12th Class
Accountancy
Sample Paper
Accountancy - Sample Paper-5
question_answer
Anuj, Vishal and Shekhar were equal partners. Their balance sheet as at 31st March, 2017 is Balance Sheet as at 31st March, 2017
Liabilities
Amt (Rs.)
Assets
Amt (Rs.)
Bills Payable
10,000
Bank
10,000
Sundry Creditors
20,000
Stock
10,000
General Reserve
15,000
Furniture and Fixtures
14,000
Profit and Loss A/c
3,000
Sundry Debtors
22,500
Capital A/cs
(-) Provision for Doubtful Debts
(2,500)
20,000
Anuj
30,000
Buildings
60,000
Vishal
20,000
Shekhar
16,000
66,000
1,14,000
1,14,000
Vishal retired on 1st April, 2017. Anuj and Shekhar decided to continue the business as equal partners on the following terms: (i) Goodwill of the firm was valued at Rs. 28,800. (ii) The provision for bad and doubtful debts to be maintained @ 10% on debtors. (iii) Buildings to be increased to Rs. 66,000. (iv) Furniture and fixtures to be reduced by Rs. 4,000. (v) Rent outstanding (not provided for as yet) was Rs. 750 The remaining partners decided to bring in sufficient cash in the business to pay-off Vishal and to maintain a bank balance of Rs. 12,400. They also decided to re-adjust their capitals as per their new profit sharing ratio. Prepare the necessary ledger accounts and the balance sheet. Or Anita and Sanjay are partners dealing in manufacturing plastic polythenes, with profit sharing ratio of 2 : 1. Their balance sheet as at 31st March, 2017 was as under, when the government banned the plastic polythene and therefore they shifted to manufacturing paper bags. Balance Sheet as at 31st March, 2017
Liabilities
Amt (Rs.)
Assets
Amt (Rs.)
Bills Payable
60,000
Cash in Hand
20,000
Sundry Creditors
60,000
Cash at Bank
80,000
Salaries Outstanding
10,000
Sundry Debtors
40,000
Profit and Loss
30,000
Stock
60,000
Capital A/cs
Machinery
1,70,000
Anita
1,50,000
Goodwill
90,000
Sanjay
1,50,000
3,00,000
4,60,000
4,60,000
They admitted Sonu into partnership on 1st April, 2017. The new profit sharing ratio is agreed as 2 : 1 : 1. Other terms of Sonu's admission were as under: (i) He will bring in Rs. 1,20,000, through cheque, as his share of capital and Rs. 30,000 as his share of goodwill. (ii) Machinery is to be appreciated by 10%. (iii) Stock overvalued by Rs. 2,000. (iv) A provision for doubtful debts is to be created at 5% on debtors. (v) Creditors are unrecorded to the extent of Rs. 7,000. Prepare the revaluation account, partners' capital accounts, bank account and the balance sheet of the new firm after the admission.
Answer:
Dr Revaluation Account
Particulars
Amt (Rs.)
Particulars
Amt (Rs.)
To Furniture A/c
4,000
By Provision for Doubtful Debts A/c
250
To Outstanding Rent A/c
750
By Land and Building A/c
6,000
To Gain (Profit) on Revaluation
Transferred to
Anuj's Capital A/c
500
Vishal's Capital A/c
500
Shekhar's Capital A/c
500
1,500
6,250
6,250
Dr Partners' Capital Account Cr
Particulars
Anuj (Rs.)
Vishal (Rs.)
Shekhar (Rs.)
Particulars
Anuj (Rs.)
Vishal (Rs.)
Shekhar (Rs.)
To Vishal's (Goodwill)
4,800
-
4,800
By Balance b/d
30,000
20,000
16,000
To Bank A/c
-
36,100
-
By General Reserve A/c
5,000
5,000
5,000
To Balance c/d (WN)
43,950
-
43,950
By Profit and Loss A/c
1,000
1,000
1,000
By Anuj Capital A/c
-
4,800
-
By Shekhar Capital A/c
-
4,800
-
By Revaluation A/c (Profit)
-
4,800
-
By Bank A/c
500
500
500
(Balancing figure)
12,250
-
26,250
48,750
36,100
48,750
48,750
36,100
48,750
Dr Bank Account Cr
Particulars
Amt (Rs.)
Particulars
Amt (Rs.)
To Balance b/d
10,000
By Vishal?s Capital A/c
36,100
To Anuj's Capital A/c
12,250
By Balance c/d
12,400
To Shekhar's Capital A/c
26,250
48,500
48,500
Balance Sheet as at 1st April, 2017
Liabilities
Amt (Rs.)
Assets
Amt (Rs.)
Capital A/cs
Land and Building
66,000
Anuj
43,950
Furniture
10,000
Shekhar
43,950
87,900
Stock
10,000
Creditors
20,000
Debtors
Bills Payable
10,000
(-) Provision for Doubtful Debts
22,500
Outstanding Rent
750
Bank
(2,250)
20,250
1,18,650
1,18,650
Working Note
Capital of Anuj and Shekhar in the New Firm
Amt (Rs.)
Assets will remain as
Land and Building
66,000
Furniture
10,000
Stock
10,000
Debtors
22,500
Bank (Required)
12,400
1,20,900
(-) Creditors
(20,000)
Bills Payable
(10,000)
Outstanding Rent
(750)
Provision for Doubtful Debts
(2,250)
(33,000)
Capital of the New Firm
87,900
Capital of Anuj and Shekhar in the new firm \[=\,Rs.\,87,900\times \frac{1}{2}=\,Rs.\,43,950\] Alternatively, capital of the new firm = Balance of Anuj's capital account and Shekhars capital account (Rs. 31,700 + Rs. 17,700) + Amount payable to Vishal (Rs. 36,100) + Bank balance required (Rs. 12,400) - Existing bank balancer 10,000) = Rs. 87,900 Or Dr Revaluation Account Cr
