Class 12th

Class 12th - Accountancy

Partnership Firms-
Fundamentals
Top 15 Multiple Choice
Questions
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 1 Written agreement among the partners is called

a. Partnership Deed

b. Partnership bye-laws

c. Partnership Constitution

d. A contract
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 2 Feature of partnership firm is-

a. Two or more persons carrying common business under

an agreement.

b. Profits and losses are shared in agreed ratio or as

provided in the Partnership Act, 1932.

c. Business is carried on by all or any of them acting for all.

d. All of the above

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 3 Interest on Capital is allowed on-

a. The opening capital.

b. the capital at the year end.

c. Average capital of the year.

d. The capital in the middle of the year.

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 4 In the absence of Partnership Deed, Interest on Capital

a. Is allowed @ 6% per annum.

b. Is allowed @ 10% per annum.

c. Is allowed at the borrowing rate.

d. Is not allowed
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 5 In case of fixed capitals, partners will have

a. Credit balances in their Capital Accounts.

b. Debit balances in their Capital Accounts.

c. May have credit or debit balances in their Capital

Accounts.

d. Credit balance or nil balance in their Capital Accounts.

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 6 Pick the odd one out of the following:

a. Rent to Partner

b. Manager's Commission

c. Interest on Partner's Loan

d. Interest on Partner's Capital

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 7 Current Accounts of partners are maintained if

a. Capitals are fixed

b. Capitals are fluctuating

c. Capitals are fixed or fluctuating

d. It is decided by the Partners

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 8 In the absence of Partnership Deed, profit of a firm is
divided among the partners

a. In the ratio of capital

b. Equally

c. In the ratio of time devoted for the firm's business.

d. According to the managerial abilities of the partners.

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 9 Mohit and Rohit were partners in a firm with capitals of
₹80,000 and ₹40,000 respectively. The firm earned profit of
₹30,000 during the year. Mohit's share in the profit will be

a. ₹20,000

b. ₹10,000

c. ₹15,000

d. ₹18,000
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 10 Relationship between the partners is of

a. Close relatives

b. Agent and Principal

c. Junior-Senior Relationship

d. Senior-Subordinate Relationship
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 11 Profit & Loss Appropriation Account is prepared to

a. Distribute profit and loss for the year among the partners.

b. Settle the dispute among the partners.

c. Determine the profit remaining for the year after

appropriation.

d. Distribute the profit for the year among the partners.

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 12 Which Capital accounts with balances always show a
credit balance?

a. Fixed

b. Fluctuating

c. Normal

d. Real
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 13 Which of the following is not an essential feature of
partnership?

a. An agreement, oral or written, should exist among the

partners.

b. Agreement should be to carry on business.

c. All the partners should contribute capital in the firm.

d. There should be at least two partners.

CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 14 Partners have to pay interest on withdrawals (in cash
or kind) only when provided by the

a. Partnership Act

b. Partnership Deed

c. (a) and (b) both

d. None of these
CLASS 12th - ACCOUNTANCY - PARTNERSHIP FIRMS-FUNDAMENTALS - TOP 15 QUESTIONS

Multiple Choice Questions (MCQs):

Que. 15 Ram and Mohan are partners. They draw for personal
use ₹60,000 and ₹40,000 respectively. Interest is chargeable
@ 6% p.a. on Drawings. What is the interest on drawings?

a. Ram ₹1,800 and Mohan ₹1,200.

b. Ram ₹3,600 and Mohan ₹2,400.

c. Ram ₹300 and Mohan ₹200.

d. None of these