Partnership Questions

If partnership deed is silent on the profit sharing ratio and other provisions: interest @_____ per annum is allowed on loans advanced by partners:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $1/4$ th share in profits, which he gets as $1/8$ th from A and $1/8$ th from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $1/4$ th of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively.The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. A will bring in cash as capital after adjustment amount:

At the time of admission of a partner, undistributed profits appearing in the balance sheet of the old firm is transferred to the capital account of:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $1/4$ th share in profits, which he gets as $1/8$ th from A and $1/8$ th from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $1/4$ th of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively.C will withdraw the capital amount after capital are adjusted in the ratio of their respective shares in profits. The amount is:

In the absence of any information regarding the acquisition of share in profits of the retiring/deceased partner by the remaining partners, it is assumed that they will acquire his/her share in following:

Which of the following combination of statements are true about dissolution-(A) A firm is compulsorily dissolved when a partner decide to retire.(B) Dissolution of a partnership is different from dissolution of a firm.(C) A partnership is dissolved when there is a death of a partner.(D) Dissolution of a firm necessarily involves dissolution of partnership.Choose the correct answer from the options given below:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $1/4$ th share in profits, which he gets as $1/8$ th from A and $1/8$ th from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $1/4$ th of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively.D will bring in cash as his capital:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $1/4$ th share in profits, which he gets as $1/8$ th from A and $1/8$ th from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $1/4$ th of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively.The New Profit Sharing Ratio in this case is:

Unrecorded liabilities when paid are shown in:

Arrange the following steps for calculating Goodwill under Capitalisation of Average Profits Method in correct sequence-(A) Ascertain the actual firm's capital (net assets) by deducting outside liabilities from the total assets.(B) Compute the value of goodwill by deducting net assets from the capitalised value of average profits.(C) Ascertain the average profits based on the past few years' performance.(D) Capitalize the average profits on the basis of the normal rate of return to ascertain the capitalised value of average profits.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 $\text{Rs. }50,000$ and $\text{Rs. }30,000$ respectively. Interest on capital is agreed @ $6\%\text{ p.a.}$ Babul is to be allowed an annual salary of $\text{Rs. }2,500$. Manager is to be allowed commission $\text{Rs. }5,000$. Amitabh has also given a loan on April 01, 2019 of $\text{Rs. }50,000$ to the firm without any agreement. During the year 2019-20, the profits earned is $\text{Rs. }22,250$. What amount of profit will be transferred to Profit and Loss Appropriation account :

In the case of guarantee of profit, the sequence of steps to be followed are:(A) Divide the profit in the given ratio.(B) Prepare profit and loss appropriation account as usual.(C) Deduct the deficiency from the guaranteeing partner and add the same to guaranteed partner.(D) Find the deficiency.Choose the correct answer from the options given below:

Keshav, Nirmal and Pankaj are partners sharing profits and losses in the ratio of $4:3:2$. Nirmal retires and the goodwill is valued at $\text{Rs. }72,000$. Keshav and Pankaj decided to share future profits and losses in the ratio of $5:3$. Gaining Ratio of Keshav and Pankaj is:

On dissolution of a firm, partner's loan account is transferred to:

Kumar, Lakshya, Manoj, and Naresh are partners sharing profits in the ratio of $3:2:1:4$. Kumar retires and his share is acquired by Lakshya and Manoj in the ratio of $3:2$. The gaining ratio of the remaining partners (Lakshya, Manoj, and Naresh) is:

Match List-I with List-II regarding the core accounting metrics and concepts across various partnership events:List-I (Accounting Metrics)List-II (Partnership Event)(A) Sacrificing ratio(I) Dissolution of Partnership(B) Gaining Ratio(II) Admission of a New Partner(C) Executors Account(III) Retirement of a Partner(D) Realisation Account(IV) Death of a PartnerChoose the correct answer from the choices given below:

Which of the following statement configurations is NOT true regarding Capital Accounts of partners?

Arrange the following accounting procedures involved in handling the retirement or death of a partner in the correct logical sequence:(A) Settlement of the amounts due to the retired/deceased partner(B) Ascertainment of the new profit-sharing ratio and gaining ratio(C) Adjustment of capitals, if required(D) Revaluation of assets and liabilitiesChoose the correct answer from the options given below:

Which combination of the given statements is correct regarding the dissolution of a partnership and a firm?(A) Dissolution of a partnership is fundamentally different from the dissolution of a firm.(B) A partnership is dissolved when a partner dies.(C) A firm is dissolved when all partners give their consent to dissolve it.(D) A firm is compulsorily dissolved when any single partner decides to retire.Choose the correct answer from the options given below:

Arrange the steps for valuing goodwill via the Capitalisation of Super Profits Method in the correct logical sequence:(A) Calculate the average profit for the past years, as specified.(B) Calculate the capital employed of the firm.(C) Calculate normal profits on the capital employed.(D) Multiply the super profits with the required rate of return multiplier $(\text{i.e., }\frac{100}{\text{Normal Rate of Return}})$.(E) Calculate super profits by deducting normal profits from average profits.Choose the correct answer from the options given below:

$A$ and $B$ are partners in a firm sharing profits in the ratio $2:1$. $C$ is admitted into the firm with a $\frac{1}{4}\text{th}$ share in profits and brings $\text{Rs. }30,000$ as his capital. If the capitals of the old partners $A$ and $B$ are to be adjusted on the basis of $C$ 's capital contribution in their profit-sharing ratio, then what will be the adjusted capital of $A$?

The Court may order a partnership firm to be dissolved under Section 44 of the Act in which of the following scenarios?

Determine the value of a firm's goodwill by the capitalization of super profit method if the average profits are $\text{Rs. }1,00,000$, super profits are $\text{Rs. }18,000$, and the normal rate of return is $10\%$.