List of top Accountancy Questions

What is the amount of profit to be credited to A's Capital account?
What is the amount of profit to be credited to V's Capital account?
In which ratio the deficiency of T will be borne by A & V?
Passage: A Solid Partnership A, V and T were partners of a law firm sharing profits in the ratio of 5:3:2. Their partnership deed provided the following:
(i) Interest on partners' capital @ 5% p.a.
(ii) A guaranteed that he would earn a minimum annual fee of Rs. 6,00,000 for the firm.
(iii) T was guaranteed a profit of Rs. 2,50,000 (excluding interest on capital) and any deficiency on account of this was to be borne by A and V in the ratio of 2:3.
During the year ending March 31, 2019, A earned a fee of Rs. 3,20,000 and net profits earned by the firm were Rs. 8,60,000.
Partner's capital on April 01, 2018 were: A = Rs. 3,00,000; V = Rs. 3,00,000 and T = Rs. 2,00,000. % Question What is the amount of A's deficiency of annual fee?
What is the amount of T's deficiency in profits?
The steps involved in calculation of Goodwill under Super Profit Method are: (A) Calculate the super profits by deducting normal profit from the average profits.
(B) Calculate the normal profit on firm's capital using normal rate of return.
(C) Calculate the average profit.
(D) Calculate goodwill by multiplying super profits by given years' purchase.
Arrange the admission procedure in correct sequence: (A) Giving share to the new partner.
(B) Treatment of Goodwill.
(C) Calculating new profit sharing ratio and sacrificing ratio.
(D) Preparation of Revaluation A/c.
(E) Preparing Partner's Capital A/c and Balance Sheet.
The important steps in the procedure of share issue are: (A) The company issues the prospectus to the public.
(B) The company has to get minimum subscription within 120 days from the issue of prospectus.
(C) The prospective investors make an application with application money.
(D) Letters of allotment are sent to those allotted shares (or regret letters to those rejected).
Arrange the following in a sequence in which they will be utilized for the payment of losses: (A) Out of capital of partners.
(B) Out of profits.
(C) By the partners individually in their profit sharing ratio.
Arrange the following in the sequence of payment at dissolution of a firm: (A) The debts of the firm to the third parties.
(B) Partner's loan to the firm.
(C) Partner's capital.
(D) Remaining balance divided among partners in profit sharing ratio.
While issuing the share capital for public subscription where there is no Articles of Association of its own, the following provisions of Table A will apply: (A) A period of one month must elapse between two calls.
(B) The amount of call should not exceed 25% of the face value of the share.
(C) A minimum of 7 days' notice is given to the shareholders to pay the amount.
(D) Calls must be made on a uniform basis on all shares within the same class.
Choose the correct answer from the options given below:
Securities Premium Account can be used only for the following purposes: (A) To issue partly paid bonus shares to the extent not exceeding unissued share capital of the company;
(B) Buy back of own shares.
(C) To write-off the expenses of, or commission paid, or discount allowed on any securities of the company;
(D) To pay premium on the redemption of preference shares or debentures of the company.
Choose the correct answer from the options given below:
Dividend paid by a company to its shareholder is classified as which type of activity under cash flow statement?
The sum due to the retiring partner includes: (A) His share of profits up to the date of retirement.
(B) His share of goodwill.
(C) His share of accumulated profits.
(D) His share in the gain of revaluation of assets and liabilities.
Choose the correct answer from the options given below:
Minimum subscription is the minimum amount that, in the opinion of directors, must be raised to meet the needs of business operations of the company relating to: (A) The price of any property purchased, or to be purchased, which has to be met wholly or partly out of the proceeds of issue;
(B) Preliminary expenses payable by the company and any commission payable in connection with the issue of shares;
(C) Working capital;
(D) Any other expenditure required for the usual conduct of business operations
Choose the correct answer from the options given below:
Various accounting aspects involved on death of a partner are as follows: (A) Adjustment in respect of unrecorded assets and liabilities
(B) Treatment of goodwill
(C) Preparation of Realization A/c
(D) Preparation of Executor's loan A/c
Choose the correct answer from the options given below:
Which of the following is not the main factor affecting the value of Goodwill?
Debenture Application & Allotment A/c ........ Dr. 95,000
Loss on Issue of Debentures A/c ................. Dr. 10,000
\hspace{0.5cm} To 9% Debenture A/c ...................................... 1,00,000
\hspace{0.5cm} To Premium on Redemption of Debentures A/c .... 5,000
On the basis of the above entry, determine the rate of discount at which Rs. 1,00,000, 9% debentures of Rs. 100 each were issued if they were to be redeemed at a premium of 5%.
If a company issues Rs. 1,00,000, 9% debentures of Rs. 100 each at a discount of 5% but redeemable at a premium of 5%, then what amount will be debited to Loss on Issue of Debentures Account?
A and B are partners sharing profits in the ratio of 2:1. C is admitted into the firm for 1/4 share of profits. C brings in Rs. 20,000 in respect of his capital. The capitals of old partners A and B, after all adjustments relating to goodwill, revaluation of assets and liabilities, etc., are Rs. 45,000 and Rs. 15,000 respectively. It is agreed that partners' capitals should be according to the new profit sharing ratio. Determine the new profit sharing ratio.
Asha, Deepa and Lata are partners in a firm sharing profits in the ratio of 3 : 2 : 1. Deepa retires. After making all adjustments relating to revaluation, goodwill, payment to Deepa and accumulated profit etc., the capital accounts of Asha and Lata showed a credit balance of Rs. 1,60,000 and Rs. 80,000 respectively. It was decided to adjust the capitals of Asha and Lata in their new profit sharing ratio. You are required to calculate the new capitals of the partners i.e. Asha and Lata.
Which of the following is correct? The important provision affecting partnership accounting, in the absence of a partnership deed is:
According to which section of the Partnership Act 1932, the dissolution of a partnership between all the partners of a firm is called the dissolution of the firm?
A trader carries an average inventory of Rs. 40,000. His inventory turnover ratio is 8 times. If he sells goods at a profit of 20% on Revenue from operations, find out the gross profit.
Where is the address of the active cell displayed?