Kerala Plus Two Accountancy Question Paper March 2023 with Answers

Reviewing Kerala Syllabus Plus Two Accountancy Previous Year Question Papers and Answers Pdf March 2023 helps in understanding answer patterns.

Kerala Plus Two Accountancy Previous Year Question Paper March 2023

Maximum: 60 Scores
Time: 2 Hours

Part – A
(Accounting) (40 Scores)

I. Answer any 4 questions from 1 to 5. Each carries 1 score. (4 × 1 = 4)

Question 1.
Underfixed capital method, all adjustments relating to partners’ capital are shown in __________________
(a) Current A/c
(b) Capital A/c
(c) Profit & Loss Appropriation A/c
(d) Profit & Loss A/c
Answer:
(a) Current A/c

Question 2.
Anu, Binu and Cinu are partners sharing profits in the ratio \(\frac{1}{2}\), \(\frac{2}{5}\) and \(\frac{1}{10}\). Cinu retires. The new ratio between Anu and Binus is __________________
(a) 4 : 5
(b) 5 : 4
(c) 1 : 2
(d) 2 : 1
Answer:
(b) 5 : 4

Question 3.
The present value of a firm’s anticipated excess earnings is __________________
(a) Capital
(b) Reserve
(c) Goodwill
(d) Loss
Answer:
(a) Goodwill

Question 4.
Realisation Account is prepared at the time of __________________
(a) Dissolution of Firm
(b) Admission of a Partner
(c) Retirement of a Partner
(d) Death of a Partner
Answer:
(a) Dissolution of firm

Question 5.
The accumulated profits and reserves at the time of dissolution of a firm are transferred to __________________
(a) Realisation Account
(b) Partner’s Capital Account
(c) Bank Account
(d) Partner’s Loan Account
Answer:
(b) Partner’s Capital Account

II. Answer all questions from 6 to 7. Each carries 2 scores. (2 × 2 = 4)

Question 6.
List out any four items appearing in the credit side of the Partners Capital Account, when capitals are fluctuating.
Answer:
Items on the credit side of the Partner’s Capital Account.

• Opening balance of capital
• Interest on capital
• Partner’s salary
• Partner’s Commission
• Share of accumulated profit
• Share of profit

Question 7.
Anil, Sunil, and Manoj are partners sharing profits in the ratio of 3 : 2 : 1. Sunil retires and Goodwill of the firm is valued at ₹ 60,000. Pass necessary journal entry for the treatment of Goodwill.
Answer:
Goodwill of the firm = 60000
Sunil’s share of goodwill = 60000 × \(\frac{2}{6}\) = 20,000
Gaining Ratio = 3 : 1
Journal Entry is:
Anil’s Capital a/c Dr 15,000
Manoj’s Capital a/c Dr 5,000
To Sunil’s Capital 20,000
(Sunil’s share of goodwill adjusted in gaining ratio 3 : 1)

III. Answer any 2 questions from 8 to 10. Each carries 3 scores.

Question 8.
Raheem and Saleem are partners in a firm. They share profits equally. Their monthly drawings are ₹ 2,500 each. Interest on drawings is charged at 12% p.a. Calculate interest on Raheem’s drawings for the year 2022, assuming that the drawings are made:
(i) in the beginning of every month
(ii) in the middle of every month and
(iii) at the end of every month
Answer:
Calculation of Interest on drawings:
Total Drawings = 2,500 × 12 = 30,000
(i) In the beginning of every month = 30,000 × \(\frac{12}{100}\) × \(\frac{6.5}{12}\) = 1950
(ii) In the middle of every month = 30,000 × \(\frac{12}{100}\) × \(\frac{6}{12}\) = 1800
(iii) At the end of every month = 30,000 × \(\frac{12}{100}\) × \(\frac{5.5}{12}\) = 1650

Question 9.
Rosy and Lilly are partners sharing profits in the ratio of 7 : 5. They admit Jhinsi as a new partner for \(\frac{1}{6}\) share which she acquired \(\frac{1}{24}\) from Rosy and \(\frac{1}{8}\) from Lilly. Calculate the New Profit Sharing Ratio of Rosy, Lilly, and Jhinsi.
Answer:
Calculation of new profit sharing ratio:
Old ratio = 7 : 5
Jhinsi’s Share= \(\frac{1}{6}\) which she acquired \(\frac{1}{24}\) from Rosy and \(\frac{1}{8}\) from Lilly.
So Rosy’s new share = Rosy’s old share – Share acquired by Jhinsi
= \(\frac{7}{12}\) – \(\frac{1}{24}\)
= \(\frac{13}{24}\)
Lilly’s new share = Lilly’s old share – Lilly’s share acquired by Jhinsi
\(\frac{5}{12}-\frac{1}{8}=\frac{10-3}{24}=\frac{7}{24}\)
Jhinsi’s share = \(\frac{1}{6}\) or \(\frac{4}{24}\)
New ratio = 13 : 7 : 4

Question 10.
Write any three differences between Dissolution of Partnership and Dissolution of Firm.
Answer:

Dissolution of Partnership	Dissolution of Firm
1. It means a change in the existing agreement between the partners.	1. It means dissolution of partnership between all the partners in the firm.
2. Assets and liabilities are revalued.	2. Assets are realised and liabilities are paid off.
3. The business of the firm is continued.	3. The business of the firm is closed down.

IV. Answer all questions from 11 to 12. Each carries 4 scores. (2 × 4 = 8)

Question 11.
A firm’s profit during 2020, 2021, and 2022 were ₹ 18,000, ₹ 20,00,0 and ₹ 22,000 respectively. The firm has capital investment of ₹ 1,00,000. Afair rate of return on investment is 10% p.a. Calculate the value of Goodwill based on:
(a) two years’ purchase of the average profits.
(b) three years’ purchase of the super profits.
Answer:
Calculation of goodwill:
(a) Average Profit = \(\frac{18000+20000+22000}{3}\) = 20,000
Goodwill = Average profit × 2 Years Purchase of average profit
= 2 × 20000
= 40,000

(b) Super Profit = Actual or Average Profit – Normal Profit
Normal Profit = Capital Employed × Normal Rate of return
= 1,00,000 × 10%
= 10,000
Super Profit = 20,000 – 10,000 = 10,000
Goodwill = Super Profit × 3 years purchase of super profit
= 10,000 × 3
= 30,000

Question 12.
Anoop, Manoop and Sanoop are partners in a firm. Manoop retires from the firm. On his date of retirement ₹ 40,000 is due to him. Anoop and Sanoop promised to pay him in instalments every year at the end of the year. Prepare Manoop’s Loan Account when the payment is made in four yearly instalments plus interest @ 12% p.a. on the unpaid balance.
Answer:
Manoop’s Loan A/c

Note: Instalment = \(\frac{40000}{4}\) = 10,000

V. Answer all the questions from 13 to 14. Each carries 5 scores. (2 × 5 = 10)

Question 13.
Rajan and Sajan are partners in a firm sharing profits and losses in the ratio of 2 : 1. Their capital balance as on 01.04.2022 was ₹ 4,00,000 and ₹ 3,00,000 respectively. The partnership deed provides that Rajan is to be paid a salary of ₹ 2,000 per month and Sajan is to get a commission of ₹ 10,000 for the year. Interest on capital is to be allowed at 8% p.a. The drawings of Rajan and Sajan for the year were ₹ 30,000 and ₹ 10,000 respectively. Interest on Rajan’s drawings was ₹ 750 and on Sajan’s drawings ₹ 250. The Net Profit of the firm before making these adjustments was ₹ 1,82,000. Prepare Profit and Loss Appropriation Account.
Answer:
Profit and Loss Appropriation Account

Question 14.
(a) Abu, Tara and Ravi are partners in a firm sharing profits in the ratio of 5 : 4 : 1. Ravi died on 30th June 2022. His share of profit was to be calculated based on average profits of the last three years, which were ₹ 1,56,000 for 2019, ₹ 1,85,000 for 2020 and ₹ 1,75,000 for 2021.
(1) Calculate Ravi’s share of Profit.
(2) Pass necessary journal entry for the same.
(Hint: Accounts are closed on 31st December)
(b) Mention any four accounting adjustments/aspects involved on retirement/death of a partner.
Answer:
(a) (i) Calculation of Ravi’s share of profit up to the date of his death.
Average Profit = \(\frac{1,56,000+1,85,000+1,75,000}{3}\) = 1,72,000
Ravi’s share of profit up-to the date of his death = 1,72,000 × \(\frac{1}{10}\) × \(\frac{6}{12}\) = 8,600

(ii) Profit and Loss Suspense A/c Dr. 8600
To Ravi’s Capital a/c 8600
(Ravi’s share of profit up to the date of his death brought into A/c)

(b) Accounting treatment required at the time of retirement or death of a partner is as follows:

• Calculation of new profit sharing ratio and gaining ratio.
• Treatment of goodwill
• Revaluation of assets and liabilities.
• Distribution of accumulated profit and losses.
• Calculation of profit or loss up to the date of retirement or death.
• Ascertainment of the total amount due to the retiring partners/deceased partner.
• Adjustment of the capitals of the continuing partners.

VI. Answer any one question from 15 to 16. Carries 8 scores. (1 × 8 = 8)

Question 15.
The following is the Balance Sheet of Arun and Varun sharing profits and losses in the ratio of 5 : 3.
Balance Sheet as on March 31, 2022

They agreed to admit Sabu into partnership on the following terms:
(a) Sabu brings ₹ 80,000 as his capital and ₹ 40,000 as his share of goodwill.
(b) Machinery is valued at ₹ 1,50,000 and Stock at ₹ 1,00,000.
(c) A provision for bad debts is to be created @ 5% on debtors.
(d) The new profit sharing ratio is 7 : 5 : 4.
Prepare:
(i) Revaluation A/c
(ii) Partners Capital A/c and
(iii) Balance sheet of new firm
Answer:
(i) Revaluation Account

(ii) Partner’s Capital Account

(iii) Balance Sheet as on 31-03-2022

Working Note:
Calculation of Sacrificing Ratio:
Old Ratio = 5 : 3
New Ratio = 7 : 5 : 4
Sacrificing Ratio = Old Share – New Share
Arun’s sacrifice = \(\frac{5}{8}\) – \(\frac{7}{16}\) or \(\frac{10}{16}\) – \(\frac{7}{16}\) = \(\frac{3}{16}\)
Varun’s sacrifice = \(\frac{3}{8}\) – \(\frac{5}{16}\) or \(\frac{6}{16}\) – \(\frac{5}{16}\) = \(\frac{1}{16}\)
Sacrificing ratio of Arun and Varun = 3 : 1
Arun’s share of goodwill = 40,000 × \(\frac{3}{4}\) = 30,000
Varun’s share of goodwill = 40,000 × \(\frac{1}{4}\) = 10,000

Question 16.
Amal and Bimal are equal partners in a firm. Their balance sheet as on 31st March 2022 was as follows:
Balance Sheet as on 31st March, 2022

The firm was dissolved on the 31st March 2022.
(i) The assets realised were:
Debtors – ₹ 8,500
Stock – ₹ 7,000
Furniture – ₹ 9,000
(ii) Creditors were paid ₹ 8,000 in full settlement.
(iii) Expenses on realisation amounted to ₹ 500.
Prepare Realisation Account, Partner’s Capital Account and Bank Account.
Answer:
Realisation Account

Partner’s Capital Account

Bank Account

Part – B
(Computerised Accounting) (20 Scores)

VII. Answer any 3 questions from 17 to 20. Each carries 1 score. (3 × 1 = 3)

Question 17.
Alphabets or symbols used to codify a piece of information is __________________
(a) Sequential codes
(b) Block codes
(c) Mnemonic codes
(d) Numeric codes
Answer:
(c) Mnemonic codes

Question 18.
Identify the function which helps to convert a dae in the form of text to a number.
(a) DATE
(b) DAY
(c) NOW
(d) DATE VALUE
Answer:
(d) DATE VALUE

Question 19.
Net Pay = __________________
(a) Gross Pay – Total Deductions
(b) Gross Pay + Total Deductions
(c) Basic Pay + DA
(d) Basic Pay + DA + HRA
Answer:
(a) Gross Pay – Total Deductions

Question 20.
Identify the Free and Open Source Accounting Software
(a) Peachtree
(b) Tally
(c) Daceasy
(d) GNU Khata
Answer:
(d) GNU Khata

VIII. Answer the question 21 which carries 2 scores. (1 × 2 = 2)

Question 21.
Write short notes on:
(a) Tables
(b) Queries
Answer:
(a) Table – Store data in a database
(b) Queries – Retrieve from a database
Any meaningful explanation

IX. Answer all the questions from 22 to 23. Each carries 3 scores.

Question 22.
Briefly explain the following elements of a Chart/Graph.
(a) Chart Area
(b) Data Points
(c) Legend
Answer:
(a) Chart area – The entire area of a chart
(b) Data points – The individual values plotted in a chart.
(c) Legend – An identifier of a piece of information in the chart.
Any meaningful explanation.

Question 23.
Write the syntax for the following functions:
(a) SLN
(b) DB
(c) PMT
Answer:
(a) SLN- = SLN(Cost, Salvage, Life)
(b) DB- = DB (Cost, Salvage, Life, Period, Month)
(c) PMT- = PMT (Rate, Nper, PV, FV, Type)

X. Answer the question 24 which carries 4 scores. (1 × 4 = 4)

Question 24.
Describe any four features of CAS.
Answer:
Simple and Integrated
Transparency and Control
Accuracy and Speed
Scalability
Reliability (any 4)

XI. Answer any one question from 25 to 26. Carries 5 scores. (1 × 5 = 5)

Question 25.
(a) Using the following spreadsheet function, write the result displayed in the cell.
(i) = ROUND (412.654, -1)
(ii) = ROUND UP (25.314, 0)
(iii) = ROUND DOWN (568, -2)
(b) State the reason for the errors given below:
(i) #DIV/0!
(ii) #NAME
Answer:
(a) 410
(b) 26
(c) 500
(i) Number divided by Zero
(ii) Text in formula not recognised

Question 26.
Complete the following table:

Answer:

1. All receipts of cash or cheque
2. Sales
3. Credit/Cash purchase of goods
4. F9
5. Contra