Interest on partner’s capital is :

Goodwill is a/an :

Good will is valued as two years purchase of the average profits of three previous years are Rs. 15000, the value of good-will be:

Good will of the firm is valued Rs. 30000. C an incoming partner purchase 1/4 share of total profit Good will be raised in the books.

The circumstances when change in profit sharing ratio is needed:

On the reconstitution of a firm change in the value of assets is called ________

The partnership may come to an end due to the:

The accounting procedure at the retirement of partner is valued:

Retirement or death of a partner.

A person who declares by word of mouth as partner of the firm is called:

Share allotment is a:

The minimum share application money is:

When debentures are issued as secondary securities it is called

When debentures are issued at a discount, should be written off the discount

What are the objectives of financial statement

Stock is not included in

Purchase of building results in

Dividend paid by a Trading company is classified under which kind of activity while preparing cash flow statement

Subscription received but not yet earned is considered as a/an

Rs10,000 received as the annual membership subscription. Out of this, Rs.2000 is pertaining to the previous accounting period whereas Rs.1000 is receivable at the end of the current accounting period. Calculate the amount of subscription that will be shown in the income and expenditure account for this accounting

List the item which may be debited or credited in capital accounts of the partners when
(i) Capital are fixed
(ii) Capital are fluctuating

X and Y are partners sharing profits and losses in the ratio of 3 : 2. They employed Z as their manager to whom they paid salary of Rs.4,500 per month.Z had deposited Rs.1,20,000 on which interest was payable @9% per annum. At the end of 2017-2018 after division of the year's profit, it was decided that Z should be treated as partner with effect from 1st April, 2011-2012 with 1/6th share of profits, his deposits being considered as capital carrying interest @6% per annum like capital of other partners.
The firm's profit and losses after allowing interest on capital as a charge wrer-2014-2015 profit Rs.3,54,000, 2015-2016 profit Rs.3,75,600, 2016 - 2017 loss Rs.24,000, 2017- 2018 profit Rs.4,68,000. Record the necessary journal entries to give an effect to the above.

(a)A and B are partners in a firm sharing profits in the ratio of 3:2. C is admitted as a partner. A and B surrender 1/2 of their respective shares in favour of C. Find the new profit sharing ratio and also the sacrificing ratio.

(b)C is a bring his share of premium for goodwill in cash. The goodwill of the firm is estimated at Rs.40,000. Pass necessary entries for the record od goodwill in the above case.

C and D are partners sharing profits in the ratio of 3:2. They take E as a new partner, who is supposed to bring RS.25,000 against capital and RS.10,000 against goodwill. New profit sharing ratio is 1:1:1. E is able to bring RS.30,000 only. How will this be treated in the books of the firm?

State the need for treatment of goodwill on change in profit sharing ratio

A firm has three partners ,Akanksha,Mini and Richa.Give the journal entry to distribute 'workmen compensation reserve' of Rs 24,000 at the time of change in profit sharing ratio among them to 2:1:1,when there is no claim against it.Also,identify the value being them highlighted in distributing workmen compensation reserve at the time of change in profit sharing ratio.

At what rate is interest payable on the amount remaining unpaid to the executor of deceased partner?

Nonu, Monu and Sonu are partners sharing profits and losses in the ratio of 4:3:1 respectively.Monu retires, selling his of profit to Nonu and Sonu for Rs.810, i.e Rs.,360 bring paid by Nonu and Rs.450 being paid by Sonu.The profit of the firm after Monu's retirement is Rs,500.Distribute the given profit between Nonu and Sonu, showing how you arrive at the same.

Arihant Ltd was dissolved on 31st MArch, 2015. Raj, a partner wants that his loan of Rs. 32,000 should be paid off before the payment of capitals must be paid before the payment of Raj's Loan. Who is correct?

Record necessary journal entries for the following unrecorded assets and liabilities in the books of Riya and Raghav.

(i) There was an old furniture in the firm, which had been written-off completely in the books. This was sold for Rs300.

(ii) Rahul, an old customer whose account for Rs100 was written-off as bad in the previous year, paid 60% of the amount.

(iii) Raghav agreed to take over the firm's goodwill (not recorded in the books of the firm), at a valuation of Rs3,000.

(iv) There was an old typewriter, which ha been written-off completely from the books. It was estimated to realise Rs40. It was taken away by Priya at an estimated price less 25%.

(v) There were 100 Shares of Rs10 each in S Ltd acquired at a cost of Rs2,000, which had been written-off completely from the books. These shares are valued @ Rs6 each and divided among the partners in their profit sharing ratio

X Ltd invited applications for 10,000 shares of Rs10 each. Applications were received for 15,000 shares. Name the kind of subscription. Give three alternatives for allotting shares.

Sushant Ltd was registered with a capital of Rs 5,00,000 in shares of Rs 10 each and issued 20,000 such shares at a premium of Rs 2 per share, payable as Rs 2 per share on application, Rs 5 per share on allotment (including premium) and Rs2 per share on first call made three moths later. All the money payable on application and allotment was duly received but when the first call was made, one shareholder paid the entire balance on his holding of 300 shares and another shareholder holding 1,000 shares failed to pay the first call money.

Give journal entries to record the above transactions.

Deepak Ltd. Purchased furniture Rs.2,20,000 from M/s Furniture Mart. 50% of the amount was paid to Furniture Mart by accepting a bill of exchange and for the balance the company issued 9% debentures of Rs.100 each at a premium of 10% in favour of Furniture Mart.
Pass necessary journal entries in the books of Deepak Ltd. for the above transactions.

State the provision of The Companies Act, regarding debenture redemption reserve.

How are the contingent liabilities shown in the balance sheet of a company?

Name any five items that can be disclosed under 'current investments'.

From the following Statement of Profit and Loss of Purab Ltd. prepare a Comparative Statement of Profit and Loss:

Prepare a comparative statement of profit and loss from the following details.

X Ltd has a quick ratio at 3 : 1. Its management is interested in maintaining this ratio at 4:1. What are the two choices to do so?

X Ltd has an operating profit ratio at 15%. Its management is interested in maintaining this ratio at 20%. What are the two choices to do so?

What is meant by cash flow statement?

'Sale of marketable securities at par' would result into inflow or outflow of cash.Give your answer with reason.

What steps are taken to prepare Income and Expenditure Account from a Receipt and Payment Account?

What is Capital Fund? How is it calculated?

Raj and Sameer are partners sharing profits equally.Raj withdrew regularly Rs 8000 at the end of every month for six months ended 30th September 2017. Calculate interest on drawings @ 5% per annum.

T and C are partners in a firm sharing profits in the ratio of 4:3. On 1st April, 2015, they admitted S as a new partner. S brought in RS.10,000 for his capital and RS.2,100 for 1/3rd share of goodwill premium. On S's admission, goodwill appeared in the books of the firm at RS.2,800. Record the necessary journal entries on S's admission.

(i)P,Q and R are partners sharing profits and losses in the ratio of 5:3:2  They decide to share future profits in the ratio of 2:3:5 with effect from 1st April,2015. The following items appear in the balance sheet as at 31st March 2015
General reserve Rs 90,000 ,contingency reserve Rs 15,000 profit and loss account (Dr) Rs 60,000
(ii)Pass the necessary journal entries ,when those accounts are not required to be shown in the books of reconstituted firm.

M,N and O were partners in a firm sharing profits and losses equally. Their Balance Sheet on 31.12.2009 was as Follows:

N died on 14th March,2010. According to the Partnership Deed, executors of the deceased partner are entitled to :

(i)Balance of Partner's capital account.

(ii) Interest on Capital @ 5% p.a.

(iii)Share of goodwill calculated on the basis of twice the average of past three year's profits.

(iv)Share of profits from the closure of the last accounting year till the date of death on the basis of twice the average of three completed year's profits before death.

Profits fro 2007,2007,2008 and 2009 were RS.80,000, RS.1,00,000, respectively. Show the working for deceased partner's share of goodwill and profits till the date of his death. Pass the necessary Journal Entries and prepare N's Capital Account to be rendered to his executors.

What Journal entries would be passed for the following transactions on the dissolution of a firm, of partner Rohan and Sohan?

(i) An unrecorded asset realised Rs 10,000.

(ii) Dissolution expenses amounted to Rs2,000

(iii) Creditors, already transferred to realisation account, were paid Rs54,000.

(iv) Stock work Rs2,200 already transferred to realisation account was taken over by a partner Rohan.

(v) Profit on realisation Rs48,000 is to be distributed between partners Rohan and Sohan in the ratio of 7:5.

DP Shah Company Ltd made an issue of 1,00,000 equity shares of Rs 10 each at a premium of 30% payable as follows

On application Rs 3.50 per share, on allotment Rs 6.50 per share, balance on first and final call.

Applications were received for 2,00,000 equity shares and the directors made pro-rata allotment. Harsh, who had applied for 1,600 shares did not pay the allotment and final call money, as a result his shares were forfeited. Later on, 60% of the forfeited shares were re-issued at Rs 8 per share fully paid-up.

Pass necessary journal entries for the mentioned transactions in the books of the company.

Arihant Ltd purchased a machinery from Vidya Ltd for an agreed purchase consideration of  Rs.11,52,000 to be satisfied by the issue of 9% debentures of Rs.100 each at 4%discount. Journalise the transactions.

In the question given above, determine the amount that will be shown in the statement of profit and loss against change in inventories of finished goods, work-in-progress and stock-in-trade.

Prepare Comparative and Common Size income statement form the following information for the year's enden march 31, 2008 and 2009.

Current ratio of a company is 3:1 and working capital is Rs.30,000. Calculate the amount of current assets and current liabilities.

List any two items of operating activities, that are typical of and pertaining to Film Production House.

From the following Receipt and Payment Account for the year ending March 31, 2015 of Negi's Club, prepare Income and Expenditure Account for the same period:

The following additional information is available:
(i) Salaries outstanding – Rs. 1,500;
(ii) Entertainment expenses outstanding – Rs. 500;
(iii) Bank interest receivable – Rs. 150;
(iv) Subscriptions accrued – Rs. 400;
(v) 50 per cent of entrance fees is to be capitalised;
(vi) Furniture is to be depreciated at 10 per cent per annum.

Vishal and Gaurav are partners and they had Rs.40,000 and Rs.60,000 in their respective account as on 1st January, 2017. Vishal paid in further Rs.5,000 on 1st August,2017 and another Rs.5,000 on 15th November, 2017 Compute the interest on capital to be allowed to Vishal assuming the rate of interest to be 6% per annum.

The following is the balance sheet of S and M who share profits and losses in the ratio of 3:2.
                             Balance Sheet
                       as at 31st March, 2015

On the following conditions, T was admitted on 1st April, 2016 as the third partner.
(i) Machinery was found overvalued by 25%.
(ii) S takes overland at RS.22,000.
(iii) M assumes to pay off bills payable at an agreed value of RS.14,000.
(iv) A reserve of 4% is to be created on debtors.
(v) T brings RS.40,000 as his capital and gets 1/5th share in future profits.
(vi) Goodwill of the firm is valued at RS.1,00,000 but he was unable to bring his share of goodwill in cash.
Prepare the revaluation account, partners' capital accounts and balance sheet.

The balance Sheet of Modi,Gandhi and Yadav who share profits in the ratioof 2:2:1 is given below
                                            Balance Sheet
                                        as at 31st March,2015

On 1st April,2015, they decide that in (i)Stock is for future, they will share profits in the ratio of 3:2:1, the following adjustments are agreed upon.
(i) Stock is found to be undervalued by 10%.
(ii)Building will be appreciated by Rs 50,000.
(iii)Machinery and furniture and fittings will be depreciated by 5% and 10% respectively.
(iv)Goodwill will be valued at 2 year's purchase of average profits of last 3 years which were Rs 2,00,000, Rs 2,25,000 and Rs 3,75,000 respectively.The profit of Rs 3,75,000 includes profit on sale of machinery Rs 5000.
(vi)Claim on account of workmen compensation is estimated to be Rs 60,000.Prepare revaluation account, partners' capital accounts and the balance sheet of the new firm.

P, Q and R were equal partners.Their balance sheet as at 31st March, 2018 is                                          

Q  retired on 1st April 2015.P and R decided to continue the business as equal partners on the following terms.
(i) Goodwill of the firm was valued at Rs.57,600
(ii) The provision for doubtful debts to be maintained @ 10% on debtors
(iii) Land and building to increased to Rs.1,32,000
(iv) Furniture to be reduced by Rs.8,000
(v) Rent outstanding (not provided for as yet)was Rs.1,500
The remaining partners decided to bring in sufficient cash in the business to pay off Q and to maintain a bank balance of Rs.24,800.They also decided to readjust their capitals as per their new profit sharing ratio.
Prepare the necessary ledger accounts and the balance sheet.

Radha and Mohan were Partners. They decided to dissolve their firm. The goodwill appeared in the books at Rs. 6000. Show journal entries in their books, if goodwill realised Rs. 9,000. 

Z Ltd was founded with a nominal capital of Rs 3,00,000 divided into 6,000 equity shares of Rs 50 each. 2,000 shares were issued as fully paid to the vendors for purchase consideration. 2,000 shares were offered for public subscription at a premium of Rs 5 per share payable as

On application Rs 15, on allotment Rs 15 (including premium), on first call Rs 10 and on final call Rs 15. Applications were received for 1,950 shares which were duly allotted. A holder of 200 shares failed to pay the first call money and his shares were forfeited. These shares were re-issued @ Rs 35 per share paid-up. Find call has not been made. Give necessary journal entries.

Akshat Ltd issued 5,000, 9% debentures on Rs.100 each at par for cash and also raised a loan of Rs.80,000 from America Bank, for which the company placed with the bank Rs.1,00,000, 9% debentures as collateral security. As per the terms, the bank is obliged and bound to immediately release the debentures, as soon as the loan is repaid. How will y u show the debentures in the balance sheet of the company assuming that the company has recorded the issue of debentures as collateral in the books? Identify the value which according to you motivated the bank, to insist the company for issuing debentures as collateral security against the loan.

Compute cost of materials consumed from the following information.
Opening inventory of raw material Rs 3,00,000, opening inventory of work-in-progress Rs 4,00,000, raw material purchased Rs 30,00,000, closing inventory of raw material Rs 5,00,000 and closing inventory of work-in-progress Rs 3,00,000.

Rearrange the following in the form of a comparative income statement or statement of profit and loss.

From the following information, calculate total assets to debt ratio of M/s Kundan Pharmacy.

Surplus, i.e. balance in the statement of profit and loss Rs(15,000)

From the following information, calculate cash flow from investing activities.

Additional Information(i) During the year, a machine costing Rs.80,000, accumulated depreciation Rs.48,000 was sold for Rs.40,000.
(ii) Patents were written-off to the extent of Rs.80,000 and some patents were sold at a profit of Rs.40,000.

Prepare Income and Expenditure Account of Entertainment Club for the year ending March 31, 2017 and Balance Sheet as on that date from the following information:

Additional Information: