Accountancy Partnership questions from CUET UG 2023.
A and B are partners sharing profits in the ratio of 2:1. C is admitted for the 1/4th share of profits, who brings Rs.20,000 as capital. After all adjustments related to goodwill, revaluation of assets and reassessment of liabilities etc, Capital of A and B are Rs.45,000 and Rs.15,000 respectively. It is agreed that partners capitals should be according to the new profit sharing ratio. Determine the new capital of B.
A, B and C are partners sharing profits in the ratio of 3:2:1. D is admitted into firm for $\frac{1}{4}$ th share of profit, which he gets $\frac{1}{8}$ from A and $\frac{1}{8}$ from B. Calculate new profit sharing ratio of all the partners.
A, B, and C are partners with equal profit sharing ratio. Their fixed capitals are Rs. 30,000, Rs. 25,000 and Rs. 30,000 respectively. C decided to take retirement. A and B decided to continue the partnership firm and change their profit sharing ratio into Capital Ratio. What is the gaining Ratio of A and B?
A, B, C were partners in a partnership firm their profit sharing ratio was 5:3:2. B retires and the new profit sharing ratio between A and C was 3:2. Calculate gaining ratio.
A, B & C were sharing profits & losses in the ratio of 3 : 2 : 1. They decided to share profits & losses equally in future. General reserve was appearing in their books at Rs. 60,000. Goodwill was valued at Rs. 1,20,000. The partners do not want to disturb the general reserve. The adjusting entry will be :
A new partner can be admitted :
A newly admitted partner has the right to -
According to Indian Partnership Act, 1932, when the firm is dissolved, cash received on sale of assets are applied in following order : (A) Paying to each partner proportionately what is due to him/her on account of capital (B) In paying the secured debts of the firm to the third parties (C) In paying each partner proportionately what is due to him/her from the firm for advances as distinguished from capital (D) The residue, if any shall be divided among the partner's in their profit sharing ratio (E) In paying unsecured debt of firm to third parties Choose the correct answer from the options given below :
Arrange following in a sequence in which amount realised from Assets will be utilised to pay. A. Partner's Loan B. Partner's Capital C. Secured debts of the firm D. Unsecured debts of the firm E. Residue to partners Choose the correct answer from the options given below:
Arrange the following in sequence of the final Accounts for a Partnership firm. (A) Profit and Loss Account (B) Partner's Capital Account (C) Trading Account (D) Balance Sheet (E) Profit and Loss Appropriation Account Choose the correct answer from the options given below :
Arrange the following in the context of dissolution of partnership firm. A. Payment of loan from Partners B. Payment of secured outsider's liabilities C. Realisation of assets into cash D. Settlement of partner's capital E. Payment of unsecured outsider's liability Choose the correct answer from the options given below:
Arrange the following statements in proper sequence in context of admission of partner. A. Finalising terms for admission of new partner B. Calculation of sacrificing/ gaining ratio C. Finalising balance in partner's capital A/c D. Calculation of new profit sharing ratio E. Valuation and adjustment of goodwill Choose the correct answer from the options given below:
At the time of admission, credit balance of Profit and Loss account appearing in books will be transferred to :
Calculate the Normal Rate of Return if normal profit is Rs.30,000, Assets Rs.5,30,000 and liabilities Rs.30,000, while calculating the value of goodwill of the firm at the time of admission of a partner.
Complete the sequence where interest on capital has to be provided as per partnership deed, but available profits are not sufficient to provide full amount of Interest on capital. A. If it is appropriation, calculate interest on capital for all partners at given rate B. Divide the available amount in the capital ratio among the partners C. Calculate ratio between capital of partners D. Consider the partnership deed and decide whether interest on capital is a charge or an appropriation E. Consider the available profit Choose the correct answer from the options given below:
From the above information, calculate share of Deepali's sacrifice or gain :
From the following identify the items which are payable to retiring partner, if mentioned in deed: A. Credit balance of his/her Capital/Current Account B. Share of goodwill C. Goodwill of the firm D. Share in revaluation gain/loss E. Share in accumulated profits (Reserves) Choose the correct answer from the options given below:
From the information provided in the case study, calculate Sonam's sacrifice or gain :
Goodwill brought by Suraj will be distributed as :
Hidden Goodwill is :
Identify that account to which share of profit of a deceased partner is debited from the date of the last Balance Sheet to the date of his/her death
Identify the amount realised in cash from Sundry Debtors.
Identify the correct sequence to be followed at the time of Retirement of a Partner : (A) New Balance Sheet after Retirement (B) Transferring balance to Retiring partner's Loan Account (C) Calculation Gaining/Sacrificing Ratio (D) Partners' Capital Account (E) Preparation of Revaluation Account Choose the correct answer from the options given below :
Identify the correct sequence where new partner is to bring proportionate capital. A. Calculation of Capital Balance of old partners B. Preparation of Revaluation A/c C. Determination of Revaluation gain/loss D. Presentation of Treatment of Goodwill E. Calculation of Capital to be brought in by the new partner Choose the correct answer from the options given below:
Identify the way by which the clauses of partnership deed can be altered.
Identify which of the following will lead to dissolution of partnership but NOT dissolution of the firm
If at the time of admission, some positive balance of Profit and Loss A/C appears in the books, it will be transferred to:
If Average Capital Employed in a firm is Rs. 9,00,000 ; Average Profits Rs. 2,80,000 and Normal rate of return is 20%, then value of goodwill as per capitalisation of super profits is :
If information provided in the case study is used, the sacrifice or gain of Sonam share of goodwill will be :
In a partnership firm, partners share profit and loss in the ratio of 3:2. If the firm incurred a loss of Rs. 10,000 during the year then calculate the amount of loss to be shared by partners.
In the absence of a partnership deed which of the following are correct. (A) Profit sharing ratio will be on the basis of capital contributed by the partners (B) No interest on capital will be provided (C) No interest on Drawing will be charged (D) 6% p.a. interest on partner's loan will be provided (E) Partner will get salary for extra time devoted for the firm Choose the correct answer from the options given below :
In which of the following case, claim is valid if the partnership agreement is silent?
__________ is/are not true with regard to Limited liability partnership. (A) Separate Legal entity (B) Unlimited liability for one partner (C) Indian Partnership Act, 1932 is applicable (D) Perpetual Succession (E) Unlimited liability of partners Choose the correct answer from the options given below :
Lisa, Monika and Nisha are partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Their capital A/c stood as Rs. 50,000, Rs. 50,000 and Rs. 25,000 respectively. Monika died and balance in the reserve on that date was Rs. 15,000. If goodwill of the firm is Rs. 30,000 and profit on revaluation is Rs. 7,050. What amount will be transferred to Monika's Executors Account ?
Match List - I with List - II. | List - I | List - II | |---|---| | (A) Increase in Furniture Value | (I) Credit side of Partner's Capital A/c | | (B) Depreciation on Machinery | (II) Debit side of Partner's Capital A/c | | (C) General Reserve | (III) Credit side of Revaluation A/c | | (D) Goodwill appearing in Books | (IV) Debit side of Revaluation A/c | Choose the correct answer from the options given below :
Match List - I with List - II. | List - I | List - II | |---|---| | (A) Profits of firm after admission of partner | (I) Sacrificing Ratio | | (B) Goodwill brought in by new partner | (II) Old Ratio | | (C) Profit on revaluation | (III) Gaining Ratio | | (D) Retiring Partner's Share of Goodwill | (IV) New Ratio | Choose the correct answer from the options given below :
Match List I with List II | LIST I | LIST II | |---|---| | A. Interest on capital | I. Admission of partner | | B. Gaining Ratio | II. Profit/Loss in the old profit sharing ratio | | C. Sacrificing ratio | III. Continuing partners | | D. Revaluation of Assets and Liabilities | IV. when partnership deed specifically provide for it | Choose the correct answer from the options given below:
Match List I with List II | LIST I | LIST II | |---|---| | A. Only Capital A/c exist | I. Credited to partner's capital account | | B. Capital account balance remain unchanged | II. Debited to Partner's Capital Account | | C. Fresh/additional capital brought in by partner | III. Fixed Capital Account | | D. Permanent withdrawal | IV. Fluctuating Capital Account | Choose the correct answer from the options given below:
Match List I with List II | LIST I | LIST II | |---|---| | A. Transfer of accumulated profits | I. Realisation account | | B. Unrecorded asset sold on dissolution of firm | II. Profit and Loss Account | | C. Manager's commission | III. Profit and Loss Appropriation Account | | D. Partner's commission | IV. Partner's Capital account | Choose the correct answer from the options given below:
Match List I with List II | LIST I | LIST II | |---|---| | A. Loss on Revaluation | I. Credited to old partners in old ratio | | B. Profit on Revaluation | II. Debited to profit and loss suspense A/C | | C. Premium brought by new partner | III. Credited to old partners in sacrificing ratio | | D. On the death of a partner, profit till the date of death is Rs. 2,000 | IV. Debited to old partners in the old ratio | Choose the correct answer from the options given below:
Mukund's Loan of Rs. 50,000 to the firm, was settled at Rs. 55,000 at the time of firm's dissolution, where Mukund was one of the partner. What entry will be passed ?
On Dissolution of partnership firm out of total debtors of Rs. 2,50,000, Rs. 10,000 became bad and the rest realised 70%. In the given case Bank A/c will be debited by :
On dissolution of partnership, goodwill account is transferred to :
On retirement, the retiring partner's capital account will be credited with : (A) His/Her Capital Balance (B) His/Her share of goodwill (C) Share of goodwill of remaining partners (D) his/her share of Reserve (E) his/her drawings Choose the correct answer from the options given below :
On retirement/death of a partner, the remaining partners who have gained due to change in profit sharing ratio should compensate the :
On R's retirement, the amount payable to him after all adjustments, work out to be Rs. 60,000 but the remaining partners P and Q agreed to pay him Rs. 75,000 in full settlement of his claim. Identify the term which represent Rs. 15,000 extra, that is paid to R.
Out of the following when will the need for valuation of goodwill does not arise:
Partnership deed should be drafted and prepared as per :
Profits made on Revaluation of Assets and Reassessment of Liabilities is distributed among whom?
Read the following facts about admission of a partner. A. A new partner acquires his share from the old partners that reduces the old partners share in profits. B. The partner's capital must be adjusted so as to be proportionate to their new profit sharing ratio. C. Assets and Liabilities may be revalued and reassessed on admission of a partner. D. Adjustment for Reserves and Accumulated profits/loss is done. E. Profit sharing ratio of existing partners may change on admission of a new partner. Choose the correct answer from the options given below:
Realisation A/c is debited with __________ on the dissolution of firm.
Rohit a partner paid the realisation expenses of Rs. 10,000 and he was to get a remuneration of Rs. 12,000 for completing the dissolution process and realisation expenses were borne by Rohit. The amount transferred to his capital A/c will be :
Salary of a partner is shown in
Select out of the following that is not considered as one of the modes of reconstitution of a partnership firm.
Select the conditions required for computing interest on drawings using average period method: A. Equal amount of drawings B. Fixed interval of drawings C. Varying amounts of drawings D. Different interval of drawings E. Rate of Interest Choose the correct answer from the options given below:
Select the entry that is to be made when a creditor accepts an asset in full and final settlement of his account.
Select the partner(s) who will compensate the deceased partner for the share of goodwill at the time of death.
Select the way by which provisions appearing in the Balance Sheet of a partnership firm are closed at the time of firm's dissolution.
Share of revaluation profit of Amrita and Kalyani is :
Shweta, Shreya and Shaniya were partners sharing profits in the ratio of 3 : 2 : 1. Shaniya retired from the firm and her capital, after making adjustments for reserves and gain of revaluation amounted to Rs. 4,50,000. Shaniya took 25% of the furniture, accepted bill of exchange for Rs. 52,000. Finally Rs. 2,75,000 was transferred to her loan account. The total value of furniture was :
State Journal entry for payment of realisation expenses.
State Journal entry for realisation of investment.
The content of Partnership deed includes: A. Name and address of all partners B. Method of settlement of disputes among partners C. Deed once made cannot be altered D. Rules regarding operation of Bank account E. Verbal agreement between partners is considered as deed Choose the correct answer from the options given below:
The dissolution of Partnership may take place due to: A. Retirement of Partner B. Death of Partner C. Insolvency of Partner D. Admission of New Partner E. Completion of Venture, if partnership formed for that purpose Choose the correct answer from the options given below:
The steps in the Process of Preparing Profit and Loss Appropriation account are : (A) Transfer the net profit to the credit side of P & L Appropriation A/c (B) Divide the Profit among partners in the Profit Sharing ratio (C) Ascertain net profit after providing for all charges (D) Debit the P & L Appropriation A/c with all appropriations like partners salary etc. (E) Credit the P & L Appropriation A/c with interest on drawing and deficiency on account of partner's guarantee of earnings to the firm. Choose the correct answer from the options given below :
Unrecorded assets when taken over by a partner on dissolution are shown in:
Using the information given in above case study, Nimisha's sacrifice of goodwill will be :
Using the information given in the case study, calculate Deepali's amount of sacrifice or gain in Goodwill.
Vikas and Rahul are partners who shared profits in the ratio of 2:3. They admitted Sunil as a partner for $\frac{3}{7}$ th share in future profits who brings Rs.37,500 as his share of Goodwill. Half of which is withdrawn by sacrificing partners. Record Journal entry for Goodwill withdrawn by Partners.
What is Amrita's share in workmen compensation fund ?
What journal entry will be passed for goodwill appearing in the books ?
When a creditor accepts an asset whose value is more than the amount due to him, he will _______ the excess amount which will be credited to _______ Account.
Which mode of dissolution is highlighted in the above case?
Which of the following facts are related to modes of reconstitution of a partnership firm. (A) Admission of a new partner (B) Dissolution of a partnership firm (C) Death of a partner (D) Change in the profit sharing ratio among the existing partners (E) Retirement of a partner Choose the correct answer from the options given below :
Which of the following will be shown on the credit side of Deceased Partner A/C? A. Revaluation Gain Share B. Goodwill written off C. Share of profit till date of death D. Drawings till date of death E. Interest on capital till date of death Choose the correct answer from the options given below:
Which of the following will not be shown in Realisation Account ?
While calculating Goodwill under super profit method, the sequence followed is : (A) Calculation of Super profit (B) Calculation of Capital Employed (C) Calculation of Normal profit (D) Calculation of Average profit (E) Calculation of Goodwill Choose the correct answer from the options given below :