Kerala Plus Two Accountancy Question Paper March 2021 with Answers

Reviewing Kerala Syllabus Plus Two Accountancy Previous Year Question Papers and Answers Pdf March 2021 helps in understanding answer patterns.

Kerala Plus Two Accountancy Previous Year Question Paper March 2021

Time: 2 Hours
Total Score: 60

Instructions:

• Answer the following questions from 1 to 37 up to a maximum Score of 60.
• From the following questions, answer for 40 scores from Part-A and 20 Scores from Part-B.

Part – A
Accounting

I. Questions from 1 to 4 carry 1 score each. (4 × 1 = 4)

Question 1.
The excess of income over expenditure in a not-for-profit organisation is called __________________
(a) Surplus
(b) Deficit
(c) Capital
(d) Revenue
Answer:
(a) Surplus

Question 2.
The written agreement of partnership is called __________________
(a) Articles of Association
(b) Memorandum of Association
(c) Partnership Deed
(d) None of these
Answer:
(c) Partnership Deed

Question 3.
Reconstitution of a partnership happens at the time of __________________
(a) Admission of a partner
(b) Retirement of a partner
(c) Death of a partner
(d) All of these
Answer:
(d) All of these

Question 4.
The ratio in which the continuing partners share the profit of outgoing partner is called __________________
(a) Old Ratio
(b) Gaining Ratio
(c) Sacrificing Ratio
(d) New Ratio
Answer:
(b) Gaining Ratio

II. Questions from 5 to 7 carry 2 scores each. (3 × 2 = 6)

Question 5.
Write any 2 characteristics of not-for-profit organisations.
Answer:

• Their main objective is to render services to members and the public.
• They are not expected to earn profit.

Question 6.
How will you treat the following items in partnership accounts in the absence of a partnership deed?
(a) Profit Sharing Ratio
(b) Interest on Drawings
Answer:
(a) Profit sharing ratio – Equal
(b) Interest on drawings – No interest is charged on drawings.

Question 7.
Write down the journal entries for the following at the time of dissolution of a partnership firm.
(a) For sale of assets
(b) For payment of realisation expenses
Answer:
(a) For sale of assets
Cash/Bank A/c Dr.
To Realisation A/c

(b) For payment of realisation expenses
Realisation A/c Dr.
To Cash/Bank A/c

III. Questions from 8 to 10 carry 3 scores each. (3 × 3 = 9)

Question 8.
List out the 3 differences between Income & Expenditure Account and Receipts & Payments Account.
Answer:

Receipts and Payment A/c	Income and Expenditure A/c
1. It is a real account.	1. It is a nominal account.
2. It is a summary of cash book.	2. It is like a Profit and Loss A/c.
3. It starts with an opening balance of cash/bank.	3. It does not start with cash/bank balance.
4. Its debit side shows receipts and credit side shows payments.	4. Debit side shows expenses and credit side shows incomes and gains.

Question 9.
What do you mean by goodwill? List out any 2 factors affecting goodwill.
Answer:
Goodwill is the value of the reputation of a firm in respect of the profits in future over and above the normal profits.
Factors affecting goodwill:

• Nature of business
• Efficiency of management
• Location of business
• Requirement of capital

Question 10.
List out any 6 accounting treatments involved on the retirement or death of a partner.
Answer:
Accounting Treatment on the retirement/death of a partner

• Calculation of new profit sharing ratio.
• Treatment of goodwill.
• Treatment of accumulated profits and losses.
• Revaluation of assets and liabilities.
• Calculation of profit or loss upto the date of retirement/death.
• Ascertainment of the total amount due to the retiring/deceased partner.
• Payment of the amount due to the retiring/deceased partner.

IV. Questions from 11 to 15 carry 4 scores each. (5 × 4 = 20)

Question 11.
Write any 4 differences between fixed capital and fluctuating capital methods.
Answer:

Fixed Capital Method	Fluctuating Capital Method
1. Under this method, two accounts, namely capital account and current account, are prepared for each partner.	1. Each partner has one account, i.e. Capital account.
2. All adjustments are made in the current account and not in the capital accounts.	2. All adjustments for drawings, salary, interest on capital, etc. are made in the capital accounts.
3. The capital account balance remains unchanged unless there is an addition to or withdrawal of capital.	3. The balance of the capital account fluctuates from year to year.
4. The capital account always shows a credit balance.	4. The capital account may sometimes show a debit balance.

Question 12.
Amala and Nandana are partners in a firm sharing profits and losses in the ratio 3 : 2. They decided to admit Hajara as a new partner for a 1/5th share in profits, which she acquired equally from Amala and Nandana. Calculate the new ratio after admission.
Answer:
Old Ratio = 3 : 2
Hajara’s share = \(\frac{1}{5}\) (\(\frac{1}{10}\) from Amala and \(\frac{1}{10}\) from Nandana)
Amala’s New share = \(\frac{3}{5}-\frac{1}{10}=\frac{6-1}{10}=\frac{5}{10}\)
Nandana’s New share = \(\frac{2}{5}-\frac{1}{10}=\frac{4-1}{10}=\frac{3}{10}\)
Hajara’s share = \(\frac{1}{5}\) i.e. \(\frac{2}{10}\)
New ratio = 5 : 3 : 2

Question 13.
Abhinav and Adarsh are partners in a firm sharing profits and losses in the ratio of 5 : 3. Ananya is admitted in the firm for 1/5th share of profits. She has to bring in Rs. 20,000 as capital and Rs. 4,000 as her share of goodwill. Give the necessary journal entries if the amount of goodwill is retained in the business.
Answer:
Old Ratio = 5 : 3
Ananya’s share = \(\frac{1}{5}\)
Sacrificing ratio = 5 : 3
Ananya’s share of goodwill = 4000

Question 14.
Ameena, Fidha and Gayathri are partners sharing profits and losses in the ratio of 5 : 3 : 2. Fidha retires from the firm and her share was acquired by Ameena and Gayathri in the ratio of 2 : 1. Calculate the new ratio.
Answer:
Old Ratio = 5 : 3 : 2
Retiring partner’s (Fidha) share of profit = \(\frac{3}{10}\)
Fidha’s share taken over by Ameena = \(\frac{3}{10} \times \frac{2}{3}=\frac{6}{30}\)
Fidha’s share taken over by Gayathri = \(\frac{3}{10} \times \frac{1}{3}=\frac{3}{30}\)
Ameena’s New share = \(\frac{5}{10}+\frac{6}{30}=\frac{15+6}{30}=\frac{21}{30}\)
Gayathri’s New share = \(\frac{2}{10}+\frac{3}{30}=\frac{6+3}{30}=\frac{9}{30}\)
New ratio = 21 : 9 or 7 : 3

Question 15.
Adithyan and Theertha are partners of Aswani Traders in the ratio of 2 : 3. Their Balance Sheet as on 31.12.2019 stood as follows:
Balance Sheet as on 31.12.2019

Prepare the realisation account on the assumption that the firm is dissolved on the above date by considering the following:
(i) Land & Buildings realised Rs. 60,000.
(ii) Furniture sold for Rs. 20,000.
(iii) Stock taken over by Adithyan Rs. 15,000.
Answer:
Realisation A/c

V. Questions from 16 to 20 carry 5 scores each. (5 × 5 = 5)

Question 16.
As per Receipts and Payment Account for the year ended on March 31, 2019, the subscriptions received were Rs. 50,000. Additional information given is as follows:
(i) Subscriptions outstanding on 1.4.2018 Rs. 5000
(ii) Subscriptions outstanding on 31.3.2019 Rs. 3,000
(iii) Subscriptions received in advance as on 1.4.2018 Rs. 2,000
(iv) Subscriptions received in advance as on 31.3.2019 Rs. 4,000
Calculate the amount of subscriptions for the year 2018-19 to be credited to Income & Expenditure Account.
Answer:

Question 17.
Briefly explain the steps in the preparation of Receipts & Payments account.
Answer:
Procedure for preparation of Receipts and payments account as follows.

• This account always starts with an opening balance of cash in hand and cash at bank, cash in hand has a debit balance and hence appears on the debit side as the first item. Cash at bank has either a debit balance or a credit balance (overdraft)
• All receipts made in cash during the accounting year will be shown on the debit side and all cash payments made during the accounting year are shown on the credit side.
• Only actual cash receipts and cash payments are recorded in this account.
• At the end of the accounting period, this account is balanced and it shows the closing balance of cash in hand and at bank or bank overdraft, as the case may be.

Question 18.
Calculate interest on drawings from the following:

Month & Year	Amount
Jan 1, 2018	12,000
Feb 28, 2018	6,000
April 1, 2018	8,000
Aug 1, 2018	6,000
Nov 30, 2018	4,000
Dec 31, 2018	2,000

Accounting year closes on Dec. 31st every year and interest on drawings charged at 6% p.a.
Answer:
Calculation of Interest on Drawings

Interest on drawing at 6% p.a. = 3,10,000 × \(\frac{6}{100}\) = 18,600
Interest on drawings for one month = 18,600 × \(\frac{1}{12}\) = 1550

Question 19.
The profits for 5 years of a firm are as follows:
2013 – Rs. 12,000
2014 – Rs. 18,000
2015 – Rs. 17,000
2016 – Rs. 14,000
2017 – Rs. 24,000
Calculate the goodwill of the firm based on 3 3-year purchase of the 5-year average profits.
Answer:
Goodwill =Average Profit × No. of the year’s purchase
Average Profit = \(\frac{12000+18000+17000+14000+24000}{5}\) = 17000
Goodwill = 17000 × 3 = 51,000

Question 20.
What are the different modes of reconstitution of a partnership firm? Briefly explain.
Answer:
Modes of Reconstitutions
Reconstitution of a partnership firm usually takes place in any of the following ways:

• Change in the profit sharing ratio of the existing partners.
• Admission of a partner
• Retirement of a partner
• Death of a partner
• Amalgamation of two firms.

VI. Questions from 21 to 22 carry 8 scores each. (2 × 8 = 16)

Question 21.
Prepare the Receipts and Payments Account of Megha Charitable Trust for the year ending March 31, 2019 based on the following information:

Answer:
Receipts and Payment A/c for the year ending 31.03.2019

Question 22.
Abhirami and Dayana are partners in a firm sharing profits and losses equally. Their balance sheet as on 31st Dec. 2018 was as follows:
Balance Sheet as on 31st Dec. 2018

They decided to admit Manju as a partner on that date for a 1/4 share in profit and the following were agreed upon:
(i) Manju contributed Rs. 20,000 as capital and Rs. 10,000 as her share of goodwill.
(ii) Furniture is valued at Rs. 28,000.
(iii) Land and Buildings found appreciated by 10%.
(iv) A provision for doubtful debt is to be created at 5% of debtors.
Prepare Revaluation account and Capital account of the firm after admission.
Answer:
Revaluation A/c

Capital A/c

Balance Sheet

Part – B
Computerised Accounting

VII. Questions from 23 to 26, Carry 1 score each. (4 × 1 = 4)

Question 23.
Each cell in a Spreadsheet is identified with a unique name, which is known as __________________
(a) Range
(b) Columns
(c) Cell Address
(d) Rows
Answer:
(c) Cell Address

Question 24.
Pick out the one which is not a component of the computerised accounting system.
(a) Procedure
(b) Data
(c) People
(d) Virus
Answer:
(d) Virus

Question 25.
Which among the following financial functions is used for calculating the straight line method of depreciation?
(a) SLN
(b) DB
(c) PMT
(d) PV
Answer:
(a) SLN

Question 26.
Find the suitable voucher type used for recording ‘Payment by cash or cheque’ from the following in GNUKhata accounting software.
(a) Receipt
(b) Purchase
(c) Payment
(d) Sales
Answer:
(c) Payment

VIII. Questions from 27 to 30, carry 2 scores each. (4 × 2 = 8)

Question 27.
Write 2 methods to add a new worksheet in a Spreadsheet (Libre Office Calc).
Answer:

• Right click mouse on ‘sheet Tab’ and select ‘Insert Sheet’ from popup menu.
• Click ‘Plus mark’ (+) near sheet Tab.

Question 28.
List out any 4 types of charts that can be prepared with the help of LibreOffice Calc.
Answer:
(a) Bar chart
(b) Column chart
(c) Pie chart
(d) Line chart

Question 29.
Write any 4 elements of a chart.
Answer:
(a) Chart area
(b) Data series
(c) Grid Lines
(d) Plot Area
(e) Title
(f) Data point

Question 30.
Complete the given table based on the hint given:

Name of Ledger	Group
Hint: Purchase	Direct Expense
(a) Sales	?
(b) Wages	?
(c) Discount Received	?
(d) Salary	?

Answer:
(a) Sales – Direct Income
(b) Wages – Direct Expenses
(c) Discount Received – Indirect Income
(d) Salary – Indirect Expense

IX. Questions from 31 to 32, carry 3 scores each. (2 × 3 = 6)

Question 31.
Write the equation to calculate Gross Salary and Net Salary, if B.P. (Basic Pay), DA, HRA and PF are given in a payroll statement.
Answer:
(a) Gross salary – Basic pay + DA + HRA
(b) Net Salary = Gross Salary – PF

Question 32.
Write any 3 features of GNUKhata Accounting Software.
Answer:

• It is free and open source accounting software.
• It is based on double entry book keeping.
• All financial reports can be prepared.
• Display of dual ledger facility.

X. Questions from 33 to 35, carry 4 scores each. (3 × 4 = 12)

Question 33.
Write any 4 merits of computerised accounting system.
Answer:

• Financial reports can be prepared in time.
• Alterations and additions in transactions are easy and give the changed result in all books of accounts instantly.
• It ensures effective control over the system.
• Economy in the processing of accounting data.

Question 34.
Name the functions and syntax used to display the following results in LibreOffice Calc.
(a) Current System date
(b) Current date with time
(c) Count of numeric values in a given range of cells
(d) To count the number of empty cells in a given range.
Answer:

	Name of Function	Syntax
(a) Current System date	TODAY	=TODAY()
(b) Current data with time	NOW	=NOW()
(c) Count of numeric values	COUNT	=COUNT(Range)
(d) Count of empty cells	COUNTBLANK	=COUNTBLANK(Range)

Question 35.
Briefly explain how a ‘Table’ is created in LibreOffice Base. (First 4 steps)
Answer:
(a) Application → Office → LibreOffice Base → Click on ‘Create Table’ in ‘Design View’.
(b) Enter FIELD NAME
(c) Enter FIELD TYPE
(d) Enter FIELD Properties
(e) ‘Save’ Table with suitable name.

XI. Question from 36 to 37, carry 5 scores each. (2 × 5 = 10)

Question 36.
Briefly explain the features of the computerised accounting system.
Answer:

• Simple and Integrated: Computerised accounting system is designed to integrate all the business operations such as sales, finance, purchase, etc.
• Accuracy and Speed: Computerised Accounting system provides data entry forms for fast and accurate data entry of the transactions.
• Scalability: The system can cope easily with the increase in the volume of business transactions. The software can be used for any size and type of the organisation.
• Security: This system is highly secured and the data and information can be kept confidential.
• Reliability: Computerised accounting system makes sure that the critical financial information is accurate, controlled and safe from data corruption.

Question 37.
Write down the 5 features of LibreOffice Calc. Briefly explain.
Answer:

• It is a spreadsheet application.
• It is both free software and open source software.
• It can be used to calculate, analyse, and manage data.
• The worksheet in LibreOffice Calc contains Rows and Columns in a Table format.
• The data stored in the spreadsheet can be converted into graphs, charts, etc.