LAST YEARS CBSE EXAMINATION QUESTIONS 2020 1. A, B and C were partners in a firm sharing profits and losses in the ratio of 1/2 : 1/3 : 1/6 . D was admitted in the firm for 1/6 share. C would retain his original share. Calculate the new profit sharing ratio, (1) 2. State any one right acquired by a newly admitted partner. 3. mm 318* March, 2019 the Balance Sheet of A and B, who were sharin] rofits in the ratio of 3 : 2 was as follows : Balance Sheet of A and B as at 315t March, 2019 Liabilities Amount Assets Aciount Creditors 30,000 | Cash at Bank 20,000 Fluctuation Fund saiqn0;| Debtors: 88,008 General Reserve 25,000 | Fe ead debte” 5,000| 80,000 Capitals : Stock 1,30,000 A 1,60,000 Investments 60,000 B_ 140.000 | 9.00.00 | rurniture 77,000 367,000 3,67,000 |, On 1* April, 2019, they decided to admit C as a new partner for ze share in the profits on the following terms : (@ — C brought 1,00,000 as his capital and € 50,000 as his share of premium for goodwill. Gi) Outstanding salaries of € 2,000 be provided for. (ii) The market value of investments was % 50,000. (iv) A debtor whose dues of € 18,000 were written off as bad debts paid = 12,000 in full settlement. Prepare Revaluation Account, Partners’ Capital Accounts and the Balance Sheet of the new firm. 4. Mona and Tina were partners in a firm sharing profits in the ratio of 3 : 2. Naina was admitted with 1/6" share in the profits of the firm. At the time of admission, Workmen’s Compensation Reserve appeared in the Balance Sheet of the firm at Rs Scanned with CamScanner 832,000. The claim on account of workmen’s compensation was determined at Rs 40,000. Excess of claim over the reserve will be : () A. Credited to Revaluation Account. B, Debited to Revaluation Account. C. Credited to old partner’s Capital Account. D. Debited to old partner’s Capital Account. 5, X and Y were partners in a firm sharing profits in the ratio of 7:3. Z was admitted for 1/5t share in the profits which he took 75% from X and remaining from Y. Calculate the sacrificing ratio of X and Y. (1) 6. Sun and Star were partners in a firm sharing profits in the ratio of 2 : 1. Moon was admitted as a new partner in the firm. New profit sharing ratio was 3 : 3 : 2. Moon brought the following assets towards his share of goodwill and his capital : (1) Machinery - Rs 2,00,000 Furniture - Rs 1,20,000 Stock - Rs 80,000 Cash - Rs 50,000 If his capital is considered as Rs 3,80,000, the goodwill of the firm will be : A. Rs 70,000 B. Rs 2,80,000 C. Rs 4,50,000 D. Rs 1,40,000 7. Badal and Bijli were partners in a firm sharing profits in the ratio of 3: 2. Their Balance Sheet as at 31** March, 2019 was as follows : Balance Sheet of Badal and Bijli as at 31*t March, 2019 iiaWilivles Amgunt | Assets Amgunt Capitals : Building 1,50,000 Badal 1,560,000 Investments 73,000 Bijli 20.000 | 2,40,000 | Stock 43,000 Badal’s Current A/e 12,000 | Debtors 20,000 Investment Fluctuation mec 24,000 | Cash 22,000 Bills Payable 8,000 | Bijli’s Current A/c 2,000 Creditors 26,000 3,210,000 3,10,000 Scanned with CamScannerRaina was admitted on the above date as a new partner for zo share in the profits of the firm. The terms of agreement were as follows : @ Raina will bring = 40,000 as her capital and capitals of Badal and Bijli will be adjusted on the basis of Raina’s capital by opening current accounts. Gi) Raina will bring her share of goodwill premium for 7 12,000 in cash. (ii) ‘The building was overvalued by Z 15,000 and stock by 3,000. (iv) A provision of 10% was to be created on debtors for bad debts. Prepare the Revaluation Account and Current and Capital Accounts of Badal, Bijli and Raina. . Aditya and Shiv were partners in a firm with capitals of Rs 3,00,000 and Rs 2,00,000, respectively. Naina was admitted as a new partner for 1/4" share in the profits of the firm. Naina brought Rs 1,20,000 for her share of goodwill premium and Rs 2,40,000 for her capital. The amount of goodwill premium credited to Aditya will be : A. 40,000 B. 30,000 C. 72,000 D.60,000 Madhuri and Arsh were partners in a firm sharing profits and losses in the ratio of 3 : 1. Their Balance Sheet as at 315t March, 2019, was as follows : Balance Sheet of Madhuri and Arsh as at 315t March, 2019 Liabilities Berend Assets Amount Capitals : Machinery 4,70,000 Madhuri 3,00,000 Investments 1,10,000 Arsh 2,00,000 | 5,00,000 | Debtors 1,20,000 ‘Workmen's Less : Provision for Compensation Fund 60,000 | doubtful debts 10.000 | 4,10,000 Creditors 1,90,000 | Stock 1,40,000 Employees’ Provident Fund 1,10,000 | Cash 30,000 8,60,000 8,60,000 Scanned with CamScannerOn 1% April, 2019, they admitted Jyoti into partnership for fu share in the profits of the firm. Jyoti brought proportionate capital and = 40,000 as her share of goodwill premium. ‘The following terms were agreed upon : @ Provision for doubtful debts was to be maintained at 10% on debtors. Gi) Stock was undervalued by & 10,000. (ii) An old customer whose account was written off as bad, paid = 15,000. (iv) 20% of the investments were taken over by Arsh at book value. ww) Claim on account of workmen’s compensation amounted to = 70,000. (vi) Creditors included a sum of & 27,000 which was not likely to be claimed. Prepare Revaluation Account, Partners’ Capital Accounts, and the Balance Sheet of the reconstituted firm. 10. Puneet and Deepak were in partnership sharing profits and losses in the ratio of 2: 1. They admitted Manya as a new partner. Manya brought Rs 1,00,000 as her share of goodwill premium, which was entirely credited to Puneet’s capital account, On the date of admission, goodwill of the firm was valued at Rs 3,00,000. Calculate the new profit sharing ratio of Puneet, Deepak and Manya. (1) 11, Ashok and Sudha were partners in a firm sharing profits and losses in the ratio of 3: 1, They admitted Bani as a new partner. Ashok sacrificed 1/4th of his share and Sudha sacrificed 1/4th of her share is favour of Bani. Bani’s share in the profits of the firm will be : A 5/8 B. 1/8 c. 1/4 D. 7/16 12, Veena and Somesh were partners in a firm with capitals of Rs 100,000 and Rs 80,000 respectively. They admitted Nisha on Ist April, 2019 as a new partner for 1/4* share in the future profits of the firm. Nisha brought Rs 90,000 as her capital. Nisha acquired her share as 1/12 from Veena and the remaining from Somesh. Calculate the value of goodwill of the firm and pass the necessary journal entries on Nisha’s admission. Scanned with CamScanner13. Ashish and Nimish were partners in a firm sharing profits and losses in the ratio of 8 : 2. On 315 March, 2019 their Balance Sheet was as follows : Balance Sheet of Ashish and Nimish as at 31°t March, 2019 Liabilities Amount | scsets ‘Amocnt Capitals : Plant and Machinery | 2,90,000 Ashish 3,10,000 Furniture 2,20,000 Nimish — 2,90,000 | ¢,00,000 | Debtors 90,000 Less provision for General Reserve 50,000 | doubtful debts 1,000 89,000 Workmen's Compensation Funa | 20,000 | Stock 1,40,000 Creditors 1,10,000 | Cash 41,000 7,80,000 7,80,000 On 1* April, 2019, Geeta was admitted into the partnership for im share in the profits on the following terms : @ Gi) ii) (iv) (vw) (vi) (vii) Goodwill of the firm was valued at & 2,00,000. Geeta brought & 3,00,000 as her capital and her share of goodwill premium in cash. Bad debts amounted to 2,000. Create a provision for doubtful debts @ 5% on debtors. Furniture was found undervalued by & 65,400. Stock was taken over by Nimish for © 1,30,000. ‘The liability against workmen’s compensation fund was determined at % 30,000. After the above adjustments, the capitals of Ashish and Nimish were to be adjusted taking Geeta's capital as the base. Excess or shortage was to be adjusted by opening current accounts. Prepare Revaluation Account, Partners’ Capital Accounts and the Balance Sheet of the firm after Geeta’s admission. Scanned with CamScanner14, 15. Anita and Babita were partners sharing profits and losses in the ratio of 3: 1. Savita was admitted for 1/5 share in the profits. Savita was unable to bring her share of goodwill premium in cash. The journal entry recorded for goodwill premium is given below : Date Particular LF] Debit | Credit Amt. (®) | Amt. (®) Savita’s Current Ale. Dr. 24,000 To Anita's Capital A/c. 8,000 To Babita’s Capital A/c. 16,000 (Being adjustment of goodwill premium on Savita’s Admission) ‘The new profit sharing ratio of Anita, Babita and Savita, will be (@) 41:7:12 @) 13:12:10 © 3: (d) 5:3:2 Raman and Aman were partners in a firm and were sharing profits in 3: 1 ratio. On 31-3-2019 their balance sheet was as follows : Balance Sheet of Raman and Aman as on 31-3-2019 Liabilities |A™O""*| Assets | Amount Provision for bad debts | 7,000 | Bank 24,000 Outstanding Expenses | 18,000 | Bills Receivable 80,000 Bills Payable 47,000 | Sundry Debtors 95,000 Sundry Creditors 1,02,000 | Stock 14,000 Workmen Furniture 70,000 Compensation Reserve | 55,000 | Machinery 2,00,000 Capitals : Land & Building | 1,96,000 Raman 3,00,000 Aman = 1,50,000 |_4,50,000 6,79,000 6,79,000 Scanned with CamScanner17. On the above date Suman was admitted as a new partner for 1/5' share in the profits on the following conditions : () Suman will bring % 2,00,000 as her capital and necessary amount for her share of goodwill premium. The goodwill of the firm on Suman’s admission was valued at = 1,00,000. (ii) Outstanding expenses will be paid off. % 5,000 will be written off as bad debts and a provision of 5% for bad debts on debtors was to maintained. (iii) The liability towards workmen compensation was estimated at % 60,000. (iv) Machinery was to be depreciated by < 18,000 and Land and Building was to be depreciated by % 54,000. Pass necessary journal entries for the above transactions in the books of the firm, 16. Disha and Abha were partners in a firm. Farad was admitted as a new partner for 1/Sth share in the profits of the firm. Farad brought proportionate capital. Capitals of Disha and Abha after all adjustments were Rs 64,000 and Rs 46,000 respectively. Capital brought by Farad was: (1) A. 22,000 B. 27,500 C. 55,000 D. 28,000 Kabir and Farid are partners in a firm sharing profits in the ratio of 3:1 on 1-4-2019 they admitted Manik into partnership for 1/4th share in the profits of the firm. Manik brought his share of goodwill premium in cash. Goodwill of the firm was valued on the basis of 2 years purchase of last three years average profits. The profits of last three years were 2016-17 - Rs 90,000 2017-18 - Rs 1,30,000 2018-19 Rs 86,000 During the year 2018-19 there was a loss of * 20,000 due to fire which was not accounted for while calculating the profit. Calculate the value of goodwill and pass the necessary journal entries for the treatment of goodwill. Scanned with CamScannerAchla and Bobby were partners in a firm sharing profits and losses in the ratio of 3:1, On 31% March, 2019, their balance sheet was as follows : Balance Sheet of Achla and Bobby as on 31* March, 2019 eat Amount Amount Liabilities ® Assets ® Creditors 1,10,000 | Cash at bank 60,000 General Reserve 40,000 | Debtors 40,000 Workmen's compensation | 50,000 | Stock 45,000 reserve Capitals : Furniture 1,55,000 Achla 4,00,000 Land & Building | 5,00,000 Bobby 2,00,000 | 6,00,000 8,00,000 8,00,000 On 1* April, 2019, they admitted Vihaan as a new partner for 1/5 share in the profits of the firm on the following terms : (a) Vihaan brought 7 1,00,000 as his capital and the capitals of Achla and Bobby were to be adjusted on the basis of Vihaan’s capital ; any surplus or deficiency was to be adjusted by opening current accounts. (b) Goodwill of the firm was valued at % 4,00,000. Vihaan brought the necessary amount in cash for his share of goodwill premium, half of which was withdrawn by the old partners. (©) Liability on account of workmen's compensation amounted to % 80,000. (d)_ Achla took over stock at % 35,000. (e) Land and building was to be appreciated by 20%. Prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of the reconstituted firm on Vihaan’s admission. Scanned with CamScanner