Page 108 - AAAXII

Model Test Paper 5

Time Allowed: 3 Hours Max. Marks: 80

General Instructions:
As per Model Test Paper 1

PART A

ACCOUNTING FOR NOT-FOR-PROFIT ORGANISATIONS,
PARTNERSHIP FIRMS AND COMPANIES

1. How would be the cost of construction of a building shown if ‘Building Fund’ is
maintained by a Not-for-Profit Organisation?
Or
State the accounting treatment of subscription for the year in the accounts of a
Not-for-Profit Organisation. (1)
2. List any one difference between drawings against profit and drawings against capital.
(1)
3. State the meaning of sacrificing ratio.
Or
Why is sacrificing ratio calculated when new partner is admitted? (1)
4. How does the nature of business affect the value of goodwill of a firm to secure a loan
from a bank? (1)
5. State the treatment of Premium Payable on Redemption of Debentures.
Or
State the nature of Premium on Redemption of Debentures Account. (1)
6. Give the formula for calculating value of goodwill by Capitalisation of Super Profit. (1)
7. Show how will be the following items dealt while preparing the final accounts of a Club
for the year ending 31st March, 2018:
Prizes awarded ` 1,02,000
Prize Fund as at 31st March, ending 31st March, 2018 ` 72,000
Donations for Prizes received during the year ending 31st March, 2018 ` 16,800
10% Prize Fund Investments as at 31st March, 2017 ` 72,000
Interest on Prize Fund Investments ` 7,200. (3)
8. Star Ltd. purchased a running business from Moon Ltd. for ` 60,00,000 payable 10%
by cheque and the balance by issue of fully paid Equity Shares of ` 100 each at a
premium of 20%. The assets and liabilities consisted of the following:
Building ` 30,00,000; Plant and Machinery ` 10,00,000; Stock ` 20,00,000; Sundry
Debtors ` 10,00,000; Sundry Creditors ` 8,00,000.
Pass the necessary Journal entries in the books of Star Ltd.