Q.1
According to Profit and Loss Account, the net profit for the year is ₹4,20,Salary of a partner is ₹5,per month and the commission of another partner is ₹10,The interest on drawings of partners is ₹4,The divisible profit as per Profit and Loss Appropriation Account will be :
  • 3,54,000
  • 3,46,000
  • 4,09,000
  • 4,01,000
Q.2
Is rent paid to a partner appropriation of profits?
  • It is appropriation of profit
  • It is not appropriation of profit
  • If partner’s contribution as capital is maximum
  • If partner is a working partner.
Q.3
A partner introduced additional capital of ₹30,and advanced a loan of ₹40,to the firm at the beginning of the year. Partner will receive year’s interest:
  • 4,200
  • 2,400
  • Nil
  • 1,800
Q.4
On 1st Junea partner introduced in the firm additional capital ₹50,In the absence of partnership deed, on 31st Marchhe will receive interest :
  • ₹3,000
  • Zero
  • 2,500
  • 1,800
Q.5
Verma and Kaul are partners in a firm. The partnership agreement provides that interest on drawings should be charged @p.a. Verma withdraws Rs. 2,per month starting from Aprilto MarchKaulwithdrew Rs, 3,per quarter, starting from AprilCalculate interest on partner’s drawings.
  • Verma 780 and Kaul 450
  • Verma 450 and Kaul 780
  • Verma 870 and Kaul 540
  • Verma 540 and Kaul 870
Q.6
The P & L Appropriation A/c shows how the profits of the business are being used and shared among its owners
  • True
  • False
Q.7
Ram and Syam are partners sharing profits/losses equally. Ram withdrew Rs. 1,p.m. regularly on the first day of every month during the year 2015-for personal expenses. If interest on drawings is charged @p.a. Calculate interest on the drawings of Ram.
  • 225
  • 300
  • 325
  • 600
Q.8
Ram & Shyam are partners with the capital of Rs.25,and Rs.15,respectively. Interest payable on capital isp.a. Find the profit to be shared by the partners if profit earned by the firm before interest charges is Rs.2,400.
  • Rs.2500 & RS.1500
  • Rs.1500 & RS.900
  • Rs.1200 & RS.1200
  • None of the above
Q.9
Himani and Kajal are partners in a firm, sharing profits and losses in the ratio of 5:The balance in their fixed capital accounts, on Aprilwere: Himani, Rs. 6,00,and Kajal, Rs. 8,00,The profit of the firm for the year ended Marchwas Rs, 1,26,Calculate their shares of profits, when there is no agreement in respect of interest on capital
  • Profit : Priya, Rs. 76,500; Kajal, Rs. 67,250
  • Profit : Priya, Rs. 78,750; Kajal, Rs. 47,250
  • Profit : Priya, Rs. 75,780; Kajal, Rs. 74,250
Q.10
Which of the following elements of the nature of partnership is so important that there would be no partnership, if this element is absent?A
  • Agreement
  • Sharing of Profit
  • Lawful Business
  • Mutual Agency
Q.11
Rani and Suman are in partnership with fixed capitals of Rs, 80,and Rs. 60,respectively. During the year 2015-Rani withdrew Rs. 10,from her capital and Suman Rs. 15,Profits before charging interest on capital was Rs. 50,Rani and Suman shared profits in the ratio of 3:Calculate the amounts of interest on their capitals @p.a. for the year ended March2016.
  • Rani, Rs. 6,000; Suman, Rs. 9,300
  • Rani, Rs. 9,000; Suman, Rs. 6,300
  • Rani, Rs. 8,000; Suman, Rs. 6,500
  • Rani, Rs. 19,000; Suman, Rs. 16,300
Q.12
Rani and Shyam is partner in a firm. They are entitled to interest on their capital but the net profit was not sufficient for paying his interest, then the net profit will be distributed among partner in
  • 1 : 2
  • Profit Sharing Ratio
  • Capital Ratio
  • Equally
Q.13
A is a partner in a firm .He withdrew rupeesat the end of each quarter during the year ended 31st MarchHis interest on drawings @will be
  • 1350
  • 2250
  • 900
  • 1800
Q.14
Mohan and Shyam are partners in a firm. State whether the claim is valid if the partnership agreement is silent in the following matters:Mohan is an active partner. He wants a salary of Rs. 10,per year;
  • valid
  • invalid
Q.15
Interest on capital will be paid to the partners if provided for in the partnership deed but only out of:
  • Profits
  • Reserves
  • Accumulated Profits
  • Goodwill
Q.16
A partner withdraws rupeeseach 1st April and 1st October .interest on his drawing is drawing @per annum on 31st March will be
  • 480
  • 720
  • 240
  • 960
Q.17
Y is a partner in a Firm. He withdrew regularly 3,rupees at the end every month for six months ending 31st Marchif interest on drawing is charged @per annum, the interest charged will be
  • 375
  • 450
  • 525
  • 900
Q.18
In the absence of partnership deed, the following rule will apply :
  • No interest on capital
  • Profit sharing in capital ratio
  • Profit based salary to working partner
  • 9% p.a. interest on drawings
Q.19
A,B and C were partner in a firm sharing Profit in the ratio of 3:2:1 during the year the firm earned profit of Rs. 84,000.Calculate the amount of Profit or Loss transferred to the capital A/c of B.
  • Loss Rs. 87,000
  • Profit Rs.28,000
  • profit Rs. 87,000
  • Profit Rs.14,000
Q.20
A and B are partners in partnership firm without any agreement. A has given a loan of ₹50,to the firm. At the end of year loss was incurred in the business. Following interest may be paid to A by the firm :
  • @5% Per Annum
  • @6% Per Annum
  • @ 6% Per Month
  • As there is a loss in the business, interest can’t be paid
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