Partnership PYQ — Page 7

A, B, and C were in partnership, sharing profits in the ratio of 3:2:1 respectively, B retires and the new profit sharing ratio between A and C is 3:2 . The gaining ratio is .

Match List-I with List-II | List-I | List-II | |---|---| | (A). Compulsory Dissolution | (I). Partner becomes insane. | | (B). Dissolution by notice | (II). Death of a partner. | | (C). Dissolution by Court | (III). Business become illegal. | | (D). Dissolution on certain contingencies | (IV). Partnership at will. | Choose the correct answer from the options given below:

If there are some accumulated losses in the form of a debit balance of profit and loss account appearing in the balance sheet of the firm. It should be transferred to:

By virtue of which Section of the Companies Act 2013, the Central Government is empowered to prescribe the maximum number of partners in a firm, but the number of partners can not be more than 100?

On the dissolution of a firm, the Creditors are transferred to :

Pinki, Deepti and Kaku are partner's sharing profits in the ratio of 5:4:1. Kaku is given a guarantee that his share of profits in any given year would not be less than Rs 5000. Deficiency, if any, would be borne by Pinki and Deepu equally. Calculate the deficiency assumed by Pinki and Deepti for each case separately if profits for the year were:- Case I - Rs 40,000 or Case II - Rs 60,000

The Partnership agreement between Maneesh and Girish provides that: (A) Profits will be shared equally (B) Maneesh will be allowed a salary of Rs 400 pm (C) Girish who manages the sales department will be allowed a commission of 10% of the net profits after deducting Maneesh's salary (D) 7% p.a. interest will be allowed on Partner's fixed capital (E) 5% p.a. interest will be charged on partner's annual drawings (F) The fixed capitals of Maneesh and Girish are Rs 1,00,000 and Rs. 80,000 respectively. Their annual drawings were Rs. 16,000 and Rs 14,000 respectively. The net profit for the year ended March 31, 2018 amounted to Rs. 40,000 Calculate the profit allocated to each partner after all adjustments.

Match List-I with List-II | List-I | List-II | |---|---| | (A) On dissolution of a firm, creditors is transferred to: | (I) Bank account is credited | | (B) Unrecorded liabilities when paid: | (II) Realization Account | | (C) When realization expenses are paid by the firm on behalf of a partner, such expenses are | (III) Bank account is debited. | | (D) When unrecorded assets are sold | (IV) Partner's Capital Account | Choose the correct answer from the options given below:

In case of the dissolution of a firm, the firm ceases to conduct business and has to settle its accounts. Arrange the following in the correct sequence : (A) In paying to each partner proportionately what is due to him on account of capital (B) In paying the 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 (i.e. partner's loan) (D) The residue, if any, shall be divided among the partners in their profit sharing ratio Choose the correct answer from the options given below:

Identify the correct sequence for finding out divisible Profit & Loss for a Partnership Firm manufacturing Steel pipes : (A) Transfer amount to general reserve, as per requirement. (B) Allow interest on capital and charge interest on drawing. (C) Transfer of the balance of profit and loss account to profit and loss appropriation A/c (D) Find out the balance amount to be distributed among partners. Choose the correct answer from the options given below:

The following are the features of the fluctuating capital method by which the capital accounts of partners can be maintained. (A) Under the fluctuating capital method, only one account, i.e. capital account is maintained for each partner. (B) All the adjustments such as share of profit and loss, interest on capital, drawings, interest on drawings, etc. are recorded directly in the capital accounts of the partners. (C) the capital of the partners shall remain fixed unless additional capital is introduced or a part of the capital is withdrawn as per the agreement between the partners. (D) The capital account may sometimes show a debit balance. Choose the correct answer from the options given below:

A firm is dissolved compulsorily in the following cases: (A) When all the partners or all but one partner, become insolvent, rendering them incompetent to sign a contract. (B) When the business of the firm becomes illegal (C) Change in existing profit sharing ratio among partners (D) When some event has taken place which makes it unlawful for the partners to carry on the business of the firm in partnership. Choose the correct answer from the options given below:

Unrecorded liabilities when paid are shown in:

Which among the following is NOT true about the Partnership?

If the premium for goodwill is paid to the old partners directly / privately by the new partner, what journal entry will be recorded in the books of Partnership Firm :-

In the Proforma of Partner's Capital Account under the Fluctuating capital Method, the Credit side includes the following items: (A) Balance b/d (in case of credit opening balance) (B) Salaries (C) Interest on drawings (D) Profit and Loss Appropriation (for share of profit) Choose the correct answer from the options given below:

Arrange the steps of method, Capitalization of Average for the calculation of goodwill, in the correct sequence: (A) Capitalize the average profits on the basis of the normal rate of return to ascertain the capitalized value of average profits as follows: Average Profits × 100/Normal Rate of Return (B) Ascertain the average profits based on the past few years' performance. (C) Ascertain the actual firm's capital (net assets) by deducting outside liabilities from the total assets (excluding goodwill and fictitious assets). Firms' Capital = Total Assets (excluding goodwill) – Outside Liabilities Where outside Liabilities include both long term and short term Liabilities (D) Compute the value of goodwill by deducting net assets from the capitalized value of average profits. Choose the correct answer from the options given below:

When a firm is dissolved, the Balance of Investment Account and Balance of Investment Fluctuation Fund Account, shown by Firm's Balance Sheet are transferred into _________and into _________respectively:-

All assets (except cash/bank and fictitious assets) are transferred to the__________ side of __________Account.

The profits for the five years of a firm are as follows – year 2013 Rs. 4,00,000;year 2014 Rs. 3,98,000; year 2015 Rs. 4,50,000; year 2016 Rs. 4,45,000 and year 2017 Rs. 5,00,000. Calculate the goodwill of the firm on the basis of a 4-year purchase of 5 years average profits:

At the time of admission of a new partner, general reserve appears in the old balance sheet is transferred to:

On the admission of a new partner, an increase in the value of assets is debited to:

At the time of admission of a new partner, general reserve appearing in the old balance sheet is transferred to:

A partnership deed usually doesn't contain the following details: