Page 32 - AAAXII

M.28 An Aid to Accountancy—CBSE XII

Or
Strong Ltd. issued 10,000; 10% Debentures of ` 100 each at 5% premium, repayable
at 10% premium after two years.
Pass the Journal entries for redemption of debentures in the books of company. (4)
13. From the following information prepared from Cash Book of Gymkhana Club, prepare
Income and Expenditure Account for the year ended on 31st March, 2018 and Balance
Sheet as on that date:
Dr. RECEIPTS AND PAYMENTS ACCOUNT for the year ended 31st March, 2018 Cr.
Receipts ` Payments `
To Balance b/d 4,800 By General Expenses 2,160
To Annual Subscription 6,520 By Salaries and Wages 2,200
To Life Membership Fees 1,000 By Furniture 3,200
To Entrance Fees 4,960 By Rent and Taxes 2,240
To Interest on Investment 570 By Stationery 500
(Investment on 31st March, 2017: ` 10,000) By Balance c/d 7,870
To Sundry Receipts 320
18,170 18,170
Adjustments:
(a) Annual Subscription ` 1,200 is outstanding.
(b) General expenses ` 450 is outstanding and wages ` 800 outstanding.
(c) The opening and closing balances of stationery are ` 2,000 and ` 750 respectively.
(d) Depreciate furniture by ` 500.
(e) Life Membership Fee will be capitalised.
(f) Accrued interest on investment ` 190. (6)
14. (a) X, Y and Z were partners in a firm sharing profits in the ratio of 3 : 2 : 1.
Z retired on 1st August, 2017 (i.e., 4 months after the last Balance Sheet date
on 31st March, 2017). On that date, the Capitals of X and Y after all adjustments
stood at ` 2,40,000 and ` 1,60,000 respectively. The total amount due to Z was
` 1,00,000. The amount due to Z was not paid by X and Y until 31st March, 2018.
The firm earned a profit of ` 80,000 during this period of 8 months ended
31st March, 2018. Z wants to exercise provision of Section 37 of the Indian
Partnership Act, 1932.
Which of the two options available under Section 37 should be exercised by Z?
Also calculate the total amount payable to Z, if X and Y clear the dues of Z on
31st March, 2018.
(b) On 31st March, 2018, the Balance Sheet of Pooja, Qureshi and Ross, who were
partners in a firm was as under:
Liabilities ` Assets `
Sundry Creditors 2,50,000 Building 2,60,000
Reserve Fund 2,00,000 Investment 1,10,000
Capital A/cs: Pooja 1,50,000 Qureshi’s Loan 1,00,000
Qureshi 1,00,000 Debtors 1,50,000
Ross 1,00,000 3,50,000 Stock 1,20,000
Cash 60,000
8,00,000 8,00,000