Important Questions on Fundamentals of Partnership

 Important Questions on CBSE Class 12 Accountancy Chapter - Fundamentals of Partnership

1. How does partnership come into existence?
2. State the maximum number of partners specified in Companies Act.
3. What do you mean by partnership deed?
4. Why is Profit and Loss Appropriation A/c prepared?
5. Aman, Baman and Chaman are partners in a firm. They do not have a partnership deed. At the end of the first year, they have faced following problems: a. Aman wants that interest on capital should be provided to the partners. But Baman and Chaman disagree. b. Baman wants that salaries should be given to partners. But Aman and Chaman disagree. c. Chaman has advanced the loan of Rs 25000 to the firm. He demands 10% p.a. interest on the same. But Aman and Baman disagree. d. Aman demands that profits should be distributed in capital ratios. But Baman and Chaman disagree. State how will you settle the disputes among the partners. 
6. A and B are partners. The net divisible profit as per Profit and Loss Appropriation A/c is Rs. 2,50,000. The total interest on partner’s drawing is Rs. 4,000. A’s salary is Rs. 4,000 per quarter and B’s salary is Rs. 40,000 p annum. Calculate the net profit/loss earned during the year.
7. State two situations in which fixed capitals of partners may change. 
8. List any two items which are recorded on the debit side of partners' capital account.
9. List any two items which are recorded on the credit side of partners' capital account. 
10. Pass the necessary entry for providing interest on capital to partners. 
11. R was a manager who received the salary of 10,000 p.m. in addition to commission of 10% on profits after charging such commission. Total remuneration to R amounted to Rs 180,000. Calculate the profit for the year before charging salary and commission. ( Ans. - Rs 780,000)
12.