use.$

101

PYQ 2024

medium

accountancy ID: cbse-cla

$What is the outcome of an arithmetic expression or function called?$

1

$Basic Value$

2

$Vertical Vector$

3

$Derived Value$

4

$Horizontal Vector$

Official Solution

Correct Option: (3)

$An arithmetic expression or function in Excel (or in programming contexts) returns a Derived Value, which is the result calculated from input values. A "Basic Value" would simply refer to the raw data before any function or operation has been applied.$

102

PYQ 2024

medium

accountancy ID: cbse-cla

$Which Date and Time function returns the value of today's date with time?$

1

$Today()$

2

$Day()$

3

$Now()$

4

$Day time()$

Official Solution

Correct Option: (3)

$The Now() function in Excel returns the current date and time in the format: Date + Time. It updates automatically whenever the sheet recalculates.$

103

PYQ 2024

medium

accountancy ID: cbse-cla

$How is navigation conducted from the first to the last filled cells of clusters when moving one cell at a time in a row?$

1

$Home + Right arrow (\to)$

2

$CTRL + Right arrow (\to) successively$

3

$END + Right arrow (\to)$

4

$CTRL + END$

Official Solution

Correct Option: (2)

$To navigate to the last filled cell in a row in Excel, the combination of CTRL and Right arrow (\to) successively will take you directly to the last filled cell in the active row.$

104

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following information, calculate the 'Proprietary Ratio':$

Official Solution

Correct Option: (1)

$The Proprietary Ratio is calculated as: Here, Total Equity = ₹ 4,00,000 + ₹ 3,00,000 = ₹ 7,00,000 Total Liabilities = ₹ 3,50,000 + ₹ 1,50,000 + ₹ 5,00,000 = ₹ 10,00,000 The ratio is:$

105

PYQ 2024

medium

accountancy ID: cbse-cla

$Classify the following items under major heads and sub-heads (if any) in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013: Capital Work-in-Progress Stores and Spares Public Deposits$

Official Solution

Correct Option: (1)

$1. Capital Work-in-Progress: Non-current assets (under "Fixed Assets" section) 2. Stores and Spares: Current assets (under "Inventories" section) 3. Public Deposits: Current liabilities (under "Other Current Liabilities" section)$

106

PYQ 2024

medium

accountancy ID: cbse-cla

$Statement I: 'Issue of fully paid bonus shares out of Securities Premium Account' will result in inflow of cash. Statement II: 'Cash withdrawn from bank' will result in inflow of cash. In the context of the above two statements, choose the correct option:$

1

$Both statement I and statement II are correct$

2

$Both statement I and statement II are incorrect$

3

$Statement I is correct and statement II is incorrect$

4

$Statement I is incorrect and statement II is correct$

Official Solution

Correct Option: (2)

$Statement I is incorrect because issuing bonus shares from securities premium does not result in inflow of cash, as it involves a transfer from one account (securities premium) to another (share capital). Statement II is incorrect because cash withdrawn from a bank does not result in inflow of cash; it simply transfers cash from the bank to the business and does not affect the total cash position.$

107

PYQ 2024

medium

accountancy ID: cbse-cla

$The Debt-Equity Ratio of a company is . Which of the following transactions will result in an increase in this ratio?$

1

$Purchase of goods on credit$

2

$Issue of Debentures$

3

$Issue of Equity Shares$

4

$Cash received from Debtors$

Official Solution

Correct Option: (2)

$The Debt-Equity Ratio is calculated by dividing total debt by total equity. Issuing debentures increases the debt portion while keeping equity unchanged, thereby increasing the ratio. Other options do not affect the debt-equity balance in a way that increases the ratio.$

108

PYQ 2024

medium

accountancy ID: cbse-cla

$‘Dividend paid by a finance company’ is classified under which of the following?$

1

$Operating Activities$

2

$Investing Activities$

3

$Financing Activities$

4

$Cash and Cash Equivalents$

Official Solution

Correct Option: (3)

$Dividend paid by a finance company is classified under financing activities as it is related to the company’s capital structure (equity and debt financing).$

109

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following transactions will result in cash flows from operating activities?$

1

$Cash receipts from sale of investments ₹ 60,000$

2

$Cash receipts from sale of goods ₹ 94,000$

3

$Dividend received ₹ 31,000$

4

$Payment of cash for purchase of fixed assets ₹ 3,00,000$

Official Solution

Correct Option: (2)

$Operating activities primarily involve the core business operations. Cash receipts from the sale of goods are considered operating cash flows because they are directly related to the business's main activities, such as selling products.$

110

PYQ 2024

medium

accountancy ID: cbse-cla

$........... indicate the speed at which activities of the business are being performed.$

1

$Liquidity ratios$

2

$Turnover ratios$

3

$Solvency ratios$

4

$Profitability ratios$

Official Solution

Correct Option: (2)

$Turnover ratios, such as the inventory turnover ratio and accounts receivable turnover ratio, indicate how efficiently and quickly business activities are being performed.$

111

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following tools of ‘Analysis of Financial Statements’ indicate the trend and direction of financial position and operating results?$

1

$Comparative statements$

2

$Common size statements$

3

$Cash flow analysis$

4

$Ratio analysis$

Official Solution

Correct Option: (1)

$Comparative statements show the trend and direction of financial position and operating results by comparing financial information over multiple periods. This helps in analyzing the financial performance and identifying growth trends.$

112

PYQ 2024

medium

accountancy ID: cbse-cla

$Sai Ltd. invited applications for issuing 60,000 shares of ₹ 10 each. The amount was payable as follows: On application - ₹ 5 per share On allotment - ₹ 1 per share On first and final call - Balance$

Official Solution

Correct Option: (1)

$Applications were received for 58,000 shares. Rajat, the holder of 300 shares, did not pay allotment money and Usha, the holder of 500 shares, paid her entire share money along with allotment money. Rajat’s shares were forfeited immediately after allotment. Pass the necessary journal entries for the above transactions. Journal Entries: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Bank A/c (58,000 × ₹ 5) & 2,90,000 & -- To Share Application A/c & -- & 2,90,000 (Being application money received for 58,000 shares) & & \hline Share Application A/c & 2,90,000 & -- To Share Capital A/c (58,000 × ₹ 5) & -- & 2,90,000 (Being application money transferred to share capital account) & & \hline Share Allotment A/c (58,000 × ₹ 1) & 58,000 & -- To Share Capital A/c & -- & 58,000 (Being allotment money due) & & \hline Bank A/c (57,700 × ₹ 1 + 500 × ₹ 5) & 58,200 & -- Calls-in-Arrears A/c (300 × ₹ 1) & 300 & -- To Share Allotment A/c & -- & 58,500 To Calls-in-Advance A/c (500 × ₹ 4) & -- & 2,000 (Being allotment money received, including advance from Usha and arrears from Rajat) & & \hline Share Capital A/c (300 × ₹ 6) & 1,800 & -- To Share Forfeiture A/c (300 × ₹ 5) & -- & 1,500 To Calls-in-Arrears A/c (300 × ₹ 1) & -- & 300 (Being 300 shares of Rajat forfeited for non-payment of allotment money) & & \hline Share First and Final Call A/c (57,700 × ₹ 4) & 2,30,800 & -- To Share Capital A/c & -- & 2,30,800 (Being first and final call due) & & \hline Bank A/c & 2,30,800 & -- To Share First and Final Call A/c & -- & 2,30,800 (Being first and final call money received) & & \hline Calls-in-Advance A/c & 2,000 & -- To Share First and Final Call A/c & -- & 2,000 (Being adjustment of Usha’s advance towards first and final call) & & \hline \end{tabular} \end{center}$

113

PYQ 2024

medium

accountancy ID: cbse-cla

$Mamta Ltd. forfeited 3,000 shares of ₹ 10 each on which the first call of ₹ 3 per share was not received. The second and final call of ₹ 1 per share was not yet called. Out of these, 2,000 shares were reissued at ₹ 9 per share, ₹ 8 paid up.$

Official Solution

Correct Option: (1)

$Journal Entries: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Share Capital A/c (3,000 × ₹ 9) & 27,000 & -- To Share Forfeiture A/c (3,000 × ₹ 3) & -- & 9,000 To Share First Call A/c (3,000 × ₹ 3) & -- & 9,000 To Share Capital A/c (3,000 × ₹ 6) & -- & 18,000 (Being forfeiture of 3,000 shares for non-payment of first call) & & \hline Bank A/c (2,000 × ₹ 9) & 18,000 & -- To Share Capital A/c (2,000 × ₹ 9) & -- & 18,000 (Being reissue of 2,000 forfeited shares at ₹ 9 per share, fully paid) & & \hline Share Forfeiture A/c & 6,000 & -- To Capital Reserve A/c & -- & 6,000 (Being transfer of surplus on reissue of shares to Capital Reserve) & & \hline \end{tabular} \end{center}$

114

PYQ 2024

hard

accountancy ID: cbse-cla

$Pass necessary journal entries for forfeiture and reissue of shares in the following cases: (i) Neon Ltd. forfeited 2,000 shares of ₹ 10 each issued at a premium of ₹ 2 per share for non-payment of allotment money of ₹ 5 per share (including premium). The first and final call of ₹ 2 per share was not yet made. Out of these, 1,500 shares were reissued at ₹ 7 per share, ₹ 8 paid up.$

Official Solution

Correct Option: (1)

$Journal Entries: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Share Capital A/c (2,000 × ₹ 8) & 16,000 & -- Securities Premium A/c (2,000 × ₹ 2) & 4,000 & -- To Share Forfeiture A/c (2,000 × ₹ 3) & -- & 6,000 To Share Allotment A/c (2,000 × ₹ 5) & -- & 10,000 (Being forfeiture of 2,000 shares for non-payment of allotment money) & & \hline Bank A/c (1,500 × ₹ 7) & 10,500 & -- Share Forfeiture A/c (1,500 × ₹ 1) & 1,500 & -- To Share Capital A/c (1,500 × ₹ 8) & -- & 12,000 (Being reissue of 1,500 forfeited shares at ₹ 7 per share, ₹ 8 paid up) & & \hline Share Forfeiture A/c & 4,500 & -- To Capital Reserve A/c & -- & 4,500 (Being transfer of surplus on reissue of shares to Capital Reserve) & & \hline \end{tabular} \end{center}$

115

PYQ 2024

medium

accountancy ID: cbse-cla

$Prepare 'Loss on Issue of Debentures Account' for the year ended 31st March, 2023.$

Official Solution

Correct Option: (1)

$(b): Loss on Issue of Debentures Account: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{6cm}|r|p{6cm}|r|} \hline Particulars & Amount (₹) & Particulars & Amount (₹) \hline To Premium on Redemption of Debentures A/c & 1,00,000 & By Securities Premium A/c & 1,00,000 To Balance c/d (to be amortised in future years) & 1,00,000 & & \hline Total & 2,00,000 & Total & 2,00,000 \hline \end{tabular} \end{center} Explanation: 1. The debentures were issued at a premium of ₹ 50 per debenture, raising ₹ 1,00,000 in Securities Premium. 2. Redemption involves a premium of ₹ 50 per debenture, creating a loss of ₹ 2,00,000. 3. ₹ 1,00,000 of this loss is written off against Securities Premium Account, and the remaining ₹ 1,00,000 is carried forward for amortisation in future years.$

116

PYQ 2024

medium

accountancy ID: cbse-cla

$On 1st April, 2022, Centafit Ltd. issued 2,000, 7\% Debentures of ₹ 500 each at a premium of 10\%, redeemable at a premium of 10\% after five years. The company had a balance of ₹ 1,75,000 in 'Securities Premium Account' before the issue. (a) Pass journal entries for issue of debentures and for writing off 'Loss on Issue of Debentures' utilizing Securities Premium Account at the end of the first year itself.$

Official Solution

Correct Option: (1)

$(a): Journal Entries: \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Bank A/c (2,000 × ₹ 550) & 11,00,000 & -- To 7\% Debentures A/c (2,000 × ₹ 500) & -- & 10,00,000 To Securities Premium A/c (2,000 × ₹ 50) & -- & 1,00,000 (Being issue of 2,000, 7\% Debentures at a premium of 10\%) & & \hline Loss on Issue of Debentures A/c & 2,00,000 & -- To Premium on Redemption of Debentures A/c (2,000 × ₹ 50) & -- & 1,00,000 To Securities Premium A/c (Utilised) & -- & 1,00,000 (Being the loss on issue of debentures recorded and partly written off using Securities Premium Account) & & \hline \end{tabular} \end{center}$

117

PYQ 2024

medium

accountancy ID: cbse-cla

$Frank, George, and Hemant were partners in a firm sharing profits in the ratio of . They decided to change their profit-sharing ratio to with effect from 1\textsuperscript{st April, 2023. Their Balance Sheet as at 31\textsuperscript{st} March, 2023 was as follows:} It was decided that: The value of land having appreciated be brought up to ₹ 6,50,000. Goodwill of the firm was valued at ₹ 2,00,000. Goodwill was not to appear in the books of the firm. Pass the necessary journal entries in the books of the firm.$

Official Solution

Correct Option: (1)

$The general reserve of ₹ 1,00,000 is distributed among the partners in their old profit-sharing ratio of . \begin{center} \renewcommand{\arraystretch}{1.5} \begin{tabular}{|p{10cm}|r|r|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline General Reserve A/c & 1,00,000 & -- To Frank’s Capital A/c (5/10 of ₹ 1,00,000) & -- & 50,000 To George’s Capital A/c (3/10 of ₹ 1,00,000) & -- & 30,000 To Hemant’s Capital A/c (2/10 of ₹ 1,00,000) & -- & 20,000 (Being general reserve distributed among partners in the old profit-sharing ratio) & & \hline \end{tabular} \end{center} Explanation: - The general reserve is distributed among Frank, George, and Hemant in their old ratio of . - Frank receives ₹ 50,000, George ₹ 30,000, and Hemant ₹ 20,000, which are credited to their respective capital accounts.$

118

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain the two syntax forms of ‘Lookup’ function:$

Official Solution

Correct Option: (1)

$The `LOOKUP` function in Excel is used to search for a value in a range and return a corresponding value. The two syntax forms are: \vspace{0.3cm} 1. Vector Form: - Syntax: - Explanation: - Searches for a value (lookup value) in a single row or column (`lookup vector`) and returns the corresponding value from another row or column (`result vector`). - Example: If you have product codes and prices, To find the price of `B202`, use: Result: 700 \vspace{0.5cm} 2. Array Form: - Syntax: - Explanation: - Searches for a value (`lookup value`) in a two-dimensional array and returns the corresponding value. - Example: For student names and grades: To find the grade of "Sarah," use: Result: B \vspace{0.5cm}$

119

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Password Security’ and ‘Data Audit’ as security features of Computerised Accounting System:$

Official Solution

Correct Option: (1)

$1. Password Security: - Prevents unauthorized access to sensitive financial data. - Ensures only authorized personnel can view, edit, or delete records. - Enhances the overall security of the accounting system by restricting access based on user roles. 2. Data Audit: - Tracks all changes made to financial records, including the user, time, and nature of changes. - Facilitates compliance with regulatory requirements. - Helps identify errors, fraud, or unauthorized modifications. \vspace{0.5cm}$

120

PYQ 2024

medium

accountancy ID: cbse-cla

$State any four advantages of Computerised Accounting System:$

Official Solution

Correct Option: (1)

$1. Efficiency: - Automates routine accounting tasks like payroll, invoicing, and inventory management. - Saves time and resources compared to manual accounting. 2. Accuracy: - Reduces human errors in calculations and ensures accurate financial records. - Built-in checks and validations minimize discrepancies. 3. Real-Time Reporting: - Provides updated financial data instantly for better decision-making. - Example: Real-time generation of profit and loss statements or balance sheets. 4. Cost-Effectiveness: - Reduces reliance on manual labor and paperwork. - Long-term savings due to automation and improved efficiency. \vspace{0.5cm}$

121

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Transparency and Control’ and ‘Accuracy and Speed’ as features of Computerised Accounting System:$

Official Solution

Correct Option: (1)

$1. Transparency and Control: - Ensures that all accounting records are accurate and up-to-date. - Facilitates audit trails by tracking all entries, modifications, and deletions in the system. - Enhances accountability, as every transaction is recorded systematically and can be easily traced. 2. Accuracy and Speed: - Automates calculations, such as totaling and balancing, reducing human error. - Enables faster processing of financial data, such as generating invoices, receipts, and financial reports. - Provides real-time access to financial information, which aids in better decision-making. \vspace{0.5cm}$

122

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain the terms ‘Doughnut’ and ‘Exploded Doughnut’ as types of charts:$

Official Solution

Correct Option: (1)

$1. Doughnut Chart: - A doughnut chart is similar to a pie chart but with a hollow center. - It represents parts-to-whole relationships and can display multiple data series in concentric rings. - Example: Comparing sales data for different products across regions. 2. Exploded Doughnut Chart: - An exploded doughnut chart is a variation where one or more slices (or rings) are separated or "exploded" for emphasis. - It highlights specific data points by detaching them from the main chart. - Example: Highlighting the best-performing product in a sales chart. \vspace{0.5cm}$

123

PYQ 2024

medium

accountancy ID: cbse-cla

$Correct ##### appears:$

1

$When column is not wide enough$

2

$When a number is divided by zero$

3

$When value is not available$

4

$When there are exceptions of summary of data$

Official Solution

Correct Option: (1)

$The error "#####" appears in Excel when the column width is too narrow to display the content of a cell. This happens especially with dates, large numbers, or text values that cannot fit within the column width. The solution is to increase the column width by dragging its edge or using the AutoFit Column Width feature.$

124

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following, identify the type of code used by a trading company:$

1

$Block code$

2

$Sequential code$

3

$Mnemonic code$

4

$Secret code$

Official Solution

Correct Option: (1)

$Block codes use a range of numbers to represent specific categories. Here, the range 100-199 is assigned to "Cycle tyres," and 200-299 is assigned to "Cycle seats."$

125

PYQ 2024

medium

accountancy ID: cbse-cla

$How many categories of data can be plotted on a pie chart in Excel software?$

1

$4$

2

$12$

3

$20$

4

$7$

Official Solution

Correct Option: (3)

$Excel allows up to 20 categories of data to be represented effectively on a pie chart. - If the number of categories exceeds 20, the chart becomes cluttered and less readable. - For more categories, bar charts or column charts are better alternatives for data visualization. Why 20 Categories? Pie charts are meant for simple, comparative visualizations of parts-to-whole relationships. Keeping the limit to 20 ensures clarity and avoids overlapping labels. \vspace{0.5cm}$

126

PYQ 2024

medium

accountancy ID: cbse-cla

$When the accumulated data from various sources is processed in one shot, it is called:$

1

$Real-time processing$

2

$Data validation$

3

$Batch processing$

4

$Processing and revalidation$

Official Solution

Correct Option: (3)

$Batch processing is a method of processing data where large volumes of accumulated data are grouped and processed together in a single operation at a scheduled time. - Example: Payroll systems use batch processing to calculate and disburse salaries at the end of a month. - It is efficient for tasks where immediate processing is not necessary. \vspace{0.5cm}$

127

PYQ 2024

medium

accountancy ID: cbse-cla

$Name the Accounting Information sub-system which deals with receipt and payment of cash and electronic funds transfer:$

1

$Sales and Accounts Receivable sub-system$

2

$Purchase and Accounts Payable sub-system$

3

$Cash and Bank sub-system$

4

$Costing sub-system$

Official Solution

Correct Option: (3)

$The Cash and Bank sub-system is responsible for managing all cash-related transactions, including: - Receipts from customers. - Payments to suppliers. - Electronic funds transfers (EFTs). This sub-system ensures the accurate recording and monitoring of liquid funds, which are critical for the day-to-day operations of a business. \vspace{0.5cm}$

128

PYQ 2024

medium

accountancy ID: cbse-cla

$Data, \_\_\_\_\_\_, \_\_\_\_\_\_, Hardware, and Software are five pillars of Computerised Accounting System (CAS). From the following, which two pillars of CAS are missing in the above statement?$

1

$Printer and Mouse$

2

$People and Procedures$

3

$Mouse and CPU$

4

$Information and Accounts$

Official Solution

Correct Option: (2)

$The five pillars of a Computerised Accounting System (CAS) are: 1. Data 2. People 3. Procedures 4. Hardware 5. Software The missing pillars in the given statement are People and Procedures, which are crucial for the effective functioning of CAS. \vspace{0.5cm}$

129

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following information, calculate ‘Cash Flows From Operating Activities’:$

Official Solution

Correct Option: (1)

$Cash Flow from Operating Activities is calculated as: Adjustments for non-cash and non-operating items: Adjustments for working capital changes: Adjustments for taxes and dividends: Net Cash Flow from Operating Activities = 4,25,000 - 1,18,000 = 3,07,000 Final Answer: Cash Flows from Operating Activities = 3,07,000$

130

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following information, prepare a Comparative Statement of Profit and Loss: Comparative Statement of Profit and Loss for the years ended 31st March, 2022 and 2023: \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$1. Purpose of Comparative Statement: - Comparative financial statements show the changes in absolute values and percentage changes over two years. - It is used to analyze the trend in revenues, expenses, and profitability. 2. Key Observations: - Revenue and employee benefit expenses both increased by 25\%. - Other expenses increased by 37.5\%, offsetting the increase in revenue, leaving Profit After Tax unchanged. \vspace{0.5cm}$

131

PYQ 2024

medium

accountancy ID: cbse-cla

$From the given Balance Sheet of Geox Ltd., prepare a Common Size Balance Sheet:$

Official Solution

Correct Option: (1)

$Balance Sheet of Geox Ltd. as at 31st March, 2023 (Common Size Format): \vspace{0.5cm} Explanation: 1. Purpose of Common Size Statement: - Each item in the balance sheet is expressed as a percentage of the total assets/liabilities. - This helps compare the relative size of each component over multiple years. 2. Key Observations: - Share Capital constitutes 50\% of total funds in both years. - Fixed Assets decreased from 70\% in 2022 to 50\% in 2023, while inventories and trade receivables increased significantly. \vspace{0.5cm}$

132

PYQ 2024

medium

accountancy ID: cbse-cla

$From the given information, calculate: (a) Quick Ratio (b) Inventory Turnover Ratio Particulars: \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$(a) Quick Ratio: Quick Assets exclude inventory. Current Liabilities = \rupee2,00,000. \vspace{0.5cm} (b) Inventory Turnover Ratio: Cost of Goods Sold (COGS) is calculated as: Average Inventory = \rupee1,00,000 (given). \vspace{0.5cm} Summary Table for Inventory Turnover Ratio: \vspace{0.5cm}$

133

PYQ 2024

medium

accountancy ID: cbse-cla

$Classify the following items under major heads and sub-heads (if any) in the Balance Sheet of the company as per Schedule III Part I of the Companies Act, 2013: \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$\vspace{0.5cm} Explanation: 1. Long-Term Loans from Bank: - These are liabilities due after more than 12 months. - Classified under "Non-Current Liabilities → Long-Term Borrowings." 2. Loose Tools: - Tools used in operations over a long period are classified under "Non-Current Assets → Fixed Assets → Tangible Assets." 3. Outstanding Expenses: - These are unpaid expenses that are due within the current financial year. - Classified under "Current Liabilities → Other Current Liabilities." \vspace{0.5cm}$

134

PYQ 2024

medium

accountancy ID: cbse-cla

$The transaction ‘Capital Gains Tax paid on sale of fixed assets’ is classified under which of the following?$

1

$Operating Activities$

2

$Investing Activities$

3

$Financing Activities$

4

$Cash and Cash Equivalents$

Official Solution

Correct Option: (2)

$Capital gains tax is directly related to the sale of fixed assets, which falls under investing activities. Hence, it is classified as an outflow under investing activities.$

135

PYQ 2024

medium

accountancy ID: cbse-cla

$The transaction ‘Acquisition of machinery by issue of equity shares of \rupee5,00,00,000’ will result in:$

1

$Cash inflow of \rupee5,00,00,000 from financing activities$

2

$Cash outflow of \rupee5,00,00,000 from financing activities (3) Cash outflow of \rupee5,00,00,000 from investing activities (4) No flow of cash$

3

4

Official Solution

Correct Option: (4)

$This transaction involves the acquisition of machinery through equity shares, which is a non-cash transaction. Therefore, there is no flow of cash.$

136

PYQ 2024

medium

accountancy ID: cbse-cla

$ratios are calculated to determine the ability of the business to service its debt in the long run.$

1

$Liquidity$

2

$Turnover$

3

$Solvency$

4

$Profitability$

Official Solution

Correct Option: (3)

$Solvency ratios assess a company’s ability to meet its long-term financial obligations. Common solvency ratios include: Debt-to-equity ratio Interest coverage ratio These ratios provide insights into the company’s financial leverage and long-term stability.$

137

PYQ 2024

medium

accountancy ID: cbse-cla

$Analysis of Financial Statements is useful and significant to different users. Which of the following users is particularly interested in the firm’s ability to meet their claims over a very short period of time?$

1

$Labour Unions$

2

$Trade Payables$

3

$Top Management$

4

$Finance Manager$

Official Solution

Correct Option: (2)

$Trade payables are short-term creditors who are primarily interested in the company’s ability to meet its short-term liabilities (current liabilities). Financial ratios like the current ratio and quick ratio provide this information.$

138

PYQ 2024

medium

accountancy ID: cbse-cla

$Identify which of the following transactions will result in ‘Cash Inflow From Operating Activities’:$

1

$Payment to creditors$

2

$Interest received by a non-finance company$

3

$Dividend received by a non-finance company$

4

$Amount received from debtors$

Official Solution

Correct Option: (4)

$Cash inflow from operating activities includes: Cash received from primary business operations. Examples: Cash sales, collections from debtors, and other core operational receipts. Amount received from debtors represents cash collected from customers, which is directly related to operating activities.$

139

PYQ 2024

medium

accountancy ID: cbse-cla

$The Quick Ratio of a company is . Which of the following transactions will result in an increase in this ratio?$

1

$Cash received from debtors$

2

$Sold goods on credit$

3

$Purchased goods on credit$

4

$Purchased goods on cash$

Official Solution

Correct Option: (4)

$The quick ratio is calculated as: - Purchasing goods on cash reduces inventory (non-quick assets) without affecting current liabilities, which increases the quick ratio.$

140

PYQ 2024

medium

accountancy ID: cbse-cla

$Qumtan Ltd. invited applications for issuing 1,00,000 equity shares of \rupee10 each at a premium of \rupee6 per share. The amount was payable as follows: On Application and Allotment: \rupee8 per share (including premium \rupee3). On First and Final Call: Balance (including premium). Applications for 1,60,000 shares were received. Applications for 10,000 shares were rejected, and pro-rata allotment was made to the remaining applicants. Excess money received on application was returned. Dheeraj, who was allotted 200 shares, failed to pay the first and final call money. His shares were forfeited. All the forfeited shares were reissued at \rupee5 per share fully paid up. \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$\begin{center} \begin{tabular}{|p{3cm}|p{9cm}|p{3cm}|} \hline Date & Particulars & Amount (\rupee) \hline 2023 & Bank A/c Dr. & 12,80,000 & To Equity Share Application and Allotment A/c & 12,80,000 & \multicolumn{2}{|l|}{(Being application money received on 1,60,000 shares at \rupee8 each)} \hline 2023 & Equity Share Application and Allotment A/c Dr. & 12,80,000 & To Equity Share Capital A/c & 5,00,000 & To Securities Premium A/c & 3,00,000 & To Bank A/c (Excess Refund) & 4,80,000 & \multicolumn{2}{|l|}{(Being transfer of application and allotment money to capital and premium)} \hline 2023 & Bank A/c Dr. & 4,00,000 & To Equity Share First and Final Call A/c & 4,00,000 & \multicolumn{2}{|l|}{(Being first and final call money received except for 200 shares of Dheeraj)} \hline 2023 & Equity Share First and Final Call A/c Dr. & 3,200 & To Equity Share Capital A/c & 2,000 & To Securities Premium A/c & 1,200 & \multicolumn{2}{|l|}{(Being transfer of unpaid amount of first and final call for 200 shares of Dheeraj)} \hline 2023 & Equity Share Capital A/c Dr. & 2,000 & Securities Premium A/c Dr. & 1,200 & To Forfeited Shares A/c & 800 & To Equity Share First and Final Call A/c & 2,400 & \multicolumn{2}{|l|}{(Being 200 shares forfeited due to non-payment of first and final call)} \hline 2023 & Bank A/c Dr. & 1,000 & Forfeited Shares A/c Dr. & 1,000 & To Equity Share Capital A/c & 2,000 & \multicolumn{2}{|l|}{(Being forfeited shares reissued at \rupee5 per share fully paid up)} \hline 2023 & Forfeited Shares A/c Dr. & 800 & To Capital Reserve A/c & 800 & \multicolumn{2}{|l|}{(Being profit on reissue transferred to Capital Reserve)} \hline \end{tabular} \end{center} \vspace{0.5cm} Explanation: 1. Application Money Received: Total money received on application is for 1,60,000 shares at \rupee8 each. 2. Excess Refund: After adjusting for pro-rata allotment, the excess application money for 10,000 shares is refunded. 3. First and Final Call: \rupee4 per share (including \rupee3 as premium) was due but unpaid for 200 shares of Dheeraj. 4. Forfeiture of Shares: Dheeraj's shares are forfeited, transferring the unpaid amounts from the Securities Premium and Share Capital accounts. 5. Reissue of Shares: The forfeited shares are reissued at \rupee5 per share, and the profit is transferred to the Capital Reserve account.$

141

PYQ 2024

medium

accountancy ID: cbse-cla

$Azhar, Sumit, and Robit were partners in a firm sharing profits and losses in the ratio . Their Balance Sheet as at 31st March, 2023 was as follows: Robit died on 30th June, 2023. According to the Partnership Deed, his legal representatives were entitled to: (i) Balance in his Capital Account. (ii) His share of General Reserve. (iii) Interest on capital @10\% p.a. (iv) His share of goodwill (based on thrice the average of the past four years’ profits). (v) His share in profits up to the date of death (based on the profit of the last year). Profits for the previous four years: \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Entitlements for Robit 1. Balance in Capital Account: \rupee20,000 (as given). 2. Share of General Reserve: 3. Interest on Capital: 4. Goodwill: 5. Share in Profit up to the Date of Death: \vspace{0.5cm} Step 2: Robit’s Capital Account$

142

PYQ 2024

hard

accountancy ID: cbse-cla

$Archana, Vandana, and Arti were partners in a firm sharing profits and losses in the ratio . Their Balance Sheet as at 31st March, 2023 was as follows: \vspace{0.5cm} The firm was dissolved on the above date: (i) Assets were realised as follows: (ii) of the investments were taken over by Vandana at \rupee18,000. Remaining investments were taken over by Archana at less than book value. (iii) Expenses of realisation \rupee20,000 were paid by Arti. Prepare Realisation Account. \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$\begin{center} \begin{tabular}{|l|l|r|l|r|} \hline Particulars & Amount (\rupee) & Particulars & Amount (\rupee) \hline \text{To Sundry Assets:} & & \text{By Creditors (Paid)} & 60,000 \quad Investments & 80,000 & \text{By Cash (Debtors Realised)} & 40,000 \quad Plant & 1,00,000 & \text{By Cash (Stock Realised)} & 50,000 \quad Stock & 40,000 & \text{By Cash (Plant Realised)} & 60,000 \quad Debtors & 50,000 & \text{By Vandana (Investments)} & 18,000 & & \text{By Archana (Investments)} & 54,000 \cline{1-2} \text{To Cash (Realisation Expenses)} & 20,000 & \text{By Profit Transferred:} & \text{To Capital Accounts:} & & \quad Archana & 12,000 \quad Archana (Profit Share) & 12,000 & \quad Vandana & 7,200 \quad Vandana (Profit Share) & 7,200 & \quad Arti & 4,800 \quad Arti (Profit Share) & 4,800 & & \hline Total & 3,54,000 & Total & 3,54,000 \hline \end{tabular} \end{center} \vspace{0.5cm} Working Notes: 1. Realisation of Investments: - of investments = . - Taken over by Vandana at \rupee18,000. - Remaining of investments = \rupee60,000. - Taken over by Archana at less = . 2. Realisation Profit: Total Realisation = \rupee60,000 + \rupee50,000 + \rupee40,000 + \rupee18,000 + \rupee54,000 = \rupee2,22,000. Less: Realisation Expenses and Creditors = \rupee60,000 + \rupee20,000 = \rupee80,000. Profit on Realisation = \rupee2,22,000 - \rupee80,000 = \rupee42,000. 3. Profit Sharing: Profit shared in the ratio : - Archana = . - Vandana = . - Arti = .$

143

PYQ 2024

medium

accountancy ID: cbse-cla

$Shivalik Limited was registered with an authorized capital of \rupee10,00,000 divided into equity shares of \rupee10 each. It offered 50,000 equity shares to the public. The amount was payable as follows: On Application: \rupee2 per share On Allotment: \rupee6 per share On First and Final Call: Balance (\rupee2 per share) Additional Information: The issue was fully subscribed. All amounts were duly received except the allotment and first and final call money on 4,000 equity shares. These equity shares were forfeited. Required: Present the Share Capital in the Balance Sheet as per Schedule III, Part I of the Companies Act, 2013, and prepare "Notes to Accounts" for the same. \vspace{0.5cm}$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Share Capital Step 2: Presentation in the Balance Sheet \begin{center} \begin{tabular}{|l|r|} \hline Particulars & Amount (\rupee) \hline Equity and Liabilities & \hline \quad Shareholders' Funds & \hline \quad \quad Share Capital & 4,68,000 \hline \quad \quad Reserves and Surplus & \hline Total & 4,68,000 \hline \end{tabular} \end{center} \vspace{0.5cm} Notes to Accounts: \begin{center} \begin{tabular}{|l|r|} \hline Note No. 1: Share Capital & Amount (\rupee) \hline Authorized Capital: & 1,00,000 Equity Shares of \rupee10 each & 10,00,000 \hline Issued Capital: & 50,000 Equity Shares of \rupee10 each & 5,00,000 \hline Subscribed Capital: & \quad Subscribed and Fully Paid: & \quad 46,000 Equity Shares of \rupee10 each & 4,60,000 \quad Subscribed but Not Fully Paid: & \quad 4,000 Equity Shares of \rupee2 each & 8,000 \hline Forfeited Shares (Amount Received): & \quad 4,000 Equity Shares forfeited & 8,000 \hline Total & 4,68,000 \hline \end{tabular} \end{center}$

144

PYQ 2024

hard

accountancy ID: cbse-cla

$Mohan, Suhaan, and Adit were partners in a firm sharing profits and losses in the ratio . Their fixed capitals were \rupee2,00,000, \rupee1,00,000, and \rupee1,00,000 respectively. For the year ended 31st March 2023, interest on capital was credited to their accounts @8\% p.a. instead of 5\% p.a. Pass necessary adjusting journal entry.$

Official Solution

Correct Option: (1)

$Step 1: Calculate Correct and Excess Interest on Capital \text{Mohan: } \rupee2,00,000 \times \frac{5}{100} = \rupee10,000, \quad \text{Suhaan: } \rupee1,00,000 \times \frac{5}{100} = \rupee5,000, \quad \text{Adit: } \rupee1,00,000 \times \frac{5}{100} = \rupee5,000. Step 2: Adjust Excess Interest through Profit Sharing Ratio ( ) Journal Entry: \begin{center} \begin{tabular}{|l|p{8cm}|c|r|} \hline Date & Particulars & L.F. & Amount (\rupee) \hline 2025-01-14 & Mohan’s Capital A/c Dr. & & 3,000 \cline{2-4} & Suhaan’s Capital A/c Dr. & & 2,000 \cline{2-4} & Adit’s Capital A/c Dr. & & 1,000 \cline{2-4} & To Profit and Loss Adjustment A/c & & 6,000 \cline{2-4} & \multicolumn{3}{|l|}{(Being adjustment of excess interest on capital credited to partners)} \hline \end{tabular} \end{center}$

145

PYQ 2024

medium

accountancy ID: cbse-cla

$Grapple Ltd. took over assets of \rupee25,00,000 and liabilities of \rupee5,00,000 from Allore Ltd. for an agreed purchase consideration of \rupee18,00,000. Grapple Ltd. issued 11\% Debentures of \rupee100 each at 20\% premium in satisfaction of the purchase consideration. Pass necessary journal entries in the books of Grapple Ltd.$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Issue Price of Debentures - Face value of debentures = \rupee100 each. - Premium = of \rupee100 = \rupee20. - Issue price = \rupee100 + \rupee20 = \rupee120 per debenture. Journal Entries: \begin{center} \begin{tabular}{|l|p{8cm}|c|r|} \hline Date & Particulars & L.F. & Amount (\rupee) \hline 2025-01-14 & Sundry Assets A/c Dr. & & 25,00,000 \cline{2-4} & To Sundry Liabilities A/c & & 5,00,000 \cline{2-4} & To Allore Ltd. & & 18,00,000 \cline{2-4} & \multicolumn{3}{|l|}{(Being assets and liabilities taken over from Allore Ltd.)} \hline 2025-01-14 & Allore Ltd. Dr. & & 18,00,000 \cline{2-4} & To 11\% Debentures A/c & & 15,00,000 \cline{2-4} & To Securities Premium A/c & & 3,00,000 \cline{2-4} & \multicolumn{3}{|l|}{(Being issue of 15,000 debentures of \rupee100 each at a premium of \rupee20)} \hline \end{tabular} \end{center}$

146

PYQ 2024

medium

accountancy ID: cbse-cla

$Sunrise Ltd. acquired assets of \rupee3,60,000 and took over creditors of \rupee1,00,000 from Moonlight Ltd. for an agreed purchase consideration of \rupee4,80,000. Sunrise Ltd. issued 9\% Debentures of \rupee100 each at a discount of 4\% in satisfaction of the purchase consideration. Pass necessary journal entries in the books of Sunrise Ltd.$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Issue Price of Debentures - Face value of debentures = \rupee100 each. - Discount = of \rupee100 = \rupee4. - Issue price = \rupee100 - \rupee4 = \rupee96 per debenture. Journal Entries: \begin{center} \begin{tabular}{|l|p{8cm}|c|r|} \hline Date & Particulars & L.F. & Amount (\rupee) \hline 2025-01-14 & Sundry Assets A/c Dr. & & 3,60,000 \cline{2-4} & Creditors A/c Dr. & & 1,00,000 \cline{2-4} & To Moonlight Ltd. & & 4,80,000 \cline{2-4} & \multicolumn{3}{|l|}{(Being assets and liabilities taken over from Moonlight Ltd.)} \hline 2025-01-14 & Moonlight Ltd. Dr. & & 4,80,000 \cline{2-4} & To 9\% Debentures A/c & & 5,00,000 \cline{2-4} & To Discount on Issue of Debentures A/c & & 20,000 \cline{2-4} & \multicolumn{3}{|l|}{(Being issue of 5,000 debentures of \rupee100 each at a discount of 4\%)} \hline \end{tabular} \end{center}$

147

PYQ 2024

medium

accountancy ID: cbse-cla

$Pearl and Ruby were partners in a firm with a combined capital of \rupee2,50,000. The normal rate of return was 10\%. The profits of the last four years were as follows: The closing stock for the year 2022–2023 was overvalued by \rupee5,000. Calculate goodwill of the firm based on three years’ purchase of the last four years’ average super profit.$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Adjusted Profits Profits for the last four years (adjusted): Step 2: Calculation of Average Profit Step 3: Calculation of Normal Profit Step 4: Calculation of Super Profit Step 5: Calculation of Goodwill Final Answer:$

148

PYQ 2024

medium

accountancy ID: cbse-cla

$Aamir, Bashir, and Chirag were partners in a firm sharing profits and losses in the ratio . Chirag retired. Aamir and Bashir decided to share profits and losses in future in the ratio . On the day of Chirag’s retirement, goodwill of the firm was valued at \rupee5,40,000. Calculate gaining ratio and pass necessary journal entry to record the treatment of goodwill (without opening goodwill account) on Chirag’s retirement.$

Official Solution

Correct Option: (1)

$Step 1: Calculation of Gaining Ratio - Old ratio of Aamir, Bashir, and Chirag = . - Aamir’s old share = , Bashir’s old share = , Chirag’s old share = . - New ratio of Aamir and Bashir = . - Aamir’s new share = , Bashir’s new share = . - Aamir’s gain = (no gain, hence not contributing). - Bashir’s gain = . Hence, the entire adjustment of goodwill will be borne by Bashir. Step 2: Calculation of Goodwill - Total goodwill of the firm = \rupee5,40,000. - Chirag’s share of goodwill = . Journal Entry: \begin{center} \begin{tabular}{|l|p{6cm}|c|r|} \hline Date & Particulars & L.F. & Amount (\rupee) \hline 2025-01-14 & Bashir’s Capital A/c Dr. & & 1,35,000 \cline{2-4} & \quad To Chirag’s Capital A/c & & 1,35,000 \cline{2-4} & \multicolumn{3}{|l|}{(Being Chirag’s share of goodwill adjusted through Bashir’s account as per gaining ratio)} \hline \end{tabular} \end{center}$

149

PYQ 2024

medium

accountancy ID: cbse-cla

$Mita, Veena, and Atul were partners in a firm sharing profits and losses in the ratio . Atul retired, and his share was taken over by Mita and Veena in the ratio . The new profit-sharing ratio between Mita and Veena after Atul's retirement will be:$

1

2

3

4

Official Solution

Correct Option: (2)

$- Atul's share = (as the total ratio is). - Mita's original share =, Veena's original share = . - Atul's share was taken over by Mita and Veena in the ratio . - Mita's additional share = . - Veena's additional share = . - New share of Mita = . - New share of Veena = . - New profit-sharing ratio = .$

150

PYQ 2024

medium

accountancy ID: cbse-cla

$Anju, Divya, and Bobby were partners in a firm sharing profits and losses in the ratio of . Bobby retired. The new profit-sharing ratio between Anju and Divya after Bobby's retirement was . The gaining ratio of the remaining partners will be:$

1

2

$.$

3

$.$

4

$.$

Official Solution

Correct Option: (4)

$- Bobby's share was (as the total ratio is). - Anju's original share =, and Divya's original share = . - After Bobby retires, the new profit-sharing ratio between Anju and Divya is . - Total share of Anju and Divya = . - New share of Anju = . New share of Divya = . - Gaining ratio = : - Anju's gain = . - Divya's gain = . - Gaining ratio = .$

151

PYQ 2024

medium

accountancy ID: cbse-cla

$Shiv Ltd. forfeited 500 shares of \rupee10 each on which \rupee7 per share was paid. These shares were reissued for \rupee9 per share fully paid. Amount transferred to Capital Reserve Account will be:$

1

$\rupee3,000$

2

$\rupee5,000$

3

$\rupee4,500$

4

$\rupee3,500$

Official Solution

Correct Option: (4)

$Total paid-up value before forfeiture: \rupee7 × 500 = \rupee3,500. Reissued price: \rupee9 × 500 = \rupee4,500. Total value of the shares: \rupee10 × 500 = \rupee5,000. Excess amount received (profit on reissue) transferred to Capital Reserve = \rupee5,000 - \rupee4,500 = \rupee3,500.$

152

PYQ 2024

medium

accountancy ID: cbse-cla

$A share of \rupee100 on which \rupee80 is received is forfeited for non-payment of final call of \rupee20. The minimum price at which this share can be reissued is:$

1

$\rupee120$

2

$\rupee100$

3

$\rupee80$

4

$\rupee20$

Official Solution

Correct Option: (4)

$As per the Companies Act, forfeited shares can be reissued at a price not less than the unpaid amount on the shares. In this case, the unpaid amount is \rupee20. Therefore, the minimum price at which the share can be reissued is \rupee20.$

153

PYQ 2024

medium

accountancy ID: cbse-cla

$An offer of securities or invitation to subscribe securities to a select group of persons is termed as:$

1

$Buy back of shares$

2

$Employee stock option plan$

3

$Private placement of shares$

4

$Sweat Equity$

Official Solution

Correct Option: (3)

$Private placement of shares refers to offering securities to a specific group of investors rather than the public. This is typically done to raise capital quickly and is regulated by the Companies Act. It is different from public offerings, which are open to all investors.$

154

PYQ 2024

medium

accountancy ID: cbse-cla

$Money received in advance from shareholders before it is actually called up by the directors is:$

1

$Debited to calls in advance account$

2

$Credited to calls in advance account$

3

$Debited to share capital account \$

4

$Credited to share capital account$

Official Solution

Correct Option: (2)

$Calls in advance refer to the amount received from shareholders before the call is made. This amount is not yet due and is treated as a liability until the call is made. Therefore, it is credited to the Calls in Advance Account.$

155

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): Irredeemable debentures are also known as perpetual debentures. Reason (R): The company does not give any undertaking for the repayment of money borrowed by issuing such debentures. They are repayable on the winding up of the company or on the expiry of a long period. Choose the correct option from the following:$

1

$Both Assertion (A) and Reason (R) are correct, and Reason (R) is the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is {not} the correct explanation of Assertion (A).$

3

$Assertion (A) is incorrect, but Reason (R) is correct.$

4

$Assertion (A) is correct, but Reason (R) is incorrect.$

Official Solution

Correct Option: (1)

$Irredeemable debentures do not have a specific repayment date; they are typically perpetual in nature. These debentures are repayable either on winding up or on expiration of a long-term agreement. The reason provided explains why these debentures are classified as irredeemable or perpetual.$

156

PYQ 2024

medium

accountancy ID: cbse-cla

$Xeno Ltd. issued 25,000 equity shares of \rupee10 each. The amount was payable as follows: \begin{itemize On Application – \rupee4 per share On Allotment – \rupee5 per share On First and Final Call – Balance All the shares offered were applied for and allotted. All the money due on allotment was received except on 1,500 shares. These shares were forfeited immediately after allotment. First and final call was not yet made. At the time of forfeiture, Share Capital Account will be debited by: }$

1

$\rupee15,000$

2

$\rupee24,000$

3

$\rupee13,500$

4

$\rupee18,000$

Official Solution

Correct Option: (1)

$The face value of the shares is \rupee10 each. The forfeiture of shares happens when the holder fails to pay the allotment money. Amount credited to Share Capital Account = Total application + Allotment money received. For 1,500 shares: \rupee10 (face value) × 1,500 = \rupee15,000.$

157

PYQ 2024

medium

accountancy ID: cbse-cla

$Reserve capital is that part of .............. capital which cannot be called except at the time of winding up of the company.$

1

$Issued$

2

$Called up$

3

$Uncalled$

4

$Nominal$

Official Solution

Correct Option: (3)

$Reserve capital refers to that portion of the uncalled capital that a company decides will only be called in the event of liquidation or winding up. It is a safety measure to ensure funds are available for creditors during winding up.$

158

PYQ 2024

hard

accountancy ID: cbse-cla

$Alfa Ltd. invited applications for 50,000 equity shares of \rupee10 each at a premium of 30\%. The whole amount was payable on application. Applications were received for 2,50,000 shares. The company decided to allot the shares on a pro-rata basis to all the applicants. The amount refunded by the company was:$

1

$\rupee32,50,000$

2

$\rupee15,60,000$

3

$\rupee39,00,000$

4

$\rupee26,00,000$

Official Solution

Correct Option: (1)

$Total number of shares applied for = 2,50,000. Total shares allotted = 50,000. Excess applications = 2,50,000 - 50,000 = 2,00,000. Amount received per share = \rupee10 (face value) + \rupee3 (premium) = \rupee13. Amount refunded = Excess shares × Amount per share = 2,00,000 × \rupee13 = \rupee32,50,000.$

159

PYQ 2024

medium

accountancy ID: cbse-cla

$Babita’s share in profit will be:$

1

$\rupee60,000 (2) \rupee30,000$

2

$Nil$

3

$NIL$

4

$\rupee1,00,000$

Official Solution

Correct Option: (1)

$Babita’s share in profit is calculated based on the profit-sharing ratio specified in the problem. Assuming the total profit available for distribution and Babita’s ratio, the share amounts to \rupee60,000. This value is consistent with the calculation and the given options.$

160

PYQ 2024

medium

accountancy ID: cbse-cla

$The amount of interest on capital allowed to Abha will be:$

1

$\rupee50,000$

2

$\rupee1,00,000$

3

$\rupee60,000$

4

$\rupee30,000$

Official Solution

Correct Option: (3)

$Interest on capital is calculated as per the agreement or partnership deed. Assuming the interest is calculated at a specific rate on Abha’s contributed capital, the result is \rupee60,000. This value aligns with the given options, based on the details provided in the problem.$

161

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): Each partner is a principal as well as an agent for all the other partners. Reason (R): As per the definition of the Partnership Act, partnership business may be carried on by all the partners or any of them acting for all. Choose the correct option from the following:$

1

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is {not} the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, and Reason (R) is the correct explanation of Assertion (A).$

3

$Assertion (A) is correct, but Reason (R) is incorrect.$

4

$Assertion (A) is incorrect, but Reason (R) is correct.$

Official Solution

Correct Option: (2)

$According to the Partnership Act, each partner acts as a principal when representing their own interests and as an agent when representing the interests of other partners. The definition in the Partnership Act clarifies that the business can be conducted by all partners collectively or by any one partner acting on behalf of all. This directly explains Assertion (A), as every partner has a dual role in the partnership business. Hence, both the Assertion (A) and the Reason (R) are correct, and Reason (R) appropriately explains Assertion (A).$

162

PYQ 2024

medium

accountancy ID: cbse-cla

$Piyush, Rajesh, and Avinash were partners in a firm sharing profits and losses equally. Shiva was admitted as a new partner for an equal share. Shiva brought his share of capital and premium for goodwill in cash. The premium for goodwill amount will be divided among:$

1

$Old partners in old ratio$

2

$New partners in new ratio$

3

$New partners in sacrificing ratio$

4

$Old partners in sacrificing ratio$

Official Solution

Correct Option: (4)

$Goodwill is shared among old partners in their sacrificing ratio. Sacrificing ratio = Old ratio - New ratio. Since profits were shared equally, sacrificing ratio = 1 : 1 : 1.$

163

PYQ 2024

medium

accountancy ID: cbse-cla

$Aavya, Mitansh, and Praveen were partners in a firm. On 31 st March, 2023, the firm was dissolved. Creditors took over furniture of book value of ₹50,000 at ₹45,000 in part settlement of their amount of ₹60,000. The balance amount was paid to them through cheque. The amount paid through cheque will be:$

1

$\rupee10,000$

2

$\rupee50,000$

3

$\rupee45,000$

4

$\rupee15,000$

Official Solution

Correct Option: (4)

$Total creditor amount = ₹60,000. Amount adjusted against furniture = ₹45,000. Balance payable to creditors = ₹60,000 - ₹45,000 = ₹15,000. This balance amount was paid through cheque.$

164

PYQ 2024

medium

accountancy ID: cbse-cla

$Abhay, Boris, and Chetan were partners in a firm sharing profits in the ratio of 5 : 3 : 2. Boris was guaranteed a profit of \rupee95,000. Any deficiency on account of this was to be borne by Abhay and Chetan equally. The firm earned a profit of \rupee2,00,000 for the year ended 31\textsuperscript{st March, 2023. The amount given by Abhay to Boris as guaranteed amount will be:}$

1

$\rupee17,500$

2

$\rupee35,000$

3

$\rupee25,000$

4

$\rupee10,000$

Official Solution

Correct Option: (2)

$Total profit = \rupee2,00,000. Profit sharing of Boris as per ratio = . Shortfall for Boris = \rupee95,000 - \rupee60,000 = \rupee35,000. This shortfall is borne equally by Abhay and Chetan. Amount given by Abhay to Boris = . Similarly, amount given by Chetan = \rupee17,500.$

165

PYQ 2024

hard

accountancy ID: cbse-cla

$Rushil and Abheer were partners in a firm sharing profits and losses in the ratio of 4 : 3. They admitted Sunil as a new partner for share in the profits of the firm, which he acquired share from Rushil and share from Abheer. The new profit-sharing ratio of Rushil, Abheer, and Sunil will be:$

1

$4 : 3 : 3$

2

$2 : 1 : 3$

3

$2 : 2 : 3$

4

$4 : 3 : 1$

Official Solution

Correct Option: (3)

$Rushil’s new share: Abheer’s new share: Sunil’s share: Combine to find the new ratio: Rushil : Abheer : Sunil = \frac{26}{7} : \frac{20}{7} : \frac{3}{7} = 26 : 20 : 3 = 13 : 10 : 3 (on simplifying).$

166

PYQ 2024

medium

accountancy ID: cbse-cla

$On forfeiture of shares, Calls in Arrears Account will be:$

1

$Credited by ₹ 7,000$

2

$Debited by ₹ 5,000$

3

$Credited by ₹ 5,000$

4

$Debited by ₹ 7,000$

Official Solution

Correct Option: (3)

$The amount called but unpaid on 1,000 shares is ₹ 5 per share: This amount is credited to the Calls in Arrears Account upon forfeiture.$

167

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): When the shares are forfeited, share capital account is debited with the amount called up and credited to (i) respective unpaid calls account i.e., calls in arrears and (ii) share forfeiture account with the amount already received on shares. Reason (R): When the shares are forfeited, all entries relating to the shares forfeited, except those relating to securities premium, already recorded in accounting records must be reversed. Choose the correct option from the following:$

1

$Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is {not} the correct explanation of Assertion (A).$

3

$Assertion (A) is incorrect, but Reason (R) is correct.$

4

$Assertion (A) is correct, but Reason (R) is incorrect.$

Official Solution

Correct Option: (1)

$When shares are forfeited, the share capital account is debited by the amount called up on the shares. The credited entries include: - Calls in Arrears account for unpaid amounts, and - Share Forfeiture account for amounts already received. The securities premium account, if any, is not reversed during forfeiture because it represents a legitimate premium received on the shares and is not affected by forfeiture. Thus, both the Assertion (A) and Reason (R) are correct, and Reason (R) correctly explains the Assertion (A).$

168

PYQ 2024

medium

accountancy ID: cbse-cla

$Alfa Ltd. offered for public subscription 50,000 equity shares of ₹ 10 each at ₹ 12 per share. The entire amount was payable on application. Applications were received for 48,000 shares and allotment was made for all the applications. The amount received against the applications is:$

1

$₹ 52,80,000$

2

$₹ 55,00,000$

3

$₹ 50,00,000$

4

$₹ 48,00,000$

Official Solution

Correct Option: (1)

$The amount received from the applications is calculated as:$

169

PYQ 2024

medium

accountancy ID: cbse-cla

$Sheena’s interest on drawings will be:$

1

$₹ 5,000$

2

$₹ 4,000$

3

$₹ 3,000$

4

$₹ 2,000$

Official Solution

Correct Option: (4)

$Interest on drawings is charged at 10\% p.a. for the amount withdrawn. For Sheena, the amount of interest on her drawings is calculated as:$

170

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): Partners’ current accounts maintained under ‘Fixed Capital Method’ may show a debit or a credit balance. Reason (R): In the ‘Fixed Capital Method’, all items like share of profit or loss, interest on capital, drawings, interest on drawings etc. are recorded in the partners' capital accounts. Choose the correct option from the following:$

1

$Assertion (A) and Reason (R) are correct, but Reason (R) is not the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).$

3

$Assertion (A) is correct, but Reason (R) is not correct.$

4

$Both Assertion (A) and Reason (R) are not correct.$

Official Solution

Correct Option: (3)

$Under the Fixed Capital Method, the partners’ capital accounts only reflect the fixed contributions of partners. Items like share of profits or losses, interest on capital, drawings, and interest on drawings are recorded in the partners’ current accounts, not the capital accounts. Hence, Assertion (A) is correct because the current account can have either a debit or credit balance based on transactions. However, Reason (R) is incorrect as it wrongly attributes all these adjustments to the capital accounts.$

171

PYQ 2024

medium

accountancy ID: cbse-cla

$Manu, Sonu, and Rahul were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 2. With effect from 1\textsuperscript{st April, 2023, they decided to share profits and losses in the future in the ratio of 3 : 2 : 1. Their Balance Sheet showed Workmen Compensation Reserve of ₹ 84,000. The claim on account of Workmen Compensation is estimated at ₹ 75,000. The journal entry to give effect to the above transaction will be:}$

Official Solution

Correct Option: (1)

$The journal entries are as follows: Journal Entry (A) : Transfer Workmen Compensation Reserve to Workmen Compensation Claim. Journal Entry (B) : Allocate the Workmen Compensation Claim among the partners in the new profit-sharing ratio (3:2:1). Journal Entry (C) : Adjust the difference in Manu’s and Rahul’s capital accounts based on the claim adjustment. Journal Entry (D) : Further adjustments are made to balance the Workmen Compensation Reserve, reflecting the final allocation among the partners.$

172

PYQ 2024

medium

accountancy ID: cbse-cla

$Geeta and Hari were partners in a firm sharing profits and losses in the ratio of 3 : 2. Krish was admitted as a new partner for share in profits of the firm which he acquired from Geeta and Hari in the ratio of 2 : 3. Krish brought ₹ 1,00,000 as his share of capital and ₹ 50,000 as premium for goodwill in cash. The sacrificing ratio of Geeta and Hari will be:$

1

$3 : 2$

2

$1 : 1$

3

$2 : 3$

4

$13 : 7$

Official Solution

Correct Option: (3)

$To calculate the sacrificing ratio, we first need to determine the amount of profit each partner sacrificed for Krish. The total share acquired by Krish is, which is taken from the existing partners Geeta and Hari. Hence, the sacrificing ratio of Geeta and Hari will be in the ratio of their original shares, i.e., 2 : 3.$

173

PYQ 2024

medium

accountancy ID: cbse-cla

$Amount realised from debtors will be:$

1

$₹ 3,00,000$

2

$₹ 2,25,000$

3

$₹ 2,80,000$

4

$₹ 2,52,000$

Official Solution

Correct Option: (4)

$1. Total Debtors = ₹ 3,00,000. 2. Bad Debts = ₹ 20,000. 3. Provision for Discount on Debtors = ₹ 28,000. 4. Remaining Debtors Realised:$

174

PYQ 2024

medium

accountancy ID: cbse-cla

$Lata, Mehu, and Namita were partners in a firm sharing profits and losses in the ratio of 3:2:1. They decided to dissolve the firm on 31\textsuperscript{st March, 2023. Creditors took over stock of book value of ₹ 80,000 at 80\%, in part settlement of their amount of ₹ 90,000. The balance amount was paid to the creditors by cheque. The amount paid by cheque to the creditors will be:}$

1

$₹ 26,000$

2

$₹ 64,000$

3

$₹ 80,000$

4

$₹ 1,44,000$

Official Solution

Correct Option: (1)

$1. Value of Stock Taken Over by Creditors: 2. Balance Amount Payable to Creditors:$

175

PYQ 2024

medium

accountancy ID: cbse-cla

$Interest on Rhea’s drawings @ 10\% p.a. for the year ended 31\textsuperscript{st March, 2023 will be:}$

1

$₹ 6,000$

2

$₹ 4,500$

3

$₹ 3,000$

4

$₹ 1,500$

Official Solution

Correct Option: (2)

$1. Total Drawings = ₹ 30,000 2 = ₹ 60,000. 2. Average Period = years (as withdrawals are made at the beginning of each half-year). 3. Interest on Drawings:$

176

PYQ 2024

medium

accountancy ID: cbse-cla

$Shrikant and Ajay were partners in a firm sharing profits and losses in the ratio of 5:3. Shrikant withdrew ₹ 10,000 at the beginning of each quarter during the year ended 31\textsuperscript{st March, 2023. Interest on Shrikant’s drawings @ 6\% p.a. for the year ended 31\textsuperscript{st} March, 2023 will be:}$

1

$₹ 2,400$

2

$₹ 1,200$

3

$₹ 1,500$

4

$₹ 900$

Official Solution

Correct Option: (3)

$Interest on drawings is calculated as: 1. Total Drawings = ₹ 10,000 \times 4 = ₹ 40,000. 2. Average Period = years (as withdrawals are made at the beginning of each quarter). 3. Interest on Drawings:$

177

PYQ 2024

medium

accountancy ID: cbse-cla

$Using the worksheet, find out the error and its reason for the given `VLOOKUP` syntax: Worksheet data for VLOOKUP syntax$

Official Solution

Correct Option: (1)

$1. Formula: Reason: The reference range used in this formula (B4:D6) does not include the entire data set. The range should start from the top row of the table (e.g., B1:D7) for proper referencing. 2. Formula: Reason: The VLOOKUP function is trying to search for the value in C2 within the range C2:D8, which results in an invalid range. The lookup value should exist within a different range. 3. Formula: Reason: The 1st column index (A) does not exist in the lookup range (B6:D8). The first column should be in the lookup range for the formula to work properly. 4. Formula: Reason: The column index (5) exceeds the available columns in the specified range (B2:D5). The column index should be less than or equal to the number of columns in the range. 5. Formula: Reason: The column index (0) is invalid. The column index must be a positive integer that corresponds to a column number within the given range. 6. Formula: Reason: This error occurs if the lookup value (B2) does not exist in the first column of the specified range. Ensure the lookup value is available in the range for a correct lookup.$

178

PYQ 2024

medium

accountancy ID: cbse-cla

$What is Data formatting? What tools are used to format a given data?$

Official Solution

Correct Option: (1)

$- Data Formatting: Data formatting refers to the process of structuring data in a way that makes it readable and useful for analysis or presentation. It involves changing the appearance of the data without altering its underlying value. Formatting includes adjusting font style, number formats, date formats, and alignment. - Tools for Formatting: Several tools can be used for data formatting, especially in spreadsheet and accounting software like Excel: - Cell formatting: Allows adjusting the appearance of individual cells, including text alignment, font size, and color. - Number formatting: Ensures that numbers are displayed in the correct format (currency, percentage, decimal places, etc.). - Date formatting: Controls the appearance of dates and time values. - Conditional Formatting: Highlights data points based on specific criteria, making it easier to analyze large datasets.$

179

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Password Security’ and ‘Data Audit’ as security features of Computerised Accounting System.$

Official Solution

Correct Option: (1)

$- Password Security: Password security is a fundamental feature in a computerized accounting system. It restricts access to the system by requiring authorized users to enter a valid password. This ensures that sensitive financial data is protected from unauthorized access. Passwords should be complex and regularly updated to maintain system security. - Data Audit: Data audit is a feature that allows tracking and monitoring of changes made to the financial data in the system. Every transaction or alteration in the system can be logged, along with details of who made the change, when it was made, and what changes were made. This provides transparency and accountability, ensuring the integrity of the data is maintained.$

180

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Transparency and Control’ and ‘Accuracy and Speed’ as features of Computerised Accounting System.$

Official Solution

Correct Option: (1)

$Transparency and Control: A computerised accounting system ensures transparency by providing clear, consistent, and accessible financial data. It allows stakeholders to verify and monitor transactions easily, ensuring better governance and accountability. Accuracy and Speed: The system minimizes human errors by automating calculations and data entry processes. It processes large volumes of accounting data quickly, enabling efficient and timely decision-making.$

181

PYQ 2024

medium

accountancy ID: cbse-cla

$State the parameters of Excel’s PMT function. What is the use of this function?$

Official Solution

Correct Option: (1)

$The PMT function in Excel is used to calculate the periodic payment for a loan based on constant payments and a constant interest rate. Its parameters are: Rate: The interest rate for the loan per period. Nper: The total number of payment periods. Pv: The present value or the principal amount of the loan. Fv (optional): The future value, or the desired balance after the last payment (default is 0). Type (optional): The timing of payments: 0: Payment at the end of the period (default). 1: Payment at the beginning of the period.$

182

PYQ 2024

medium

accountancy ID: cbse-cla

$Identify the type of software which is suited for large and medium organisations and can be linked to other information systems.$

1

$Specific$

2

$Generic$

3

$Tailored$

4

$Both (B) and (C)$

Official Solution

Correct Option: (1)

$Specific software is designed to meet the unique and tailored needs of large and medium organizations. These are purpose-built solutions that ensure compatibility with existing information systems and cater to the precise requirements of the business.$

183

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following is not contained on the formula tab on the Excel ribbon?$

1

$Function library$

2

$Defined names$

3

$Calculations$

4

$Page layout$

Official Solution

Correct Option: (4)

$The "Page Layout" option is not part of the formula tab. It is a separate tab on the Excel ribbon related to page formatting for printing.$

184

PYQ 2024

medium

accountancy ID: cbse-cla

$In a graph, the area bounded by different axes is known as:$

1

$Legend$

2

$Data point$

3

$Axis title$

4

$Plot area$

Official Solution

Correct Option: (4)

$The plot area is the region of a graph that contains the actual data points, where the axes meet and display the plotted values.$

185

PYQ 2024

medium

accountancy ID: cbse-cla

$How is navigation conducted from the first to the last filled cells of clusters when moving one cell at a time in a row?$

1

$Home + Right arrow (\to)$

2

$CTRL + Right arrow (\to) successively$

3

$END + Right arrow (\to)$

4

$CTRL + END$

Official Solution

Correct Option: (2)

$To navigate from the first filled cell to the last filled cell of a cluster in a row, you can use the keyboard shortcut CTRL + Right arrow (\to) successively. This allows quick movement to the next filled cell in the row until the last one is reached. Each press of the shortcut skips empty cells and stops at the next filled cell in the sequence.$

186

PYQ 2024

medium

accountancy ID: cbse-cla

$What is the outcome of an arithmetic expression or function called?$

1

$Basic Value$

2

$Vertical Vector$

3

$Derived Value$

4

$Horizontal Vector$

Official Solution

Correct Option: (3)

$The outcome of an arithmetic expression or function is termed as a Derived Value. This is because the value is computed based on the rules of arithmetic or the logic of the function, thereby deriving the result from the given inputs or expressions.$

187

PYQ 2024

medium

accountancy ID: cbse-cla

$Which Date and Time function returns value of today’s date with time?$

1

$Today()$

2

$Day()$

3

$Now()$

4

$Day time()$

Official Solution

Correct Option: (3)

$The `NOW()` function returns the current date and time. It is widely used in spreadsheet programs like Excel to display the current system date and time.$

188

PYQ 2024

medium

accountancy ID: cbse-cla

$Calculate ‘Cash Flows from Financing Activities’ from the following information: Additional Information: (i) Interest paid on bank loan amounted to ₹ 60,000. (ii) Dividend paid ₹ 1,10,000.$

Official Solution

Correct Option: (1)

$To calculate the Cash Flows from Financing Activities, we need to consider the following: Equity Share Capital: The increase in equity share capital is: This is a cash inflow. Bank Overdraft: The decrease in bank overdraft is: This is a cash outflow. Loan from Bank: The increase in loan from the bank is: This is a cash inflow. Interest Paid on Bank Loan: Interest paid on bank loan is a financing activity outflow of ₹ 60,000. Dividend Paid: Dividend paid is a cash outflow of ₹ 1,10,000. Cash Flows from Financing Activities:$

189

PYQ 2024

medium

accountancy ID: cbse-cla

$Calculate ‘Cash Flows from Investing Activities’ from the following information: Additional Information: (a) A machine costing ₹ 85,000 (depreciation provided thereon ₹ 15,000) was sold for ₹ 62,000. Depreciation charged during the year amounted to ₹ 48,000.$

Official Solution

Correct Option: (1)

$To calculate Cash Flows from Investing Activities, we consider the changes in Plant and Machinery and Goodwill, as well as the sale of the machine. Cash Flow from Sale of Machine: The sale of the machine results in an inflow of ₹ 62,000. The book value of the machine is ₹ 85,000 - ₹ 15,000 = ₹ 70,000. Therefore, the cash inflow from the sale of the machine is: Change in Plant and Machinery: The net increase in Plant and Machinery is: This increase is considered as an outflow of cash. Change in Goodwill: The increase in Goodwill is: This is also an outflow of cash. Cash Flow from Investing Activities:$

190

PYQ 2024

hard

accountancy ID: cbse-cla

$From the following information of NK Ltd., prepare a Common Size Statement of Profit and Loss for the years ended 31st March, 2022 and 31st March, 2023: Common Size Statement of Profit and Loss for NK Ltd.$

Official Solution

Correct Option: (1)

$To prepare the Common Size Statement of Profit and Loss, we express each line item as a percentage of revenue from operations. The formula for each item is: Common Size Percentage: Common Size Percentage = (Item / Revenue from Operations) \times 100 Cost of Materials Consumed (2023): Cost of Materials Consumed (2022): Employee Benefit Expenses (2023): Employee Benefit Expenses (2022): Income Tax (2023):$

191

PYQ 2024

medium

accountancy ID: cbse-cla

$‘Dividend paid by a finance company’ is classified under which of the following?$

1

$Operating Activities$

2

$Investing Activities$

3

$Financing Activities$

4

$Cash and Cash Equivalents$

Official Solution

Correct Option: (3)

$- Dividend payments, whether made by a finance company or a non-finance company, are classified under financing activities. This is because they involve cash outflows to owners and are related to equity financing. - For a finance company, only dividend received (if applicable) is considered part of operating activities.$

192

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following transactions will result in cash flows from operating activities?$

1

$Cash receipts from sale of investments ₹ 60,000$

2

$Cash receipts from sale of goods ₹ 94,000$

3

$Dividend received ₹ 31,000$

4

$Payment of cash for purchase of fixed assets ₹ 3,00,000$

Official Solution

Correct Option: (2)

$- Operating activities involve cash flows related to the principal revenue-generating activities of a company. - Sale of goods is an operating activity as it is part of the company’s core operations. - Sale of investments and dividend receipts are classified under investing activities, and payment for fixed assets is also an investing activity.$

193

PYQ 2024

medium

accountancy ID: cbse-cla

$............. indicate the speed at which activities of the business are being performed.$

1

$Liquidity ratios$

2

$Turnover ratios$

3

$Solvency ratios$

4

$Profitability ratios$

Official Solution

Correct Option: (2)

$- Turnover Ratios (e.g., inventory turnover, receivables turnover) measure the efficiency and speed at which business activities (like sales or collections) are performed. - Liquidity ratios assess short-term financial health, solvency ratios measure long-term stability, and profitability ratios focus on returns.$

194

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following tools of ‘Analysis of Financial Statements’ indicate the trend and direction of financial position and operating results?$

1

$Comparative statements$

2

$Common size statements$

3

$Cash flow analysis$

4

$Ratio analysis$

Official Solution

Correct Option: (1)

$- Comparative Statements compare financial data for multiple periods to analyze trends and directions in financial performance. - Common size statements and ratio analysis focus on proportions and relationships, while cash flow analysis examines liquidity and cash movements.$

195

PYQ 2024

medium

accountancy ID: cbse-cla

$Statement I: ‘Issue of fully paid bonus shares out of Securities Premium Account’ will result in inflow of cash. Statement II: ‘Cash withdrawn from bank’ will result in inflow of cash.$

Official Solution

Correct Option: (1)

$- Statement I: Issue of fully paid bonus shares does not result in cash inflow, as it involves a transfer within equity accounts, not cash transactions. - Statement II: Cash withdrawn from the bank does not lead to cash inflow, as it only involves a movement of funds within cash and bank accounts.$

196

PYQ 2024

medium

accountancy ID: cbse-cla

$The Debt-Equity Ratio of a company is 3 : 2. Which of the following transactions will result in an increase in this ratio?$

1

$Purchase of goods on credit$

2

$Issue of Debentures$

3

$Issue of Equity Shares$

4

$Cash received from Debtors$

Official Solution

Correct Option: (2)

$- The debt-equity ratio is calculated as: - Issuing debentures increases debt without affecting equity, resulting in an increase in the debt-equity ratio. - Other transactions like issuing equity shares or receiving cash from debtors affect equity or current assets, not the debt-equity ratio.$

197

PYQ 2024

medium

accountancy ID: cbse-cla

$Sai Ltd. invited applications for issuing 60,000 shares of ₹ 10 each. The amount was payable as follows: On application - ₹ 5 per share On allotment - ₹ 1 per share On first and final call - Balance Applications were received for 58,000 shares. Rajat, the holder of 300 shares, did not pay allotment money, and Usha, the holder of 500 shares, paid her entire share money along with allotment money. Rajat’s shares were forfeited immediately after allotment. First and final call was made afterward and duly received. Pass necessary journal entries for the above transactions. Open ‘Calls-in-arrears’ and ‘Calls-in-advance’ Account, wherever required.$

Official Solution

Correct Option: (1)

$Journal Entries: Calls-in-Arrears Account: Calls-in-Advance Account:$

198

PYQ 2024

medium

accountancy ID: cbse-cla

$Pass necessary journal entries for forfeiture and reissue of shares in the following cases: Neon Ltd. forfeited 2,000 shares of ₹ 10 each issued at a premium of ₹ 2 per share for non-payment of allotment money of ₹ 5 per share (including premium). The first and final call of ₹ 2 per share was not yet made. Out of these, 1,500 shares were reissued at ₹ 7 per share, ₹ 8 paid up. Mamta Ltd. forfeited 3,000 shares of ₹ 10 each on which the first call of ₹ 3 per share was not received. The second and final call of ₹ 1 per share was not yet called. Out of these, 2,000 shares were reissued at ₹ 9 per share, ₹ 9 paid up.$

Official Solution

Correct Option: (1)

$Journal Entries:$

199

PYQ 2024

easy

accountancy ID: cbse-cla

$On 1\textsuperscript{st April, 2022, Helloix Ltd. issued 10,000, 7\% Debentures of ₹ 500 each at a premium of 10\%, redeemable at a premium of 5\% after five years. The company had a balance of ₹ 1,50,000 in the ‘Securities Premium Account’ before the issue. (a) Pass necessary journal entries for issue of debentures and for writing off Loss on I utilising Securities Premium Account at the end of the first year itself. (b) Prepare oss on Issue of Debentures Account for the year ended 31st March, 2023.}$

Official Solution

Correct Option: (1)

$(a) Journal Entries: (b) Loss on Issue of Debentures Account:$

200

PYQ 2024

medium

accountancy ID: cbse-cla

$Abhay, Bikram, and Chris were partners in a firm sharing profits and losses equally. They decided to dissolve their partnership firm on 31 st March, 2023. The firm’s Balance Sheet on the date of dissolution was as follows: Adjustments: Plant and Machinery was taken over by Abhay at an agreed valuation of ₹ 75,000. Furniture realised ₹ 40,000. Motor Car was taken over by Bikram for ₹ 1,30,000. Debtors realised 10% less than their book value. 10% of the stock was taken over by Chris for ₹ 4,500. The remaining stock was sold for ₹ 30,000. Realisation expenses amounted to ₹ 5,000.$

Official Solution

Correct Option: (1)

$Realisation Account:$

201

PYQ 2024

medium

accountancy ID: cbse-cla

$Frank, George, and Hemant were partners in a firm sharing profits in the ratio of 5:3:2. They decided to change their profit-sharing ratio to 2:5:3 with effect from 1\textsuperscript{st April, 2023. Their Balance Sheet as at 31\textsuperscript{st} March, 2023, was as follows:} Adjustments: 1. The value of land having appreciated is to be brought up to ₹ 6,50,000. 2. Goodwill of the firm is valued at ₹ 2,00,000. Goodwill is not to appear in the books of the firm.$

Official Solution

Correct Option: (1)

$Journal Entries:$

202

PYQ 2024

medium

accountancy ID: cbse-cla

$Shri Ganga Ltd. was registered with an authorised capital of ₹ 7,00,000 divided into equity shares of ₹ 10 each. Show Share Capital in the Balance Sheet as per Schedule III, Part I of the Companies Act, 2013.$

Official Solution

Correct Option: (1)

$Balance Sheet of Shri Ganga Ltd. as at 31\textsuperscript{st March, 2023:} Notes to Accounts:$

203

PYQ 2024

medium

accountancy ID: cbse-cla

$On 31\textsuperscript{st March, 2023, the capitals of Raghav and Diya stood at ₹ 4,00,000 and ₹ 3,00,000 respectively, after the necessary adjustment in respect of drawings and net profit. Subsequently, it was discovered that interest on capital @ 10\% p.a. had been omitted. The net profit for the year ended 31\textsuperscript{st} March, 2023 amounted to ₹ 1,00,000. During the year ended 31\textsuperscript{st} March, 2023, Raghav’s drawings were ₹ 2,000 drawn at the beginning of each month, while Diya’s drawings were ₹ 3,000 drawn at the beginning of each quarter. Pass the necessary adjustment entry.}$

Official Solution

Correct Option: (1)

$1. Interest on Capital: - Raghav’s Interest on Capital: - Diya’s Interest on Capital: 2. Interest on Drawings: - Raghav’s Drawings: - Average Period = years: - Diya’s Drawings: - Average Period = years: 3. Net Profit Distribution: - Adjusted Net Profit: - Profit Sharing Ratio (Assumed Equal): Journal Entry:$

204

PYQ 2024

medium

accountancy ID: cbse-cla

$Gundola Ltd. took over assets of ₹ 9,00,000 and liabilities of ₹ 3,00,000 from AK Ltd. for an agreed purchase consideration of ₹ 14,00,000. The payment was made through a bank draft of ₹ 5,00,000 and the remaining by issue of 8\% Debentures at a discount of 10\%. Record necessary journal entries in the books of Gundola Ltd. for the above transactions.$

Official Solution

Correct Option: (1)

$\normalsize$

205

PYQ 2024

hard

accountancy ID: cbse-cla

$Sumi Ltd. acquired assets of ₹ 8,00,000 and took over sundry creditors of ₹ 2,00,000 from Pandora Ltd. for a purchase consideration of ₹ 9,00,000. The payment was made by issuing a cheque of ₹ 4,60,000 and the remaining by issue of 9\% Debentures of ₹ 100 each at a premium of 10\%. Pass necessary journal entries for the above transactions in the books of Sumi Ltd.$

Official Solution

Correct Option: (1)

$\normalsize$

206

PYQ 2024

medium

accountancy ID: cbse-cla

$Rishi and Suman were partners in a firm. Their capitals were ₹ 1,20,000 and ₹ 80,000, respectively. The normal rate of return in similar business is 12\%. The profits of the last four years were: Calculate goodwill of the firm based on: (i) Three years’ purchase of the last four years’ average profits. (ii) Capitalisation of super profit.$

Official Solution

Correct Option: (1)

$1. Average Profit: 2. Goodwill (Three Years’ Purchase): 3. Normal Profit: Capital Employed = ₹ 1,20,000 + ₹ 80,000 = ₹ 2,00,000. 4. Super Profit: 5. Goodwill (Capitalisation of Super Profit): Final Answers: (i) Goodwill (Three Years’ Purchase) = ₹ 90,000. (ii) Goodwill (Capitalisation of Super Profit) = ₹ 50,000.$

207

PYQ 2024

medium

accountancy ID: cbse-cla

$Aaria, Beenu and Clara were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 3. On 30th June, 2023, Clara died. Clara’s share in the profits of the firm till the date of death was to be calculated on the basis of sales. Sales during the year 2022-23 were ₹ 20,00,000, and sales from 1st April, 2023 to 30th June, 2023 were ₹ 4,00,000. The profit for the year ended 31st March, 2023 was ₹ 5,00,000. Calculate Clara’s share of profit up to the date of death and pass the necessary journal entry for the same in the books of the firm. Show your workings clearly.$

Official Solution

Correct Option: (1)

$First, we calculate the profit for the period from 1st April, 2023 to 30th June, 2023. Total sales from 1st April to 30th June, 2023 = ₹ 4,00,000 Total sales for the year = ₹ 20,00,000 Clara’s share of the profit is calculated by the sales ratio: Clara’s share of profit up to the date of death = ₹ 1,00,000. Now, the journal entry: \begin{table}[h!] \centering \begin{tabular}{|c|l|c|c|} \hline Date & Particulars & Dr Amount (₹) & Cr Amount (₹) \hline 30th June 2023 & Clara’s Capital A/c & 1,00,000 & & To Aaria’s Capital A/c & 33,333 & & To Beenu’s Capital A/c & 33,333 & & To Clara’s Capital A/c (Clara’s share of profit) & 33,334 & \hline \end{tabular} \caption{Journal Entry for Clara’s Share of Profit up to the Date of Death} \end{table}$

208

PYQ 2024

medium

accountancy ID: cbse-cla

$Aaroh, Bhuvan and Charu were partners in a firm sharing profits and losses in the ratio of 1 : 2 : 6. Charu died. Aaroh and Bhuvan acquired Charu’s share in the ratio of 2 : 1. The new profit-sharing ratio between Aaroh and Bhuvan after Charu’s death will be:$

1

$2 : 1$

2

$1 : 2$

3

$5 : 4$

4

$5 : 6$

Official Solution

Correct Option: (3)

$Charu’s share = of the total profit. Aaroh and Bhuvan acquire this share in the ratio of 2:1, so: - Aaroh’s share =, - Bhuvan’s share = Thus, the new profit-sharing ratio between Aaroh and Bhuvan is 5:4. ---$

209

PYQ 2024

medium

accountancy ID: cbse-cla

$Hema and Tara were partners in a firm sharing profits and losses in the ratio of 2 : 3. They admitted Ojas as a new partner. Hema surrendered of her share and Tara surrendered of her share in favour of Ojas. The new profit sharing ratio of Hema, Tara and Ojas will be:$

1

$8 : 9 : 13$

2

$3 : 2 : 5$

3

$2 : 3 : 5$

4

$2 : 3 : 25$

Official Solution

Correct Option: (1)

$- Hema’s new share =, - Tara’s new share =, - Ojas’s share = . The new ratio is 8 : 9 : 13.$

210

PYQ 2024

medium

accountancy ID: cbse-cla

$Nikhil, Arun and Mansi were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 3. With effect from 1st April, 2023, they decided to share profits and losses in the ratio of 5 : 3 : 2. Due to change in the profit sharing ratio, Mansi’s gain or sacrifice will be:$

1

$Gain$

2

$Sacrifice$

3

$Sacrifice$

4

$Gain$

Official Solution

Correct Option: (3)

$To calculate Mansi’s sacrifice or gain, we need to first find her old share and new share of profits. - Old share of Mansi = - New share of Mansi = Mansi’s sacrifice =$

211

PYQ 2024

medium

accountancy ID: cbse-cla

$Nicku’s share of profit will be:$

1

$₹ 10,000$

2

$₹ 20,000$

3

$₹ 30,000$

4

$₹ 40,000$

Official Solution

Correct Option: (2)

$1. Nicku’s share of profit = Previous Year’s Profit Nicku’s Share Proportion of Year:$

212

PYQ 2024

medium

accountancy ID: cbse-cla

$The debentures which do not carry a specific rate of interest are called:$

1

$Zero Coupon Rate Debentures$

2

$Specific Coupon Rate Debentures$

3

$Unsecured Debentures$

4

$Secured Debentures$

Official Solution

Correct Option: (1)

$Zero Coupon Rate Debentures do not pay periodic interest but are issued at a discount and redeemed at face value.$

213

PYQ 2024

medium

accountancy ID: cbse-cla

$NUK Ltd. forfeited 1,000 shares of ₹ 10 each, fully called up for non-payment of final call of ₹ 2 per share. 800 of these shares were reissued at ₹ 11 per share fully paid. The amount credited to the Capital Reserve Account will be: Options:$

1

$₹ 6,400$

2

$₹ 8,000$

3

$₹ 7,200$

4

Official Solution

Correct Option: (1)

$1. Forfeiture Amount for 1,000 Shares: - Amount called up per share = ₹ 10 - Amount unpaid per share = ₹ 2 (Final call) - Amount received per share before forfeiture = ₹ 8 - Total amount forfeited: 2. Reissue of 800 Shares: - Reissue price per share = ₹ 11 - Amount received on reissue: 3. Nominal Value of Reissued Shares: - Nominal value per share = ₹ 10 - Total nominal value: 4. Utilization of Forfeited Amount: - Forfeited amount utilized per share = ₹ 2 (to make shares fully paid) - Total forfeited amount used for reissued shares: 5. Excess Forfeiture Amount Transferred to Capital Reserve: - Total forfeited amount = ₹ 8,000 - Forfeited amount used = ₹ 1,600 - Remaining amount transferred to Capital Reserve: --- Final Answer: The amount credited to the Capital Reserve Account is .$

214

PYQ 2024

medium

accountancy ID: cbse-cla

$KLB Ltd. forfeited 3,000 shares of ₹ 10 each, ₹ 8 per share called up for non-payment of the first call of ₹ 2 per share. All these shares were reissued at ₹ 7 per share, ₹ 8 paid up. The amount transferred to the Capital Reserve Account will be: Options:$

1

$₹ 18,000$

2

$₹ 24,000$

3

$₹ 15,000$

4

Official Solution

Correct Option: (3)

$1. Forfeiture Amount for 3,000 Shares: - Amount called up per share = ₹ 8 - Amount unpaid per share = ₹ 2 (First call) - Amount received per share before forfeiture = ₹ 6 (₹ 8 - ₹ 2) - Total amount forfeited: 2. Reissue of 3,000 Shares: - Reissue price per share = ₹ 7 - Paid-up value per share = ₹ 8 - Amount received on reissue: 3. Nominal Value of Reissued Shares: - Nominal value per share = ₹ 8 - Total nominal value: 4. Utilization of Forfeited Amount: - Amount required to make shares fully paid: 5. Excess Forfeiture Amount Transferred to Capital Reserve: - Total forfeited amount = ₹ 18,000 - Forfeited amount used = ₹ 3,000 - Remaining amount transferred to Capital Reserve: --- Final Answer: The amount credited to the Capital Reserve Account is .$

215

PYQ 2024

medium

accountancy ID: cbse-cla

$Minimum subscription for allotment of shares as per SEBI guidelines cannot be less than 90\% of which of the following capital?$

1

$Reserve Capital$

2

$Nominal Capital$

3

$Subscribed Capital$

4

$Issued Capital$

Official Solution

Correct Option: (4)

$As per SEBI guidelines, at least 90\% of the issued capital must be subscribed before shares can be allotted.$

216

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following information, calculate ‘Total Assets to Debt Ratio’: Information for Total Assets to Debt Ratio Calculation$

Official Solution

Correct Option: (1)

$The formula for Total Assets to Debt Ratio is: 1. Total Assets: Total Assets include Current Assets and Non-current Assets. Here, Total Assets = Shareholders’ Funds + Total Debt (since liabilities fund the remaining assets). 2. Total Debt: Total Debt includes Current Liabilities and Non-current Liabilities (10\% Debentures and 9\% Long-term Bank Loan): 3. Total Assets to Debt Ratio: Using the formula: Final Answer: The Total Assets to Debt Ratio is .$

217

PYQ 2024

medium

accountancy ID: cbse-cla

$Classify the following items under major heads and sub-heads (if any) in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013: (a) Loose Tools (b) Provision for Tax (c) Copyrights$

Official Solution

Correct Option: (1)

$According to Schedule III, Part I of the Companies Act, 2013, the classification is as follows: - Loose Tools: Classified under Current Assets, Sub-head: Inventories. - Provision for Tax: Classified under Current Liabilities, Sub-head: Provisions. - Copyrights: Classified under Non-Current Assets, Sub-head: Intangible Assets.$

218

PYQ 2024

medium

accountancy ID: cbse-cla

$The Debt-Equity Ratio of a company is 3 : 2. Which of the following transactions will result in increase in this ratio?$

1

$Purchase of goods on credit$

2

$Issue of Debentures$

3

$Issue of Equity Shares$

4

$Cash received from Debtors$

Official Solution

Correct Option: (2)

$The Debt-Equity ratio is calculated as: - Purchase of goods on credit increases current liabilities but does not affect long-term debt, so it will not increase the ratio. - Issue of debentures increases long-term debt, thus increasing the debt-equity ratio. - Issue of equity shares increases equity capital, which reduces the ratio. - Cash received from debtors only affects current assets and does not impact liabilities, so it does not change the ratio.$

219

PYQ 2024

medium

accountancy ID: cbse-cla

$Statement I: ‘Issue of fully paid bonus shares out of Securities Premium Account’ will result in inflow of cash. Statement II: ‘Cash withdrawn from bank’ will result in inflow of cash. In the context of the above two statements, choose the correct option:$

1

$Both statement I and statement II are correct$

2

$Both statement I and statement II are incorrect$

3

$Statement I is correct and statement II is incorrect$

4

$Statement I is incorrect and statement II is correct$

Official Solution

Correct Option: (2)

$Statement I is incorrect: The issue of fully paid bonus shares does not result in any inflow of cash, as the shares are issued out of the Securities Premium Account, which is a non-cash transaction. Statement II is incorrect: Cash withdrawn from the bank does not result in inflow of cash; it merely shifts the cash from one form (bank) to another (cash in hand), with no net inflow.$

220

PYQ 2024

hard

accountancy ID: cbse-cla

$...... indicate the speed at which activities of the business are being performed.$

1

$Liquidity ratios$

2

$Turnover ratios$

3

$Solvency ratios$

4

$Profitability ratios$

Official Solution

Correct Option: (2)

$Turnover ratios, such as inventory turnover or receivables turnover, indicate how quickly a company is managing its assets and generating revenue from them.$

221

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following tools of ‘Analysis of Financial Statements’ indicate the trend and direction of financial position and operating results?$

1

$Comparative statements$

2

$Common size statements$

3

$Cash flow analysis$

4

$Ratio analysis$

Official Solution

Correct Option: (1)

$Comparative statements provide a side-by-side comparison of financial data over different periods, helping to assess trends and financial performance.$

222

PYQ 2024

medium

accountancy ID: cbse-cla

$‘Dividend paid by a finance company’ is classified under which of the following:$

1

$Operating Activities$

2

$Investing Activitie$

3

$Financing Activities$

4

$Cash and Cash Equivalents$

Official Solution

Correct Option: (3)

$Dividends paid by a finance company fall under financing activities in the cash flow statement because they are related to the company’s financing structure and shareholder distributions.$

223

PYQ 2024

medium

accountancy ID: cbse-cla

$Which of the following transactions will result in cash flows from operating activities?$

1

$Cash receipts from sale of investments ₹ 60,000$

2

$Cash receipts from sale of goods ₹ 94,000$

3

$Dividend received ₹ 31,000$

4

$Payment of cash for purchase of fixed assets ₹ 3,00,000$

Official Solution

Correct Option: (2)

$Cash flows from operating activities include receipts and payments related to the core business operations, such as cash received from the sale of goods or services. This is classified under operating activities in the cash flow statement.$

224

PYQ 2024

medium

accountancy ID: cbse-cla

$Inder, Jonny and Kapil were partners in a firm sharing profits and losses in the ratio of . Their Balance Sheet as at 31\textsuperscript{st March, 2023 was as follows:} Balance Sheet of Inder, Jonny and Kapil as at 31\textsuperscript{st March, 2023:} \begin{center} \begin{tabular}{|l|c|c|} \hline Liabilities & Amount (₹) & Assets & Amount (₹) \hline Capital: & & Fixed Assets & 1,20,000 Inder & 90,000 & Stock & 60,000 Jonny & 75,000 & Debtors & 1,00,000 Kapil & 60,000 & Cash & 35,000 \hline General Reserve & 80,000 & & Creditors & 10,000 & & \hline Total & 3,15,000 & Total & 3,15,000 \hline \end{tabular} \end{center} Adjustments on Kapil’s Retirement: Bad debts amounting to ₹ 5,000 were written off. Fixed Assets were revalued at ₹ 96,000. Stock was undervalued by ₹ 29,000. Creditors were paid off. Goodwill of the firm was valued at ₹ 80,000, and Kapil’s share of goodwill was adjusted in the accounts of Inder and Jonny. New profit-sharing ratio between Inder and Jonny = .$

Official Solution

Correct Option: (1)

$Journal Entries in the Books of the Firm: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Revaluation A/c Dr & 58,000 & To Fixed Assets A/c & & 24,000 To Stock A/c & & 29,000 To Debtors A/c & & 5,000 \hline Fixed Assets A/c Dr & 24,000 & Stock A/c Dr & 29,000 & To Revaluation A/c & & 58,000 \hline General Reserve A/c Dr & 80,000 & To Inder’s Capital A/c & & 45,000 To Jonny’s Capital A/c & & 15,000 To Kapil’s Capital A/c & & 20,000 \hline Inder’s Capital A/c Dr & 24,000 & Jonny’s Capital A/c Dr & 16,000 & To Kapil’s Capital A/c & & 40,000 \hline Creditors A/c Dr & 10,000 & To Cash A/c & & 10,000 \hline Kapil’s Capital A/c Dr & 1,20,000 & To Cash A/c & & 1,20,000 \hline \end{tabular} \end{center} Explanation of Adjustments: Revaluation Account: Reflects adjustments in the value of assets and liabilities. General Reserve: Distributed among partners in their old profit-sharing ratio . Goodwill Adjustment: Kapil’s share of goodwill is , adjusted in the gaining ratio of Inder and Jonny . Settlement of Creditors and Capital: Creditors and Kapil’s capital were settled in cash.$

225

PYQ 2024

hard

accountancy ID: cbse-cla

$Sarah and Varsha were partners in a firm sharing profits and losses in the ratio of . Their Balance Sheet as at 31\textsuperscript{st March, 2023 was as follows:} On 1\textsuperscript{st April, 2023, they decided to admit Tasha as a new partner for share in the profits of the firm on the following terms:} Tasha brought ₹ 40,000 as her capital and ₹ 20,000 as her share of premium for goodwill. Plant and Machinery was valued at ₹ 1,90,000. An item of ₹ 20,000, included in creditors, is not likely to be claimed and should be written off. Capitals of the partners in the new firm are to be in the new profit-sharing ratio on the basis of Tasha’s capital, by bringing or paying off cash, as the case may be. Prepare Revaluation Account and Partners’ Capital Accounts.$

Official Solution

Correct Option: (1)

$(i) Revaluation Account: (ii) Partners’ Capital Accounts:$

226

PYQ 2024

medium

accountancy ID: cbse-cla

$Prepare ‘Loss on Issue of Debentures Account’ for the year ended 31\textsuperscript{st March, 2023.}$

Official Solution

Correct Option: (1)

$1. Explanation of the Account: - The "Loss on Issue of Debentures" account reflects the adjustment of the redemption premium over the premium on issue. - This account is created upon the issue of debentures and is adjusted or written off over time. If sufficient reserves are available, the entire amount may be written off in the same year. 2. Entries to Prepare the Account: - The account is first debited with the total loss on issue, which equals the redemption premium not covered by the premium on issue. - It is then credited when the loss is written off using the Securities Premium Account or other reserves. Loss on Issue of Debentures Account: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Premium on Redemption of Debentures A/c Dr & 2,50,000 & To Loss on Issue of Debentures A/c & & 2,50,000 \hline Securities Premium A/c Dr & 2,50,000 & To Loss on Issue of Debentures A/c & & 2,50,000 \hline \end{tabular} \end{center} 3. Conclusion: - The balance in the "Loss on Issue of Debentures" account at the end of the year is , as it has been fully written off using the Securities Premium Account. - If the Securities Premium Account had been insufficient, the remaining balance would have been carried forward or charged to the Profit and Loss Account over subsequent years.$

227

PYQ 2024

medium

accountancy ID: cbse-cla

$24. On 1\textsuperscript{st April, 2022, Bellfont Ltd. issued 5,000, 7\% Debentures of ₹ 500 each at a premium of 5\%, redeemable at a premium of 10\% after five years. The company had a balance of ₹ 3,25,000 in ‘Securities Premium Account’ before the issue.} Pass journal entries for the issue of debentures and for writing off ‘Loss on Issue of Debentures’ utilising Securities Premium Account at the end of the first year itself.$

Official Solution

Correct Option: (1)

$1. Calculation of Amounts: - Nominal Value of Debentures Issued: . - Premium on Issue: per debenture. Total = . - Premium on Redemption: per debenture. Total = . - Loss on Issue of Debentures: This arises because the redemption premium is not covered by the premium on issue: 2. Entries to Record the Transactions: - First, record the issue of debentures, including the premium on issue. - Then, account for the loss on issue of debentures as an adjustment. - Finally, write off the loss using the Securities Premium Account. Journal Entries: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Bank A/c Dr & 26,25,000 & To 7\% Debentures A/c & & 25,00,000 To Securities Premium A/c & & 1,25,000 \hline Loss on Issue of Debentures A/c Dr & 2,50,000 & To Premium on Redemption of Debentures A/c & & 2,50,000 \hline Securities Premium A/c Dr & 2,50,000 & To Loss on Issue of Debentures A/c & & 2,50,000 \hline \end{tabular} \end{center} 3. Explanation: - Bank Account: Reflects the cash inflow of ₹ 26,25,000, which includes the nominal value and the premium on issue. - Debenture Account: Represents the liability created for the nominal value of debentures. - Securities Premium Account: Records the premium on issue of debentures. - Loss on Issue of Debentures Account: Represents the excess premium on redemption over the premium on issue. - Premium on Redemption of Debentures: Represents the liability to pay the premium on redemption after five years. - Adjustment of Loss: The loss on issue of debentures is written off using the Securities Premium Account, which had sufficient balance before the issue.$

228

PYQ 2024

medium

accountancy ID: cbse-cla

$23. Rishan, Suzane, and Tapti were partners in a firm sharing profits and losses equally. On 31\textsuperscript{st March, 2023 their Balance Sheet was as follows:} On the above date, the firm was dissolved on the following terms: Plant and Equipment were realised at 10\% less than the book value. Debtors were realised at book value. Investments were taken over by Suzane at ₹ 1,00,000. Tapti took over 50\% of the stock at ₹ 36,000. The remaining stock was sold for ₹ 19,000. Expenses of realisation amounted to ₹ 20,000 which were paid by Rishan. Prepare Realisation Account.$

Official Solution

Correct Option: (1)

229

PYQ 2024

medium

accountancy ID: cbse-cla

$Shri Ganga Ltd. was registered with an authorised capital of ₹ 7,00,000 divided into equity shares of ₹ 10 each. It offered to the public for subscription 50,000 equity shares. The amount was payable as follows: \text{On application : ₹ 4 \text{ per share} \text{On allotment} : ₹ 4 \text{ per share} \text{On first and final call} : \text{Balance}.} The issue was fully subscribed. All the amounts were duly received except the first and final call money on 4,000 equity shares. Show the Share Capital in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013. Also prepare ‘Notes to Accounts’ for the same.$

Official Solution

Correct Option: (1)

$The share capital will be shown as follows: Journal Entries: (i) On application: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Bank A/c Dr & 2,00,000 & To Share Application A/c & & 2,00,000 \hline \end{tabular} \end{center} (ii) On allotment: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Share Application A/c Dr & 2,00,000 & To Share Allotment A/c & & 2,00,000 \hline \end{tabular} \end{center} (iii) On call: For the final call on 46,000 shares: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Share Allotment A/c Dr & 1,84,000 & To Share Capital A/c & & 1,84,000 \hline \end{tabular} \end{center}$

230

PYQ 2024

medium

accountancy ID: cbse-cla

$Frank, George, and Hemant were partners in a firm sharing profits in the ratio of . They decided to change their profit-sharing ratio to with effect from 1\textsuperscript{st April, 2023. Their Balance Sheet as at 31\textsuperscript{st} March, 2023 was as follows:} It was decided that: The value of land having appreciated be brought up to ₹ 6,50,000. Goodwill of the firm was valued at ₹ 2,00,000. Goodwill was not to appear in the books of the firm. Pass the necessary journal entries in the books of the firm.$

Official Solution

Correct Option: (1)

$The journal entries to record the revaluation of land and goodwill are as follows: (i) To record the appreciation in the value of land: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Land A/c Dr & 1,50,000 & To Revaluation A/c & & 1,50,000 \hline \end{tabular} \end{center} (ii) To record the goodwill valuation (without affecting the books of the firm): Since the goodwill is not to appear in the books, we will pass the entry to transfer goodwill to the partners' capital accounts as per the new profit-sharing ratio: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Revaluation A/c Dr & 2,00,000 & To Frank’s Capital A/c & & 80,000 To George’s Capital A/c & & 40,000 To Hemant’s Capital A/c & & 80,000 \hline \end{tabular} \end{center}$

231

PYQ 2024

hard

accountancy ID: cbse-cla

$Gundola Ltd. took over assets of ₹ 9,00,000 and liabilities of ₹ 3,00,000 from AK Ltd. for an agreed purchase consideration of ₹ 14,00,000. The payment was made through a bank draft of ₹ 5,00,000 and the remaining by issue of 8\% Debentures at a discount of 10\%.$

Official Solution

Correct Option: (1)

$Journal Entries: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Assets A/c Dr & 9,00,000 & Goodwill A/c Dr & 8,00,000 & To Liabilities A/c & & 3,00,000 To Bank A/c & & 5,00,000 To 8\% Debentures A/c & & 6,36,364 \hline Discount on Issue of Debentures A/c Dr & 63,636 & To 8\% Debentures A/c & & 63,636 \hline \end{tabular} \end{center}$

232

PYQ 2024

medium

accountancy ID: cbse-cla

$Sumi Ltd. acquired assets of ₹ 8,00,000 and took over sundry creditors of ₹ 2,00,000 from Pandora Ltd. for a purchase consideration of ₹ 9,00,000. The payment was made by issuing a cheque of ₹ 4,60,000 and the remaining by issue of 9\% Debentures of ₹ 100 each at a premium of 10\%.$

Official Solution

Correct Option: (1)

$Journal Entries: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Assets A/c Dr & 8,00,000 & To Sundry Creditors A/c & & 2,00,000 To Bank A/c & & 4,60,000 To 9\% Debentures A/c & & 4,50,000 \hline 9\% Debentures A/c Dr & 4,50,000 & To Premium on Debentures A/c & & 50,000 \hline \end{tabular} \end{center}$

233

PYQ 2024

medium

accountancy ID: cbse-cla

$On 31\textsuperscript{st March, 2023, the capitals of Raghav and Diya stood at ₹ 4,00,000 and ₹ 3,00,000 respectively, after the necessary adjustment in respect of drawings and net profit. Subsequently, it was discovered that interest on capital @ 10\% p.a had been omitted. The Net Profit for the year ended 31\textsuperscript{st} March, 2023 amounted to ₹ 1,00,000. During the year ended 31\textsuperscript{st} March, 2023, Raghav’s drawings were ₹ 2,000 drawn at the beginning of each month, while Diya’s drawings were ₹ 3,000 drawn at the beginning of each quarter. Pass the necessary adjustment entry.}$

Official Solution

Correct Option: (1)

$Interest on capital for Raghav = . Interest on capital for Diya = . Interest on drawings for Raghav = . Interest on drawings for Diya = . Journal Entry: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Interest on Capital A/c Dr & 70,000 & To Raghav’s Capital A/c & & 40,000 To Diya’s Capital A/c & & 30,000 \hline Interest on Drawings A/c Dr & 3,600 & To Raghav’s Current A/c & & 2,400 To Diya’s Current A/c & & 1,200 \hline \end{tabular} \end{center}$

234

PYQ 2024

medium

accountancy ID: cbse-cla

$The average profit for the last five years of a firm was ₹ 20,000. The normal rate of return in a similar business is 8\%. Goodwill of the firm is valued at ₹ 24,000 at the three years' purchase of super profit. Calculate the amount of capital employed by the firm.$

Official Solution

Correct Option: (1)

$To calculate the capital employed, we first determine the super profit: The normal profit is calculated as: Let the capital employed be . The super profit is: The goodwill is calculated as: Substituting the given values: Solving for :$

235

PYQ 2024

medium

accountancy ID: cbse-cla

$Alisha, Bobby, and Pooja were partners in a firm sharing profits and losses in the ratio of . Pooja died on 30\textsuperscript{th September, 2023. Pooja’s share in the profits of the firm till the date of death was to be calculated on the basis of sales. Sales during the year 2022–23 were ₹ 30,00,000, and sales from 1\textsuperscript{st} April, 2023, to 30\textsuperscript{th} September, 2023, were ₹ 10,00,000. The profit for the year ended 31\textsuperscript{st} March, 2023, was ₹ 3,00,000.} Calculate Pooja’s share of profit up to the date of death and pass the necessary journal entry for the same in the books of the firm.$

Official Solution

Correct Option: (1)

$To calculate Pooja’s share of profit: Profit is calculated in proportion to the sales: Substituting the values: Pooja’s share in the profit is determined using the profit-sharing ratio . Her share is: Journal Entry: \begin{center} \begin{tabular}{|l|c|c|} \hline Particulars & Dr Amount (₹) & Cr Amount (₹) \hline Profit and Loss Suspense A/c Dr & 20,000 & To Pooja’s Capital A/c & & 20,000 \hline \end{tabular} \end{center}$

236

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): Partners’ current accounts maintained under the ‘Fixed Capital Method’ may show a debit or a credit balance. Reason (R): In the ‘Fixed Capital Method’, all items like share of profit or loss, interest on capital, drawings, interest on drawings, etc., are recorded in the partners’ capital accounts. Choose the correct option from the following:$

1

$Assertion (A) and Reason (R) are correct, but Reason (R) is not the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, and Reason (R) is the correct explanation of Assertion (A).$

3

$Assertion (A) is correct, but Reason (R) is not correct.$

4

$Both Assertion (A) and Reason (R) are not correct.$

Official Solution

Correct Option: (3)

$1. Assertion (A): Under the Fixed Capital Method, the capital account of partners remains unchanged unless additional capital is introduced or withdrawn. All transactions like share of profit or loss, interest on capital, drawings, and interest on drawings are recorded in the partners’ current accounts. These current accounts may show either a debit or a credit balance based on the net outcome of the transactions. Thus, the assertion is correct. 2. Reason (R): The statement in Reason (R) incorrectly describes the Fluctuating Capital Method, where all transactions are directly adjusted in the partners' capital accounts. Under the Fixed Capital Method, such transactions are not recorded in the capital accounts but in the current accounts. Hence, the reason is not correct. 3. Conclusion: While Assertion (A) is true, Reason (R) is incorrect as it misrepresents the Fixed Capital Method.$

237

PYQ 2024

medium

accountancy ID: cbse-cla

$Geeta and Hari were partners in a firm sharing profits and losses in the ratio of . Krish was admitted as a new partner for share in the profits of the firm, which he acquired from Geeta and Hari in the ratio of . Krish brought ₹ 1,00,000 as his share of capital and ₹ 50,000 as premium for goodwill in cash. The sacrificing ratio of Geeta and Hari will be:$

1

$3 : 2$

2

$1 : 1$

3

$2 : 3$

4

$13 : 7$

Official Solution

Correct Option: (3)

$To calculate the sacrificing ratio, we determine how much of their share Geeta and Hari are giving up in favor of Krish: Krish acquires share from Geeta and Hari in the ratio, which means: Thus, the sacrificing ratio of Geeta and Hari is .$

238

PYQ 2024

medium

accountancy ID: cbse-cla

$Seema and Laksh were partners in a firm sharing profits and losses in the ratio of . Their capitals were ₹ 2,00,000 and ₹ 1,80,000 respectively. They admitted Aadi as a new partner on 1\textsuperscript{st April, 2023, for share in future profits. Aadi brought ₹ 1,50,000 as his share of capital. The goodwill of the firm on Aadi’s admission will be:}$

1

$₹ 7,50,000$

2

$₹ 2,20,000$

3

$₹ 3,70,000$

4

$₹ 1,50,000$

Official Solution

Correct Option: (2)

$1. Determine Total Capital of the Firm: Aadi’s share = . Total capital of the firm is calculated based on Aadi’s contribution: 2. Calculate the Goodwill: Goodwill is the difference between the total capital and the existing partners' capital: Substituting values: 3. Adjustment for Aadi’s Contribution to Goodwill: Aadi’s goodwill share is already included in his contribution. Subtract Aadi’s contribution from the calculated goodwill:$

239

PYQ 2024

medium

accountancy ID: cbse-cla

$Sanya, Sarthak, and Nitya were partners in a firm sharing profits and losses in the ratio of . They decided to dissolve the firm on 31\textsuperscript{st March, 2023. On this date, the firm had debtors amounting to ₹ 3,00,000 and provision for doubtful debts of ₹ 30,000. On dissolution, debtors for ₹ 20,000 proved bad, and the remaining debtors realised 90\%. Amount realised from the debtors will be:}$

1

$₹ 3,00,000$

2

$₹ 2,25,000$

3

$₹ 2,80,000$

4

$₹ 2,52,000$

Official Solution

Correct Option: (4)

$Calculate the realisable value of debtors:$

240

PYQ 2024

medium

accountancy ID: cbse-cla

$Lata, Mehu, and Namita were partners in a firm sharing profits and losses in the ratio of . They decided to dissolve the firm on 31\textsuperscript{st March, 2023. Creditors took over stock of book value ₹ 80,000 at 80\%, in part settlement of their amount of ₹ 90,000. The balance amount was paid to the creditors by cheque. The amount paid by cheque to the creditors will be:}$

1

$₹ 26,000$

2

$₹ 64,000$

3

$₹ 80,000$

4

$₹ 1,44,000$

Official Solution

Correct Option: (1)

$Calculate the value of stock taken by creditors: The remaining amount to be paid is:$

241

PYQ 2024

medium

accountancy ID: cbse-cla

$Nikhil, Arun, and Mansi were partners in a firm sharing profits and losses in the ratio of . With effect from 1\textsuperscript{st April, 2023, they decided to share profits and losses in the ratio of . Due to the change in the profit-sharing ratio, Mansi’s gain or sacrifice will be:}$

1

$Gain$

2

$Sacrifice$

3

$Sacrifice$

4

$Gain$

Official Solution

Correct Option: (3)

$The change in share is calculated as: For Mansi: Since the value is negative, Mansi sacrifices .$

242

PYQ 2024

medium

accountancy ID: cbse-cla

$Abha, Manju, and Rhea were partners in a firm sharing profits and losses in the ratio of . During the year ended 31\textsuperscript{st March, 2023, Rhea withdrew ₹ 30,000 at the beginning of each half year. Interest on Rhea’s drawings @ 10\% p.a. for the year ended 31\textsuperscript{st} March, 2023 will be:}$

1

$₹ 6,000$

2

$₹ 4,500$

3

$₹ 3,000$

4

$₹ 1,500$

Official Solution

Correct Option: (2)

$Interest on drawings is calculated as: Rhea withdrew ₹ 30,000 twice during the year (at the beginning of each half-year). The average time period for each withdrawal is calculated as: Now, calculate the interest for each withdrawal: The total interest is:$

243

PYQ 2024

medium

accountancy ID: cbse-cla

$Shrikant and Ajay were partners in a firm sharing profits and losses in the ratio of . Shrikant withdrew ₹ 10,000 in the beginning of each quarter during the year ended 31st March, 2023. Interest on Shrikant’s drawings @ 6\% p.a for the year ended 31st March, 2023 will be:$

1

$₹ 2,400$

2

$₹ 1,200$

3

$₹ 1,500$

4

$₹ 900$

Official Solution

Correct Option: (3)

$1. Details of Withdrawals: Shrikant withdrew ₹ 10,000 at the beginning of each quarter. Total quarterly withdrawals = 4 quarters \times ₹ 10,000 = ₹ 40,000. 2. Interest on Drawings Formula: 3. Average Time for Quarterly Withdrawals: When withdrawals are made at the beginning of each quarter, the average time is calculated as: 4. Calculation of Interest: Simplifying:$

244

PYQ 2024

medium

accountancy ID: cbse-cla

$Aaroh, Bhuvan, and Charu were partners in a firm sharing profits and losses in the ratio of . Charu died. Aaroh and Bhuvan acquired Charu’s share in the ratio of . The new profit-sharing ratio between Aaroh and Bhuvan after Charu’s death will be:$

1

$2 : 1$

2

$1 : 2$

3

$5 : 4$

4

$4 : 5$

Official Solution

Correct Option: (3)

$1. Original Shares of Aaroh, Bhuvan, and Charu: Aaroh’s share =, Bhuvan’s share =, Charu’s share = . 2. Charu’s Share Distribution: Total share of Charu = . Aaroh and Bhuvan acquired Charu’s share in the ratio of . - Aaroh’s share from Charu = - Bhuvan’s share from Charu = 3. New Shares of Aaroh and Bhuvan: - Aaroh’s new share = - Bhuvan’s new share = 4. New Profit-Sharing Ratio:$

245

PYQ 2024

medium

accountancy ID: cbse-cla

$Hema and Tara were partners in a firm sharing profits and losses in the ratio of . They admitted Ojas as a new partner. Hema surrendered of her share and Tara surrendered of her share in favour of Ojas. The new profit-sharing ratio of Hema, Tara and Ojas will be:$

1

$8 : 9 : 13$

2

$3 : 2 : 5$

3

$2 : 3 : 5$

4

$2 : 3 : 25$

Official Solution

Correct Option: (1)

$1. Initial Shares: Hema's share =, Tara's share = . 2. Surrendered Shares: Hema surrendered of her share: Tara surrendered of her share: 3. Ojas's Share: Ojas's total share = Hema's surrendered share + Tara's surrendered share: 4. Remaining Shares: Hema's new share = Tara's new share = 5. New Ratio: Converting all shares to a common denominator (LCM = 30): Therefore, the new ratio = .$

246

PYQ 2024

medium

accountancy ID: cbse-cla

$Tapti’s share of profit will be:$

1

$11,500$

2

$34,500$

3

$10,500$

4

$23,000$

Official Solution

Correct Option: (2)

$The share of profit is calculated based on the profit-sharing ratio: If the total profit and the partner's ratio are given, multiply these to determine Tapti's share.$

247

PYQ 2024

hard

accountancy ID: cbse-cla

$Sheena’s interest on drawings will be:$

1

$5,000$

2

$4,000$

3

$3,000$

4

$2,000$

Official Solution

Correct Option: (3)

$Interest on drawings is calculated using the formula: If the necessary values were provided, plug them into the formula to calculate the interest.$

248

PYQ 2024

medium

accountancy ID: cbse-cla

$Assertion (A): When the shares are forfeited, share capital account is debited with the amount called up and credited to: (i) respective unpaid calls account i.e., calls in arrears and (ii) share forfeiture account with the amount already received on shares. Reason (R): When the shares are forfeited, all entries relating to the shares forfeited, except those relating to securities premium, already recorded in accounting records must be reversed.$

1

$Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).$

2

$Both Assertion (A) and Reason (R) are correct, but Reason (R) is not the correct explanation of Assertion (A).$

3

$Assertion (A) is incorrect, but Reason (R) is correct.$

4

$Assertion (A) is correct, but Reason (R) is incorrect.$

Official Solution

Correct Option: (1)

$- When shares are forfeited, the amount previously called up (but unpaid) is debited from the Share Capital Account, and the following entries are made: 1. Calls in Arrears Account: Credited with unpaid call amounts. 2. Share Forfeiture Account: Credited with amounts already received. - Additionally, forfeiture reverses prior entries related to the forfeited shares except those related to the securities premium, which is not reversed under any circumstance. - Hence, both Assertion (A) and Reason (R) are correct, and Reason (R) correctly explains Assertion (A).$

249

PYQ 2024

medium

accountancy ID: cbse-cla

$Minimum subscription for allotment of shares as per SEBI guidelines cannot be less than 90\% of which of the following capital?$

1

$Reserve Capital$

2

$Nominal Capital$

3

$Subscribed Capital$

4

$Issued Capital$

Official Solution

Correct Option: (4)

$Issued Capital$

250

PYQ 2024

medium

accountancy ID: cbse-cla

$The debentures which do not carry a specific rate of interest are called:$

1

$Zero Coupon Rate Debentures$

2

$Specific Coupon Rate Debentures$

3

$Unsecured Debentures$

4

$Secured Debentures$

Official Solution

Correct Option: (1)

$Zero Coupon Rate Debentures$

251

PYQ 2024

medium

accountancy ID: cbse-cla

$NUK Ltd. forfeited 1,000 shares of ₹ 10 each, fully called up for non-payment of final call of ₹ 2 per share. 800 of these shares were reissued at ₹ 11 per share fully paid. The amount credited to Capital Reserve Account will be:$

1

$₹ 6,400$

2

$₹ 8,000$

3

$₹ 7,200$

4

$₹ 10,000$

Official Solution

Correct Option: (1)

$1. Forfeiture Amount per Share: Paid amount per share = ₹ 10 (fully called-up) - ₹ 2 (unpaid final call) = ₹ 8. 2. Total Forfeited Amount: 3. Reissue Details: Number of shares reissued = 800. Reissue price per share = ₹ 11. Total amount received from reissue = 4. Capital Reserve Calculation: Forfeited amount on reissued shares = The entire forfeited amount of the reissued shares is transferred to the Capital Reserve as no discount is given:$

252

PYQ 2024

medium

accountancy ID: cbse-cla

$KLB Ltd. forfeited 3,000 shares of ₹ 10 each, ₹ 8 per share called up for non-payment of first call of ₹ 2 per share. All these shares were reissued at ₹ 7 per share, ₹ 8 paid up. The amount transferred to Capital Reserve Account will be:$

1

$₹ 18,000$

2

$₹ 24,000$

3

$₹ 15,000$

4

$₹ 3,000$

Official Solution

Correct Option: (3)

$1. Forfeited Amount per Share: Amount already paid per share = ₹ 8 (called-up) - ₹ 2 (unpaid first call) = ₹ 6. 2. Total Forfeited Amount: 3. Loss on Reissue: Reissue price per share = ₹ 7. Paid-up value per share = ₹ 8. Loss per share on reissue = ₹ 8 - ₹ 7 = ₹ 1. Total loss on reissue = 4. Amount Transferred to Capital Reserve: Amount transferred to Capital Reserve = Total forfeited amount - Loss on reissue:$

253

PYQ 2024

medium

accountancy ID: cbse-cla

$Lexa Ltd. issued 50,000 equity shares of ₹ 10 each at a premium of ₹ 2 per share. The amount was payable as follows: On application and allotment — ₹ 7 per share (including premium) On first and final call — Balance The issue was fully subscribed. All the money was duly received except the first and final call on 1,000 equity shares. These shares were forfeited. On forfeiture of these shares, Calls in Arrears Account will be:$

1

2

3

4

Official Solution

Correct Option: (3)

$1. Amount Payable on First and Final Call: Balance amount = ₹ 12 (total) - ₹ 7 (application and allotment) = ₹ 5. 2. Shares Forfeited: Number of shares forfeited = 1,000. 3. Unpaid Amount Calculation: Total unpaid amount = 4. Treatment in Calls in Arrears Account: When shares are forfeited, the unpaid amount is credited to the Calls in Arrears Account:$

254

PYQ 2024

medium

accountancy ID: cbse-cla

$Alfa Ltd. offered for public subscription 50,000 equity shares of ₹ 10 each at ₹ 110 per share. The entire amount was payable on application. Applications were received for 48,000 shares and allotment was made to all the applicants. The amount received on application will be:$

1

$₹ 52,80,000$

2

$₹ 55,00,000$

3

$₹ 50,00,000$

4

$₹ 48,00,000$

Official Solution

Correct Option: (1)

$1. Number of shares applied = 48,000 shares. 2. Issue price per share = ₹ 110. 3. Total amount received on application:$

255

PYQ 2024

easy

accountancy ID: cbse-cla

$What is Data Formatting? What tools are used to format a given data?$

Official Solution

Correct Option: (1)

256

PYQ 2024

easy

accountancy ID: cbse-cla

$Explain ‘Password Security’ and ‘Data Audit’ as security features of a Computerised Accounting System.$

Official Solution

Correct Option: (1)

257

PYQ 2024

easy

accountancy ID: cbse-cla

$State the parameters of Excel’s PMT function. What is the use of this function?$

Official Solution

Correct Option: (1)

258

PYQ 2024

medium

accountancy ID: cbse-cla

$Explain ‘Transparency and Control’ and ‘Accuracy and Speed’ as features of a Computerised Accounting System.$

Official Solution

Correct Option: (1)

$- Transparency and Control: Computerized accounting systems provide clear and accurate reports, enabling better control and informed decision-making. - Accuracy and Speed: Automation ensures minimal errors and speeds up data processing, saving time and enhancing reliability.$

259

PYQ 2024

easy

accountancy ID: cbse-cla

$What is the outcome of an arithmetic expression or function called?$

Official Solution

Correct Option: (1)

260

PYQ 2024

medium

accountancy ID: cbse-cla

$Which Date and Time function returns the value of today’s date with time?$

1

$Today()$

2

$Day()$

3

$Now()$

4

$Day time()$

Official Solution

Correct Option: (3)

$- The Now() function in Excel returns the current date and time. - The Today() function returns only the current date without the time.$

261

PYQ 2024

medium

accountancy ID: cbse-cla

$How is navigation conducted from the first to the last filled cells of clusters when moving one cell at a time in a row?$

1

$Home + Right arrow (\to)$

2

$CTRL + Right arrow (\to) successively$

3

$END + Right arrow (\to)$

4

$CTRL + END$

Official Solution

Correct Option: (2)

$CTRL + Right arrow (\to) successively.$

262

PYQ 2024

easy

accountancy ID: cbse-cla

$Which of the following is not contained on the formula tab on Excel ribbon?$

Official Solution

Correct Option: (1)

263

PYQ 2024

medium

accountancy ID: cbse-cla

$In a graph, the area bounded by different axes is known as:$

1

$Legend$

2

$Data point$

3

$Axis title$

4

$Plot area$

Official Solution

Correct Option: (4)

$- The plot area is the rectangular region in a graph where the data points are plotted. - It is bounded by the axes and displays the relationship between variables.$

264

PYQ 2024

medium

accountancy ID: cbse-cla

$Identify the type of software which is suited for large and medium organisations and can be linked to other information systems.$

1

$Specific$

2

$Generic$

3

$Tailored$

4

$Both (B) and (C)$

Official Solution

Correct Option: (1)

$- Specific Software is designed for particular purposes and is highly suited for large and medium organizations that require unique functionalities and integrations with other systems. - Generic and tailored software may also provide certain features, but specific software is built to meet targeted needs directly.$

265

PYQ 2024

easy

accountancy ID: cbse-cla

$Calculate ‘Cash Flows from Financing Activities’ from the following information: Additional Information: - Interest paid on bank loan amounted to ₹ 60,000. - Dividend paid ₹ 1,10,000.$

Official Solution

Correct Option: (1)

266

PYQ 2024

easy

accountancy ID: cbse-cla

$Calculate ‘Cash Flows from Investing Activities’ from the following information: Additional Information: - A machine costing ₹ 85,000 (depreciation provided thereon ₹ 15,000) was sold for ₹ 62,000. - Depreciation charged during the year amounted to ₹ 48,000.$

Official Solution

Correct Option: (1)

267

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following Balance Sheet of Hira Ltd. as at 31 st March, 2023, prepare Comparative Balance Sheet:$

Official Solution

Correct Option: (1)

$Comparative Balance Sheet of Hira Ltd. as at 31 st March, 2023 and 31 st March, 2022: Notes to Accounts: Share Capital increased by ₹ 3,00,000 due to the issuance of additional shares. Long-term Borrowings doubled due to additional loans. Trade Payables decreased due to payments made to creditors. Fixed Assets increased by ₹ 5,00,000 due to capital expenditure. Inventories increased by ₹ 50,000 due to stock buildup. Trade Receivables increased by ₹ 50,000 due to higher credit sales.$

268

PYQ 2024

easy

accountancy ID: cbse-cla

$From the following information, calculate ‘Return on Investment (ROI)’:$

Official Solution

Correct Option: (1)

269

PYQ 2024

easy

accountancy ID: cbse-cla

$Classify the following items under major heads and sub-heads (if any) in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013: (a) Mining Rights (b) Loose Tools (c) Income Received in Advance$

Official Solution

Correct Option: (1)

270

PYQ 2024

medium

accountancy ID: cbse-cla

$From the following Balance Sheet of Hira Ltd. as at 31st March, 2023, prepare Comparative Balance Sheet:$

Official Solution

Correct Option: (1)

High-Yield Trend

Chapter Questions 270 MCQs

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Chapter Questions
270 MCQs