12th commerce BK Introduction to Partnership and Partnership Final Accounts-word/phrase/term solutions

12th commerce book keeping & accountancy solutions pdf

Q.B Write the word/phrase/term, which can substitute each of the following sentences.

EXERCISE - 1 [PAGE 51]

Exercise - 1 | Q 1 | Page 51

Write the word/phrase/term, which can substitute the following sentence.

1) Persons who form the partnership firm.

Solution: Persons who form the partnership firm. - Partners

Exercise - 1 | Q 2 | Page 51.

Amount of cash or goods withdrawn by partners from the business from time to time.

Solution: Amount of cash or goods withdrawn by partners from the business from time to time. - Drawings

Exercise - 1 | Q 3 | Page 51

An association of two or more persons according to the Indian partnership Act 1932.

Solution: An association of two or more persons according to the Indian partnership Act 1932. - Partnership Firm

Exercise - 1 | Q 4 | Page 51

Act under which partnership firms are regulated.

Solution: Act under which partnership firms are regulated. - Indian Partnership Act

Exercise - 1 | Q 5 | Page 51

Process of entering the name of a partnership firm in the register of Registrar.

Solution: Process of entering the name of a partnership firm in the register of Registrar.- Registration

Exercise - 1 | Q 6 | Page 51

Partnership agreement in written form.

Solution: Partnership agreement in written form. - Partnership Deed

Exercise - 1 | Q 7 | Page 51

Under this method capital, balances of partners remain constant.

Solution: Under this method capital, balances of partners remain constant. - Fixed Capital Method

Exercise - 1 | Q 8 | Page 51

Proportion in which partners share profit.

Solution: Proportion in which partners share profit. - Profit Sharing Ratio

Exercise - 1 | Q 9 | Page 51

Such capital method in which only Capital Account is maintained for each partner.

Solution: Such capital method in which only Capital Account is maintained for each partner. - Fluctuating Capital Method

Exercise - 1 | Q 10 | Page 51

The account to which all adjustments are made when capital is fixed.

Solution: The account to which all adjustments are made when capital is fixed.- Current Account

Exercise - 1 | Q 11 | Page 51

Expenses which are paid before they are due.

Solution: Expenses which are paid before they are due. - Prepaid Expenses

Exercise - 1 | Q 12 | Page 51

The accounts that are prepared at the end of each accounting year.

Solution: The accounts that are prepared at the end of each accounting year. - Final Accounts

Exercise - 1 | Q 13 | Page 51

An asset which can be converted into cash easily.

Solution: An asset which can be converted into cash easily. - Current Assets or Liquid Assets

Exercise - 1 | Q 14 | Page 51

Order in which fixed assets are recorded first in the Balance Sheet.

Solution: Order in which fixed assets are recorded first in the Balance Sheet. - Order of liquidation

Exercise - 1 | Q 15 | Page 51

The account in which selling expenses of the business are recorded.

Solution: The account in which selling expenses of the business are recorded. - Profit and Loss account

Exercise - 1 | Q 16 | Page 51

Debit balance of Trading Account.

Solution: Debit balance of Trading Account. - Gross Loss

Explanation: The debit balance of the Trading Account is termed as gross loss because the amount of purchases and the expenses directly related with purchases is more than the amount of sales.

Exercise - 1 | Q 17 | Page 51

Credit balance of Profit and Loss Account.

Solution: Credit balance of Profit and Loss Account. - Net Profit

Explanation: The credit balance of the Profit and Loss Account is regarded as net profit.

When the credit side of the Profit & Loss Account exceeds its debit side, the resultant balance is net profit. It is added to the amount of capital.