Q.1.

Hiteksha and Pratiksha are partners in a firm with capitals of Rs 4,00,000 and Rs 6,00,000respectively. They do not have a partnership deed. Pratiksha wants to share the profits in the ratio of Capitals. State whether the claim is valid? 1 Write one distinction between dissolution of partnership and dissolution of firm. 1

Q.2. Q.3.

Kajal and Payal admitted Aanchal into partnership who is a fresh graduate in business administration. Identify the value involved in such a decision. 1 State any two conditions according to Sec.79 of Company Act 1956 for the issue of shares at discount. 1 What is meant by Buy-back of Shares? What would an investor prefer to invest in the Debentures of a Company rather than its shares? Write one distinction between Revaluation Account and Realisation Account? 1 1 1

Q.4. Q.5. Q.6. Q.7. Q.8.

Atul, Rahul and Nakul are partners sharing profits and losses in the ratio of 3:2:1. After the final accounts have been prepared, it was discovered that interest on drawings @ 5% p.a. had not been taken into consideration. The drawings of the partners were : Atul Rs 15,000, Rahul Rs12,600 and Nakul Rs 12,000. Give the necessary adjusting journal entry. 3 Poorvaja Ltd issued 5,000 9% Debentures of Rs 500 each. Pass the necessary journal entries for the issue of Debentures in the books of the company in the following cases : i. When the debentures are issued at 5% premium and redeemable at 10% premium. ii. When the debentures are issued at a premium of 25% to the vendors for machinery purchased for Rs 6,25,000. 3 Ankit Ltd had issued 80,000 8% Debentures of Rs 100 each of which half the amount is due for redemption st on March 31 2012. The company has in its Debenture Redemption Reserve Account a balance of Rs 17,60,000. Record the necessary journal entries at the time of Redemption of Debentures. 3 Saachi, Prachi and Ruchi are partners dealing in musical instruments sharing profits in 3:2:2. They th admitted Bachi, the famous classical dancer into partnership for 1/5 share which she acquired from Saachi, Prachi and Ruchi in the ratio 2:2:1 respectively. You are required to : i. Identify the value involved in taking Bachi as a partner. 1 ii. Calculate the new profit sharing ratio. 3 Aditya and Babu are partners sharing profits in the ratio 4:1. They admitted Singh as a new partner who rd brings Rs 1,50,000 as his share of goodwill (premium). Singh is entitled to 1/3 share in profits. As between themselves, Aditya and Babu agree to share future prfoits and losses equally. You are required to : a. Calculate the new profit sharing ratio. b. Record the journal entries showing the appropriation of premium. 4 Arundhati Ltd issued 50,000 shares of Rs 10 each at a discount of 10% payable as Rs 2 per share on application, Rs 3 on allotment and Rs 2 each on first and final call. Applications were receivedfor 70,000 shares . It was decided that : a. Refuse allotment to the applicants for 10,000 shares. b. Allot 20,000 shares to Praveena who had applied for similar number and c. Allot the remaining shares on pro-rata basis. Praveena failed to pay the allotment money and Virat who belonged to the category C and was allotted 3,000 shares paid both the calls with allotment. Calculate the amount received on allotment. 4

Q.9.

Q.10.

Q.11.

Q.12.

Q.13.

Q.14.

a.

b.

Shivani Ltd forfeited 1,000 equity shares of Rs 10 each issued at Rs 14 per share for non payment of final call of Rs 7 (including premium) per share. Pass the necessary journal entry. 2 Rani Pvt Ltd provided Rs 20,00,000 for a solar water purification plant set up by a NonGovernment Organisation. People from economically backward class living in the vicinity will be given five litres of clean portable water for each family member. State the values involved in such decision. 2

Q.15. Anjali and Deepali are partners with Capitals of Rs 5,00,000 and Rs 4,00,000 respectively, on which they are entitled to interest at 10% p.a. They divide profits in the ratio of 2:1. They take Brett Lee into partnership with th 1/4 share of profits and guaranteed that his share of profits will not be less than Rs 2,00,000. Brett Less brought th Rs 3,00,000 as his his capital. Any excess profits received by Brett Lee over his 1/4 share will be borne by Anjali and Deepali in the ratio 4:1 . Profits at the end