Questions (6marks) Q.No Question Marks 1 A, B and C were partners in a firm sharing profits in the ratio of 5:3:2. On 6 31-03-09 their Balance Sheet was as follows: Balance Sheet as on 31-03-10 Liabilities Rs Assets Rs. Creditors 22000 Buildings 40000 General Reserve 12000 Machinery 60000 Capital 60000 Stock 20000 A’ Capital 50000 Patents 22000 B’s Capital 30000 Debtors 16000 C’s Cash 16000 174000 174000 A died on 01-10-09. It was agreed between his executors and the remaining partners that: i) Goodwill to be valued at 2.5 years purchase of the average profits of the previous four years, which were 2006- Rs.26000; 2007- Rs. 24000; 2008- Rs. 40000; 2009- Rs. 30000. ii) Patents to be valued at Rs. 16000; Machinery at RS.56000; and buildings at Rs.50000. iii) Profit for the year 2009-10 be taken as having accrued at the same rate as that of the previous year. iv) Interest on capital be provided at 10% p.a. v) Half of the amount due to A to be paid immediately to the executor and the balance transferred to his loan account. executor’s Prepare Capital account and Account as on A’s A’s Executor’s 2 On 31-12-2009, the balance sheet of X, Y and Z who were partners in a 6 firm was as follows: Balance Sheet as on 31-12-09 Liabilities Rs Assets Rs. Sundry Creditors 25000 Building 26000 General Reserve 20000 Investment 15000 Capital 15000 Debtors 15000 X’s Capital 10000 Bills Receivable 6000 Y’s Capital 10000 Stock 12000 Z’s Cash 6000 80000 80000
Questions (6marks) Q.No Question Marks 1 A, B and C were partners in a firm sharing profits in the ratio of 5:3:2. On 31-03-09 their Balance Sheet was as follows: Balance Sheet as on 31-03-10 6 Liabilities Rs Assets Rs. Creditors General Reserve A’ Capital B’s Capital C’s Capital 22000 12000 60000 50000 30000 Buildings Machinery Stock Patents Debtors Cash 40000 60000 20000 22000 16000 16000 174000 174000 A died on 01-10-09. It was agreed between his executors and the remaining partners that: i) Goodwill to be valued at 2.5 years purchase of the average profits of the previous four years, which were 2006- Rs.26000; 2007- Rs. 24000; 2008- Rs. 40000; 2009- Rs. 30000. ii) Patents to be valued at Rs. 16000; Machinery at RS.56000; and buildings at Rs.50000. iii) Profit for the year 2009-10 be taken as having accrued at the same rate as that of the previous year. iv) Interest on capital be provided at 10% p.a. v) Half of the amount due to A to be paid immediately to the executor and the balance transferred to his executor’s loan account. Prepare A’s Capital account and A’s Executor’s Account as on 2 On 31-12-2009, the balance sheet of X, Y and Z who were partners in a firm was as follows: Balance Sheet as on 31-12-09 6 Liabilities Rs Assets Rs. Sundry Creditors General Reserve X’s Capital Y’s Capital Z’s Capital 25000 20000 15000 10000 10000 Building Investment Debtors Bills Receivable Stock Cash 26000 15000 15000 6000 12000 6000 80000 80000