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From the following Receipt and Payment Account of a club, prepare Income and Expenditure Account for the year ended March 31, 2017 and the Balance Sheet as on that date.

Additional Information:

Apply common size analysis to ABC Company's selling expenses given the following information: Selling expenses = Rs. 60,000; Revenue from Operations = Rs. 2,50,000; Total assets = Rs. 4,25,000; Total liabilities = Rs. 3,00,000.

Under weighted average profit method, usually more weightage is assigned to ___

What are the methods of floatation in primary market?

Discount on the issue of debentures should be shown on the :

Sacrificing ratio =

Bharat Ltd had an authorized capital of Rs 20,00,000 divided into 2,00,000 equity shares of Rs 10 each. The company issued 1,00,000 shares and the dividend paid per share was Rs 2 for the year ended 31-3-2008. The management of the company decided to export its products to the neighbouring countries Nepal, Bhutan, Sri Lanka and Bangladesh. To meet the requirement of additional funds the financial manager of the company put up the following three alternatives before its Board of Directors:

(i) Issue 54,000 equity shares.

(ii) Obtain a loan from Import and Export Bank of India. The loan was available at $12\%$ per annum interest.

(iii) To issue $9\%$ Debentures at a discount of $10\%$.

After comparing the available alternatives the company decided on 1-4-2008 to issue 6,000 $9\%$ debentures of Rs 100 each at a discount of $10\%$. These debentures were redeemable in four instalments starting from the end of third year. The amount of debentures to be redeemed at the end of third, fourth, fifth and sixth year was as follows:

$\begin{array}{cc}\text{Year}& \text{Amount of Debentures to be redeemed}\\ III& 1,00,000\\ IV& 1,00,000\\ V& 2,00,000\\ VI& 2,00,000\end{array}$

Prepare $9\%$ Debentures Account for the years 2008-09 to 2013-14.

What is the amount of Interest on drawings for Ram at 10% p.a. for the Year ended 31st March 2018, if he withdrew Rs 2,000 p.m. in the end of every month.

Loans payable on demand should be treated as part of ______.

What do you mean by the term ‘share’? Discuss the type of shares, which can be issued under the Companies Act, 1956 as amended to date.

In case, any semi-finished goods/materials are purchased with an intention of doing further processing activities on the same, the same should be included in ___

Amit, Babita and Sona form a partnership firm, sharing profits in the ratio of 3:2:1, subject to the following

(i) Sona's share in the profits, guaranteed to be not less than Rs 15,000 in any year.

(ii) Babita gives guarantee to the effect that gross fee earned by her for the firm shall be equal to her average gross fee of the proceeding five years, when she was carrying on profession alone (which is Rs 25,000). The net profit for the year ended March 31, 2007 is Rs 75,000. The gross fee earned by Babita for the firm was Rs 16,000.

You are required to show profit and loss appropriation account (after giving effect to the alone).

What should partners agree to share among themselves?

State the meaning of Analysis and Interpretation.

Aparna, Manisha and
Sonia are partners sharing profits in the ratio of 3:2:1. Manisha
retires and goodwill of the firm is valued at Rs 1,80,000. Aparna and
Sonia decided to share future in the ratio of 3:2. Pass necessary
Journal entries.

Distinguish between a debenture and a share. Why debenture is known as loan-capital? Explain.

Answer the questions on the basis of the information given below.

M, N, O, P, Q and R are a group of friends. There are two housewives, one professor, one engineer, one accountant and one lawyer in the group. There are only two married couples in the group. The lawyer is married to P, who is a housewife. No woman in the group is either an engineer or an accountant. O, the accountant, is married to R, who is a professor. M is married to a housewife. Q is not a housewife.

Which of the following is one of the married couples?

Ramesh and Suresh were partners in a firm sharing profits in the ratio of their capitals contributed on commencement of business which were Rs 80,000 and Rs 60,000 respectively. The firm started business on April 1, 2016. According to the partnership agreement, interest on capital and drawings are 12% and 10% p.a., respectively. Ramesh and Suresh are to get a monthly salary of Rs 2,000 and Rs 3,000, respectively.

The profits for year ended March 31, 2017 before making above appropriations was Rs 1,00,300. The drawings of Ramesh and Suresh were Rs 40,000 and Rs 50,000, respectively. Interest on drawings amounted to Rs 2,000 for Ramesh and Rs 2,500 for Suresh. Prepare Profit and Loss Appropriation Account and partners’ capital accounts, assuming that their capitals are fluctuating.

Reciepts and payments account includes:

A and B are partners in a firm sharing profits and losses in the ratio of 3:2. On 31st March, 2017, their Balance Sheet was as under:

$\begin{array}{cccc}\text{Capital and Liabilities}& \text{Rs}& \text{Assets}& \text{Rs}\\ \text{Creditors}& 70,000& \text{Bank}& 40,000\\ \text{Capital A/cs:}& & \text{Debtors}& 1,20,000\\ A1,50,000& & \text{Stock}& 60,000\\ B\underset{–}{80,000}& 2,30,000& \text{Furniture}& 50,000\\ & & \text{Goodwill}& 30,000\\ & \underset{–}{\overline{3,00,000}}& & \underset{–}{\overline{3,00,000}}\end{array}$

On the above date C is admitted as a partner. A surrendered $\frac{1}{6}th$ of his share and B $\frac{1}{3}rd$ of his share in favour of C. Goodwill is valued at Rs 1,20,000. C brings in only $\frac{1}{2}$ of his share of goodwill in cash and Rs 1,00,000 as his capital. Following adjustments are agreed upon:

(i) Stock is to be reduced to Rs 56,000 and furniture by Rs 5,000.

(ii) There is an unrecorded asset worth Rs 20,000.

(iii) One month's rent of Rs 15,000 is outstanding.

(iv) A creditor for goods purchased for Rs 10,000 had been omitted to be recorded although the goods had been correctly included in stock.

(v) Insurance premium amounting to Rs 8,000 was debited to P & L A/c, of which Rs 2,000 is related to the period after 31st March, 2017.

You are required to prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of the new firm. Also calculate the new profit sharing ratio.

What is meant by 'Issue of debentures for consideration other than Cash'?

A technique that is used in comparative analysis of financial statement is ________.

Radha, Sheela and Meena were in partnership sharing profits and losses in the proportion of 3 : 2 : 1. On April 1, 2007, Sheela retires from the firm. On that date, their Balance Sheet was as follows

$\begin{array}{ccccc}\text{Capital and Liabilities}& & \text{Amt. (Rs)}& \text{Assets}& \text{Amt. (Rs)}\\ \text{Trade Creditors}& & 3,000& \text{Cash in Hand}& 1,500\\ \text{Bills payable}& & 4,500& \text{Cash at Bank}& 7,500\\ \text{Expenses Owing}& & 4,500& \text{Debtors}& 15,000\\ \text{General Reserve}& & 13,500& \text{Stock}& 12,000\\ \text{Capitals}& & & \text{Factory Premises}& 22,500\\ \text{Radha}& 15,000& & \text{Machinery}& 8,000\\ \text{Sheela}& 15,000& & \text{Loose Tools}& 4,000\\ \text{Meena}& \underset{–}{15,000}& 45,000& & \\ & & \underset{–}{\underset{–}{\overline{70,500}}}& & \underset{–}{\underset{–}{\overline{70,500}}}\end{array}$

The terms were

(a) Goodwill of the Firm was valued at Rs.13,500.

(b) Expenses owing to be brought down to Rs.3,750.

(c) Machinery and Loose Tools are to be valued at 10 % less than their book value.

(d) Factory premises are to be revalued at Rs.24300.

Prepare

1. Revaluation account

2. Partners capital accounts

3. Balance sheet of the firm after retirement of Sheela