Explore topic-wise InterviewSolutions in .

Arun, Boby and Chintu are partners in firm sharing profit in the ratio of 2:2:1. According to the terms of the partnership agreement. Chintu has to get a minimum of Rs 60,000, irrespective of the profits of the firm. Any Deficiency to Chintu on Account of such guarantee shall be borne by Arun. Prepare the profit and loss appropriation account showing distribution of profits among partners in case the profits for year 2006 are (i) Rs 2,50,000; (ii) Rs 3,60,000.

List any five PSUs that are partly privatised.

Liquidity ratios are used to evaluate the capability of an entity to meet its ____________________

From a bookshop offering a discount of 20% on purchases for 200 rupees or more, Babu and Thomas bought a book each. Each of the books was priced 190 rupees. They wanted it in a single bill, made out to one of them. How much do they have to pay together?

General Reserve appearing at the time of dissolution is transferred to _____________

For expenses of realisation when actual expenses are paid by the partner on behalf of the firm, which account is credited ?

Calculate the total revenue, marginal revenue and average revenue schedules in the following table. Market price of each unit of the good is Rs 10.

Write the various
matters that need adjustments at the time of retirement of
partner/partners.

How will you deal with the following items while preparing the final accounts of a club :

$\begin{array}{ccc}& \text{April 1, 2016}& \text{March 31, 2017}\\ & \text{Rs}& \text{Rs}\\ \text{Stock of Stationery}& 4,000& 3,000\\ \text{Creditors for Stationery}& 7,200& 5,400\end{array}$

Amount paid for stationery during the year 2016-17 Rs 25,000

How much amount atleast should be transferred to Debenture Redemption Reserve, if the Debenture value in the balance sheet is Rs 15,00,000?

You are required to calculate Return on Investment for the year 2018-19 with reference to Opening Capital Employed.

What is followed while preparing the financial statements?

Honorarium is paid in the form of ___________

Amount due to a deceased partner shown by his capital account is transferred to his ___

To check the quality of two brands of light bulbs, their life in burning hours was estimated as under for 100 bulbs of each brand.

(i) Which brand gives higher life?

(ii) Which brand is more dependable?

Explain the term ‘Forfeiture of Shares’ and give the accounting treatment on forfeiture.

From the above date, the partners decided to share the future profits equally. For this purpose the goodwill of the firm was valued at ₹ 90,000. It was also agreed that:

(a) Claim against Workmen Compensation Reserve will be estimated at ₹ 1,00,000 and fixed assets will be depreciated by 10%.

(b) The Capitals of the partners will be adjusted according to the new profit-sharing ratio. For this, necessary cash will be brought or paid by the partners as the case may be.

Prepare Revaluation Account, Partners' Capital Accounts and the Balance Sheet of the reconstituted firm.

Securities premium makes a part of ___________.

The following is the Balance Sheet of A and B as at 31st March, 2014 who share profits in the ratio of 2:1.

$\begin{array}{cccc}\text{Capital and Liabilities}& \text{Rs}& \text{Assets}& \text{Rs}\\ \text{Bank Overdraft}& 15,000& \text{Sundry Debtors}40,000& \\ \text{Reserve Fund}& 12,000& \text{Less:Provision}\underset{–}{3,600}& 36,400\\ \text{Sundry Creditors}& 20,000& \text{Stock}& 20,000\\ \text{Capitals:}A& 40,000& \text{Building}& 25,000\\ B& 30,000& \text{Patents}& 2,000\\ & & \text{Machinery}& 33,600\\ & \underset{–}{\overline{1,17,000}}& & \underset{–}{\overline{1,17,000}}\end{array}$

They admitted C into partnership on 1st April, 2014. New profit sharing ratio is agreed as $\frac{3}{2}:\frac{2}{6}:\frac{1}{6}$. C brings in proportionate capital after the following adjustments:

(1) C brings in Rs 10,000 in cash as his share of Goodwill.

(2) Provision for doubtful debts is to reduced by Rs 2,000

(3) There is an old typewriter valued Rs 2,600. It does not appear in the books of the firm. It is now to be recorded.

(4) Patents are valueless.

(5) 2% discount is to be received from creditors.

Prepare Revaluation A/c, Capital A/cs and the opening Balance Sheet.

Where there is no partnership agreement exists between partners, what will be the profit sharing ratio between the partners?

How is Mukesh’s attitude to his situation different from that of his family?

Discuss the main provisions of the Indian Partnership Act, 1932 that are relevant to partnership accounts if there is no partnership deed.

Percentage means ___.

Leema is a manufacturer who deals in bakery products while Mala is a manufacturer who deals with industrial kitchen ovens and furnaces. What is an operating cycle? Based on the length of the operating cycle state who would require more working capital and Why? State the reasons.

Under which head is the ‘Debenture Redemption Reserve’ shown in the balance sheet.

Calculate debt equity ratio from the following information

$\begin{array}{cc}\text{Items}& \text{Rs.}\\ \text{Total Assets}& \text{15,00,000}\\ \text{Current Liabilities}& \text{6,00,000}\\ \text{Total Debts}& \text{12,00,000}\end{array}$

A wilful defaulter can be defined as

Code:

Debentures are said to be issued at par when their issue price is ___ the face value.

List any three objectives of financial statements.

Applications were received for 1,60,000 shares. Allotment was made on pro-rata basis. Excess money on application was adjusted against the amount due on allotment.
Rohan, whom 4,800 shares were allotted, failed to pay for the two calls. These shares were subsequently forfeited after the second call was made. All the shares forfeited were reissued to Teena as fully paid at Rs.7 per share.

Record journal entries in the books of the company to record these transactions relating to share capital. Also show the company's balance sheet.