Partnership PYQ — Page 8

Aashish withdrew Rs. 10,000 per month from the firm for his personal use during the year ending March 31, 2017. What will be the amount of interest if the amount is withdrawn at the beginning of each month and rate of interest on drawings is 8% per annum?

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:

Mohan and Shyam are partners in a firm. Which statement among the below can be claimed valid if the Partnership Agreement is silent regarding the same.

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

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

Which account is debited for Realisation expenses paid?

A, B and C are partners in a firm. If D is admitted as a new partner then:

The minimum guaranteed amount shall be paid to the new partner when his share of profit as per the profit sharing ratio:

The important methods of valuation of goodwill are as follows: (A) Average Profits Method (B) Normal Profits Method (C) Super Profits Method (D) Capitalization Method Choose the correct answer from the options given below:

Which combination of statements is true about dissolution- (A). Dissolution of a partnership is different from dissolution of a firm. (B). A partnership is dissolved when there is a death of a partner. (C). A firm is dissolved when all partners give consent to it. (D). A firm is compulsorily dissolved when a partner decides to retire. 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 in the correct manner and order the assets of the firm, including any sum contributed by the partners to make up for deficiencies of capital: (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:

Unrecorded liabilities when paid are shown in:

A partnership firm is dissolved compulsorily in the following cases: (A) when all the partners or all but except 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, e.g., when a partner who is a citizen of a country becomes an alien enemy because of the declaration of war with his country and India. Choose the correct answer from the options given below:

Which among the following is not the feature of a fixed capital method by which the capital accounts of partners can be maintained?

Keshav, Nirmal and Pankaj are partners sharing profits and losses in the ratio of 4 : 3 : 2. Nirmal retires and the goodwill is valued at Rs. 72,000. Keshav and Pankaj decided to share future profits and losses in the ratio of 5 : 3. Gaining Ratio of Keshav and Pankaj is:

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

Arrange the following steps for calculating Goodwill under Capitalisation of Average Profits Method in correct sequence- (A). Ascertain the actual firm's capital (net assets) by deducting outside liabilities from the total assets. (B). Compute the value of goodwill by deducting net assets from the capitalised value of average profits. (C). Ascertain the average profits based on the past few years' performance. (D). Capitalize the average profits on the basis of the normal rate of return to ascertain the capitalised value of average profits. Choose the correct answer from the options given below:

If the partnership deed is silent on interest on capital, then:

A business has earned average profits of Rs. 1,00,000 during the last few years and the normal rate of return for a similar business is 10%. Ascertain the value of goodwill by capitalization of average profits method, given that the value of net assets of the business is Rs. 8,20,000.

Rohit and Mohit are partners in a firm sharing profits in the ratio of 5:3. They admitted Bijoy as a new partner for 1/7th share in the profit. The new profit sharing ratio will be 4:2:1. What will be the sacrificing ratio of Rohit and Mohit?

When realisation expenses are paid by the firm on behalf of a partner, which account will be debited:

Which of the following is the feature of fluctuating capital:

Unrecorded liabilities when paid are shown in:

If partnership deed is silent on the profit sharing ratio: interest @_____ per annum is allowed on loans advanced by partners-