CUET Accountancy: PartnershipAccounting. Free, no login required.

John and Mathew share profits and losses in the ratio of 3:2. They admit Mohanty into their firm for 1/6 share in profits. John personally guaranteed that Mohanty's share of profit, after charging interest on capital @ 10% per annum would not be less than Rs. 30,000 in any year. The capital provided was as follows: John Rs. 2,50,000, Mathew Rs. 2,00,000 and Mohanty Rs. 1,50,000. The profit for the year ending March 31, 2025 amounted to be Rs. 1,50,000 before providing interest on capital. New profit sharing ratio is 3:2:1. Based on this, choose the correct statements from the options given below:

(A) John's share of profit is Rs. 30,000

(B) Mathew's share of profit is Rs. 30,000

(C) Mohanty's share of profit is Rs. 30,000

(D) John's share of profit is Rs. 60,000

The clauses of partnership deed can be altered with the consent of:

The Partnership deed should be properly drafted and prepared as per the provisions of _____.

Accounting treatment for partnership firm is similar to that of a sole proprietorship business with the exception of the following aspects:

A. The preparation of financial statements

B. Maintenance of Partners' Capital Accounts

C. Adjustments for Wrong Appropriation of Profits in the Past

D. Distribution of Profit and Loss among the partners

Choose the correct answer from the options given below:

The clauses of partnership deed:

Which of the following item will not be shown on the credit of partner's current A/c?

Nagina, Pratap and Himesh are partners sharing profits and losses in the ratio of 5:3:2. The partnership deed provides for charging interest on drawings @ 5% p.a. The drawings of Nagina, Pratap and Himesh during the year ending March 31, 2025 amounted to Rs. 40,000, Rs. 15,000 and Rs. 15,000 respectively. After the final accounts have been prepared, it was discovered that interest on drawings has not been taken into consideration. Give necessary adjusting journal entry.

Anu and Shikha are partners sharing profits and losses in the ratio of 3:2. Their capital accounts showed balances of Rs. 1,50,000 and Rs. 2,00,000 respectively on April 01, 2024. The partnership deed provides for interest on capital @ 8% p.a. and the firm earned a profit of Rs. 21,000 during the year. Show the calculation of interest on capital for the year ending March 31, 2025, by which Anu and Shikha would be:

A business has earned average profits of Rs. 2,00,000 during the last few years and the normal rate of return in a similar business is 10%. Ascertain the value of goodwill by capitalisation of average profits method, given that the value of net assets of the business is Rs. 10,20,000.

Match the LIST-I with LIST-II

Choose the correct answer from the options given below:

X and Y are partners in the firm. State which of the following claim is valid if the partnership agreement is silent in the following matters:

Choose the correct order in calculation of the goodwill of the firm by Super Profit Method.

A. Calculation of Super Profit

B. Calculation of Normal Profit

C. Calculation of Capital Employed by the firm

D. Calculation of goodwill of the firm

Choose the correct answer from the options given below:

Amit, Ritu and Zara are in partnership, sharing profits and losses in the ratio of 3:2:1 respectively. Zara's share in the profit is guaranteed by Amit and Ritu to be a minimum of Rs. 8,000. The net profit for the year ended March 31, 2025 was Rs. 30,000. Choose the correct statements from the following:

A. Amit's share of profit is Rs 13,200

B. Ritu's share of profit is Rs 8,800

C. Amit's share of profit is Rs 12,300.

D. Ritu's share of profit is Rs 10,000.

Choose the correct answer from the options given below:

A partnership deed should be properly drafted and prepared as per the provisions of which act?

Ramesh, Umesh and Suresh are partners sharing profits and losses in the ratio of 5:3:2. The partnership deed provides for charging interest on drawings @ 10% p.a. The drawings of Ramesh, Umesh and Suresh during the year ending March 31, 2025 amounted to Rs. 20,000, Rs. 15,000 and Rs. 10,000 respectively. After the final accounts have been prepared, it was discovered that interest on drawings has not been taken into consideration. Which capital account should be credited in the adjustment entry ?

Jai and Shyam are partners in a firm with no partnership deed and sharing profits and losses equally. Jai withdrew Rs. 2,000 per month regularly on the first day of every month during the year 2024-2025 for personal expenses. Jai wants interest on drawings to be charged @ 5% p.a. Calculate Jai's interest on drawings.

Which combination of statements is true about the fixed and fluctuating capital:

(A). Under the Fixed capital method, two separate accounts are maintained for each partner, viz., 'capital account' and 'current account'.

(B). Under the Fluctuating capital method, the balance of the capital account fluctuates from year to year.

(C). Under the Fixed capital method, drawings, salary, interest on capital etc. are posted (transferred) in the current accounts and not in the capital accounts.

(D). Under the Fixed capital method, the capital accounts always show a debit balance.

Choose the correct answer from the options given below:

Amitabh and Babul are partners sharing profits in the ratio of 3:2, with capitals of Rs. 50,000 and Rs. 30,000 respectively. Interest on capital is agreed @ 6% p.a. Amitabh has also given a Loan on April 01, 2024 of Rs. 50,000 to the firm without any agreement.

Calculate Interest on Amitabh's Loan assuming books are closing on 31st March, 2025.

Which of the following statement is incorrect?

Yadu, Madhu and Vidu are partners, sharing profit and losses in the ratio of 2:2:1. Their fixed capitals on April 01,2018 were:

Yadu Rs. 5,00,000, Madhu Rs. 4,00,000 and Vidu is 3,50,000. As per a partnership deed, partners are entitled to interest on capital of @5% p.a. and Yadu has to be paid a salary of Rs. 2000 per month. The net loss of the firm as per profit and loss account for the year ending March 31, 2019, amounted to Rs. 75,000. On the basis of the profit and loss appropriation account, Partners' distribution of loss would be:

Ram and Laxman started business on 1st Jan 2020 with a capital of Rs 1,20,000 and Rs 80,000 respectively. Ram introduced Rs. 50,000 to the firm on 1st July 2020 as additional capital. If the rate of interest is 15% p.a. Assuming that accounts are closed as per calender year then the Interest payable to Ram on Capital would be:

Choose the correct statement if a partnership deed is not present.

Match List-I with List-II

Choose the correct answer from the options given below:

Match List-I with List-II

Choose the correct answer from the options given below:

Which of the following is not the feature of partnership:

Which among the following is NOT true?

The Profit and Loss Appropriation Account is merely an extension of the Profit and Loss Account of the firm, which, among the following, is not shown in the Profit and Loss Appropriation Account?

Match List-I with List-II

Choose the correct answer from the options given below:

Which of the following account / statement is prepared to distribute the profit or loss among partners

The clauses of a partnership deed can be altered with the consent of ________.