Question 1

Which of the following will be received by the partner, in the absence of a partnership deed?

Accepted Answer

Interest on Partner's Loan, allowed at 6% per annum as per the Indian Partnership Act, 1932. Salary, commission, and interest on capital are not allowed unless specified in a deed.

Question 2

Actual profit is ₹60,000, Capital employed is ₹4,00,000, and Normal Rate of Return is 10%. What is Goodwill at 2 years' purchase of Super Profit?

Accepted Answer

₹40,000. Normal Profit = ₹4,00,000 × 10% = ₹40,000. Super Profit = ₹60,000 − ₹40,000 = ₹20,000. Goodwill = ₹20,000 × 2 years = ₹40,000.

Question 3

What is the accounting treatment given for Unrecorded liability brought into the books at the time of admission of a partner?

Accepted Answer

Debited to Revaluation account, since bringing in an unrecorded liability increases liabilities, resulting in an unrecorded loss.

Question 4

Vinay and Pranay share profits in ratio 2:1. Amay is admitted for 1/5th share which he acquires entirely from Vinay. What is the new profit-sharing ratio?

Accepted Answer

7 : 5 : 3. Vinay's new share = 2/3 − 1/5 = 7/15, Pranay's share stays 1/3 = 5/15, Amay's share = 1/5 = 3/15.

Question 5

Accumulated losses appearing in the Balance Sheet at the time of Retirement of a partner will be:

Accepted Answer

Transferred to Partners' Capital Account, in their old profit-sharing ratio, since accumulated losses belong to all existing partners prior to retirement.

Question 6

Executor's loan balance is ₹3,80,000 payable in 2 equal annual installments with interest @ 8% p.a. What is the amount of the 1st installment after 6 months?

Accepted Answer

₹2,05,200. Principal = ₹1,90,000, Interest for 6 months = ₹3,80,000 × 8% × 6/12 = ₹15,200. Total = ₹2,05,200.

Question 7

Creditors of ₹80,000 accepted stock valued at ₹50,000 in partial settlement. The balance was paid in cash. How much is debited to Realisation Account?

Accepted Answer

₹30,000. Only the net cash paid (₹80,000 − ₹50,000) is debited to Realisation Account; stock accepted against a liability needs no separate entry.

Question 8

What is the accounting treatment given for Charan's loan account appearing in the Balance sheet at the time of Dissolution of firm?

Accepted Answer

Debited to Partner's loan account. It is not transferred to Realisation Account and is settled after outside liabilities but before capital is returned.

Question 9

Arihant Ltd. invited applications for 20,000 Preference Shares @ ₹250 each. Applications were received for 25,000 Shares. This situation is known as:

Accepted Answer

Oversubscription — applications received (25,000) exceed shares offered (20,000). Excess is handled via rejection or pro-rata allotment.

Question 10

Arihant Ltd. issued 30,000 10% Debentures of ₹150 each at a discount of 20%. What is the total amount of discount allowed on the issue?

Accepted Answer

₹9,00,000. Discount per debenture = ₹150 × 20% = ₹30. Total discount = 30,000 × ₹30 = ₹9,00,000.

Question 11

Manav Ltd. purchased Sundry Assets from Varun Ltd. for ₹28,60,000, paid by issuing fully paid Equity shares of ₹100 each at a premium of 10%. How many Equity shares are issued?

Accepted Answer

26,000 Equity Shares. Issue price = ₹100 + 10% premium = ₹110. Shares issued = ₹28,60,000 ÷ ₹110 = 26,000.

Question 12

Who are debenture holders to the company?

Accepted Answer

Debenture holders are creditors/lenders who provide long-term loan capital. They are not owners, carry no voting rights, and receive a fixed rate of interest regardless of profit or loss.

Question 13

Name the sub-heading under which 'Interest on Bank loan' appears in the Profit and Loss statement as per revised Schedule III of the Companies Act, 2013.

Accepted Answer

Finance Costs. This sub-heading also includes interest on debentures, loan processing fees, and bank charges.

Question 14

What is the total amount to be shown under the sub-heading 'Other Incomes' given Credit Sales ₹1,50,000, Cash Sales ₹2,50,000, and Gain on sale of fixed asset ₹1,10,000?

Accepted Answer

₹1,10,000. Credit and cash sales fall under Revenue from Operations; only the gain on sale of fixed asset qualifies as Other Income.

Question 15

Name the sub-heading under which 'Mortgaged Loan' appears in the Balance Sheet as per revised Schedule III of the Companies Act, 2013.

Accepted Answer

Long-Term Borrowings, under the major heading Non-Current Liabilities.

Question 16

Find the total amount of 'Intangible Fixed Assets' given Computer Software ₹80,000, Loose tools ₹90,000, Closing stock ₹1,20,000.

Accepted Answer

₹80,000. Computer Software is an intangible fixed asset; loose tools and closing stock are classified as current assets under inventories.

Question 17

State one significance of Financial Statement Analysis to the Investors.

Accepted Answer

It helps investors assess profitability and financial soundness, evaluate future earning capacity and growth prospects, and make informed decisions to buy, hold, or sell shares.

Question 18

Reserves & Surplus = ₹15,00,000, Total Liabilities = ₹40,00,000. What is the percentage of Reserves and Surplus over total liabilities?

Accepted Answer

37.5%. Calculated as (15,00,000 ÷ 40,00,000) × 100.

Question 19

Name the activity under which 'Dividend paid on Preference Share' will appear in the Cash Flow Statement of a trading company.

Accepted Answer

Financing Activities, since payment of dividend is a cost of raising preference share capital and is classified as a cash outflow under capital structure activities.

Question 20

Which non-cash & non-operating item will be ADDED to Net Profit before Tax under Operating Activity: Purchase of Machinery, Goodwill written off, or Sale of Furniture?

Accepted Answer

Goodwill written off. It is a non-cash expense added back to Net Profit; purchase/sale of fixed assets belong to Investing Activity and are ignored in Operating Activity.

Item	Classification in P&L	Included in "Other Incomes"?
Credit & Cash Sales	Revenue from Operations	No
Gain on sale of fixed asset	Other Incomes	Yes (₹1,10,000)

Item	Activity / Nature	Treatment in Operating Activity
Purchase of Machinery	Investing Activity (Outflow)	Ignored
Sale of Furniture	Investing Activity (Inflow)	Ignored
Goodwill written off	Non-Cash Expense	ADDED back to Net Profit

Goa Board Accountancy 2025 — Solved Paper (Q1–Q20)

Q1. Which of the following will be received by the partner, in the absence of a partnership deed? [1 Mark]

Q2. Actual profit is ₹60,000, Capital employed is ₹4,00,000, and Normal Rate of Return is 10%. What is Goodwill at 2 years' purchase of Super Profit? [1 Mark]

Q3. What is the accounting treatment given for Unrecorded liability brought into the books at the time of admission of a partner? [1 Mark]

Q4. Vinay and Pranay share profits in ratio 2:1. Amay is admitted for 1/5th share which he acquires entirely from Vinay. What is the new profit-sharing ratio? [1 Mark]

Q5. Accumulated losses appearing in the Balance Sheet at the time of Retirement of a partner will be: [1 Mark]

Q6. Executor's loan balance is ₹3,80,000 payable in 2 equal annual installments with interest @ 8% p.a. What is the amount of the 1st installment after 6 months? [1 Mark]

Q7. Creditors of ₹80,000 accepted stock valued at ₹50,000 in partial settlement. The balance was paid in cash. How much is debited to Realisation Account? [1 Mark]

Q8. What is the accounting treatment given for Charan's loan account appearing in the Balance sheet at the time of Dissolution of firm? [1 Mark]

Q9. Arihant Ltd. invited applications for 20,000 Preference Shares @ ₹250 each. Applications were received for 25,000 Shares. This situation is known as: [1 Mark]

Q10. Arihant Ltd. issued 30,000 10% Debentures of ₹150 each at a discount of 20%. What is the total amount of discount allowed on the issue? [1 Mark]

Q11. Manav Ltd. purchased Sundry Assets from Varun Ltd. for ₹28,60,000. The amount was paid by issuing fully paid Equity shares of ₹100 each at a premium of 10%. How many Equity shares are issued to Varun Ltd.? [1 Mark]

Q12. Who are debenture holders to the company? [1 Mark]

Q13. Name the sub-heading under which "Interest on Bank loan" appears in the Profit and Loss statement of the Company as per revised Schedule III of the Companies Act, 2013. [1 Mark]

Q14. From the following information, what is the total amount to be shown under the sub-heading "Other Incomes" in the Profit & Loss statement? Credit Sales: ₹1,50,000 | Cash Sales: ₹2,50,000 | Gain on sale of fixed asset: ₹1,10,000 [1 Mark]

Q15. Name the sub-heading under which "Mortgaged Loan" appears in the Balance Sheet of the Company as per revised Schedule III of the Companies Act, 2013. [1 Mark]

Q16. Find the total amount of "Intangible Fixed Assets" in the Balance Sheet: Computer Software: ₹80,000 | Loose tools: ₹90,000 | Closing stock: ₹1,20,000 [1 Mark]

Q17. State one significance of Financial Statement Analysis to the Investors. [1 Mark]

Q18. Reserves & Surplus = ₹15,00,000 | Total Liabilities = ₹40,00,000. What is the percentage of Reserves and Surplus over total liabilities? [1 Mark]

Q19. Name the activity under which "Dividend paid on Preference Share" will appear in the Cash Flow Statement of a trading company. [1 Mark]

Q20. Which non-cash & non-operating item will be ADDED to Net Profit before Tax under Operating Activity? (Purchase of Machinery / Goodwill written off / Sale of Furniture) [1 Mark]