GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
PRE MOCK EXAMINATION (2014 – 15)
CLASS XII
SUBJECT- ACCOUNTANCY
ANSWER KEY
1.
2.
3.
4.
5.
6.
7.
8.
Drawings and Accumulated Loss.
[1]
(1) On the basis of time. (2) On the basis of Sales
[1]
Capital Account of Partners.
[1]
Investment Fluctuation Fund
[1]
According to Section 48 of the Indian Partnership Act,1932 first Mrs. ‘s loan of Rs. 20,000
will be paid, after that B,s loan will be paid out of the available cash.
[1]
It is that part of the subscribed capital which has been called up by the company for
payment.
[1]
D cannot proceed for the allotment of shares because applications received is less than the
minimum subscription which amounts to 9,00,000 shares.
[1]
Total allotment money due = 60,000 x 5
=
Less Allotment money not paid by Nikhil and Vish ( Note1)
=
Amount received on allotment
=
Less Excess application money adjusted on allotment (Note2)
=
Total =
Notes : 1 Calculation of Allotment money not paid by Nikhil and Vish:
i.
ii.
Number of shares slotted to Nikhil= 30000/60000x1000= 500 Shares
Number of shares applied by Vish = 40000/30000x600= 800 Shares.
iii.
Application money received (A)
(A-B)
Nikhil 1000X3= Rs. 3000
Vish 800X3 = Rs. 2400
300000
3400
296000
120000
176600
[1 ½]
[½]
Application money Required (B)
Surplus
500X3 = Rs. 15000
600X3 = Rs. 1800
1500
600
iv.
Arrears on Allotment (Amount due – Surplus on Application(iii)}
(a) Nikhil {(500X5)-1500}
= Rs. 1000
(b) Vish {(600X5)- 600}
= Rs. 2400
Total
Rs. 3400
[½]
2.
Excess Applicatio Money adjusted on Allotment :
A (60,000 shares – 30,000 shares) X 3
= Rs. 90,000
B (40,000 shares – 30,000 shares) X 3
= Rs. 30,000
Total
= Rs. 1,20,000
[½]
9.
Plant and Machinery A/c
Dr.
400,000
Building A/c
Dr.
6,00,000
Inventories A/c
Dr.
5,00,000
Trade Receivables A/c
Dr.
3,00,000
To Trade Payables A/c
To Krishna Traders A/c
To Capital Reserve A/c
(Purchase of assets and liabilities of Krishna Traders)
1
[1]
2,00,000
15,00,000
1,00,000
GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
Krishna Traders A/c
Dr.
To Bank A/c
(Rs. 3,00,000 paid to Krishna Traders by Cheque)
10.
3,00,000
Krishna Traders A/c
Dr.
12,00,000
TO Share Capital A/c
10,00,000
To Securities Premium Reserve A/c
2,00,000
(The balance of Rs. 12,00,000 discharged by issue of equity shares at 20% premium)
[1]
Equity Share Capital A/c
Dr.
45,000
To Share Forfeited A/c
30,000
To Equity Shares First Call A/c
15,000
(Forfeiture of 500 equity shares of Rs. 100 each, Rs. 90 called up)
[1]
Bank A/c
Dr.
To Equity Share Capital A/c
To Securities Premium A/c
(Reissue of forfeited shares for Rs. 65,000)
[1]
65,000
50,000
15,000
Share Forfeited A/c
Dr.
30,000
To Capital Reserve A/c
(Transfer of shares forfeited account to capital reserve)
11.
[1]
3,00,000
Priya’s Capital A/c (Rs. 60,000 X 4/5)
SIya’s Capital A/c (Rs. 60,000 X 1/5)
TO Riya’s Capital A/c
(RIya’s share of goodwill adjusted)
Dr.
Dr.
[1]
30,000
48,000
12,000
[2]
60,000
Working Notes :
Riya’s share of last 4 years profit = (1,20,000+80,000+40,000+80,000) = 3,20,000 X 3/8
Riya,s share of goodwill = Rs. 1,20,000 X ½ = Rs. 60,000
[1]
ii. Promise made by a debtor lacks the certainty and hence cannot be treated as transaction to
be recorded. Hence it has been ignored.
[1]
12.
(a)Final call per share including premium
= Rs. 5
Premium (20 % of Rs. 10)
= Rs. 2
Final call excluding premium
= Rs. 5 – Rs. 2 = Rs. 3
Money received on forfeited shares per share
= Rs. 10 – Rs. 3 = Rs. 7
Money received on 100 forfeited shares = 100 X 7 = Rs. 700
Maximum amount of discount
= Rs. 700
[2]
(b) By raising share capital through private placement of shares Sambhavi Ltd. Ha deprived
retail investors of applying in the public issue of shares in future.
[2]
2
GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
13.
Basis
Preference Shares
Equity shares
Right to
Dividend paid before it is paid to
dividend
equity shares.
Rate of dividend Fixed
Dividend is paid on equity shares after
it is paid on preference shares.
Decided by the board of directorsand
approved by the shareholders.
A company may buy back its equity
shares.
Voting rights in all circumstances
Redemption
May be redeemed (refunded)
Voting Rights
Voting rights in special
circumstances
May be converted to equity shares
Not convertible
DO not have a right to participate in Have a right to participate in the
the management of the company
management of the company.
Convertibility
Right to
participate in
management
(Any Four)
14.
[1x4=4]
ACE Computer Ltd.
Balance Sheet as at
Particulars
1. Shareholder’s Funds
Share Capital
[2]
Note No.
1
Rs.
600,000
-----------6,00,000
------------[2]
Notes to Accounts
1. Share Capital
Authorised Capital
1,00,000 Equity Shares of Rs. 10 each
10,00,000
------------Issued Capital
75,000 Equity Shares of Rs. 10 each
7,50,000
--------------
Subscribed Capital
Subscribed and fully paid up
60,000 Equity Shares of Rs. 10 each
6,00,000
15.
SADHU’S CAPITAL ACCOUNT
Particulars
Rs.
Particulars
TO Sadhu’s Loan A/c
20000
By Balance b/d
TO Sadhu’s Executor’s A/c
139333
By Raja’s Capital A/c
By Karan’s Capital A/c
By General ReserveA/c
By Interest on Capital A/c
By Profit and Loss Suspense A/c
________
1,59,333
-------------
Rs.
80000
14667
29333
4000
1333
30000
________
1,59,333
-------------
{[1/2 X8 = 4 for each entry] [1 for performa][1for casting]}
3
GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
16.
JOURNAL
-----------------------------------------------------------------------------------------1.
Bank A/c
Dr.
2000
To Realisation A/c
2000
2.
3.
4.
5.
Parul’s Capital A/c
To Realisation A/c
Dr.
Realisation A/c
To Bank A/c
Dr.
Realisation A/c
TO Payal’s Capital A/c
Dr.
Bank A/c
TO Priyanks’s Loan A/c
Dr.
[1x 6=6]
49000
49000
16200
16200
13000
13000
50000
50000
6.
Bank A/c
Dr.
12000
To Realisation A/c
50000
-----------------------------------------------------------------------------------------17.
In the books of SRK Ltd.
Journal
1.
Bank A/c
Dr.
7500000
To Equity Share Application A/c
7500000
2.
3.
4.
5.
6.
7.
8.
Equity Share Application A/c
TO Bank A/c
TO Equity Share Capital A/c
TO Securities Premium A/c
To Equity Share Allotment Ac
Dr.
Equity Share Allotment A/c
TO Equity Share Capital A/c
Dr.
Bank A/c
TO Equity Share Capital A/c
Dr.
Equity Share First and Final Call A/c
To Equity Share Capital A/c
Dr.
7500000
1500000
3000000
2000000
1000000
4000000
4000000
2940000
2940000
3000000
3000000
Bank A/c
Dr.
TO Equity Share First and Final Call A/c
2940000
Equity Share Capital A/c
Dr.
To Forfeited Shares A/c
TO Equity Share Allotment A/c
TO Equity Share First and Final Call A/c
200000
Bank A/c
Forfeited Shares A/c
To Equity Shares Capital A/c
80000
20000
Dr.
Dr.
2940000
80000
60000
60000
100000
4
[8]
GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
9.
Forfeited Shares A/c
To Capital Reserve
Dr.
20000
20000
18.
Realisation Account
Particulars
Rs.
Particulars
TO Stock in trade
5000
By Provision for Doubtful Debts
To Investments
10000
By Sundry Creditors
TO Debtors
20000
By Bills Payable
To Plant
20000
By Mrs. A’s Loan
TO Buildings
15000
By Mrs. B’s Loan
TO Goodwill
4000
By Investment Fluctuation Fund
TO Cash (liabilities)
47810
By Cash (Assets)
To A’s Capital (Mrs. A’s loan
5000
By A’s Capital (Stock taken)
takes)
By B’s Capital A/c (Assets taken)
To Profit Tfd to Capital A.cs
A
34990
17495
----------B
161800
17495
-----------
Particulars
To P & L A/c
To Realisation A/c
TO Cash
Partner’s Capital Accounts
A
B
Particulars
1750
1750
By Balance b/d
4000
4000
By General Reserve
31745 25945 By Realisation A/c
32495 By Realisation A/c( Profit)
--------- --------37495 32495
--------- ---------
Cash Account
Particulars
Rs.
Particulars
To Balance b/d
8500
By Realisation A/c (Liabilities)
To Realisation A/c(Assets Realised) 97000
By A’s Capital A/c
By B’s Capital A/c
----------105500
----------Part B
[4]
Rs.
2000
30000
8000
5000
10000
1000
97000
4000
4000
----------161800
----------[2]
A
10000
5000
5000
17495
--------37495
---------
B
10000
5000
17495
--------32495
--------[2]
Rs.
47810
31745
25945
----------105500
-----------
19.
Contingent liabilities are the liabilities which come into existence on the happening of some
uncertain events.
[1]
20.
Financing Activity because it is paid for the use of share capital which is source of funds. [1]
21.
Operating Profit Ratio = 100 – Operating Ratio
= 100-87.14 = 12.86 %
[1]
22.
[ ½ x 6=3]
Items
1. Capital Reserves
2. Bonds
Sub Heading
Reserves and Surplus
Long term Borrowings
5
GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
3. Loans payable on demand
4. Vehicles
5. Goodwill
6. Loose Tools
23.
Short term Borrowings
Tangible Assets
Intangible Assets
Inventories
Comparative Statement of Profit and Loss
For the year ended 31st March , 2012 and 2013
Particulars
Note
No.
Revenue from operations
Add Other income
Total Revenue (I+II)
Less Expenses
Profit before Tax (III-IV)
Less Tax @ 50 %
Profit after Tax
24.
201112
600000
50000
650000
400000
250000
100000
150000
2012-13
800000
100000
900000
500000
400000
160000
24000
[4]
Absolute Change
Change
in %
200000
33.33
50000
100
250000
38.46
100000
25
150000
60
60000
60
90000
60
(a) 1. Decrease – Since given transaction reduces quick assets by reducing cash, there will be
decrease in quick ratio.
[2]
No Change – Since given transaction does not affect quick assets and current liabilities, there
will be no change.
(b)
[2]
Proprietary Ratio = Proprietors’ Fund / Total Assets
Total Assets = Non Current Assets + Current Assets
= 360000+90000
= 4,50,000
Total Assets = Total Capital and Liabilities
Proprietors’ Fund = Total Assets-Long Term Borrowings-Long Term Provisions-Current
Liabilities
= 450000-200000-100000-50000
=450000-350000
=Rs. 100,000
Proprietary Ratio = 100000 / 450000
= 1: 4.5 or 22.22 %
6
GURU HARKRISHAN PUBLIC SCHOOL, LONI ROAD
25. Calculation of Cash from Operating Activities
Particulars
[5]
Net profit before Tax
Add Depreciation on fixed tangible assets 20000
Loss on sale of fixed tangible assets
2000
Goodwill Written off
9000
--------Less : Gain on Sale Machinery
Net profit before Working Capital Changes
Add : Decrease in Current Assets and Decrease in Current Liabilities
Trade Receivables
(12000)
Prepaid Expenses
( 5000)
Outstanding Expenses
( 3000)
Income received in Advance
( 8000)
-------------------------------------------------------Cash Flow from Operating Activities before Tax
Less : Tax Paid
Cash Flow from Operating Activities
Working Note: Calculation of net profit before Tax
Net profit after appropriations
2,50,000
Add : Provision for Tax
35,000
Add : Transfer to General Reserve
17,500
------------Net Profit before tax
3,02,500
--------------
7
Amount
(Rs.)
302500
31000
------------(8000)
------------325500
(28000)
--------------311500
(35000)
--------------276500
---------------[1]