DAV SR SECONDARY SCHOOL – MOGAPPAIR
PRACTICE PAPER IN ACCOUNTANCY
28/03/2023. MAX.MARKS:80
CLASS XII. DURATION: 3 HRS
1 A partner may wish to withdraw from a firm for various reasons like
old age, health grounds, misunderstanding with other partners. Such
a situation is called:
a. Admission of a partner
b. Retirement of a partner
c. Death of a partner
d. Dissolution of a firm
2 Goodwill given in the balance sheet will be:
a. Distributed to gaining partner.
b. Written off among old partners
c. Credited to old partners
d. written off among the sacrificing partners.
3 Some adjustments are to be made at the time of retirement of a
partner:
a. new profit sharing ratio of continuing partners
b. Accounting treatment of goodwill
c. Sacrificing ratio of continuing partners
d. Accounting treatment of reserves
which of the above adjustments are to be done:
a. I,ii,& iv
b. (i),(iii)&(ii)
c. (i) (ii) (iii) (iv)
d. (ii) (iii) (iv)
4 How are the accounts of the deceased partner settled?
a. Paid off Immediately
b. Paid in instalments with interest
c. Paid in instalments without interest
d. All of the above
5 Shiv,mohan and Hari are partners in a firm sharing profits in the ratio
of 5:5:4. Mohan retired and his share is divided equally between Shiv
and Hari. The new profit sharing ratio will be:
a. 12:15
b. 12:11
c. 15:13
d. 10:14
6 As per section 37 of the Indian partnership 1932, interest @---------- is
payable to the retiring partner if full or part of his dues unpaid.
7 On retirement of a partner, debtors of ₹34,000 were shown in the
Balance Sheet. Out of this,₹4000 became bad. One debtor became
insolvent and 70% were recoverable from him out of ₹10,000. Full
amount is expected from the remaining debtors. On account of this
item,loss on Revaluation will be:
, a. ₹10,200
b. ₹3,000
c. ₹7,000
d. ₹4,000
8 Settlement of accounts in case of dissolution of in case of dissolution
of partnership firm is dealt with which section of partnership?
a. Section 45
b. Section 42
c. Section 44
d. Section 48
9 If in case of dissolution of partnership firm, there was no Workmen
compensation reserve and the firm had to pay ₹3000 as
compensation to workers, where will be this ₹3000 be recorded in the
books of accounts?
a. Debit side of Realisation a/c
b. Credit side of Realisation a/c
c. Debit side of partner’s Capital a/c
d. Credit side of partner’s capital a/c.
10 B, C & D are partners in a firm sharing profits and losses in the ratio
of 1:4:5. On 31st March 2018 the firm was dissolved and on that date
the Balance Sheet of the firm showed a loan of ₹100,000 given by C’s
Brother F. C agreed to pay his brother’s loan.
Pass journal entries for the above transaction on the date of
Dissolution.
11 State any two reasons due to which the firm may be dissolved.
12 In case of Debentures issued as a collateral security against a bank
loan, which account is debited?
a. Bank A/c
b. Bank loan a/c
c. Debentures a/c
d. Debentures suspense a/c
13 When debentures are issued at a discount and redeemable at a
premium, the account to be debited will be:
a. Loss on issue of Debentures a/c
b. Securities premium a/c
c. Premium on redemption of debentures a/c
d. Statement of profit and loss.
14 Excess value of purchase consideration over the net value of asset at
the time of purchase will be --------.
a. Capital Reserve
b. General Reserve
c. Vendor’s A/c
d. Goodwill
15 Which of the following statements is false?
a. Debenture is a form of public borrowing
b. It is customary to prefix debenteres with the agreed rate of
interest.
c. Debenture interest is a charge against profits
d. The issue price and the redemption price cannot differ.
16 A ltd took over the assets of ₹6,60, 000 and liabilities of ₹80,000 of B
PRACTICE PAPER IN ACCOUNTANCY
28/03/2023. MAX.MARKS:80
CLASS XII. DURATION: 3 HRS
1 A partner may wish to withdraw from a firm for various reasons like
old age, health grounds, misunderstanding with other partners. Such
a situation is called:
a. Admission of a partner
b. Retirement of a partner
c. Death of a partner
d. Dissolution of a firm
2 Goodwill given in the balance sheet will be:
a. Distributed to gaining partner.
b. Written off among old partners
c. Credited to old partners
d. written off among the sacrificing partners.
3 Some adjustments are to be made at the time of retirement of a
partner:
a. new profit sharing ratio of continuing partners
b. Accounting treatment of goodwill
c. Sacrificing ratio of continuing partners
d. Accounting treatment of reserves
which of the above adjustments are to be done:
a. I,ii,& iv
b. (i),(iii)&(ii)
c. (i) (ii) (iii) (iv)
d. (ii) (iii) (iv)
4 How are the accounts of the deceased partner settled?
a. Paid off Immediately
b. Paid in instalments with interest
c. Paid in instalments without interest
d. All of the above
5 Shiv,mohan and Hari are partners in a firm sharing profits in the ratio
of 5:5:4. Mohan retired and his share is divided equally between Shiv
and Hari. The new profit sharing ratio will be:
a. 12:15
b. 12:11
c. 15:13
d. 10:14
6 As per section 37 of the Indian partnership 1932, interest @---------- is
payable to the retiring partner if full or part of his dues unpaid.
7 On retirement of a partner, debtors of ₹34,000 were shown in the
Balance Sheet. Out of this,₹4000 became bad. One debtor became
insolvent and 70% were recoverable from him out of ₹10,000. Full
amount is expected from the remaining debtors. On account of this
item,loss on Revaluation will be:
, a. ₹10,200
b. ₹3,000
c. ₹7,000
d. ₹4,000
8 Settlement of accounts in case of dissolution of in case of dissolution
of partnership firm is dealt with which section of partnership?
a. Section 45
b. Section 42
c. Section 44
d. Section 48
9 If in case of dissolution of partnership firm, there was no Workmen
compensation reserve and the firm had to pay ₹3000 as
compensation to workers, where will be this ₹3000 be recorded in the
books of accounts?
a. Debit side of Realisation a/c
b. Credit side of Realisation a/c
c. Debit side of partner’s Capital a/c
d. Credit side of partner’s capital a/c.
10 B, C & D are partners in a firm sharing profits and losses in the ratio
of 1:4:5. On 31st March 2018 the firm was dissolved and on that date
the Balance Sheet of the firm showed a loan of ₹100,000 given by C’s
Brother F. C agreed to pay his brother’s loan.
Pass journal entries for the above transaction on the date of
Dissolution.
11 State any two reasons due to which the firm may be dissolved.
12 In case of Debentures issued as a collateral security against a bank
loan, which account is debited?
a. Bank A/c
b. Bank loan a/c
c. Debentures a/c
d. Debentures suspense a/c
13 When debentures are issued at a discount and redeemable at a
premium, the account to be debited will be:
a. Loss on issue of Debentures a/c
b. Securities premium a/c
c. Premium on redemption of debentures a/c
d. Statement of profit and loss.
14 Excess value of purchase consideration over the net value of asset at
the time of purchase will be --------.
a. Capital Reserve
b. General Reserve
c. Vendor’s A/c
d. Goodwill
15 Which of the following statements is false?
a. Debenture is a form of public borrowing
b. It is customary to prefix debenteres with the agreed rate of
interest.
c. Debenture interest is a charge against profits
d. The issue price and the redemption price cannot differ.
16 A ltd took over the assets of ₹6,60, 000 and liabilities of ₹80,000 of B
