Final Account Objectives

1. A statement showing the financial position of the concern/business on a particular day.
2. A group of different accounts. viz. Trading A/c , P/L A/c and Balance Sheet.
3. Account prepared on the basis of direct expenses and direct income to ascertain gross profit or gross loss made in the business.
4. Debit balance of Trading A/c
5. Credit balance of Trading A/c
6. Expenses which have direct relation with the production and they are necessarily incurred in the factory.
7. Account prepared on the basis of indirect expenses and indirect incomes to ascertain net profit or net loss made in the business.
8. Debit balance of Profit and Loss A/c
9. Assets which remain in the business for a long period of time and which are used for production of goods and services.
10. Assets which remain in the business for a long period of time and which are used for production of goods and services.
11. Assets which remain in the business for very short period of time and which are used for maintaining liquidity of the business.
12. Stock of goods at the end of the accounting period.
13. Stock of goods in the beginning of the accounting period
14. Such capital method in which both a Capital A/c and a Current A/c are maintained for each partner.
15. List of Debit and Credit Balance on the ledger accounts.
16. The balance which cannot be receivable from the debtors.
17. The part of sundry debtors which are definitely not recoverable.
18. Expenses due but not paid.
19. Expenses paid in advance for the period which has not expired.
20. Income received in advance before its due date.
21. Income occurred yet not received.
22. The account to which all adjustments are made if capital is fixed.
23. Amount or Goods withdrawn by the partners for personal use.
24. The transport expenses incurred to carry the goods purchased by the firm.
25. A provision which is created on sundry debtors.
26. The accounts which are prepared at the end of each financial year.

Answers.

1. Balance sheet
2. Final accounts
3. Trading Account
4. Gross Loss
5. Gross Profit
6. Direct Expenses
7. Profit and Loss A/c
8. Net loss
9. Net profit
10. Fixed assets
11. Current assets
12. Closing Stock
13. Opening Stock
14. Fixed capital method
15. Trial Balance
16. Bad debts
17. Bad debts
18. Outstanding expenses
19. Prepaid Expenses
20. Pre - received income
21. Outstanding income
22. Current account
23. Drawings of a partner
24. Carriage inward
25. Reserve for doubtful debts
26. Final accounts.

Admission of Partner Objectives

1. The account which shows change in the value of assets.
2. Credit balance on revaluation account.
3. The proportion in which old partners make a sacrifice.
4. Excess of actual capital over proportionate capital.
5. Name of intangible asset having value.
6. Account which is debited when new partner brings cash for his share of goodwill.
7. Account which is credited when goodwill is withdrawn by old partners.
8. Profit and Loss Account appearing on the assets side of a Balance Sheet.
9. Account which is opened to record the gains and losses on revaluation.
10. Change in the relationship between the partners.
11. Debit balance of revaluation account
12. Account opened for revaluation of assets and liability.
13. Excess of average profit over normal profit.
14. Ratio which is surrendered by old partners in favour of new partner.

Answer:

1. Revaluation or Profit and Loss Adjustment A/c
2. Profit on Revaluation of A/c
3. Ratio of Sacrifice
4. Surplus Capital
5. Goodwill
6. Cash/Bank A/c
7. Cash/Bank A/c
8. Undistributed loss
9. Profit and Loss Adjustment A/c
10. Reconstitution of Partnership
11. Loss on revaluation
12. Revaluation A/c or Profit and Loss Adjustment A/c
13. Super Profit
14. Sacrifice ratio

Retirement of Partner objectives

1. The account which shows revaluation of assets and liabilities.
2. Debit balance of revaluation account
3. The proportion in which the continuing partners benefit due to retirement of partner.
4. Excess of actual capital over proportionate capital.
5. The method under which amount payable to the retiring partners is paid off at a time.
6. Capital Account of a retiring partner always shows balance.
7. Credit balance of revaluation account.
8. An account which is opened to record the changes to the value of assets and liabilities.
9. Process in which partner severs the relation with the partnership firm due to old age.
10. Ratio by which remaining partners are benefited on retirement of any partner.
11. Ratio which is obtained by deducting old ratio from new ratio.

Ans.

1. Revaluation account
2. Loss on Revaluation
3. Gain ratio
4. Surplus
5. Lump - sump method
6. Credit Balance
7. Profit on revaluation
8. Revaluation account
9. Retirement of Partner.
10. Gain ratio
11. Gain ratio

Death of partner Objectives

1. The account which shows revaluation of assets and liabilities.
2. Excess of credit side over debit side of revaluation account.
3. The method under which payment is made to retiring partner in instalment.
4. Excess of proportionate at capital over actual capital.
5. The account to which deceased partner’s capital balance is transferred.
6. The partner who died.
7. A person who represents the deceased partner.
8. Person to whom, balance due to deceased partner is payable.
9. Ratio by which surviving partners are benefitted on the death of the partner.
10. Accumulated past profit kept in the form of reserve.
11. Withdrawal of cash or goods by partner for personal use.
12. Account where profit or loss on revaluation is transferred.

Ans.

1. Revaluation A/c or Profit and loss Adjustment A/c
2. Profit on Revaluation
3. Instalment method
4. Deficit
5. Deceased partner’s legal representatives Loan A/c or Executor’s Loan Account.
6. Deceased partner
7. Legal heir or executor
8. Legal heir / executor
9. Gain or benefit ratio
10. General Reserve
11. Drawings
12. Partner’s Capital or Current Account.

Dissolution of Partnership Firm Objectives

1. Debit balance of realisation account.
2. Winding up of partnership business
3. An account opened to find out the Profit and Loss on Sale of Assets and Settlement of Liabilities.
4. Debit balance of an Insolvent Partner’s Capital Account.
5. Credit balance in realisation account.
6. Conversion of assets into cash on dissolution of firm.
7. Liability likely to arise in future on happening of certain events.
8. Assets which are not recorded in the books of accounts.
9. The accounts which show realisation of assets and discharge of liabilities.
10. Expenses incurred on dissolution of a firm.
11. complete closure of partnership firm.

Answers:

1. Realisation loss
2. Dissolution of partnership
3. Realisation A/c
4. Capital Deficiency
5. Realisation Profit
6. Realisation
7. Contingent Liabilities
8. Unrecorded Assets
9. Realisation A/c
10. Dissolution / Realisation Expenses
11. Dissolution of Partnership.

NOT FOR PROFIT CONCERN OBJECTIVES

1. The organization formed for providing services only.
2. An account, which is prepared by “Not for profit concern” instead of Profit and Loss account.
3. Concerns established for rendering services to its members or to the society and do not earn profit.
4. The account opened by non - trading concerns for recording cash receipts and cash payments.
5. The concern which prepares Income and Expenditure account instead of Profit and Loss account.
6. Fees paid by persons for becoming a member of a “Not for Profit Concern”
7. Monthly contribution by a person for becoming a member of “Not for Profit Concern”.
8. Donations received for specific purpose.
9. A special fund created for a certain purpose only.
10. The receipt which is not recurring in nature.
11. The receipt which is recurring in nature.
12. Fees received in lumpsum at once in case of “Not for Profit Concern”
13. An account which records only revenue items in case of “Not for Profit Concern”
14. Account which records only cash transactions in case of “Not for Profit Concern”.
15. The income which is earned during the year, but it has not been received during the year.
16. A fund created out of specific amount earmarked, gifted or donated and the income of this fund is to be used for specific purpose.
17. A statement showing the financial position of a concern on a particular date.
18. The expenditure which is recurring in nature or an expenditure which is incurred for carrying the day to day business activities.
19. The debit balance of Income and Expenditure account.
20. The credit balance of Income and Expenditure account.
21. The gift received from legal representative as per the will of a deceased person.
22. Excess of income over expenditure.
23. Excess of expenditure over income.
24. The excess of total assets over liabilities of a “Not for Profit Concern”.
25. The account opened by a non - trading concern to find out surplus/ deficit during the particular financial year.
26. All such receipts which are non - recurring in nature and not forming a part of regular flow of income of a concern.

Answer:

1. Not for profit concern.
2. Income and Expenditure account.
3. Not for Profit Concern.
4. Receipts and Payments account.
5. Not for profit concern
6. Entrance fees or admission fees
7. Subscription
8. specific donations
9. Specific fund
10. Capital receipt
11. revenue receipt
12. Life membership fees
13. Income and expenditure account
14. Receipts and Payments account
15. Outstanding income
16. Endowment fund
17. Balance Sheet
18. Revenue expenditure
19. deficit
20. surplus
21. Legacy
22. Surplus
23. Deficit
24. Capital fund
25. Income and Expenditure account
26. Capital Receipts.