# CBSE Sample Papers for Class 12 Accountancy Paper 3

These Sample papers are part of CBSE Sample Papers for Class 12 Accountancy. Here we have given CBSE Sample Papers for Class 12 Accountancy Paper 3

## CBSE Sample Papers for Class 12 Accountancy Paper 3

 Board CBSE Class XII Subject Accountancy Sample Paper Set Paper 3 Category CBSE Sample Papers

Students who are going to appear for CBSE Class 12 Examinations are advised to practice the CBSE sample papers given here which is designed as per the latest Syllabus and marking scheme as prescribed by the CBSE is given here. Paper 3 of Solved CBSE Sample Papers for Class 12 Accountancy is given below with free PDF download solutions.

Time: 3 Hours
Maximum Marks: 80

General Instructions:

(i) Please check that this paper contains 23 questions.
(ii) The paper contains two parts A and B.
(iii) Part A is compulsory for all.
(iv) Part B has two options—Option-1 Analysis of Financial Statements and Option-II Computerized Accounting.
(v) Attempt only one option of Part B.
(vi) All parts of a question should be attempted at one place.

PART – A
Partnership Firms and Company Accounts

Question 1.
When does the capital account of a partner not show a debit balance in spite of regular losses incurred by the firm?

Question 2.
The balance sheet of a partnership firm had an investment fluctuation reserve of Rs 10,000. A new partner is admitted, value of investments is Rs 60,000 against its book value of Rs 70,000. What amount of the investment fluctuation reserve will be distributed among partners?

Question 3.
A, B and C are sharing profits is the ratio 5 : 4 :1. B retires on 1st January 2015 and his son Z is admitted into partnership in his place. The new profit sharing ratio of A, C and Z is 1:1:1. Do you think in spite of the fact that B’s son Z is admitted in his place, Goodwill will have to be valued? Give reason.

Question 4.
What is meant by private placement of shares?

Question 5.
Raman Industries purchased and installed anti-pollution machines to keep a check on environmental pollution. Highlight the value involved in this decision.

Question 6.
Why is Goodwill considered to be an intangible asset and not a fictitious asset?

Question 7.
A company issues 5,000 equity shares of Rs 10 each payable Rs 2 on application, Rs 3 on allotment and Rs 5 on call. All money was duly received except for the following: Ankur, a holder of 200 shares paid only the application money.
Bahadur, a holder of 300 shares paid the application and allotment money.
All the above shares were forfeited by the company after the call was made and later reissued at Rs 12 per share. Pass journal entries for forfeiture and reissue of shares.

Question 8.
The combined capital of X and Y is Rs 2,00,000 and the market rate of Interest is 12%. Annual salary to partners is Rs 5,000 each. The profits for the last three years were Rs 32,000, Rs 45,000 and Rs 55,000. Goodwill is to be valued at 2 years’ purchase of last three years average super profits. Calculate the goodwill of the firm.

Question 9.
Z Ltd. has an authorised capital of Rs 10,00,000 divided into equity shares of Rs 10 each. The company invited applications for 50,000 shares. Applications for 48,000 shares were received. All calls were made and duly received except the final call of Rs 3 per share on 1,000 shares. These shares on which the final call was not received were forfeited. Show how the share capital will appear in the balance sheet of the company as per schedule III part I of the Companies Act 2013. Also prepare notes to accounts for the same.

Question 10.
Nishant Ltd. was running a business of readymade garments. To expand further, it acquired assets of Rs 25,00,000 and took over creditors of Rs 5,00,000 from Ram Enterprises for a purchase consideration of Rs 24,00,000. In order to pay back to the society, it decided to distribute free garments to the inmates of the old age home on the eve of New year. It issued 20,000,9% Debentures of Rs 100 each at a premium of 20% to Ram Enterprises, to be redeemed at par after 5 years.
Pass the necessary journal entries for the above transactions and also identify the values which the company wants to communicate to the society.

Question 11.
(a) Radha and Rekha are Partners in a firm. Calculate interest on drawings for the year @ 12% per annum. Radha withdraws Rs 5,000 at the beginning of every alternate month and Rekha withdraws Rs 5,000 at the end of every quarter.
(b) What are the two main rights acquired by a new partner?

Question 12.
X, Y and Z are partners sharing profits and losses in the ratio of 3 : 2 :1. From 1st January 2015, they decided to share profits and losses equally.
The partnership deed provides that in the event of any change in the profit sharing ratio, the goodwill should be valued at two years’ purchase of the average profits of the preceding five years. The profits and losses for the proceeding year are 2010 profit Rs 90,000,2011 profit Rs 70,000, 2012 loss Rs 30,000,2013 profit Rs 50,000 and 2014 profit Rs 70,000.
It was realised that the following omission was made. A computer purchased on January 1st 2014 for Rs 25,000 was wrongly considered as revenue expenditure and debited to profit and loss account, on which depreciation is to be charged @ 20%.
Calculate value of goodwill after the above adjustment and give the necessary single adjusting entry to record the above arrangement

Question 13.
(a) R Ltd. Purchased machinery Rs 6,00,000 from Avinash Ltd. 20% of the amount was paid by accepting a bill of exchange and the balance was paid by issue of 10% debentures at a premium of 20%. Pass the necessary journal entries in the books of R Ltd.
(b) G Ltd. purchased 2,000 of its own 9% debentures of Rs 1,000 each at Rs 982 per debenture. The debentures were purchased with the purpose of cancellation.
Record the necessary journal entries in the books of the company.

Question 14.
Ali, Ahmed and Ahsan are partners in a firm. Their balance sheet as on 31st March, 2015 was as under:

Ahmed died on 30th June 2015. Under the terms of the deed, the executors of the deceased partner was entitled to the following:
(i) Amount standing to the credit of the partner’s capital account
(ii) Interest on capital at 12% P.a.
(iii) Share of goodwill on the basis of twice the average of past three years profit
(iv) The deceased partner will be entitled to his share of profit upto the date of death, calculated on the basis of previous years profits.
(v) There was a claim on workmen’s compensation of Rs 4,800.
(vi) Share of profit from the closing of the last financial year to the date of death calculated on last years profits.
Profits for the last three years were 2012-13 Rs 1,02,000,2013-14 Rs 1,10,400,2014-15 Rs 1,11,600. Ahmed’s executors was to be paid Rs 50,000 in two annual installments along with interest @ 6% per annum the balance to be paid immediately.
Prepare Ahmed’s capital A/c and his executors A/c till it is finally closed.

Question 15.
Sneha, Alka and Megha were partners sharing profits and losses in the ratio of their capitals. Their balance sheet as on 31st March, 2015 stood as under;

On the above date, Sneha retired.
Goodwill of the firm is valued at Rs 30,000 and is to be adjusted in the capital accounts of Alka and Megha, who decide to be equal partners in future.
Fill the missing information in the revaluation account, partners’ capital accounts and the balance sheet of the new firm after Sneha’s retirement

Question 16.
Following is the balance sheet of Rina and Pravita as on 31st march, 2014.

On the above date, the firm was dissolved on the following conditions:
(i) 5% of debtors proved bad, stock realised Rs 28,000, Goodwill – Nil, land and building realised 10% more than its book value.
(ii) Rina decided to take over the investments at its book value.
(iii) Creditors were payable after one month, but were paid immediately and the firm availed a discount of 5% per annum.
(iv) An unrecorded asset was taken over by Pravita at Rs 5,000.
(v) Realisation expenses of Rs 3,000 were paid by Rina.
Prepare necessary ledger accounts.
OR
Anand and Vishnu are partners sharing profits and losses in the ratio of 2:1. Their balance sheet as at 31st March, 2015 stood as follows:

On 1st April 2015, they admitted Krishna as a Partner. The new profit sharing ratio is agreed as 3 : 2 : 1.
Other adjustments are as under:
(i) Krishna is to bring Rs 90,000 as capital and it was decided that the capital of all partners shall be in proportion to their profit sharing ratio.
(ii) The goodwill of the firm is valued at Rs 1,20,000 and Krishna will contribute his share of goodwill in cash.
(iii) All debtors are good.
(iv) Depreciate furniture by 10%.
(v) Anand will pay off the bank overdraft.
(vi) Any deficiency or excess of capital will be adjusted through cash.
Prepare revaluation A/c, partners’ capital A/c and the balance sheet of the newly constituted firm.

Question 17.
Govind Ltd. invited applications for 40,000 equity shares of Rs 10 each payable Rs 3 on application, Rs 4 on allotment (including premium) and Rs 4 on first and final call. The issue was oversubscribed by 20,000 shares.
Allotment was made as under:
To applicants of 30,000 shares — 30,000 shares
To applicants of 5,000 shares — Nil
To balance applicants — 10/100 shares
Excess money received on application was adjusted against sums due on allotment and call. All money was duly received. Give journal entries to record the above transactions and show the balance sheet of the company.
OR
Ganpati Ltd. offered for public subscription 20,000 equity shares of Rs 100 each at Rs 110 per share. The amount were payable as follows:
On application – Rs 30 per share
On allotment – Rs 40 per share (including Rs 10 as premium)
On first and final call – Rs 40 per share
Applications for 24,000 shares were received and prorata allotment was made.
Kapil, an applicant for 240 shares, failed to pay the allotment and call money.
Binal, a holder of 300 shares failed to pay the first and final call
All these shares were forfeited.
Out of the forfeited shares, 300(the whole of Kapil’s share being included) were reissued @ 80 per share fully paid up. Journalise the above transactions.

PART – B
‘Analysis of Financial Statements’

Question 18.
Under which type of activity will you classify dividend received by a finance company while preparing cash flow statement.

Question 19.
State with reason whether ‘Discount received on making payment to suppliers would result in inflow, outflow or no flow of cash.

Question 20.
Under which main heads and sub heads of equity and liabilities are the following items shown in the balance sheet of a company as per schedule III.
(i) Unclaimed dividend,
(ii) Calls in arrears,
(iii) Interest accrued but not due on debentures and
(iv) Arrears of fixed cumulative preference dividends.

Question 21.
(a) From the following information, calculate the inventory turnover ratio.
Revenue from operations – Rs 2,00,000, gross profit 25% on cost, opening inventory is 1/3rd of the value of the closing inventory, closing inventory is 30% of revenue from operations.
(b) Net profit ratio of a company was 10%. Its indirect expenses were Rs 40,000 and its cash revenue from operations were Rs 1,50,000. The credit revenue from operations was 60% of the total revenue from operations. Calculate the gross profit ratio of the company.

Question 22.
Prepare a comparative statement of profit and loss from the following information:

Question 23.

(i) A machinery having a net book value of Rs 1,00,000 (Depreciation provided there on Rs 1,62,500) was sold at a loss of Rs 20,000.
(ii) Tax paid during the year Rs 75,000.

When partners maintain fixed capital account, all adjustments including share of profit or loss is shown in their current account. Hence, the capital account of the partners will not be distributed and thus, will not show a debit balance in spite of regular losses.

Nil. There is no excess amount in the investment fluctuation reserve account as the fall in the value of the investment is equal to the reserve.

Goodwill will still have to be valued due to the re-constitution of the firm. The gaining partners will need to compensate the sacrificing partners.

Private placement of shares means issue and allotment of shares to a selected group of persons privately and not to the general public. It is made by private companies.

The value highlighted by the company is to protect the environment.

Goodwill is not a fictitious asset because it has a realizable value. It is an intangible asset because it cannot be seen and touched.

In the Books of a company

Balance sheet of S Ltd. (An extract)

Balance sheet of S Ltd. (An extract)

In the books Nishant Ltd.

Value the company wants to communicate to the society are:
(i) Creating employment opportunity through expansion of business.
(ii) Fulfilling social responsibility by distributing readymade garments in old age home.

(a) Calculation of Interest on Drawings:

(b) The two main rights acquired by a new partner are:
(i) Right to share the profit of the business.
(ii) Right over the assets of the firm.

(a) In the books of R. Ltd.

In the books of Govind Ltd.

Dividend received by a finance company will be classified under operating activity.