CBSE Class 12 Accountancy Sample Paper by Experts: Practice for Last Minute Revision

Particulars

Details

Conducting Body

Central Board of Secondary Education (CBSE)

Examination Level

Senior Secondary (Class 12)

Subject Name

Accountancy

Academic Session

2025-26

CBSE Class 12 Accountancy Exam Date 2026

24th February 2026

Exam Time

10:30 AM to 1:30 PM

Total Marks

80 (Theory)

Internal Assessment

20 Marks

Exam Duration

3 Hours

Question Paper Structure

Part A and Part B

Type of Questions

MCQs, Short Answer, Long Answer

Internal Choices

Available in selected questions

Official Website

cbse.gov.in

CBSE Class 12 Accountancy Exam Pattern and Marking Scheme

Section/Part

Questions

Marks

Number of Questions

Internal Choice

Part A

1-26

Varies

26

No overall choice

Part B

27-34

Varies

8

(i) Analysis of Financial Statements (ii) Computerized Accounting

1 Mark

1-16, 27-30

1

16

7 questions with internal choice

3 Marks

17-20, 31, 32

3

5

2 questions with internal choice

4 Marks

21, 22, 33

4

3

1 question with internal choice

6 Marks

23-26, 34

6

6

2 questions with internal choice

Class 12 Accountancy Chapter-Wise Weightage for Part A

S.No.

Unit 1: Accounting for Partnership Firms

Weightage

1

Partnership: Features, Partnership Deed

12 marks

2

Reconstitution and Dissolution.

24 marks

Total Weightage (Unit 1)

36 marks

S.No.

Unit 2: Accounting for Companies

Weightage

1

Accounting for Share Capital

16 marks

2

Accounting for Debentures

8 marks

Total Weightage (Unit 2)

24 marks

Total Weightage of Part A

60 marks

Class 12 Accountancy Chapter-Wise Weightage for Part B

S.No.

Unit 3: Analysis of Financial Statements

Weightage

1

Financial statements of a Company

6 marks

2

Tools for Financial Statement Analysis

6 marks

Total Weightage (Unit 3)

12 marks

S.No.

Unit 4: Cash Flow Statement

Weightage

1

Cash Flow Statement

8 marks

Total Weightage (Unit 4)

8 marks

Total Weightage of Part B

20 marks

Question Number

Questions

Marks

PART A (Accounting for Partnership Firms and Companies)

1

Stella and Bella are partners in a firm sharing profits and losses in the ratio of 2 : 1. They admitted Kala as a partner for 2/7 share for which Rs.8,000 and Rs.4,000 are credited as a premium for goodwill to Stella and Bella respectively. The new profit sharing ratio of Stella, Bella and Kala will be 

(a) 3 : 2 : 2 

(b) 8 : 4 : 2 

(c) 10 : 5 : 6 

(d) 4 : 1 : 2

1

2

A and B share profits and losses equally. They have ₹ 20,000each as capital. They admit C as equal partner and goodwill was valued at ₹ 30,000. Cis to bring in 30,000as his capital and necessary cash towards his share of goodwill. Goodwill Account will not remain open in books. If profit on revaluation is ₹ 13,000,find the closing balance of the capital accounts. 

(A) ₹ 31,500;₹ 31,500; ₹ 30,000 

(B) ₹ 31,500; ₹ 31,500; ₹ 20,000 

(C) ₹ 26,500; ₹ 26,500; ₹ 30,000 

(D) ₹ 20,000;₹ 20,000; ₹ 30,000

1

3

Assertion (A) : A firm should have a Partnership Deed. Reason (R) : In case, any dispute or any misunderstanding arises among partners, Partnership Deed acts as an evidence in the court. 

(a) Both (A) and (R) are correct and (R) is the correct explanation of (A) 

(b) Both (A) and (R) are correct but (R) is not the correct explanation of (A) 

(c) (A) is correct but (R) is incorrect 

(d) (A) is incorrect but (R) is correct

1

4

Assertion (A):Loss on issue of debentures is written off in the year Debentures are allotted. 

Reason (R): Loss on issue of debentures is written off from Capital Reserve first if available and then from statement of profit and loss.

a. (A) is correct but (R) is wrong 

b. Both (A) and (R) are correct, but (R) is not the correct explanation of (A) 

c. Both (A) and (R) are incorrect. 

d. Both (A) and (R) are correct, and (R) is the correct explanation of (A). 

OR 

X Ltd. purchased assets worth ₹12,30,000. It paid ₹3,00,000 of consideration by bank draft and the balance by issuing debentures of ₹ 500 each at a discount of 7% in full satisfaction of the purchase consideration. The amount debited to Discount on Issue of Debentures A/c will be: 

a. ₹86,100 

b. ₹65,100 

c. ₹80,000 

d. ₹70,000

5

A share of Rs.20 each issued at par for which Rs. 8 is not yet called. The called up capital is: 

(a) Rs.20 

(b) Rs.12 

(c) Rs.8 

(d) Nil 

Or  

Kumar Ltd. issued prospectus inviting applications for 10,000, 8% Debentures. The issue was oversubscribed to the extent of 15,000 debentures. Applications for 3,000 debentures were sent letter of regret and remaining applicants were allotted debentures. Simon was allotted 700 debentures under pro-rata category. How many debentures he must have applied for? 

(a) 1,000 

(b) 940 

(c) 740 

(d) 840

6

P, Q and R are Partners sharing profit and losses in ratio of 4:3:2. On 1-4-2023 they decided to share future profit and losses in the ratio of 2:2:1. Workmen compensation reserve appearing in the balance sheet is ₹25,000 and a claim on account of workmen compensation is estimated at ₹35,000. Correct statement is: 

a. ₹10,000 Will be credited to Revaluation A/c. 

b. ₹25,000 Will be credited to Partner’s Capital A/c in their old ratio. 

c. ₹10,000 Will be debited to Revaluation A/c. 

d. ₹35,000 Will be debited to Partners Capital A/C in their new ratio. 

OR 

A, B and C were partners in a firm Sharing profit and losses in the ratio of 4:3:2. The Partners decide to share future profit and losses in the ratio of 2:2:1. At the time of reconstitution, a stock undervalued by ₹12,000 will be: 

a. Credited to Revaluation A/c 

b. Debited to Revaluation A/c 

c. Debited to Partner’s Capital A/c in old rat 

d. None of the above

7

X, Y and Z who are presently sharing profits and losses in the ratio of 5 : 3 : 2 decide to share profits and losses in the ratio of 2 : 3 : 5 with effect from 1st April 2023. An extract of their Balance Sheet as at 31st March, 2023 is as follows:

At the time of reconstitution, certain amount of loss due to fall in market value of investments was determined for which Y’s share of loss was Rs.750. Market value of investment was 

(a) Rs.80,000 

(b) Rs.85,000 

(c) Rs.90,000 

(d) Rs. 95,000 

Or 

Interest on Partner’s loan is credited to 

(a) Partner’s fixed capital a/c 

(b) Partner’s current a/c 

(c) Partner’s loan a/c 

(d) Partner’s drawings a/c

8

What will be the correct sequence of events? i) Forfeiture of shares. ii) Default on Calls. iii) Re-issue of shares. (iv) Amount transferred to capital reserve. Options: 

(A) (i), (iv), (ii), (iii) 

(B) (ii), (iv), (i), (iii) 

(C) (ii), (i), (iii), (iv) 

(D) (iii), (iv), (i) (ii)  

9

When a partner draws a fixed sum for 12 months at the beginning of each month, interest on drawings will be calculated for --------months. 

(a) 5.5 

(b) 4.5 

(c) 6 

(d) 6.5

10

A holds 100 shares of ₹10 each on which he has paid ₹1 on application. B holds 200 shares of ₹10 each on which he has paid ₹1 on application ₹2 on allotment. C holds 300 shares of ₹10 each who has paid ₹1 on applications, ₹2 on allotment and ₹3 on final call. They all failed to pay their arrears and second call of ₹4 per share as well. All the shares of A, B and C were forfeited. How much amount will be transferred to Share Forfeiture A/c on forfeiture of shares?

a. ₹2,500

b. ₹2,400

c. ₹2,000

d. ₹6,000

OR

Balance in Forfeited Shares Account is shown in the balance sheet under the head of : 

a) Reserves and Surplus 

b) Long-term Borrowings 

c) Share Capital 

d) Other Current Liabilities

11

A building was purchased by Anand Ltd. for Rs.11,00,000 from Mohan. Anand Ltd. issued 9% Debentures of Rs.100 each at a premium of 10% as purchase consideration. 9% Debenture account is credited by (a) Rs.11,00,000 (b) Rs.12,10,000 (c) Rs.10,00,000 (d) Rs.11,90,000 Or Which of the following statement is correct about debentures? 

(a) New debentures can be issued at par/premium but not at discount 

(b) Debenture interest is calculated on issue price 

(c) Interest on debenture is an appropriation of profits 

(d) Interest is not paid on debentures issued as Collateral security.

12

Given below are two statements – Assertion(A) and Reasons(R). Choose the correct alternative. Assertion(A): The fixed capital account balance of a partner may change due to addition to capital or withdrawal of capital or both during the year. Reasons(R): Under fixed capital method, the partner’s capital account balance always remains fixed. 

a. (A) is correct but (R) is wrong 

b. Both (A) and (R) are correct 

c. (A) is wrong, but (R) is correct. 

d. Both (A) and (R) are wrong

13

Interest on drawings charged from Vishu will be : 

(a) Rs.725 

(b) Rs.825 

(c) Rs.625 

(d) Rs.925

14

A company forfeited 3,000 shares of Rs.10 each, on which only Rs.5 per share (including Rs1 premium) has been paid. Out of these, few shares were reissued at a discount of Rs.1 per share and Rs.6,000 were transferred to Capital Reserve. How many shares were reissued? 

(a) 3,000 shares 

(b) 1,000 shares 

(c) 2,000 shares 

(d) 1,500 shares

15

Rohan, Mohan and Sohan where partners sharing profit equally. At the time of

dissolution of the partnership firm, Rohan’s loan to the firm will be:

a. Credited to Rohan’s capital account

b. Debuted to realization account

c. Credited to realization account

d. Credited to bank account 

16

Which of the following items is not dealt through profit and loss appropriation account? 

a. Interest on Partner’s Loan 

b. Partner’s Salary 

c. Interest on Partner’s Capital 

d. Partner’s Commission  

1

17

Adil, Bhavya, and Cris are partners sharing profits and losses in the ratio of 4 : 3 : 2. Bhavya retired from the firm and Adil and Cris decided to share profits and losses in the ratio of 5 : 3 in reconstituted firm. The accountant passed the following journal entry for adjusting Bhavya’s share of goodwill and missed some information. Complete the missing values in the following journal entry and calculate the Gaining ratio. 

3

18

Kabir and Farid are partners in a firm sharing profits in the ratio of 3:1 on 1-4-2022 they admitted Manik into the partnership for 1/4th share in the profits of the firm. Manik bought his share of goodwill premium in cash. Goodwill of the firm was valued on the basis of 2 years purchase of last three years average profits. The profits of the last three years were:2019-20 ₹90,000 2020-21 ₹1,30,000 2021-22 ₹86,000 During the year 2021-22 there was a loss of ₹20,000 due to fire which was not accounted for while calculating the profit. Calculate the value of goodwill and pass the necessary journal entries for the treatment of goodwill.  

3

19

X , Y and Z are partners sharing profits and losses in the ratio of 5 : 4 : 1. Z is given a guarantee that his share of profit will not be less than Rs. 50,000 in any year. Deficiency if any, is to be borne by X and Y in the ratio of 3 : 2 . Profit for the year ended 31st March,2023 was Rs.3,50,000. 

Record necessary journal entries to show distribution of profit among all the partners. 

Or 

Prince, Queen and Elina were partners sharing profits and losses in the ratio of 5 : 3 : 2. The Partnership deed provides for charging interest on drawings @ 10 % p.a. Drawings of Prince, Queen and Elina during the year ended 31st March,2023 were Rs.2,00,000, Rs.3,00,000 and Rs.5,00,000 respectively. After closing final accounts, it was found that interest on drawings were not charged. Pass necessary adjustment entry by showing your working clearly

3

20

Youth Ltd. took a loan ₹15,00,000 from State Bank of India against the security of tangible assets. In addition to principal security, it issued 10,000 11% debentures of ₹100 each as collateral security. Pass the necessary journal entries for the above transaction if the company decided to record the issue of 11% debentures as collateral security and show the presentation in the Balance Sheet of Youth Ltd. 

OR 

A company took a loan of ₹10,00,000 from Punjab National Bank and issued 10% debentures of ₹12,00,000 of ₹100 each as a collateral security along with primary security of plant and machinery worth ₹20,00,000. Explain how you will deal with the issue of debentures in the books of the company.

3

21

Altaur Ltd. was registered with an authorized Capital of ₹ 4,00,00,000 divided in 25,00,000 Equity Shares of ₹ 10 each and 1,50,000, 9% Preference Shares of ₹ 100 each. The company issued 8,00,000 Equity Shares for public subscription at 20% premium, payable ₹ 3 on application; ₹ 7 on allotment (including premium) and balance on call. Public had applied for 10,00,000 shares. Excess Applications were sent letters of regret. All the dues on allotment received except on 15,000 shares held by Sanju. Another shareholder Rocky paid his call dues along with allotment on his holding of 25,000 shares. You are required to prepare the Balance Sheet of the company as per Schedule III of Companies Act, 2013, showing Share Capital balance and also prepare Notes to Accou. 

4

22

Jhovika Ltd. was registered with an authorized capital of Rs.9,00,000 divided into Equity Shares of Rs.10 each. The company issued a prospectus inviting applications for issuing 80,000 equity shares. The company received applications for 79,000 equity shares. All calls were made and duly received except the second and final call of Rs.3 per share on 4,000 shares held by Anand. These shares were forfeited. (a) Present the ‘Share Capital’ in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013. (b) Also prepare ‘Notes to Accounts’ for the same. 

4

23

Sicilia Ltd. invited applications for issuing 20,000 equity shares of Rs.50 each at a premium of 10%. The amount was payable as follows: On application Rs. 15 per share On allotment Rs.30 per share (including premium) On First and final call balance amount Applications were received for 30,000 shares and pro-rata allotment was made on 25,000 shares and the remaining applications were refused and letters of regret were sent to them. Neeta who applied for 1,000 shares failed to pay the allotment and call money. Her shares were forfeited after the call. Later, 400 forfeited shares were reissued as fully paid up for Rs.57 per share. Pass journal entries for the above transactions by opening Calls in arrear a/c. 

OR

Pass necessary journal entries for forfeiture and reissue of forfeited shares in the following cases: (a) Sonia Ltd. forfeited 10,000 shares of Rs.10 each issued at a premium of Rs.1 per share, for non-payment of second and final call of Rs2 per share. Out of these, 60% of the shares were reissued at Rs.7 per share fully paid up. (b) Aahaz Ltd. forfeited 800 shares of Rs.10 each, Rs.8 per share called up, for non-payment of first call of Rs.3 per share. All the forfeited shares were reissued for Rs.12 per share fully paid. 

6

24

a. The directors of Poly plastic Ltd resolved that 200 shares of ₹100 each be forfeited for non-payment of second and final call of ₹30 per share. Out of these 150 shares were re-issued at ₹60 per share to Mohit. Show the necessary journal entries for forfeiture and reissue of shares. 

b. A holds 100 shares of ₹10 each on which he has paid ₹1 per share on application. B holds 200 shares of ₹10 each on which he has paid ₹1 on application ₹2 on allotment. C holds 300 shares of ₹10 each who has paid ₹1 on applications, ₹2 on allotment and ₹3 on first call. They all failed to pay their arrears and second call of ₹4 per share as well. All the shares of A, B and C were forfeited and subsequently reissued at ₹11 per share as fully Paid-up. Pass the necessary journal entries forfeiture and reissue of shares without opening call-in-arrears account. 

OR 

Arora limited issued a prospectus inviting applications for 20,000 shares of ₹10 each at a premium of ₹2 per share payable as follows: On application ₹2, on allotment ₹5 (including premium), on first call ₹3, on second and final call ₹2. Applications were received for 30,000 shares and pro-rata allotment was made on the applications for 24,000 shares. Money overpaid on application was employed on account of some due on allotment. Sanchit to whom 4,00 shares were allotted failed to pay the allotment money and on his subsequent failure to pay the first call, his shares were forfeited. Parth, the holder of 600 shares, failed to pay the two calls and his shares were forfeited after the second call. Of the shares forfeited, 800 shares were sold to Siddharth credited as fully paid for ₹9 per share, the whole of Sanchit’s shares being included. show the journal entries  

6

25

A and B are parents in a firm sharing profits and losses in the ratio of 3:2. Their balance sheet was as follows on 31st March, 2023:

C is admitted as a partner on the above date on the following terms : (i) He will pay Rs. 10,000 as goodwill for one-fourth share in the profit of the firm. (ii) The assets are to be valued as under : Plant at Rs. 32,000; Stock at Rs. 18,000; Debtors at book figure a provision of 5 percent for bad debts to be created. (iii) It was found that the creditors included a sum of Rs. 1,400 which was not be paid. But it was also, found that there was a liability for compensation to workers amount in to Rs. 2,000. (iv) C was to introduce Rs, 20,000 as capital and the capitals of other partners were to be adjusted in the new profit sharing ratio for this purpose, current accounts were to be opened. Prepare Revaluation Account, Capital Account of partners. 

Or 

Kamal, Rahul and Vimal were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. Their Balance Sheet on 31st March, 2023 was as under. 

On the above date, Rahul retired and the following terms were agreed upon. 

(i) Goodwill of the firm was valued at Rs.3,50,000 

(ii) An item of Rs.10,000 included in sundry creditors is not likely to be claimed and hence written off. 

(iii) Stock was valued at Rs.90,000 

(iv) Capital of the new firm was fixed at Rs.2,10,000 and the same will be adjusted in the profit sharing ratio of the remaining partners. For this purpose the required cash will be brought in or paid off as the case may be. 

(v) Amount payable to Rahul will be transferred to his loan account. Prepare Revaluation account Partners’ Capital accounts on Rahul’s retirement.

6

26

Anuj, Vishal and Shekhar were equal partners. Their balance sheet as a 31st March, 2022 was: 

Vishal retired on 1st April 2022. Anuj and Shekhar decided to continue the business as equal partners on the following terms 

i. Goodwill of the firm was valued at ₹28,800. 

ii. The provision for bad and doubtful debts to be maintained @ 10% on debtors. 

iii. Buildings to be increased to ₹66,000. 

iv. Furniture and fixtures to be reduced by ₹4,000. 

v. Rent outstanding (not provided for as yet) was ₹750. 

The partners decided to bring in sufficient cash in the business to pay-off Vishal. For this purpose Anuj brought ₹12,250 and Shekhar ₹26,250. Pause the necessary ledger accounts and the balance sheet.

OR 

B and C were partners sharing profits in the ratio of 3:2. Their balance sheet as on 31.3.2011 was as follows: 

‘D’ was admitted to the partnership for 1/5th share in the profits on the following terms: 

a) The new profit-sharing ratio was decided as 2:2:1. 

b) D will bring Rs 30,000 as his capital and Rs 15,000 for his share of goodwill. 

c) Half of goodwill amount was withdrawn by the partner who sacrificed his share of profit in a favor of ‘D’. 

d) A provision of 5%for bad and doubtful debts was to be maintained. 

e) An item of Rs 500 included in sundry creditors was not likely to be paid. 

f) A provision of Rs 800 was to be made for claims for damages against the firm. 

After making the above adjustment the capital account s of B and C were to be adjusted on the basis of D’s capital. Actual cash was to be bought in or to be paid off as the cash may be. Prepare Revaluation Account, Partner’s Capital Accounts and Balance Sheet of the new firm.

6

PART – B (Analysis of Financial Statements) 

27

‘Freedom to Choose Method of Depreciation’ refers to which limitation of Financial Statement Analysis? (a) Historical analysis (b) Qualitative aspect ignored (c) Not free from bias (d) Ignore price level changes 

Or 

Revenue from Operations Rs.6,00,000; Gross Profit 25% on cost. Gross profit ratio will be 

(a) 15% 

(b) 20% 

(c) 25% 

(d) 30%

1

28

From the following calculate Interest coverage ratio Net profit after tax Rs 12,00,000; 10% debentures Rs 1,00,00,000; Tax Rate 40% a) 1.2 times 

b) 3 times 

c) 2 times 

d) 5 times 

1

29

Debt Equity ratio of Monaco Ltd. is 2 : 1. Which of the following would decrease the ratio?

(a) Purchase of fixed asset on a credit of 2 months 

(b) Purchase of fixed asset on a long –term deferred payment basis 

(c) Issue of new equity shares for cash 

(d) Issue of bonus shares  

1

30

Assertion (A) : Purchase of fixed assets is classified as Investing Activity in case of all enterprises. Reason (R) : Payment of dividend on shares is classified as Financing activity in case of all enterprises. In the context of above two statements, which of the following is correct? 

(a) Both (A) and (R) are correct and (R) is the correct explanation of (A) 

(b) Both (A) and (R) are correct but (R) is not the correct explanation of (A) 

(c) (A) is correct but (R) is incorrect 

(d) (A) is incorrect but (R) is correct 

Or 

Which of the following transaction will result in no flow of cash? 

(a) Purchase of machinery 

(b) Sale of investments 

(c) Acquisition of machinery by issue of equity shares

(d) Redemption of debentures 

1

31

(a) Opening inventory Rs.50,000, Inventory Turnover Ratio 4 times. Gross profit 20% of Revenue from operations. Closing inventory was two times in comparison to Opening inventory. Calculate Revenue from Operations. 

(b) Long term borrowings Rs.16,00,000 Long term Provisions Rs.4,00,000 Current Liabilities Rs.10,00,000 Non- Current Assets Rs.44,00,000 Current Assets Rs.26,00,000 Calculate Debt to Capital Employed Ratio

3

32

Determine Return on investment and Net Asset Turnover ratio from the following information:Profit after tax were ₹6,00,000; Tax rate was 40%; 15% Debentures were of ₹20,00,000; 10% bank loan was ₹20,00,000; 12% Preference Share Capital ₹30,00,000; Equity Share Capital ₹40,00,000; Reserves and Surplus were ₹10,00,000; Sales ₹3,75,00,000 and Sales Return ₹15,00,000 

3

33

From the information extracted from the statement of Profit and Loss of Zee Limited for the year ended 31st March 2022 and 31st March 2023, prepare a Common-size Statement of Profit and Loss:

OR 

From the balance sheet of Shahnaz Shadab Limited as on March 31,2011 and 2012, Prepare a comparative Balance Sheet:  

From the following information, prepare Comparative Statement of Profit and Loss: 

4

34

Following are the Balance sheets of K Ltd. for the year ended 31st March 2022 and 2023 

Prepare Cash Flow Statement after taking into account the following adjustments: 1. The Company paid interest Rs.36,000 on its long term borrowings 2. Depreciation charged on tangible f

6

Answer Number

Answers

Marks

PART A (Accounting for Partnership Firms and Companies)

1

(c) 10 : 5 : 6

1

2

a) ₹ 31,500;₹ 31,500; ₹ 30,000

1

3

(a) Both (A) and (R) are correct and (R) is the correct explanation of (A) 

1

4

a. (A) is correct but (R) is wrong 

OR 

d. ₹70,000

1

5

(b) Rs.12 Or (d) 840

1

6

c. ₹10,000 Will be debited to Revaluation A/c.

OR

a. Credited to Revaluation A/c

1

7

(c) Rs.90,000 

Or 

(c) Partner’s Loan a/c 

1

8

b. ₹2,000

1

9

(d) 6.5 

1

10

a. ₹2,500

OR

c. Called up

1

11

(c) Rs.10,00,000 

Or 

(d) Interest is not paid on debentures issued as Collateral security 

1

12

a. (A) is correct but (R) is wrong

1

13

(c) Rs.625 

1

14

(c) 2,000 shares 

1

15

d. Credited to bank account 

1

16

a. Interest on Partner’s Loan 

1