Profit Sharing Ratio

01

PYQ 2025

medium

accountancy ID: cbse-cla

Ashok and Avinash were partners in a firm sharing profits and losses in the ratio of 3 : 2. On 1st April, 2023, their capitals were ₹10,00,000 and ₹15,00,000 respectively. After the accounts for the year ending 31st March, 2024 were prepared, it was discovered that interest on capital at the rate of 10% per annum, as provided for in the partnership deed, was not credited to the partners’ capital accounts before distribution of profits. Had the interest on capital been duly provided, the firm’s divisible profit would have:

1

Reduced by ₹2,50,000

2

Increased by ₹2,50,000

3

No change in the profits

4

Reduced by ₹25,000

02

PYQ 2025

hard

accountancy ID: cbse-cla

Nidhi, Pranav and Ishu were partners in a firm sharing profits and losses in the ratio of 5 : 4 : 1. With effect from 1st April, 2024, they decided to share profits and losses in the ratio of 4 : 1 : 5. On that date, there was a debit balance of ₹ 4,00,000 in the Profit and Loss Account. The necessary journal entry to show the effect of the above will be :

1

Ishu’s Capital A/c Dr. 1,60,000 To Nidhi’s Capital A/c 40,000 To Pranav’s Capital A/c 1,20,000

2

Profit & Loss A/c Dr. 4,00,000 To Nidhi’s Capital A/c 2,00,000 To Pranav’s Capital A/c 1,60,000 To Ishu’s Capital A/c 40,000

3

Nidhi’s Capital A/c Dr. 2,00,000 Pranav’s Capital A/c Dr. 1,60,000 Ishu’s Capital A/c Dr. 40,000 To Profit & Loss A/c 4,00,000

4

Nidhi’s Capital A/c Dr. 40,000 Pranav’s Capital A/c Dr. 1,20,000 To Ishu’s Capital A/c 1,60,000

03

PYQ 2025

medium

accountancy ID: cbse-cla

Ishan, Jatin and Kapil were partners in a firm sharing profits and losses in the ratio of 5 : 4 : 1. Jatin retired and his share was taken up by Ishan and Kapil in the ratio 1 : 1. The new profit-sharing ratio between Ishan and Kapil after Jatin’s retirement will be:

1

5 : 1

2

1 : 1

3

5 : 4

4

7 : 3

04

PYQ 2025

medium

accountancy ID: cbse-cla

Ekta, Faguni and Garima were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 1. Faguni was guaranteed ₹ 25,000 as her share of profit in the firm. Any deficiency arising on that account was to be met by Ekta. The firm earned a profit of ₹ 90,000 for the year ended 31st March, 2024. The profit credited to Faguni’s capital account was:

1

₹ 30,000

2

₹ 40,000

3

₹ 25,000

4

₹ 10,000

05

PYQ 2025

medium

accountancy ID: cbse-cla

Akhil, Bajrang and Chinmay were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. Dilawar was admitted as a new partner in the firm. Dilawar acquired his share from Akhil and from Bajrang. Dilawar was admitted for which of the following share in the profits of the firm?

1

2

3

4

06

PYQ 2025

easy

accountancy ID: cbse-cla

Nandita and Prabha were partners in a firm. Nandita withdrew ₹ 3,00,000 during the year for personal use. The partnership deed provides for charging interest on drawings @ 10% p.a. Interest on Nandita’s drawings for the year ended 31st March, 2024 will be:

1

₹ 9,000

2

₹ 30,000

3

₹ 18,000

4

₹ 15,000

07

PYQ 2025

medium

accountancy ID: cbse-cla

Radhika, Mehar and Shubha were partners in a firm sharing profits and losses in the ratio of 9 : 8 : 7. If Radhika’s share of profit at the end of the year amounted to ₹ 5,40,000, Shubha’s share of profit will be:

1

₹ 5,40,000

2

₹ 4,80,000

3

₹ 60,000

4

₹ 4,20,000

08

PYQ 2025

hard

accountancy ID: cbse-cla

Nishu, Rishu and Kishu were partners in a firm sharing profits and losses in the ratio of 8 : 7 : 5. They decided to share future profits and losses in the ratio of 5 : 8 : 7 with effect from 1st April, 2024. Their Balance Sheet as at 31st March, 2024 showed : General Reserve ₹ 10,00,000. Debit Balance of ₹ 2,00,000 in Profit and Loss Account. Goodwill of the firm was valued at ₹ 20,00,000 and revaluation of assets and liabilities resulted in a profit of ₹ 7,00,000. The partners did not want to distribute the General Reserve and the balance of Profit and Loss Account. They also decided that revalued values of assets and liabilities were not to be recorded in the books. Pass a single adjustment entry to give effect to the above. Show your workings clearly.

Official Solution

Correct Option: (1)

Old Ratio: Nishu : Rishu : Kishu = 8 : 7 : 5 New Ratio: Nishu : Rishu : Kishu = 5 : 8 : 7 Step 1: Calculate sacrificing/gaining ratio: Nishu's Gain = ⟹ Sacrificing Rishu's Gain = ⟹ Gaining Kishu's Gain = ⟹ Gaining Step 2: Total adjustment amount = Goodwill + Revaluation Profit - P&L Debit balance This amount will be adjusted in sacrificing/gaining ratio (3:1:2). Compensation: Nishu (Sacrificing) gets = Rishu (Gaining) pays = Kishu (Gaining) pays = Journal Entry: Date Particulars Amount (₹) Rishu's Capital A/c Dr. 4,16,667 Kishu's Capital A/c Dr. 8,33,333 To Nishu's Capital A/c 12,50,000 Final Answer: Pass the above journal entry.

Date	Particulars	Amount (₹)
	Rishu's Capital A/c Dr.	4,16,667
	Kishu's Capital A/c Dr.	8,33,333
	To Nishu's Capital A/c	12,50,000

09

PYQ 2025

medium

accountancy ID: cbse-cla

Sia, Tisha and Aryan were partners sharing profits and losses in the ratio of 4 : 7 : 1. The firm closes its books on 31st March every year. Tisha died on 1st July, 2024. Sia and Aryan will acquire Tisha’s share in which of the following ratio ?

1

1 : 1

2

4 : 1

3

4 : 7

4

7 : 1

10

PYQ 2025

easy

accountancy ID: cbse-cla

Aman, Suman and Tanvi were partners in a firm sharing profits and losses in the ratio of 9:8:7. They decided to share future profits and losses in the ratio of 7:9:8 with effect from 1st April, 2024. Their Balance Sheet as at 31st March, 2024 showed: (i) Contingency Reserve of ₹ 24,00,000. (ii) Credit Balance of ₹ 12,00,000 in Profit and Loss Account. Goodwill of the firm was valued at ₹ 42,00,000 and Revaluation of assets and liabilities resulted in a loss of ₹ 6,00,000. The partners did not want to distribute the Contingency Reserve and the Balance of the Profit and Loss Account. They also decided that revalued values of assets and liabilities were not to be recorded in the books. Pass a single adjustment entry to give effect to the above. Show your workings clearly.

11

PYQ 2025

hard

accountancy ID: cbse-cla

Varsha, Aryan and Nimit were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Varsha retired and surrendered 1/3rd of her share in favour of Aryan and the remaining share in favour of Nimit. The new profit sharing ratio between Aryan and Nimit will be :

1

2 : 1

2

8 : 7

3

1 : 2

4

1 : 1

12

PYQ 2025

easy

accountancy ID: cbse-cla

The firm of Amish, Nitish and Misha, who have been sharing profits in the ratio of 2 : 2 : 1, have existed for some years. Misha wanted that she should get equal share in the profits with Amish and Nitish and she further wished that the change in the profit sharing ratio should come into effect retrospectively for the last three years. Amish and Nitish had agreement for this. The profits for the last three years were: 2021-22 ₹ 1,15,000; 2022-23 ₹ 1,24,000; 2023-24 ₹ 2,11,000 Show adjustment of profits by means of a single adjustment journal entry. Show your working clearly.

13

PYQ 2025

hard

accountancy ID: cbse-cla

Misha, Sarita and Isha were partners in a firm sharing profits and losses in the ratio of 3 : 2 : 1. With effect from 1st April 2024, they decided that they will share profits and losses equally. The gain or sacrifice by the partners due to change in profit sharing ratio will be :

1

Misha’s sacrifice 1/6, Isha’s gain 1/6

2

Misha’s gain 1/6, Isha’s sacrifice 1/6

3

Misha’s sacrifice 1/6, Sarita’s gain 1/3, Isha’s sacrifice 1/6

4

Misha’s sacrifice 1/3, Isha’s gain 1/3

14

PYQ 2025

medium

accountancy ID: cbse-cla

Kartik, Inder and Lalit were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 2. With effect from 1st April, 2024, they decided to share profits and losses in the ratio of 2 : 3 : 4. For this purpose, the goodwill of the firm was valued at ₹ 1,80,000. The necessary journal entry to show the effect of the above will be :

1

Lalit’s Capital A/c Dr. 40,000 To Kartik’s Capital A/c 40,000

2

Kartik’s Capital A/c Dr. 40,000 To Lalit’s Capital A/c 40,000

3

Lalit’s Capital A/c Dr. 1,80,000 To Kartik’s Capital A/c 1,80,000

4

Kartik’s Capital A/c Dr. 1,80,000 To Lalit’s Capital A/c 1,80,000

15

PYQ 2025

medium

accountancy ID: cbse-cla

Emily, Farida and Gauri were partners in a firm sharing profits and losses in the ratio of 4:3:1. Farida was guaranteed Rs 35,000 as her share in the profits in the firm. Any deficiency arising on that account was to be met by Emily. The firm earned a profit of Rs 80,000 for the year ended 31st March 2024. The profit credited to Farida's capital account was:

1

Rs 30,000

2

Rs 35,000

3

Rs 25,000

4

Rs 5,000

Official Solution

Correct Option: (2)

To determine the profit credited to Farida's capital account, we need to compare her guaranteed profit with what she would receive based on the profit-sharing ratio. Step 1: Determine the actual profit for each partner based on the profit-sharing ratio. Total profit earned by the firm = Rs 80,000. Profit-sharing ratio is 4:3:1 for Emily, Farida, and Gauri. Partner Ratio Share of Profit Emily 4 (4/8) \times 80,000 = Rs 40,000 Farida 3 (3/8) \times 80,000 = Rs 30,000 Gauri 1 (1/8) \times 80,000 = Rs 10,000 Step 2: Compare Farida's actual profit share to her guaranteed amount. Guaranteed profit for Farida = Rs 35,000. Actual profit credited, based on ratio = Rs 30,000. Step 3: Calculate deficiency and ensure guaranteed amount is met. Deficiency = Guaranteed amount - Actual share = Rs 35,000 - Rs 30,000 = Rs 5000. Emily is to cover any deficiency for Farida. Therefore, an additional Rs 5000 will be transferred from Emily's share to Farida's. Conclusion: Profit credited to Farida's capital account = Rs 30,000 + Rs 5000 = Rs 35,000.

Partner	Ratio	Share of Profit
Emily	4	(4/8) × 80,000 = Rs 40,000
Farida	3	(3/8) × 80,000 = Rs 30,000
Gauri	1	(1/8) × 80,000 = Rs 10,000

16

PYQ 2025

medium

accountancy ID: cbse-cla

Karan Ltd. invited applications for issuing 80,000 equity shares of ₹80 each at par. The amount was payable as follows: \hspace*{0.5cm}On Application and Allotment – ₹30 per share \hspace*{0.5cm}On First and Final Call – Balance Applications for 1,40,000 shares were received. Applications for 20,000 shares were rejected and the money was refunded. Shares were allotted on pro-rata basis to the remaining applicants. Excess money received with applications was adjusted towards sums due on first and final call. Ravi, who had applied for 1,200 shares, paid his entire share money along with his application. Chaman, to whom 2,400 shares were allotted, failed to pay the first and final call. Chaman’s shares were forfeited. Pass necessary journal entries for the above transactions in the books of Karan Ltd. Open ‘Calls-in-Arrears Account’ and ‘Calls-in-Advance Account’, wherever necessary.

Official Solution

Correct Option: (1)

Step 1: Share Details Face Value = ₹80 per share On Application and Allotment = ₹30 On First and Final Call = ₹50 Shares issued = 80,000 Shares applied = 1,40,000 Shares rejected = 20,000 Pro-rata basis on 1,20,000 shares (140,000 – 20,000) Pro-rata ratio = 1,20,000 : 80,000 = 3 : 2 Step 2: Journal Entry for Application Money Received Total shares applied = 1,40,000 Money received @ ₹30 = 1,40,000 × 30 = ₹42,00,000 \begin{verbatim} Bank A/c Dr. 42,00,000 To Share Application and Allotment A/c 42,00,000 (Being application money received on 1,40,000 shares \@ Rs.30) \end{verbatim} Step 3: Entry for Allotment and Refund Application money of 20,000 shares = 20,000 × 30 = ₹6,00,000 Application money adjusted for 80,000 shares = 80,000 × 30 = ₹24,00,000 Excess application = ₹12,00,000 Out of this, refunded = ₹6,00,000 Adjusted towards calls = ₹6,00,000 \begin{verbatim} Share Application and Allotment A/c Dr. 42,00,000 To Share Capital A/c 24,00,000 To Bank A/c 6,00,000 To Calls-in-Advance A/c 6,00,000 To Share First and Final Call A/c 6,00,000 (Being allotment made, money refunded and excess adjusted toward call) \end{verbatim} Step 4: Entry for First and Final Call Due First and Final Call = 80,000 × ₹50 = ₹40,00,000 \begin{verbatim} Share First and Final Call A/c Dr. 40,00,000 To Share Capital A/c 40,00,000 (Being first and final call amount due on 80,000 shares) \end{verbatim} Step 5: Adjustments and Receipts Calls-in-Advance already received = ₹6,00,000 Chaman (2,400 shares) failed to pay ₹50 × 2,400 = ₹1,20,000 Amount received from others = 40,00,000 – 6,00,000 (advance) – 1,20,000 = ₹32,80,000 \begin{verbatim} Bank A/c Dr. 32,80,000 Calls-in-Advance A/c Dr. 6,00,000 To Share First and Final Call A/c 38,80,000 Calls-in-Arrears A/c Dr. 1,20,000 To Share First and Final Call A/c 1,20,000 (Being call money received and adjusted, arrears recognized) \end{verbatim} Step 6: Forfeiture of Chaman’s Shares Received on application = ₹30 × 2,400 = ₹72,000 Unpaid = ₹50 × 2,400 = ₹1,20,000 \begin{verbatim} Share Capital A/c Dr. 1,92,000 To Share Forfeiture A/c 72,000 To Calls-in-Arrears A/c 1,20,000 (Being forfeiture of 2,400 shares on non-payment of call) \end{verbatim}

17

PYQ 2025

medium

accountancy ID: cbse-cla

Ratan, Singh and Sharma were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Their Balance Sheet on 31 st March, 2024 was as follows: Balance Sheet of Ratan, Singh and Sharma as at 31 st March, 2024 Liabilities Amount (₹) Assets Amount (₹) Creditors 90,000 Bank 65,000 Outstanding Wages 10,000 Stock 1,50,000 General Reserve 3,00,000 Debtors 90,000 Less: Provision for Doubtful Debts (5,000) 85,000 Capital A/cs: Plant and Machinery 2,50,000 Ratan 3,60,000 Land and Building 4,50,000 Singh 2,40,000 Profit and Loss A/c 1,00,000 Sharma 1,00,000 Total 11,00,000 Total 11,00,000 On 1st April, 2024 Sharma retired from the firm on the following terms : (i) Plant and Machinery is revalued at ₹2,00,000. (ii) Land and Building was to be appreciated by ₹49,500 and provision for bad debts will be maintained at 5% of the debtors. (iii) Sharma's share in the goodwill of the firm was valued at ₹60,000 and the retiring partner's share was adjusted through the capital accounts of remaining partners. (iv) Sharma was paid in cash brought by Ratan and Singh in such a way so as to make their capitals proportionate to their new profit sharing ratio. Prepare Revaluation Account and Partners' Capitals Accounts.

Liabilities	Amount (₹)	Assets	Amount (₹)
Creditors	90,000	Bank	65,000
Outstanding Wages	10,000	Stock	1,50,000
General Reserve	3,00,000	Debtors	90,000
		Less: Provision for Doubtful Debts	(5,000)
			85,000
Capital A/cs:		Plant and Machinery	2,50,000
Ratan	3,60,000	Land and Building	4,50,000
Singh	2,40,000	Profit and Loss A/c	1,00,000
Sharma	1,00,000
Total	11,00,000	Total	11,00,000

Official Solution

Correct Option: (1)

Revaluation Account Particulars Amount (₹) Particulars Amount (₹) To Plant & Machinery A/c (Decrease in Value) ₹50,000 By Land & Building A/c (Appreciation) ₹49,500 To Provision for Doubtful Debts A/c (5% of ₹90,000) ₹4,500 By Loss transferred to Capital A/cs: Ratan’s Capital (2/5 of ₹5,000) ₹2,000 Singh’s Capital (2/5 of ₹5,000) ₹2,000 Sharma’s Capital (1/5 of ₹5,000) ₹1,000 Total ₹54,500 Total ₹54,500 Partners’ Capital Accounts Particulars Ratan (₹) Singh (₹) Sharma (₹) To Sharma’s Capital (Goodwill Adjustment) ₹2,000 ₹2,000 ₹1,000 To Bank A/c (Settlement) ₹24,000 ₹16,000 - By Balance b/d ₹3,60,000 ₹2,40,000 ₹1,20,000 By General Reserve ₹1,20,000 ₹40,000 - By Profit and Loss A/c ₹40,000 - - By Ratan’s Capital A/c (Goodwill) - ₹1,19,000 - By Singh’s Capital A/c (Goodwill) - ₹1,00,000 - By Sharma’s Capital A/c (Goodwill) ₹60,000 ₹20,000 ₹24,000 Total ₹5,42,000 ₹3,98,000 ₹2,00,000

Particulars	Amount (₹)	Particulars	Amount (₹)
To Plant & Machinery A/c (Decrease in Value)	₹50,000	By Land & Building A/c (Appreciation)	₹49,500
To Provision for Doubtful Debts A/c (5% of ₹90,000)	₹4,500	By Loss transferred to Capital A/cs:
		Ratan’s Capital (2/5 of ₹5,000)	₹2,000
		Singh’s Capital (2/5 of ₹5,000)	₹2,000
		Sharma’s Capital (1/5 of ₹5,000)	₹1,000
Total	₹54,500	Total	₹54,500

Particulars	Ratan (₹)	Singh (₹)	Sharma (₹)
To Sharma’s Capital (Goodwill Adjustment)	₹2,000	₹2,000	₹1,000
To Bank A/c (Settlement)	₹24,000	₹16,000	–
By Balance b/d	₹3,60,000	₹2,40,000	₹1,20,000
By General Reserve	₹1,20,000	₹40,000	–
By Profit and Loss A/c	₹40,000	–	–
By Ratan’s Capital A/c (Goodwill)	–	₹1,19,000	–
By Singh’s Capital A/c (Goodwill)	–	₹1,00,000	–
By Sharma’s Capital A/c (Goodwill)	₹60,000	₹20,000	₹24,000
Total	₹5,42,000	₹3,98,000	₹2,00,000

18

PYQ 2025

medium

accountancy ID: cbse-cla

DDG Ltd. invited applications for issuing 75,000 equity shares of ₹75 each at a premium of ₹25 per share. The amount was payable as follows: On Application and Allotment - ₹40 per share On First and Final Call - Balance (including premium) Applications for 1,25,000 shares were received. Applications for 25,000 shares were rejected and the application money was refunded. Shares were allotted to the remaining applicants on pro-rata basis. Excess money received with applications was adjusted towards sums due on first and final call. Govind, to whom 1,500 shares were allotted, failed to pay the first and final call. Namita, who had applied for 2,000 shares, also failed to pay the first and final call. Shares of both Govind and Namita were forfeited. Pass the necessary journal entries for the above transactions in the books of DDG Ltd.

19

PYQ 2025

medium

accountancy ID: cbse-cla

On 1st April, 2023, Jain and Gupta started a partnership firm with fixed capitals of ₹15,00,000 and ₹12,00,000 respectively. They decided to share profits and losses in the ratio of 3 : 2. On 1st July, 2023, Jain withdrew ₹1,00,000 from his capital and Gupta introduced further capital of ₹2,00,000. Partnership deed provided for interest on capital @ 10% p.a. During the year Jain withdrew ₹50,000 and Gupta withdrew ₹60,000 for their personal use. Interest on drawings was to be charged @ 18% p.a. After preparing Profit and Loss Appropriation Account for the year ended 31st March, 2024, ₹72,000 and ₹48,000 were credited respectively to the current accounts of Jain and Gupta as their share of divisible profit. Prepare Current Accounts of Jain and Gupta.

Official Solution

Correct Option: (1)

Step 1: Interest on Capital Jain: Capital before withdrawal = ₹15,00,000 Withdrawal on 1st July = ₹1,00,000 Capital from 1 st April to 30 th June (3 months) = ₹15,00,000 Capital from 1 st July to 31 st March (9 months) = ₹14,00,000 Interest = \Rightarrow ₹37,500 + ₹1,05,000 = ₹1,42,500 Gupta: Original capital = ₹12,00,000 Additional capital on 1st July = ₹2,00,000 Interest = \Rightarrow ₹1,20,000 + ₹15,000 = ₹1,35,000 Step 2: Interest on Drawings Drawings of Jain = ₹50,000 Assumed withdrawn evenly \to interest for 6 months Interest = Drawings of Gupta = ₹60,000 Interest = Step 3: Profit Share (already given) Jain = ₹72,000 Gupta = ₹48,000 Step 4: Prepare Current Accounts Jain’s Current Account Credit Side Debit Side By Interest on Capital: ₹1,42,500 To Drawings: ₹50,000 By Share of Profit: ₹72,000 To Interest on Drawings: ₹4,500 Total Cr = ₹2,14,500 Total Dr = ₹54,500 Closing Balance = ₹1,60,000 Gupta’s Current Account Credit Side Debit Side By Interest on Capital: ₹1,35,000 To Drawings: ₹60,000 By Share of Profit: ₹48,000 To Interest on Drawings: ₹5,400 Total Cr = ₹1,83,000 Total Dr = ₹65,400 Closing Balance = ₹1,17,600

Credit Side	Debit Side
By Interest on Capital: ₹1,42,500	To Drawings: ₹50,000
By Share of Profit: ₹72,000	To Interest on Drawings: ₹4,500
Total Cr = ₹2,14,500	Total Dr = ₹54,500
Closing Balance = ₹1,60,000

Credit Side	Debit Side
By Interest on Capital: ₹1,35,000	To Drawings: ₹60,000
By Share of Profit: ₹48,000	To Interest on Drawings: ₹5,400
Total Cr = ₹1,83,000	Total Dr = ₹65,400
Closing Balance = ₹1,17,600

20

PYQ 2025

medium

accountancy ID: cbse-cla

Aman, Raj and Suresh were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 8. Suresh was guaranteed a minimum profit of ₹5,00,000 per year. Any deficiency on this account was to be borne by Aman and Raj equally. The net profit of the firm for the year ended 31st March, 2024 was ₹8,00,000. Prepare Profit and Loss Appropriation Account of Aman, Raj and Suresh for the year ended 31st March, 2024.

Official Solution

Correct Option: (1)

Step 1: Calculate profit shares in the ratio 5 : 3 : 8 Total ratio = Aman’s share = Raj’s share = Suresh’s share = Step 2: Apply minimum guarantee Suresh was guaranteed ₹5,00,000 but got only ₹4,00,000 Deficiency = ₹5,00,000 - ₹4,00,000 = ₹1,00,000 To be borne equally by Aman and Raj So, Aman’s sacrifice = ₹50,000 Raj’s sacrifice = ₹50,000 Final adjusted shares: Aman = ₹2,50,000 - ₹50,000 = ₹2,00,000 Raj = ₹1,50,000 - ₹50,000 = ₹1,00,000 Suresh = ₹4,00,000 + ₹1,00,000 = ₹5,00,000 Profit and Loss Appropriation Account for the year ended 31 st March, 2024 Dr. Cr. Particulars Amount (₹) Particulars Amount (₹) To Aman’s Capital A/c ₹2,00,000 By Net Profit ₹8,00,000 To Raj’s Capital A/c ₹1,00,000 To Suresh’s Capital A/c ₹5,00,000 Total ₹8,00,000 Total ₹8,00,000

Dr.	Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
To Aman’s Capital A/c	₹2,00,000	By Net Profit	₹8,00,000
To Raj’s Capital A/c	₹1,00,000
To Suresh’s Capital A/c	₹5,00,000
Total	₹8,00,000	Total	₹8,00,000

21

PYQ 2025

medium

accountancy ID: cbse-cla

Pass necessary journal entries in the books of RR Ltd. for issue of debentures in the following cases: (i) Issued 9,000, 9% debentures of ₹100 each at a discount of 10%, redeemable at a premium of 5% after 5 years. (ii) Issued 5,000, 11% debentures of ₹100 each at a premium of 10%, redeemable at a premium of 5% after 5 years.

22

PYQ 2025

medium

accountancy ID: cbse-cla

Akshay, Reet and Manya were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 2. With effect from 1st April, 2024, they decided that in future, they will share the profits and losses in the ratio of 2 : 4 : 3. Identify the gain or sacrifice by the partners due to change in the profit sharing ratio from the following:

1

Akshay’s sacrifice, Reet’s sacrifice, Manya’s gain

2

Akshay’s gain, Reet’s gain, Manya’s sacrifice

3

Akshay’s sacrifice, Reet’s gain, Manya’s gain

4

Akshay’s gain, Reet’s sacrifice, Manya’s sacrifice

23

PYQ 2025

medium

accountancy ID: cbse-cla

Jayant, Vijayant and Anant were partners in a firm sharing profits and losses in the ratio of 3 : 2 : 1. With effect from 1st April, 2024, they decided to share the profits in the ratio of 5 : 3 : 2. For this purpose, the goodwill of the firm was valued at 6,00,000. The partners decided to treat goodwill without opening goodwill account. By what amount will the partners’ accounts be debited or credited?

1

Debit Anant by 6,00,000 and Credit Vijayant by 6,00,000

2

Debit Vijayant by 6,000 and Credit Anant by 6,000

3

Debit Vijayant by 20,000 and Credit Anant by 20,000

4

Debit Anant by 20,000 and Credit Vijayant by 20,000

24

PYQ 2025

medium

accountancy ID: cbse-cla

D, E and F were partners in a firm sharing profits and losses in the ratio of 2 : 3 : 5. G was admitted as a new partner for th share in the profits of the firm. G acquired his share entirely from F. The new profit sharing ratio among D, E, F and G will be:

1

5 : 2 : 2 : 1

2

2 : 3 : 3 : 2

3

3 : 3 : 2 : 2

4

4 : 3 : 2 : 1

25

PYQ 2025

medium

accountancy ID: cbse-cla

P, Q and R were partners in a firm sharing profits and losses in the ratio of 3 : 5 : 2. S was admitted as a new partner for share in the profits of the firm. S acquired his share entirely from Q. The new profit sharing ratio among P, Q, R and S will be:

1

2 : 5 : 2 : 1

2

3 : 3 : 2 : 2

3

3 : 2 : 3 : 2

4

3 : 4 : 2 : 1

High-Yield Trend

Chapter Questions
25 MCQs

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

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Official Solution

Official Solution

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Official Solution

Revaluation Account

Partners’ Capital Accounts

Official Solution

Step 1: Share Capital Details

Step 2: Applications Received and Rejected

Step 3: Journal Entries for Issue and Allotment

Step 4: Journal Entry for First and Final Call

Step 5: Adjust Calls in Advance and Bank Receipts

Step 6: Forfeiture of Govind’s Shares (1,500 shares)

Step 7: Forfeiture of Namita’s Shares (Applied for 2,000; Allotted 1,500)

Note:

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Profit Sharing Ratio

High-Yield Trend

Chapter Questions 25 MCQs

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Revaluation Account

Partners’ Capital Accounts

Official Solution

Step 1: Share Capital Details

Step 2: Applications Received and Rejected

Step 3: Journal Entries for Issue and Allotment

Step 4: Journal Entry for First and Final Call

Step 5: Adjust Calls in Advance and Bank Receipts

Step 6: Forfeiture of Govind’s Shares (1,500 shares)

Step 7: Forfeiture of Namita’s Shares (Applied for 2,000; Allotted 1,500)

Note:

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Official Solution

Chapter Questions
25 MCQs