CBSE Class 12 Accountancy Term 2 Sample Paper & Solutions

Class 12 Accountancy Term 2 Sample Paper

Central Board of Secondary Education is conducting CBSE Term 2 Exam for Class 10 and 12 for the academic year 2021-22 from 26th April 2022 onwards. The students who have appeared in Term 1 and going to appear in the Term 2 exam must solve the CBSE Term 2 Sample Paper for Accountancy given on this page to assess their preparation. The CBSE Term 2 exam pattern will be the same as CBSE Term 2 Sample Paper. Thus, by solving CBSE Term 2 Sample Paper for Accountancy students will get inside about the CBSE Term 2 Exam. As the exam is heading, the students must consolidate their preparation by practicing questions and revising concepts.

Accountancy Term 2 Sample Paper Class 12

In this article, we have covered the CBSE Term 2 Sample Paper for Accountancy. The students must solve CBSE Term 2 Sample Paper for Accountancy paper given on this page and bookmark this page to get all the latest updates from CBSE regarding CBSE Term 2 Exam and CBSE Term 1 Result.

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CBSE Class 12 Accountancy Term 2 Sample Paper & Solutions_60.1


CBSE Term 2 Sample Paper Class 12 Accountancy: Exam Pattern

Central Board of Secondary Education is all set to conduct CBSE Term 2 Examination and preparing for any examination exam pattern is a must. CBSE Term 2 Accountancy Sample Paper consists of two parts namely Part A and Part B. Part A is compulsory for all the students while Part B is optional. There are two parts of Part B i.e. ( i ) Analysis of Financial Statements and (ii) Computerized Accounting. The students can attempt any one of the parts from Part B. The questions paper has three types of questions:

Type 1: In type 1, very short answer type questions will be asked. Each question carries 2 marks.

Type 2: In type 2, short answer-type questions will be asked. Each question carries 3 marks.

Type 3:  In type 3, long answer-type questions will be asked. Each question carries 5 marks.



Class 12 Accountancy Term 2 Sample Paper with Solutions

  1. Following information has been provided by M/s Achyut Health Care. You are required to calculate the amount of medicines consumed during the year 2020-21:
Particulars Amount
Stock of medicines as on April 1, 2020 15,00,000
Creditors for medicines as on April 1,2020 3,50,000
Stock of medicines as on March 31,2021  10,00,000
Creditors for medicines as on March31, 2021 4,20,000
Cash purchases of medicines during the year 2020-21 2,00,000
Credit purchases of medicines duringthe year 2020-21 6,00,000

Amount of medicines consumed during the year 2020-21:

Particulars Amount
Cash Purchases of medicines 2,00,000
Add: Credit Purchases of medicines 6,00,000
Total Purchases 8,00,000
Add: Opening Stock 15,00,000
Less: Closing Stock 10,00,000
Medicines consumed during the year 13,00,000

Alternative Solution: 

Stock of Medicines A/c

Particulars Amount(₹) Particulars  Amount(₹)
Balance b/d Bank A/c Creditors A/c 15,00,000 2,00,000  6,00,000  Income and Expenditure A/c Balance c/d 13,00,000 10,00,000 
23,00,000  23,00,000


  1. Distinguish between ‘Dissolution of Partnership’ and ‘Dissolution of Partnership Firm’ based on: 

(i) Settlement of assets and liabilities 

(ii) Economic relationship

Basis of Distinction Dissolution of Partnership Dissolution of Partnership Firm
Settlement of Assets and Liabilities Assets are revalued and liabilities are reassessed. Assets are sold and liabilities are paid off.
Economic relationship Economic relationship between the partners continues, though in a changed form. Economic relationship between the partners comes to an end. 


  1. Suresh, Ramesh and Tushar were partners of a firm sharing profits in the ratio of 6:5:4. Ramesh retired and his capital after making adjustments on account of reserves, revaluation of assets and reassessment of liabilities stood at ₹ 2,50,400. Suresh and Tushar agreed to pay him ₹ 2,90,000 in full settlement of his claim. Pass necessary journal entry for the treatment of goodwill. Show workings clearly. 


Date Particulars L.F. Dr. Amount Cr. Amount
Suresh’s Capital A/c Dr. Tushar’s Capital A/c Dr. Ramesh’s Capital A/c (Being goodwill adjusted) 23,760 15,840 39,600

Working Note: Ramesh’s share of Goodwill= ₹2,90,000 – ₹2,50,400 = ₹39,600


  1. From the following information given by Modern Dance Academy, calculate the amount of Subscription received during the year 2020- 21. 

(i) Subscription credited to Income & Expenditure A/c for the year ending 31st March ,2021 amounted to ₹3,00,000 and each member is required to pay an annual subscription of ₹ 3,000. 

(ii)Subscription in arrears as on 1st April 2020 amounted to ₹ 16,000. 

(iii) During the year 2020-21, 10 members made partial payment of ₹26,000 towards subscription, 8 members failed to pay the subscription amount and 5 members paid the subscription amount for the year2021-22. 

(iv) During the year 2019-20, 12 members paid the subscription amount for the year 2020-21. 

Calculation of amount of Subscription received during the year 2020-21


Particulars Amount(₹)
Subscription credited to Income & Expenditure A/c 

Add : Outstanding for 2019-20 

Less:Outstanding for 2020-21 

For 10 members (10 x 3000 – 26,000) 4,000 For 8 members (8 x3000) 24,000 

Less : Advance during 2019-20 

Add : Advance during 2020-21 

Amount of subscription Received During the Year









Following information is given by Alchemy Medical College, Library department for the year 2020-21.

Particulars Amount (₹)
Books and Journals Fund as on 1.4.2020 

7% Books and Journals Fund Investments as on 1.4.2020

Interest on Books and Journals Fund Investments 

Donations for Books and Journals 

Books Purchased 

General Fund as on 1.4.2020







Show the accounting treatment of the above-mentioned items in the Balance Sheet of the Alchemy Medical College as at 31st March,2021. 

An Extract of Balance Sheet as at 31st March, 2021
Liabilities  Assets
General Fund 10,00,000 

Add: Books and Journals Fund 70,000 

Books & Journals Fund 4,50,000 

Add : Donations for Books & Journals 20,000 Interest on Books & Journals

Investment 13,000

Accrued Interest 15,000 28,000 

Less : Books purchased 70,000




7% Books & Journals Fund Investment 

Accrued Interest on Books and Journals Fund Investment 





Working Note: Interest on Books and Journals Investments = 4,00,000 x 7/100 = 28,000 

Accrued Interest = 28,000 – 13,000= 15,000


  1. Harihar, Hemang and Harit were partners with fixed capitals of ₹3,00,000, ₹ 2,00,000 & ₹ 1,00,000 respectively. They shared profits in the ratio of their fixed capitals. Harit died on 31st May, 2020, whereas the firm closes its books of accounts on 31st March every year. According to their partnership deed, Harit’s representatives would be entitled to get share in the interim profits of the firm on the basis of sales. Sales and profit for the year 2019-20 amounted to ₹8,00,000 and ₹2,40,000 respectively and sales from 1st April, 2020 to 31st May 2020 amounted to ₹ 1,50,000. The rate of profit to sales remained constant during these two years. You are required to: 

(i) Calculate Harit’s share in profit. 

(ii) Pass journal entry to record Harit’s share in profit. 

(i) Ratio of Profit to sales= 2,40,000/8,00,000 X 100 = 30%

Profit upto the date of death= 1,50,000 X 30% = ₹45,000 

Profit sharing Ratio = 3:2:1 Harit’s Share of Profit = 45,000 X 1/6 = ₹7,500

Alternative: Harit’s Share of Profit = 2,40,000/8,00,000 X 1,50,000 X 1/6=₹7,500


Date Particulars  L.F. Dr. Amount (₹) Cr. Amount (₹)
Profit & Loss Suspense A/c 

To Harit’s Current A/c 

(Being Harit’s share in profit transferred to his current account)

7,500  7,500 


  1. Vedesh Ltd. purchased a running business of Vibhu Enterprises for a sum of ₹ 12,00,000. Vedesh Ltd. paid ₹ 60,000 by drawing a promissory note in favour of Vibhu Enterprises., ₹1,90,000 through bank draft and balance by issue of 8% debentures of ₹ 100 each at a discount of 5%. The assets and liabilities of Vibhu Enterprises consisted of Fixed Assets valued at ₹ 17,30,000 and Trade Payables at ₹ 3,20,000. You are required to pass necessary journal entries in the books of Vedesh Ltd. 

In the Books of Vedesh Ltd. Journal

Date Particulars  L.F. Dr. Amount (₹) Cr. Amount (₹)
Fixed Assets A/c Dr. 

To Trade Payables A/c 

To Vibhu Enterprises 

To Capital Reserve A/c 

(Being assets purchased and liabilities taken over of Vibhu Enterprises) ___________________________________Vibhu Enterprises Dr.

Discount on Issue of Debentures A/c Dr. 

To Bills Payable A/c 

To Bank A/c 

To 8% Debentures A/c 

(Being issue of bank draft, acceptance of bill and issue of 8% debentures in settlement of purchase consideration}


12,00,000 50,000

3,20,000 12,00,000 2,10,000 60,000 1,90,000 10,00,000

Working Note: Number of Debentures issued = 9,50,000 / 95 

= 10,000


Youth Ltd. took a loan of ₹ 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 necessary journal entries for the above transactions, 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.

In the Books of Youth Ltd. Journal

Date Particulars  L.F. Dr. Amount (₹) Cr. Amount (₹)
Bank A/c Dr. 

To Bank Loan A/c 

(Being Loan taken from State Bank of India) 

Debenture Suspense A/c Dr. 

To 11% Debentures A/c 

(Being 11% debentures deposited as collateral security) 



15,00,000 10,00,000

Balance sheet of Youth Ltd. (An extract)

Particulars Note No.  Amount (₹)
I. Equity and Liabilities
1. Non-current Liabilities
Long term borrowings  1 15,00,000


Notes to Accounts:1

Particulars Amount (₹)
I. Long term borrowings 
Secured Loan from State Bank of India  15,00,000
10,000, 11% debentures of ₹100 each 10,00,000 
Less: – Debenture Suspense 10,00,000 NIL
(deposited as collateral security) 15,00,000


  1. Madhav, Madhusudan and Mukund were partners in Jaganath Associates. They decided to dissolve the firm on 31st March 2021. Pass necessary journal entries for the following transactions after various assets (other than cash) and third-party liabilities have been transferred to realization account: 

(i) Old machine fully written off was sold for ₹ 42,000 while a payment of ₹ 6,000 is made to bank for a bill discounted being dishonoured. 

(ii) Madhusudan accepted an unrecorded asset of ₹80,000 at ₹75,000 and the balance through cheque, against the payment of his loan to the firm of ₹1,00,000. 

(iii) Stock of book value of ₹30,000 was taken by Madhav, Madhusudan and Mukund in their profit sharing ratio. 

(iv) The firm had paid realization expenses amounting to ₹5,000 on behalf of Mukund. 

(v) There was a vehicle loan of ₹ 2,00,000 which was paid by surrender of asset to the bank at an agreed value of ₹ 1,40,000 and the shortfall was met from firm’s bank account. 

Books of Jaganath Associates

Date  Particulars L.F. Dr. Amount(₹) Cr. Amount(₹)
31.03.2021 Bank A/c Dr. 

To Realization A/c 

(Being old machinery realised) 

Realization A/c Dr. 

To Bank A/c 

(Being payment made to bank for bill discounted)





31.03.2021 Madhusudan’s Loan A/c Dr. 

To Realisation A/c 

To Bank A/c 

(Being payment made against Madhusudan’s loan through an unrecorded asset and cheque)

1,00,000 75,000 25,000
31.03.2021 Madhav’s Capital A/c Dr. Madhusudan’s Capital A/c Dr. Mukund’s Capital A/c Dr. 

To Realisation A/c 

(Being unrealized stock taken by partners in their profit sharing ratio)

10,000 10,000 10,000 30,000
31.03.2021 Mukund’s Capital A/c Dr. 

To Bank A/c 

(Being realization expenses paid on behalf of Mukund) 

5,000 5,000
31.03.2021 Realization A/c Dr. 

To Bank A/c 

(Being payment of vehicle loan made)

60,000 60,000


Gini, Bini and Mini were in partnership sharing profits and losses in the ratio of 5:2:2. Their Balance Sheet as at 31st March, 2021 was as follows: 

Balance Sheet as at 31st March,2021 

Liabilities Amount (₹) Assets Amount (₹)
Sundry Creditors 

Bank Overdraft Workmen’s Compensation Reserve Capitals: 

Gini 4,60,000 

Bini 3,00,000 

Mini 2,90,000






Debtors 38,000 

Less: Provision For Doubtful Debts (2,300) Inventories 






35,700 1,34,000 1,00,000 1,80,000 5,70,000 63,000

12,00,000 12,00,000

On 31st March, 2021, Gini retired from the firm. All the partners agreed to revalue the assets and liabilities on the following basis: (i) Bad debts amounted to ₹ 5,000. A provision for doubtful debts was to be maintained at 10% on debtors. 

(ii) Partners have decided to write off existing goodwill. 

(iii)Goodwill of the firm was valued at ₹ 54,000 and be adjusted into the Capital Accounts of Bini and Mini, who will share profits in future in the ratio of 5:4. 

(iv)The assets and liabilities valued as: Inventories ₹1,30,000; Machinery ₹ 82,000; Furniture ₹1,95,000 and Building ₹ 6,00,000. 

(v) Liability of ₹23,000 is to be created on account of Claim for Workmen Compensation. 

(vi)There was an unrecorded investment in shares of ₹ 25,000. It was decided to pay off Gini by giving her unrecorded investment in full settlement of her part payment of ₹ 28,000 and remaining amount after two months. Prepare Revaluation Account and Partners’ Capital Accounts as on 31st March, 2021. 


Particulars Amount(₹) Particulars Amount(₹)
To Baddebt A/c

To Provision for doubtful debts A/c

To Inventories A/c 

To Machinery A/c

To Partner’s Capital A/c: 

Gini   25,000 

Bini 10,000 

Mini 10,000






By Furniture A/c

By Building A/c

By Investment A/c 




73,000 73,000

Partner’s Capital A/c

Particulars Gini Bini Mini Particulars Gini Bini Mini
To Goodwill A/c

To Gini’s Capital A/c

To Investment A/c

To Gini’s Loan A/c

To Balance c/d








By Balance b/d

By Workmen Compensation Reserve A/c 

By Bini’s Capital A/c

By Mini’s Capital A/c

By Revaluation A/c 

4,60,000 3











5,20,000 3,12,000 3,02,000 5,20,000 3,12,000 3,02,000


  1. Yogadatra Ltd. (pharmaceutical company) appointed marketing expert, Mr. Kartikay as the CEO of the company, with a target to penetrate their roots in the rural regions. Mr. kartikay discussed the ways and means to achieve target of the company with financial, production and marketing departmental heads and asked the finance manager to prepare the budget. After reviewing the suggestions given by all the departmental heads, the finance manager proposed requirement of an additional fund of ₹52,50,000. Yogadatra Ltd. is a zero-debt company. To avail the benefits of financial leverage, the finance manager proposed to include debt in the capital structure. After deliberations, on April1,2020, the board of directors had decided to issue 6% Debentures of ₹100 each to the public at a premium of 5%, redeemable after 5 years at ₹110 per share. You are required to answer the following questions: 

(i) Calculate the number of debentures to be issued to raise additional funds. 

(ii) Pass Journal entry for the allotment of debentures. 

(iii)Pass Journal entry to write off loss on issue of debentures. (iv)Calculate the amount of annual fixed obligation associated with debentures. 

(v) Prepare Loss on Issue of Debentures Account.

(i) Number of Debentures to be issued = 52,50,000/105 = 50,000 

(ii) In the Books of Yogadatra Ltd

Date Particulars L.F. Dr. Amount (₹) Cr. Amount (₹)
2020 April 1 Debenture Application & Allotment A/c Dr. 

Loss on Issue of Debentures A/c Dr. To 6% Debentures A/c 

To Securities Premium Reserve A/c 

To Premium on Redemption of Debentures A/c 

(Being allotment of debentures made)

52,50,000 5,00,000 50,00,000 2,50,000 5,00,000

(iii) Journal

Date Particulars L.F. Dr. Amount (₹) Cr. Amount (₹)
2021 March 31 Securities Premium Reserve A/c Dr. Statement of Profit & Loss Dr. 

To Loss on Issue of Debentures A/c (Being Loss on Issue of Debentures A/c written off)

2,50,000 2,50,000 5,00,000

(iv) Interest on 6% debentures = 50,00,000 x 6 /100 = ₹3,00,000 (v) Loss on Issue of Debentures A/c 

Date Particulars Amount (₹) Date Particulars Amount (₹)
1.4.20 To Premium on Redemption of Debentures A/c 5,00,000 31.3.21  By Securities Premium Reserve A/c 

By Statement of Profit & Loss A/c



5,00,000 5,00,000


  1. From the following Receipts and Payments Account and additional information provided by Ramanath Club, Prepare Income and Expenditure Account for the year ending on 31st March 2021.

 Receipts and Payments Account 

for the year ending 31st March, 2021

Receipts Amount (₹) Payments Amount(₹)
To Balance b/d 

To Subscription 

To Entrance Fee 

To Locker rent 

To Interest on 8% govt. Securities 

To Revenue from refreshment 

To Sale of old newspapers To Sale of furniture

(Book value: ₹ 11,000)

48,000 95,000 1,56,000 50,000 5,400 


4,600 12,000

By Salaries and Wages: 2019-20 10,600 

2020-21 1,03,200

By Sundry expenses 

By Refreshment expenses

By Telephone bill 

By Rent & Rates 

By Library Book By 8% Govt. Securities 

By Honorarium to Secretary

By Balance c/d


47,000 60,400 5,000 24,000 25,000 30,000 5,000 1,12,800

4,23,000 4,23,000

Additional Information: 

(i) Subscription received during the year includes ₹ 25,000 as donation for Building. 

(ii)Telephone bill unpaid as on March 31, 2020 was ₹ 4,000 and on March 31, 2021 ₹ 2,600. 

(iii) Value of 8% Government Securities on March 31, 2020 was ₹ 80,000. 

(iv)Additional Government Securities worth ₹ 30,000 were purchased on March 31, 2021.

Income & Expenditure A/c 

For the year ended March 31, 2021

Expenditure Income
To Salary and Wages 

To Sundry Expenses 

To Refreshment Expense To Telephone Bill 5,000 Add : O/S for 2020-21 2,600 

Less : O/S for 2019-20 4,000 

To Rent and Rates 

To Honorarium to Secretary

To Surplus(Excess of Income over Expenditure)

1,03,200 47,000 60,400 

3,600 24,000 5,000


By Subscription 95,000 

Less: Donations for 

Building 25,000

By Entrance Fee 

By Locker Rent 

By Interest on 8% Govt. Securities 5,400 

Add: Accrued Interest 1,000 By Revenue from Refreshment

By Sale of old Newspapers 

By Profit on Sale of Furniture

70,000 1,56,000 50,000 

6,400 52,000

4,600 1,000

3,40,000 3,40,000


  1. What do you understand by terms ‘primary key’ and ‘secondary key’ in a database? 

A primary key is a field that identifies each record in a database table admitting that the primary key must contain its UNIQUE values. A secondary key shows the secondary value that is unique for each record. It can be used to identify the record and it is usually indexed. It is also termed as Alternate key. 

  1. State any three features of computerized accounting system. 

Simple and Integrated: It helps all businesses by automating and integrating all the business activities. Such activities may be sales, finance, purchase, inventory, and manufacturing etc. It also facilitates the arrangement of accurate and up-to-date business information in a readily usable form. 

Accuracy & Speed: Computerised accounting has customized templates for users which allows fast and accurate data entry. Thus, after recording the transactions it generates the information and reports automatically. 

Scalability: It has the flexibility to record the transactions with the changing volume of business. 


State any three advantages of computerized accounting system.

Advantages of Computerised Accounting 

  1. Better Quality Work: The accounts prepared with the use of computerized accounting system are usually uniform, neat, accurate, and more legible than a manual job. 
  2. Lower Operating Costs: Computer is a reliable and time-saving device. The volume of job handled with the help of computerized system results in economy and lower operating costs. The overall operating cost of this system is low in comparison to the traditional system. 
  3. Improves Efficiency: This system is more efficient in comparison to the traditional system. The computer makes sure speed and accuracy in preparing the records and accounts and thus, increases the efficiency of employees. 


  1. Name and explain the function which returns the future value of an investment which has constant payment and interest.

PMT: The PMT function calculates the periodic payment for an annuity assuming equal payments and a constant rate of interest. The syntax of PMT function is as follows: =PMT (rate, nper, pv, [fv], [type]) where Rate is the interest rate per period, Nper is the number of periods, Pv is the present value or the amount the future payments are worth presently, future value or cash balance that after the last payment is made (a future value of zero when we omit this optional argument) Type is the value 0 for payments made at the end of the period or the value 1 for payments made at the beginning of the period. The PMT function is often used to calculate the payment for mortgage loans that have a fixed rate of interest. 

Read More About:

CBSE Class 12 Accountancy Term 1 Answer Key 2021

CBSE Class 12 Accountancy MCQ Term 1 Important Questions with Answers 

CBSE Class 12 Accountancy Term 2 Sample Paper Solution: FAQs

Q. Which sample paper is best for CBSE Class 12 Term 2 Accountancy?

The sample paper given on this page is best for CBSE Class 12 Term 2 Accountancy.

Q. Where can I get Accountancy sample papers for CBSE Class 12 Term 2?

You can get Accountancy sample papers for CBSE Class 12 Term 2 on this page.

Q. How many sample papers does CBSE release?

CBSE has released sample papers of all the subjects.

Q. When will CBSE conduct CBSE Term 2 Exam 2022?

CBSE is going to conduct CBSE Term 2 Exam 2022 from 26th April 2022 onwards.


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