Account– Important Question Bank for Karnataka Intermediate II PUC (HSC) Board Exam 2018

1. What is ‘provision’ ?
2. What is ‘Fluctuating Capital Method’?
3. Give the journal entry for decrease in the value of liability in case of admission of partner.
4. Write any two methods of treatment of Goodwill on retirement of partner.
5. State any two circumstances under which a partnership firm is dissolved.
6. What is authorised Capital?
7. Name the two types of financial statements.
8. Mention any two techniques of Financial Analysis.
9. What are ‘Legacies’?
10. State any two advantages of Data Base Management System.
11. Sanjay and Gopicommenced business of RS. 80,000 and RS. 60,000 respectively on 01-4- 2013. They agreed to share profits in the ration of 3:2. Their profits for the year ending 31 st March 2014 were RS. 23,000 before allowing the following.
a) interest in partners capital at 6% p.a.
b) interest in partners’ drawings – Sanjay RS.1,000 and Gopi RS. 750
c) Interest in partners’ loan at 10% p.a.
d) annual salary of Gopi RS. 3,000
Their drawings during the year were:
Sanjay RS. 10,000 and Gopi RS. 8,000. Sanjay has advanced a loan of RS.40,000 to the firm on 1-7- 2013.
Prepare profit and loss appropriation account for the year ending 31 st March, 2014.
12. Amar, Akbar, and Anthony are partners sharing profits and losses in the ratio of 5:3:2. Akbar retires from business. His share is gained by Amar and Anthony in the ratio of 2:1. Calculate their new profit sharing ratio.
13. MSK Manufacturing company Limited issued 2,000 12% Debentures of RS. 100 each discount if 10% payable as: RS. 25 on application, RS. 40 on allotment and the balance on first and final call. All the Debentures were subscribed and duly received the amount.
Pass necessary journal entries upto the receipts of allotment money in the company’s books 14. Nanaji Limited has current assets RS. 1,60,000, Current Liabilities RS. 80,000 and Quick Assets RS. 1,28,000, as on 31 st March 2014. Calculate current ratio and Liquid ratio.
15. from the following ledger balances of Bengaluru Gymkhana, find out the Capital Fund:
Buildings 40,000
Furniture 10,000
Investment 15,000
Outstanding subscription 8,000
Out standing rent 5,000
Bank loan 25,000
Subscription received in advance 3,000
Cash in hand 1,000

Cash at bank 14,000

16. briefly explain the qualities of information.
17. S & S Ltd. Issued 50,00,000 equity shares of RS. 10 each at a premium of RS. 4 per share payable RS. 1 per share on application, RS. 6 per share on allotment (including premium), RS. 3 on first call and the balance on final call. These shares were subscribed and all money due was received except the first call Money on 15,000 shares. Give the cash book and journal entries to record the above transactions.
18. Accounting packages are developed on the basis of _________.
(a) Accounting concepts
(b) Accounting connections
(c) Accounting conventions and concepts
(d) Computer language
19. The intersection of a row and a column in Excel is called ________.
a. Cell address
b. Cell point
c. Range
d. Cell
20. Explain any three grouping and codification of accounts.
21. Explain the poor for entering the following transactions:
a. Started bushes with RS. 12 lakhs.
b. Record received cash from Mr. Anandu, a customer RS. 1,50,000
22. Explain the precede to create and display indirect expenses budget.
23. Explain the step by step procedure to be followed in preparing bank reconciliation statement in tally.
Note:- Draw the final screen picture.
24. Prepare a table showing the account to be created and the groups under which they fall and the voucher to be used.
a. 2010 Jan. 1 share capital collected by Bank of India rs. 58,000
b. 2010 Jan. 2 underwriting commission paid RS. 26,000.
c. 2010 Jan. 3 purchased machinery and paid chequeRS.18,000
d. 2010 Jan. 4 purchased 6% government bonds and paid by cheque RS. 24,000.
2010 .Jan . 5 deposited to bank of India rs. 16,000.

25. Write any two differences between a debenture holder and a shareholder.
26. Prepare a current account of a partner with areas for items (use imaginary figures) and balance it.
27. Sonu and monu are In partnerships sharing profits and losses in the ratio of 3:2. The capital of Sonu and Biju remaining after adjustments are RS. 80,000 and RS. 60,000 respectively. They admitted Tonu as a third partner who is contribute sufficient Capital to acquire a fifth share of total capital of the new form equally from both the partners Sonu and Monu. Calculate the capital brought in by Tonu.
28. Lipson agreed to retires from the partnership in 30tg June, 1997. His profit sharing right in the business is 1/3. His share of profit to the date of retirement has to be calculated on the basis of the average profits of the proceeding the accounting years. The book shoes the
profits of the last four years as follows:

1993-94. RS. 15,400
1994-95. RS. 9,900
1995-96. RS. 8,800
1996-97. RS. 11,000
The accounting year closes on 31 st March every year. Calculate the share of profit for lipson. Give the adjusting journal for this item.
29. What journal entries would you pass for the following transactions on the dissolution of a  firm after the various assets (other than cash) and outside liabilities have been transferred to realization account?
a. Bank loan RS. 6,000 is paid
b. Stock worth RS. 3,000 is taken by partner “B”
c. Partner “A” agrees to pay a creditor RS. 1,500 due to him.
d. An asset not appearing in the books of accounts realised RS. 350
e. Profit on realization RS. 9,000 is to be distributed between “A” and “B” in the ratio of 5:4.

30. Explain the accounting treatment of:
a. Debentures issued at discount and repayable at par.
b. Debentures issued at discount and repayable at premium.
c. Debentures issued at par and redeemable at premium.
d. Debentures issued at par and redeemable at premium.
Note : use examples to support your answer.
31. A ledger account can be deleted by using __________ key combinations.
a. Ctrl + D
b. Alt + D
c. Alt + C
32. The intersection of a row and a column in Excel is called __________.
a. Cell address
b. Range
c. Cell
33. Identify the groups under the following ledgers are to be created.
a. Depreciation
b. Return outwards
c. Sales tax
d. Drawings
e. Carriage outwards
f. Bills receivable
34. What are the compulsory fields at the time of creating a company in Tally ?
35. Write a short note on Contra Voucher.
36. Explain briefly Credit not Voucher.
37. Define Debit note Voucher.
38. Give an example of wasting asset.
39. How should the partners share profits. when there .· is no mention in the partnership deed?
40. To which account is the profit/loss of partners transferred when they keep the capital
accounts fixed.
41. What type of asset is · prepaid insurance?
42. How is General Reserve created?
43. What is Bad debt ?
44. What do you mean by Redeemable Preference share ?
45. How is interest on drawings calculated when dates of,withdrawals are not known ?

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