CHSE Board Exam : PYQ 2026
Subject: Accounting
21
MCQs
21
Group-A Marks
14
Group-B Marks
21+
Group-C/D Practice
📌 How to use this page
- Read the question and click any MCQ option.
- The selected option will immediately show whether it is correct or incorrect.
- The correct answer and accounting explanation will appear below the options.
- For numerical questions, the calculation is shown step-by-step.
- Questions containing inconsistencies in the supplied paper are clearly marked instead of giving an unsupported answer.
A
GROUP-A / କ—ବିଭାଗ
Multiple Choice Questions • 1 × 21 = 21
Question 1.
From the following alternatives given under each bit, write serially
the correct answer along with its serial number against each bit.
ନିମ୍ନଲିଖୁତ ଖଣ୍ଡ ପ୍ରଶ୍ନରେ ପ୍ରଦତ୍ତ ବିକଳ୍ପଗୁଡ଼ିକ ମଧ୍ୟରୁ
ଖଣ୍ଡ ପ୍ରଶ୍ନର କ୍ରମିକ ସଂଖ୍ୟାସହ, ସଠିକ୍ ଉତ୍ତରଟି କ୍ରମାନ୍ୱୟରେ ଲେଖ :
1 × 21 = 21
1 × 21 = 21
(a)
Current Account of a partner always shows
ଜଣେ ଭାଗୀଦାରଙ୍କର ଚ଼ଳନ୍ତି ହିସାବ ସବୁବେଳେ ଯାହା ଦେଖାଏ,
ତାହା ହେଲା
(b)
When shares are issued at more than their face value, it is known as
ଯେତେବେଳେ ଅଂଶଗୁଡ଼ିକ ଅଙ୍କିତ ମୂଲ୍ୟ ଠାରୁ ଅଧୂକରେ ପ୍ରଚଳନ ହୁଏ,
ତାହାକୁ ଯାହା କୁହାଯାଏ, ତାହା ହେଲା
(c)
Discount on issue of share is a/an
ଅବମୂଲ୍ୟରେ ଅଂଶ ପ୍ରଚଳନ ଅଟେ ଏକ
(d)
The maximum amount of capital a company can raise is known as
ଏକ କଂପାନୀ ଉଠାଣ କରିପାରୁଥିବା ସର୍ବୋଚ୍ଚ ପରିମାଣର ପୁଂଜିକୁ ଯାହା କୁହାଯାଏ,
ତାହା ହେଲା
(e)
The document in which the objective of the company is defined, is known as
ଯେଉଁ ଦଲିଲ୍ରେ କଂପାନୀର ଉଦ୍ଦେଶ୍ୟ ଦର୍ଶାଯାଇ ଥାଏ, ତାହା ହେଲା
(f)
An example of current asset is
ଚଳନ୍ତି ପରିସଂପରି ଯାହା ଏକ ଉଦାହରଣ ଅଟେ, ତାହା ହେଲା
(g)
Mine is a
ଖଣି ଗୋଟିଏ
(h)
Carriage outward is a/an
ବହିର୍ମୁଖୀ ମାଲଭଡ଼ା ଗୋଟିଏ
(i)
Prepaid insurance premium is a/an
ପ୍ରାକ୍ ପ୍ରଦତ୍ତ ବୀମା ରାଶି ଗୋଟିଏ
(j)
Heavy advertisement expenditure is an example of
ବହୁ ପରିମାଣର ବିଜ୍ଞାପନ ଖର୍ଚ୍ଚ, ଯାହାର ଏକ ଉଦାହରଣ, ତାହା ହେଲା
(k)
Donation received for a special purpose is a/an
ବିଶେଷ ଉଦ୍ଦେଶ୍ୟରେ ପ୍ରାପ୍ତ ଦାନ ଯାହା ଅଟେ ତାହା ହେଲା
(l)
Receipts and Payments Account is prepared to know
ପ୍ରାପ୍ତି ଓ ପ୍ରଦାନ ହିସାବ ଯାହା ଜାଣିବା ପାଇଁ ପ୍ରସ୍ତୁତ କରାଯାଏ, ତାହା ହେଉଛି
(m)
Balance Sheet of a business organization shows
ଗୋଟିଏ ବ୍ୟବସାୟ ପ୍ରତିଷ୍ଠାନର ଉଦ୍ବୃଦ୍ଧି ପତ୍ର ଯାହା ଦର୍ଶାଏ, ତାହା ହେଲା
(n)
Depreciation is a/an
ମୂଲ୍ୟହ୍ରାସ ଅଟେ ଏକ
(o)
Under diminishing-balance method of depreciation, the amount of annual depreciation
ହ୍ରାସମାନ ଉଦ୍ବୃଦ୍ଧି ପ୍ରଣାଳୀରେ ମୂଲ୍ୟ ହ୍ରାସର ବାର୍ଷିକ ପରିମାଣ
(p)
Depreciation in the 2nd year is 18,000. If depreciation is charged @10% p.a. on diminishing-balance method, the cost of asset is
ଦ୍ଵିତୀୟ ବର୍ଷରେ ମୂଲ୍ୟ ହ୍ରାସ 18,000.
ଯଦି ମୂଲ୍ୟହ୍ରାସ 10% ହାରରେ ହ୍ରାସମାନ ଉଦ୍ବୃଦ୍ଧି ପ୍ରଣାଳୀରେ ହୁଏ,
ତେବେ ପରିସଂପରିର ମୂଲ୍ୟ ଯାହା ହେବ, ତାହା ହେଲା
(q)
Under single-entry system, a statement of affairs reveals
ଏକକ ପ୍ରବିଷ୍ଟି ପ୍ରଣାଳୀରେ ଆର୍ଥିକ ବ୍ୟାପାର ବିବରଣୀ ଯାହା ଦର୍ଶାଏ, ତାହା ହେଲା
(r) ⚠️
When assets are revalued, any increase in the value of assets is debited to
ପରିସଂପଭିଗୁଡ଼ିକର ପୁନଃମୂଲ୍ୟାୟନ ଯୋଗୁଁ ସେଗୁଡ଼ିକର ମୂଲ୍ୟରେ
ଅଭିବୃଦ୍ଧି ଘଟିଲେ ସେଥିପାଇଁ ଯେଉଁ ହିସାବକୁ ଦାୟୀ କରାଯାଏ,
ତାହା ହେଲା
(s)
The ratio in which goodwill brought in by a new partner is distributed among old partners, is
ଜଣେ ନୂତନ ଭାଗୀଦାର ଆଣିଥିବା ସୁନାମ ଯେଉଁ ଅନୁପାତରେ
ପୁରୁଣା ଭାଗୀଦାରମାନଙ୍କ ମଧ୍ୟରେ ବଣ୍ଟନ କରାଯାଏ, ତାହା ହେଲା
(t)
For a partnership firm, interest on drawing is a/an
ଗୋଟିଏ ଭାଗୀଦାରୀ ପ୍ରତିଷ୍ଠାନ ପାଇଁ ଉଠାଣ ଉପରେ ସୁଧ ଅଟେ ଏକ
(u) ⚠️
A and B sharing profits and losses in the ratio of 4:2, they admit C for
1/4th share of profit in future profits. The new profit and loss sharing ratio will be
A ଓ Bର ଲାଭ ଓ କ୍ଷତି ବଣ୍ଟନର ଅନୁପାତ 4 : 2 ଥିଲା ଓ ସେମାନେ
Cକୁ ଭବିଷ୍ୟତ ଲାଭର 1/4 ଅଂଶ ଦେଇ ଭାଗୀଦାର ଭାବେ ଗ୍ରହଣ କଲେ ।
ସେମାନଙ୍କ ନୂତନ ଲାଭ ଓ କ୍ଷତିର ଅନୁପାତ ହେବ
B
GROUP-B / ଖ—ବିଭାଗ
Short-answer questions • 2 × 7 = 14
Question 2.
Answer seven of the following questions selecting two each from bit
(a), (b), (c) and one from bit (d), within two sentences not exceeding
40 words each.
ନିମ୍ନଲିଖୂତ ପ୍ରଶ୍ନଗୁଡ଼ିକ ମଧ୍ୟରୁ ଖଣ୍ଡ ପ୍ରଶ୍ନ (a), (b), (c)ରୁ
ଦୁଇଟି ଲେଖାଏଁ ଏବଂ ଖଣ୍ଡ ପ୍ରଶ୍ନ (d)ରୁ ଗୋଟିଏ ପ୍ରଶ୍ନ ଚୟନ କରି,
ପ୍ରତ୍ୟେକକୁ ଦୁଇଟି ବାକ୍ୟରେ ଓ ୪୦ଟି ଶବ୍ଦ ମଧ୍ୟରେ ସୀମିତ ରଖ୍
ସାତୋଟି ପ୍ରଶ୍ନର ଉତ୍ତର ଦିଅ : 2 × 7 = 14
(a)
(i) What is super profit? State how super profit is calculated.
ଅଧୂଲାଭ କ’ଣ? ଅଧୂଲାଭ କିପରି ନିର୍ଣ୍ଣୟ କରା ଯାଏ ଦର୍ଶାଅ।
Answer
Super profit is the excess of actual average profit over normal profit. Super Profit = Average Profit − Normal Profit.
Super profit is the excess of actual average profit over normal profit. Super Profit = Average Profit − Normal Profit.
(ii) What is sacrificing ratio? How is it calculated?
ତ୍ୟାଗ ଅନୁପାତ କ’ଣ ? ଏହା କିପରି ନିରୂପଣ କରା ଯାଏ ?
Answer
Sacrificing ratio is the ratio in which old partners sacrifice their profit shares in favour of a new partner. Sacrificing Ratio = Old Ratio − New Ratio.
Sacrificing ratio is the ratio in which old partners sacrifice their profit shares in favour of a new partner. Sacrificing Ratio = Old Ratio − New Ratio.
(iii) Show the treatment of goodwill in case of admission of a partner.
ଭାଗୀଦାରଙ୍କ ପ୍ରବେଶ ସମୟରେ ସୁନାମକୁ କିପରି ହିସାବରେ ଦର୍ଶାଇବ ଲେଖା।
Answer
When the incoming partner brings goodwill in cash, it is credited to old partners in their sacrificing ratio. If goodwill is not brought, the incoming partner’s capital/current account may be debited and old partners credited in sacrificing ratio.
When the incoming partner brings goodwill in cash, it is credited to old partners in their sacrificing ratio. If goodwill is not brought, the incoming partner’s capital/current account may be debited and old partners credited in sacrificing ratio.
(b)
(iv) Write the accounting treatment for goods taken by proprietor for private use.
ଘରୋଇ ବ୍ୟବହାର ପାଇଁ ମାଲିକ ନେଉଥିବା ଦ୍ରବ୍ୟକୁ ହିସାବରେ କିପରି ଦର୍ଶାଯିବ ଲେଖା।
Answer
Goods withdrawn by the proprietor for private use are treated as drawings. Entry: Drawings A/c Dr. → To Purchases A/c.
Goods withdrawn by the proprietor for private use are treated as drawings. Entry: Drawings A/c Dr. → To Purchases A/c.
(v) What is liquid asset? Give two examples.
ତରଳ ପରିସଂପରି କ’ଣ ? ଦୁଇଟି ଉଦାହରଣ ଦିଅ।
Answer
Liquid assets are assets that can be converted into cash quickly with little or no loss in value. Examples: Cash and Bank Balance.
Liquid assets are assets that can be converted into cash quickly with little or no loss in value. Examples: Cash and Bank Balance.
(vi) What do you mean by entrance fee?
ପ୍ରବେଶିକା ଚାନ୍ଦା କହିଲେ କ’ଣ ବୁଝ ?
Answer
Entrance fee is the amount charged from a person when he/she becomes a member of a club or non-profit organisation. Its treatment depends on whether it is revenue or capital in nature.
Entrance fee is the amount charged from a person when he/she becomes a member of a club or non-profit organisation. Its treatment depends on whether it is revenue or capital in nature.
(c)
(vii) Describe any two causes of depreciation.
ମୂଲ୍ୟହ୍ରାସର ଯେକୌଣସି ଦୁଇଟି କାରଣ ବୁଝାଅ।
Answer
Two causes are wear and tear caused by regular use and obsolescence caused by technological or market changes making an asset outdated.
Two causes are wear and tear caused by regular use and obsolescence caused by technological or market changes making an asset outdated.
(viii) Cost price = ₹5,00,000; Residual value = ₹50,000; Life = 10 years. Find book value after 3 years under SLM.
ପରିସଂପଭିର କିଣା ମୂଲ୍ୟ 5,00,000, ଅବଶିଷ୍ଟ ମୂଲ୍ୟ 50,000. ପରିସଂପରିର ଆୟୁ 10 ବର୍ଷ। ସରଳ ରୈଖୁକ ମୂଲ୍ୟହ୍ରାସ ପ୍ରଣାଳୀରେ 3 ବର୍ଷ ପରେ ପରିସଂପରିର ବହି ମୂଲ୍ୟ କେତେ ହେବ ?
Solution
Annual depreciation = (₹5,00,000 − ₹50,000) ÷ 10 = ₹45,000.
Depreciation for 3 years = ₹45,000 × 3 = ₹1,35,000.
Book Value = ₹5,00,000 − ₹1,35,000 = ₹3,65,000.
Annual depreciation = (₹5,00,000 − ₹50,000) ÷ 10 = ₹45,000.
Depreciation for 3 years = ₹45,000 × 3 = ₹1,35,000.
Book Value = ₹5,00,000 − ₹1,35,000 = ₹3,65,000.
(ix) State how capital is calculated from statement of affairs.
ଆର୍ଥିକ ସ୍ଥିତି ବିବରଣରୁ କିପରି ମୂଳଧନ ବାହାର କରିବ ଦର୍ଶାଅ।
Answer
Capital = Total Assets − External Liabilities.
Capital = Total Assets − External Liabilities.
(x) What is Income and Expenditure Account?
ଆୟ-ବ୍ୟୟ ହିସାବ କ’ଣ?
Answer
Income and Expenditure Account is a nominal account prepared by a non-profit organisation to determine the surplus or deficit for an accounting period.
Income and Expenditure Account is a nominal account prepared by a non-profit organisation to determine the surplus or deficit for an accounting period.
(d)
(xi) What is meant by issued capital?
ନିର୍ଗମିତ ପୁଞ୍ଜି କହିଲେ କ’ଣ ବୁଝାଏ ?
Answer
Issued capital is that portion of authorised capital which a company offers for subscription to the public or investors.
Issued capital is that portion of authorised capital which a company offers for subscription to the public or investors.
(xii) What is a debenture?
ଏକ ଋଣପତ୍ର କ’ଣ ?
Answer
A debenture is a written acknowledgement of debt issued by a company, normally carrying a specified rate of interest.
A debenture is a written acknowledgement of debt issued by a company, normally carrying a specified rate of interest.
C
GROUP-C / ଗ—ବିଭାଗ
Short descriptive questions • 3 × 7 = 21
Question 3.
Answer seven of the following questions selecting two each from
bit (a), (c), (d) and one from bit (b) within 60 to 80 words each.
(a)
(i) What is meant by forfeiture of shares?
ଅଂଶପତ୍ର ବାଜ୍ୟାପ୍ତି କହିଲେ କ’ଣ ବୁଝାଏ ?
Answer
Forfeiture of shares means cancellation of shares by a company because the shareholder fails to pay calls due on the shares, subject to the company’s Articles and applicable law. Amount already received may be retained according to the rules.
Forfeiture of shares means cancellation of shares by a company because the shareholder fails to pay calls due on the shares, subject to the company’s Articles and applicable law. Amount already received may be retained according to the rules.
(ii) What is calls-in-arrear?
ବକେୟା ଆହ୍ଵାନ କ’ଣ?
Answer
Calls-in-arrear is the amount of a call on shares that has become due but has not been paid by the shareholder by the specified date.
Calls-in-arrear is the amount of a call on shares that has become due but has not been paid by the shareholder by the specified date.
(iii) What is pro-rata allotment of shares?
ଅଂଶପତ୍ରର ସମାନୁପାତିକ ଆବଣ୍ଟନ କ’ଣ ?
Answer
Pro-rata allotment means allotment of shares in proportion to the number of shares applied for when applications exceed the number of shares offered.
Pro-rata allotment means allotment of shares in proportion to the number of shares applied for when applications exceed the number of shares offered.
(iv) What is calls-in-advance? How is it treated in books of accounts?
ଅଗ୍ରୀମ ପ୍ରାପ୍ତ ଆହ୍ୱାନ କ’ଣ ? ଏହା ହିସାବ ବହିରେ କିପରି ଦର୍ଶାଯାଏ ?
Answer
Calls-in-advance is money received from a shareholder before the amount has been called. It is treated as a liability until the relevant call becomes due.
Calls-in-advance is money received from a shareholder before the amount has been called. It is treated as a liability until the relevant call becomes due.
(b)
(v) Explain any two objectives of charging depreciation.
ମୂଲ୍ୟହ୍ରାସ ପ୍ରଭାରର ଯେକୌଣସି ଦୁଇଟିର ଉଦ୍ଦେଶ୍ୟ ବୁଝାଅ।
Answer
1. To determine the correct profit by charging the cost of asset use against revenue.
2. To show assets at a more appropriate carrying amount in the Balance Sheet.
1. To determine the correct profit by charging the cost of asset use against revenue.
2. To show assets at a more appropriate carrying amount in the Balance Sheet.
(vi) Write Journal Entries for charging depreciation under provision for depreciation method.
‘ମୂଲ୍ୟହ୍ରାସର ବ୍ୟବସ୍ଥା ପ୍ରଣାଳୀ’ରେ ମୂଲ୍ୟହ୍ରାସ ପ୍ରଭାର ପାଇଁ ଜାବେଦା ପ୍ରବିଷ୍ଟି ଲେଖା।
Journal Entries
1. For charging depreciation:
1. For charging depreciation:
Depreciation A/c Dr.
To Provision for Depreciation A/c
2. For transferring depreciation to P&L:
Profit & Loss A/c Dr.
To Depreciation A/c
(vii) What do you mean by current assets? Give five examples of current assets.
ଚଳନ୍ତି ପରିସଂପରି କହିଲେ କ’ଣ ବୁଝ? ଚଳନ୍ତି ପରିସଂପରିର ପାଞ୍ଚଟି ଉଦାହରଣ ଦିଅ।
Answer
Current assets are assets expected to be realised, sold or consumed in the normal operating cycle or within the relevant short-term period. Examples: Cash, Bank Balance, Debtors, Bills Receivable and Stock.
Current assets are assets expected to be realised, sold or consumed in the normal operating cycle or within the relevant short-term period. Examples: Cash, Bank Balance, Debtors, Bills Receivable and Stock.
(c)
(viii) Sundry debtors ₹4,08,000; bad debt ₹8,000; provision @5%. Find provision.
ବିବିଧ ଖାତକ – 4,08,000, ଅନାଦାୟୀ ଋଣ କଟାଯିବ – 8,000, ଅନାଦାୟୀ ଋଣ ପାଇଁ ବ୍ୟବସ୍ଥା ବିବିଧ ଖାତକ ଉପରେ 5% ହାରରେ କରାଯିବ।
Solution
Adjusted Debtors = ₹4,08,000 − ₹8,000 = ₹4,00,000.
Provision = 5% × ₹4,00,000 = ₹20,000.
Adjusted Debtors = ₹4,08,000 − ₹8,000 = ₹4,00,000.
Provision = 5% × ₹4,00,000 = ₹20,000.
(ix) What is life membership fee? How is it treated in books of account?
ଆଜୀବନ ସଭ୍ୟ ଚାନ୍ଦା କ’ଣ? ଏହା ହିସାବରେ କିପରି ଦର୍ଶାଇବ ?
Answer
Life membership fee is a one-time amount received from a member for membership for life. It is generally treated as a capital receipt and credited to a Life Membership Fund or Capital Fund according to the organisation’s accounting policy.
Life membership fee is a one-time amount received from a member for membership for life. It is generally treated as a capital receipt and credited to a Life Membership Fund or Capital Fund according to the organisation’s accounting policy.
(d)
(x) Average profit ₹70,000; normal profit 10% on capital; capital ₹5,00,000; goodwill at 2 years’ purchase of super profit. Find goodwill.
ହାରାହାରି ଲାଭ – 70,000, ସ୍ଵାଭାବିକ ଲାଭ—ମୂଳଧନର 10%, ମୂଳଧନ – 5,00,000। ସୁନାମର ମୂଲ୍ୟ ଅଧାଲାଭର 2 ଗୁଣରେ ନିର୍ଣ୍ଣୟ କରା ଯାଏ ।
Solution
Normal Profit = ₹5,00,000 × 10% = ₹50,000.
Super Profit = ₹70,000 − ₹50,000 = ₹20,000.
Goodwill = ₹20,000 × 2 = ₹40,000.
Normal Profit = ₹5,00,000 × 10% = ₹50,000.
Super Profit = ₹70,000 − ₹50,000 = ₹20,000.
Goodwill = ₹20,000 × 2 = ₹40,000.
(xi) State the procedure of calculating interest on drawings.
ଉଠାଣ ଉପରେ ସୁଧ ନିର୍ଣ୍ଣୟ କରିବାର ପଦ୍ଧତି ଉଲ୍ଲେଖ କର।
Answer
Determine the amount and dates of drawings, calculate the period for which each drawing remained outstanding, apply the agreed interest rate and total the interest amounts. Interest on drawings is charged to the partner.
Determine the amount and dates of drawings, calculate the period for which each drawing remained outstanding, apply the agreed interest rate and total the interest amounts. Interest on drawings is charged to the partner.
(xii) Show Journal Entries for revaluation of assets and liabilities.
ପରିସଂପରି ଓ ଦାୟର ପୁନଃମୂଲ୍ୟାୟନର ଜାବେଦା ପ୍ରବିଷ୍ଟି ଲେଖା।
Journal Entries
Increase in Asset:
Increase in Asset:
Asset A/c Dr.
To Revaluation A/c
Decrease in Asset:
Revaluation A/c Dr.
To Asset A/c
Increase in Liability:
Revaluation A/c Dr.
To Liability A/c
Decrease in Liability:
Liability A/c Dr.
To Revaluation A/c
D
GROUP-D / ଘ—ବିଭାଗ
Long-answer and practical problems
Question 4
What is depreciation? Explain the causes and objectives of charging depreciation.
Distinguish between ‘Straight-line method’ and ‘Written-down value method’
of calculating depreciation.
ମୂଲ୍ୟହ୍ରାସ କ’ଣ ? ମୂଲ୍ୟହ୍ରାସର କାରଣ ଓ ଉଦ୍ଦେଶ୍ୟ ବୁଝାଅ।
‘ମୂଲ୍ୟହ୍ରାସର ସରଳ ରୈଖୁକ ପଦ୍ଧତି’ ଓ
‘ହ୍ରାସମାନ ଉଦ୍ବୃଦ୍ଧି ପଦ୍ଧତି’ ମଧ୍ୟରେ ପାର୍ଥକ୍ୟ ଦର୍ଶାଅ।
✓ Model Answer
Meaning of Depreciation
Depreciation is the systematic allocation of the depreciable amount of a fixed asset over its useful life due to use, passage of time, obsolescence or other causes.
Causes
- Wear and tear due to use.
- Passage of time.
- Obsolescence due to technological changes.
- Depletion in case of natural resources.
Objectives
- To ascertain correct profit.
- To show assets at an appropriate carrying amount.
- To provide for replacement of assets over time.
SLM vs WDV
| Basis | Straight-Line Method | Written-Down Value Method |
|---|---|---|
| Basis of calculation | Original cost / depreciable amount | Opening written-down value |
| Annual depreciation | Normally constant | Normally decreases each year |
| Rate | Applied to original cost | Applied to reducing book value |
| Book value | Falls by equal depreciation | Falls by decreasing depreciation amounts |
Question 5
From the following information, you are required to find out profit
of the business and prepare Balance Sheet as on 31st March, 2025.
ନିମ୍ନଲିଖୂତ ସୂଚନାରୁ ବ୍ୟବସାୟର ଲାଭ ବାହାର କର
ଏବଂ 31 ମାର୍ଚ୍ଚ, 2025ର ଉଦ୍ବୃରି ପତ୍ର ପ୍ରସ୍ତୁତ କର :
| Assets | 31.03.2024 (₹) | 31.03.2025 (₹) |
|---|---|---|
| Building | 5,00,000 | 4,80,000 |
| Machinery | 3,00,000 | 4,50,000 |
| Stock | 2,80,000 | 3,00,000 |
| Sundry Debtors | 2,00,000 | 2,50,000 |
| Cash in Hand | 10,000 | 25,000 |
| Cash at Bank | 25,000 | 20,000 |
| Sundry Creditors | 1,20,000 | 1,80,000 |
| Loan | 1,20,000 | — |
Additional Information
- Drawings during the year = ₹3,00,000
- Additional capital during the year = ₹1,00,000
✓ Complete Solution
Opening Assets
= 5,00,000 + 3,00,000 + 2,80,000 + 2,00,000
+ 10,000 + 25,000
= ₹13,15,000
Opening External Liabilities
= 1,20,000 + 1,20,000
= ₹2,40,000
Opening Capital
= ₹13,15,000 − ₹2,40,000
= ₹10,75,000
Closing Assets
= 4,80,000 + 4,50,000 + 3,00,000 + 2,50,000
+ 25,000 + 20,000
= ₹15,25,000
Closing External Liabilities
= ₹1,80,000
Closing Capital
= ₹15,25,000 − ₹1,80,000
= ₹13,45,000
Profit
= Closing Capital + Drawings − Additional Capital − Opening Capital
= ₹13,45,000 + ₹3,00,000 − ₹1,00,000 − ₹10,75,000
= ₹4,70,000
Answer
Profit = ₹4,70,000
Balance Sheet as on 31.03.2025
| Liabilities | ₹ | Assets | ₹ |
|---|---|---|---|
| Capital | 13,45,000 | Building | 4,80,000 |
| Sundry Creditors | 1,80,000 | Machinery | 4,50,000 |
| Stock | 3,00,000 | ||
| Sundry Debtors | 2,50,000 | ||
| Cash in Hand | 25,000 | ||
| Cash at Bank | 20,000 | ||
| Total | 15,25,000 | Total | 15,25,000 |
Question 6
B and M were partners sharing profits and losses in the ratio of 3:2.
Their Balance Sheet as on 31.12.2025 was as under.
| Liabilities | ₹ | Assets | ₹ |
|---|---|---|---|
| B Capital | 2,00,000 | Building | 2,00,000 |
| M Capital | 2,00,000 | Machinery | 1,00,000 |
| Reserve | 1,00,000 | Closing Stock | 80,000 |
| Sundry Creditors | 40,000 | Sundry Debtors | 1,00,000 |
| Bills Payable | 10,000 | Cash at Bank | 70,000 |
| Total | 5,50,000 | Total | 5,50,000 |
On 01.01.2026, N was admitted for 1/4 share in future profits. N brought ₹1,50,000 as capital. Goodwill was valued at ₹80,000. Building and Stock were valued at ₹2,40,000 and ₹70,000 respectively.
✓ Profit & Loss Adjustment + Capital Accounts
1. Revaluation Account
Increase in Building
= ₹2,40,000 − ₹2,00,000
= ₹40,000 Profit
Decrease in Stock
= ₹80,000 − ₹70,000
= ₹10,000 Loss
Net Revaluation Profit
= ₹40,000 − ₹10,000
= ₹30,000
Revaluation profit ₹30,000 is shared by B and M in 3:2.
B’s share = ₹30,000 × 3/5 = ₹18,000
M’s share = ₹30,000 × 2/5 = ₹12,000
2. Reserve
B = ₹1,00,000 × 3/5 = ₹60,000
M = ₹1,00,000 × 2/5 = ₹40,000
3. Goodwill
Firm’s Goodwill = ₹80,000
N’s share = ₹80,000 × 1/4
= ₹20,000
Important assumption:
The question states that N brings ₹1,50,000 as capital but does
not expressly state that N brings goodwill in cash. Therefore,
this solution treats N’s goodwill share of ₹20,000 as an
adjustment through N’s capital/current account and credits B
and M in their sacrificing ratio 3:2.
B’s goodwill credit = ₹20,000 × 3/5 = ₹12,000
M’s goodwill credit = ₹20,000 × 2/5 = ₹8,000
N Capital after goodwill adjustment
= ₹1,50,000 − ₹20,000
= ₹1,30,000
4. Partners’ Capital Accounts
| Particulars | B (₹) | M (₹) | N (₹) |
|---|---|---|---|
| Opening Capital | 2,00,000 | 2,00,000 | — |
| Reserve | 60,000 | 40,000 | — |
| Revaluation Profit | 18,000 | 12,000 | — |
| Goodwill | 12,000 | 8,000 | (20,000) |
| Closing Capital | 2,90,000 | 2,60,000 | 1,30,000 |
Question 7
X Ltd. issued 50,000 shares of ₹10 each, payable as ₹2 on application,
₹4 on allotment including premium of ₹1, ₹3 on 1st call and ₹2 on
2nd and final call. Applications were received for 60,000 shares,
allotted on pro-rata basis. All calls were received except one
shareholder holding 200 shares failed to pay final call.
✓ Journal Entries
1. Application Money Received
Bank A/c Dr. ₹1,20,000
To Share Application A/c ₹1,20,000
2. Application Money Transferred
Share Application A/c Dr. ₹1,20,000
To Share Capital A/c ₹1,00,000
To Share Allotment A/c ₹20,000
Under pro-rata allotment, application excess of ₹20,000 is adjusted against allotment.
3. Allotment Due
Share Allotment A/c Dr. ₹2,00,000
To Share Capital A/c ₹1,50,000
To Securities Premium A/c ₹50,000
4. Allotment Money Received
Bank A/c Dr. ₹1,80,000
To Share Allotment A/c ₹1,80,000
5. First Call Due
Share First Call A/c Dr. ₹1,50,000
To Share Capital A/c ₹1,50,000
6. First Call Received
Bank A/c Dr. ₹1,50,000
To Share First Call A/c ₹1,50,000
7. Second & Final Call Due
Share Final Call A/c Dr. ₹1,00,000
To Share Capital A/c ₹1,00,000
8. Final Call Received
One shareholder holding 200 shares did not pay ₹2 per share. Therefore Calls-in-Arrear = 200 × ₹2 = ₹400.
Bank A/c Dr. ₹99,600
Calls-in-Arrear A/c Dr. ₹400
To Share Final Call A/c ₹1,00,000
Question 8
Distinguish between ‘Receipts & Payments Account’
and ‘Income & Expenditure Account’.
‘ପ୍ରାପ୍ତି–ପ୍ରଦାନ ହିସାବ’ ଏବଂ ‘ଆୟ–ବ୍ୟୟ ହିସାବ’
ମଧ୍ୟରେ ପାର୍ଥକ୍ୟ ଦର୍ଶାଅ।
✓ Model Answer
| Basis | Receipts & Payments A/c | Income & Expenditure A/c |
|---|---|---|
| Nature | Real Account | Nominal Account |
| Purpose | Shows cash and bank receipts and payments. | Shows revenue income and expenditure. |
| Basis | Cash basis | Accrual basis |
| Capital items | Capital receipts/payments are included. | Normally excludes capital items. |
| Period | May include receipts/payments relating to different periods. | Includes income and expenditure relating to the current period. |
| Result | Closing cash/bank balance. | Surplus or deficit. |
Question 9
From the following Trial Balance, prepare the Trading Account and
Profit & Loss Account for the year ended 31st March, 2025 and
Balance Sheet as on that date.
| Particulars | Dr. (₹) | Cr. (₹) |
|---|---|---|
| Rent | 1,50,000 | — |
| Insurance | 10,000 | — |
| Bad Debt | 30,000 | — |
| Carriage Outwards | 20,000 | — |
| Depreciation | 40,000 | — |
| Sundry Debtors | 5,00,000 | — |
| Drawings | 1,50,000 | — |
| Furniture | 1,00,000 | — |
| Opening Stock | 1,50,000 | — |
| Purchases | 22,50,000 | — |
| Wages | 1,00,000 | — |
| Salaries | 2,50,000 | — |
| Cash in Hand | 50,000 | — |
| Capital | — | 5,00,000 |
| Sundry Creditors | — | 3,00,000 |
| Sales | — | 30,00,000 |
| Total | 38,00,000 | 38,00,000 |
⚠️ Data check in the supplied question
The supplied paper shows Sales as ₹30,000 but also gives a Trial Balance total of ₹38,00,000. The debit total of ₹38,00,000 can balance only when Sales is ₹30,00,000.
Therefore, the solution below uses Sales = ₹30,00,000. This is a correction inferred from the stated Trial Balance total, not an attempt to hide the inconsistency.
Additional Information
- Closing stock = ₹2,00,000
- Outstanding wages = ₹20,000
- Prepaid insurance = ₹2,000
✓ Trading Account
| Trading Account | ₹ | Trading Account | ₹ |
|---|---|---|---|
| Opening Stock | 1,50,000 | Sales | 30,00,000 |
| Purchases | 22,50,000 | Closing Stock | 2,00,000 |
| Wages | 1,00,000 | ||
| Add: Outstanding Wages | 20,000 | ||
| Cost of Goods Sold | 23,20,000 | ||
| Gross Profit | 8,80,000 | ||
| Total | 32,00,000 | Total | 32,00,000 |
COGS
= Opening Stock + Purchases + Wages + Outstanding Wages − Closing Stock
= 1,50,000 + 22,50,000 + 1,00,000 + 20,000 − 2,00,000
= ₹23,20,000
Gross Profit
= Sales − COGS
= ₹30,00,000 − ₹23,20,000
= ₹6,80,000
✓ Profit & Loss Account
| Particulars | ₹ | Particulars | ₹ |
|---|---|---|---|
| Rent | 1,50,000 | Gross Profit | 6,80,000 |
| Insurance: ₹10,000 − ₹2,000 | 8,000 | ||
| Bad Debt | 30,000 | ||
| Carriage Outwards | 20,000 | ||
| Depreciation | 40,000 | ||
| Salaries | 2,50,000 | ||
| Net Profit | 1,82,000 | ||
| Total | 6,80,000 | Total | 6,80,000 |
Total P&L Expenses
= 1,50,000 + 8,000 + 30,000 + 20,000 + 40,000 + 2,50,000
= ₹4,98,000
Net Profit
= Gross Profit − P&L Expenses
= ₹6,80,000 − ₹4,98,000
= ₹1,82,000
⚠️ Balance Sheet data issue — read carefully
The supplied Trial Balance includes Depreciation ₹40,000 but does not identify the asset to which that depreciation relates. Therefore, deducting ₹40,000 specifically from Furniture would make the Balance Sheet fail to tally with the supplied figures.
If the Trial Balance is followed literally and Furniture remains at ₹1,00,000, the Balance Sheet totals ₹8,52,000 on both sides. This is the only internally balancing presentation from the supplied figures.
✓ Balance Sheet — using the supplied figures literally
Opening Capital = ₹5,00,000
Add: Net Profit = ₹1,82,000
Less: Drawings = ₹1,50,000
Closing Capital = ₹5,32,000
Add: Sundry Creditors = ₹3,00,000
Add: Outstanding Wages = ₹20,000
Total Liabilities = ₹8,52,000
| Liabilities | ₹ | Assets | ₹ |
|---|---|---|---|
| Capital | 5,32,000 | Furniture* | 1,00,000 |
| Sundry Creditors | 3,00,000 | Sundry Debtors | 5,00,000 |
| Outstanding Wages | 20,000 | Closing Stock | 2,00,000 |
| Cash in Hand | 50,000 | ||
| Prepaid Insurance | 2,000 | ||
| Total | 8,52,000 | Total | 8,52,000 |
*Important: Furniture is shown at ₹1,00,000 only to maintain consistency with the supplied Trial Balance. If the ₹40,000 depreciation is specifically intended to be deducted from Furniture, another figure or asset treatment is required from the original question.
!
Exam Alerts & Corrections
Important points where the supplied paper needs attention
⚠️ MCQ (r) — wording issue
The question says an increase in asset value is “debited to Revaluation Account.”
Correct accounting treatment:
Asset A/c Dr.
To Revaluation A/c
Therefore, if the question retains the word “debited”, the answer is Asset Account. If the intended wording was “credited to”, then Revaluation Account would be the answer.
⚠️ MCQ (u) — no printed option is mathematically correct
A : B = 4 : 2 = 2 : 1
C’s share = 1/4
Remaining share = 3/4
A = 3/4 × 4/6 = 1/2
B = 3/4 × 2/6 = 1/4
C = 1/4
New Ratio = 1/2 : 1/4 : 1/4
= 2 : 1 : 1
Correct ratio = A : B : C = 2 : 1 : 1. None of the four printed alternatives matches this ratio.
⚠️ Q9 — Sales figure inconsistency
The supplied paper prints Sales as ₹30,000, but the Trial Balance total is stated as ₹38,00,000.
The debit side totals ₹38,00,000. Therefore the credit side can total ₹38,00,000 only if Sales = ₹30,00,000.
Hence the solution uses Sales ₹30,00,000.
✓ Confirmed Numerical Answers
- Q1(p): Asset cost = ₹2,00,000
- Q1(u): Correct new ratio = 2 : 1 : 1; no listed option
- Q2(viii): Book value after 3 years = ₹3,65,000
- Q3(viii): Provision for doubtful debts = ₹20,000
- Q3(x): Goodwill = ₹40,000
- Q5: Profit = ₹4,70,000
- Q7: Calls-in-arrear on final call = ₹400
- Q9: Net Profit = ₹1,82,000, using Sales ₹30,00,000
✓
Rapid Revision
High-value formulas from this question paper
| Topic | Formula / Rule |
|---|---|
| Super Profit | Average Profit − Normal Profit |
| Normal Profit | Capital × Normal Rate / 100 |
| Goodwill — Super Profit Method | Super Profit × Number of Years’ Purchase |
| Sacrificing Ratio | Old Ratio − New Ratio |
| Capital from Statement of Affairs | Total Assets − External Liabilities |
| SLM Depreciation | (Cost − Residual Value) ÷ Useful Life |
| WDV Depreciation | Opening Book Value × Rate |
| Provision for Doubtful Debts | Adjusted Debtors × Provision Rate |
| Profit from Capital Comparison | Closing Capital + Drawings − Additional Capital − Opening Capital |
| Interest on Drawings | Amount of Drawing × Rate × Relevant Period / 100 |
