Preparing for the ASSEB Class 12 Accountancy exam 2026 becomes easier with the right resources. This Accountancy Question Bank, titled ASSEB Class 12 Accountancy Important Questions 2026, compiles previous years' questions along with additional essential questions frequently asked in exams. These HS 2nd Year Accountancy Important Questions 2026 will help students focus on key topics and prepare effectively for high scores.
ASSEB ACCOUNTANCY CLASS 12
Accountancy Most Important Theory Questions
For Upcoming 2026 Exam
Chapter wise Important Questions (Theory)
Part A
Unit – 1: Accounting For Partnership Firms (1+3+5+8)
Qsn. 1: Define the term “Partnership”, Partners, Firm and Firm name. What are the essentials of partnership? What are its merits and limitations? [AHSEC 2022, 2023, 2024]
Qsn. 2: What is a Partnership Deed? What are its contents? [AHSEC 1999, 2003, 2007, 2009, 2014, 2018, 2019]
Qsn. 3: What are the rules to be followed in the absence of Partnership agreement between partners?
Qsn. 4: Mention three Rights and Duties of Partners. [AHSEC 2022, 2023, 2024]
Qsn. 5: What are various types of partners and partnership?
Qsn. 6: What is Profit and Loss Appropriation Account? Mention its purpose and features. Distinguish between profit and loss account and profit and loss appropriation account. [AHSEC 2020, 2022, 2023, 2024, ASSEB 2025]
Qsn. 7: What is fixed and fluctuating capital? Distinguish between them. Give two circumstances under which the fixed capitals of partners may change. [AHSEC 2020, 2022, 2024, ASSEB 2025]
Qsn. 8: What is current account? Mention three differences between ‘Capital account’ and ‘Current account’. [AHSEC 2023]
Qsn. 9: Mention the adjustment entries for P/L appropriation account. [AHSEC 2012]
Qsn. 10: What do you mean by Guarantee in Partnership and Past Adjustments? [ASSEB 2025]
Qsn. 11: What is a Joint Venture? Write two similarities and differences between Joint venture and Partnership.
Unit – 2: Reconstitution of Partnership (Admission of a Partner)
Qsn. 1: What do you mean by “Reconstitution of a Partnership”? Under what situations does it take place? Explain them. [AHSEC 2012]
Qsn. 2: What is revaluation and revaluation account? When and why is revaluation of Assets and Liabilities done in Partnership Business? [AHSEC 2013, 2023, 2024]
Qsn. 3: What is a Memorandum Revaluation Account? Distinguish between Revaluation and Memorandum revaluation account?
Qsn. 4: What do you mean by admission of a partner? Why is a new partner admitted into Partnership? Also mention its effect. [ASSEB 2025]
Qsn. 5: What is Sacrifice and Gaining Ratio? Distinguish between them. [AHSEC 2008, 2010, 2012, 2013, 2015, 2020]
Qsn. 6: Define Hidden Goodwill and Joint Life Policy. [AHSEC 2007, 2009, 2013, 2014]
Qsn. 7: Explain the treatment of accumulated profits or losses at the time of reconstitution of the firm.
Qsn. 8: What is Premium for Goodwill? Explain the treatment of goodwill at the time of admission of a new partner.
Qsn. 9: What do you mean by Goodwill? What are its various types? Why is it valued? [AHSEC 2017, 2019, 2023]
Qsn. 10: What are the various characteristics of goodwill? What are the factors affecting the value of goodwill? [AHSEC 2022]
Qsn. 11: Explain various methods for the valuation of Goodwill. [AHSEC 2008, 2013, 2015, 2017, 2023, 2024]
Qsn. 12: How is the adjustment of capitals made at the time of admission of a new partner? [AHSEC 2023]
Unit – 3: Reconstitution of Partnership (Retirement and Death of a Partner)
Qsn. 1: What do you mean by retirement of a partner? Mention the causes and effects of the retirement of a partner. How is the amount due to the retiring Partner calculated? [AHSEC 2013, 2016, 2017, 2023, ASSEB 2025]
Qsn. 2: Explain the liability of a retiring partner. What adjustments are necessary at the time of admission, retirement, or death of a partner?
Qsn. 3: How is the amount due to the executors of the Deceased Partner calculated? [AHSEC 2014, 2016, 2024]
Qsn. 4: Explain the provisions of Sec.37 of the Partnership Act regarding payment of the amount due to the executors of the deceased partner?
Qsn. 5: How is the deceased partner’s share of profit up to the date of death calculated? [AHSEC 2014]
Qsn. 6: What is Premium for Goodwill? Explain the treatment of goodwill in case of retirement and death of a partner. Why is the retiring and deceased partner entitled to share goodwill of the firm? [ASSEB 2025]
Unit – 4: Dissolution of Partnership Firms (1+2+5 or 8)
Qsn. 1: What do you mean by Dissolution of Partnership and Dissolution of Partnership Firm? Distinguish between them. [AHSEC 2012, 2015, 2018, 2020, 2022, 2024]
Qsn. 2: What are the various modes of dissolution of a Partnership Firm, including order of court? Explain them briefly. [AHSEC 2011, 2014, 2016, 2019, 2020, 2022, 2023, 2024, ASSEB 2025]
Qsn. 3: What is Realisation Account? Mention its objectives. Distinguish between realisation account and revaluation account. [AHSEC 2017, 2019, 2022, ASSEB 2025]
Qsn. 4: What are unrecorded assets and unrecorded liabilities? Explain their treatment in the realisation account.
Qsn. 5: How are the accounts settled between partners on the dissolution of a partnership firm? [AHSEC 2015]
Unit – 5: Accounting for Share Capital (2+5+8)
Qsn. 1: Define the term Company. Mention its features.
Qsn. 2: What do you mean by shares? What are its various types? Explain them. [ASSEB 2016, 2017, 2020, 2025]
Qsn. 3: Distinguish between the following:
(a) Partnership Firm and Joint Stock Company
(b) Equity Shares and Preference Shares [AHSEC 2023, 2024]
(c) Shares and Debentures. [AHSEC 2018, 2020, 2022, 2023, 2024]
(d) Shares and Stock
(e) Difference between Private company and Public company
Qsn. 4: What is Share Capital? Mention its various categories. [AHSEC 2014, 2019, 2023, 2025]
Qsn. 5: What are the various purposes for which Securities Premium can be utilised? [AHSEC 2020, 2022, 2024, 2025]
Qsn. 7: What is Reserve Capital and Capital Reserve? Distinguish between them. [AHSEC 2017, 2018, 2022]
Qsn. 8: What are Statutory and Statistical Books? Give examples of such books. [AHSEC 2004, 2008, 2014]
Qsn. 9: What do you mean by forfeiture of shares and re-issue of shares? How are shares forfeited and re-issued? [AHSEC 2012, 2015, 2016, 2018, 2019, 2023, 2024]
Qsn. 10: Briefly explain various types of company.
Qsn. 11: Explain the concept of issue of shares at par, at a premium and at a discounted price. [AHSEC 2017]
Qsn. 12: Write short notes on: [AHSEC 2016]
Right Issue:
Calls-in-Arrears: [AHSEC 2018, 2019, 2022, 2023]
Calls-in-Advance: [AHSEC 2018, 2020, 2023, 2024]
Minimum Subscription: [AHSEC 2017, 2019, 2022]
Under Subscription, Oversubscription and Pro-rata allotment: [AHSEC 2018, 2019, 2020, 2022, 2023, 2025]
Under subscription: [AHSEC 2018, 2020, 2025]
Sweat Equity Shares:
Issue of Shares in consideration other than cash:
Preliminary Expenses: [AHSEC 2017]
Bonus shares:
Buy-back of shares: [ASSEB 2025]
Employees stock option plan (ESOP):
Methods of raising capital:
Unit – 6: Accounting for Debentures (Issue and Redemption) (2+8)
Qsn. 1: What do you mean by “Debentures” and “Bonds”? Mention its features. What are its advantages and disadvantages? [AHSEC 2007, 2013, 2015, 2017, 2018, 2022]
Qsn. 2: What are the various types of Debentures? Explain them briefly. [AHSEC 2018, 2023, 2025]
Qsn. 3: What do you mean by Issue of Debenture as Collateral Security? Explain its accounting treatment. [AHSEC 2023]
Qsn. 4: What do you mean by Redemption of Debentures? Explain its sources and methods. [AHSEC 2012, 2014, 2015, 2017, 2019, 2022]
Qsn. 5: What do you mean by “Discount on Issue of Debenture” and “Loss on Issue of Debenture”? Explain its treatment. [AHSEC 2012, 2013, 2014, 2019]
Qsn. 6: What is the Sinking Fund? Why and how is it created? [AHSEC 2013]
Qsn. 7: What is Debenture Trust Deed and Zero coupon bonds/Debentures?
Qsn. 8: Explain the provisions of Debenture Redemption Reserve (DRR) according to the Indian Companies Act, 2013.
Qsn. 9: What are the various terms for the issue and redemption of debentures?
Unit – 7: Financial Statements of a Company (1+3+3)
Qsn. 1: Explain the term “Financial Statements”. What are its Ideal Characteristics? [ASSEB 2016, 17, 19, 2025]
Qsn. 2: What are various types of financial statements? Explain them. [AHSEC 2016, 2023]
Qsn. 3: Draft a Format of Revised Balance Sheet of a Company and Statement of Profit and Loss. (MOST IMPORTANT PART) [AHSEC 2012, 2013, 2014, 2015, 2016, 2017, 2018, 2020, 2024]
Qsn. 4: Explain the objectives and purpose of preparing various types of financial statements. [AHSEC 2019, 2020, 2022, 2023, 2024, 2025]
Qsn. 5: Who are the users of Financial Statements? What types of information are provided by it?
Qsn. 6: Explain the importance and limitations of financial statements. [AHSEC 2012, 2013, 2015, 2016, 2023]
Qsn. 7: What are contingent liabilities? Mention two items included under this head? [AHSEC 2013, 2019]
Qsn. 8: Difference between Balance Sheet of a Company and Balance sheet of a Partnership Firm. [AHSEC 2015]
Unit – 8: Analysis of Financial Statements (3+5)
Qsn. 1: What is financial analysis? What are its significance and limitations? (5 points) [AHSEC 2012, 2013, 2016, 2024, 2025]
Qsn. 2: What are various types of Financial Analysis? [AHSEC 2012]
Qsn. 3: Who are the parties interested in financial analysis?
Qsn. 4: What are various tools of Financial Analysis? Explain them with their respective objectives, merits, and limitations. [AHSEC 2023, 2024]
a) Comparative balance sheets and income statements [AHSEC 2016, 2018, 2019, 2022, 2024]
b) Common size statements [AHSEC 2015, 2017, 2018, 2020]
c) Trend analysis [AHSEC 2014, 2017]
d) Ratio analysis
e) Cash flow analysis
Qsn. 5: What is window dressing of financial statements? How does it affect the analysis of financial statements?
Unit – 9: Ratio Analysis (3+5)
Qsn. 1: What do you mean by ratio analysis? What are the objectives and advantages of such analysis? Also, point out the limitations of ratio analysis. [AHSEC 2012, 2018, 2020, 2022, 2024]
Qsn. 2: What are the types of Ratios according to traditional classification? [AHSEC 2016, 2017]
Qsn. 3: Explain the meaning and method of calculation of some specific ratios.
a) Current Ratio
b) Liquid Ratio [AHSEC 2022]
c) Gross Profit Ratio [AHSEC 2019, 2022]
d) Net Profit Ratio
e) Operating Profit Ratio [AHSEC 2019]
f) Operating Ratio
g) Return on Investment or Return on Capital Employed
h) Return on Equity
i) Earnings Per Share
j) Price-earning Ratio
k) Debt-Equity Ratio [AHSEC 2022]
l) Proprietary Ratio
m) Capital Turnover Ratio
n) Fixed Assets Turnover Ratio
o) Working Capital Turnover Ratio
p) Stock Turnover Ratio [AHSEC 2022]
q) Debtors’ Turnover Ratio
r) Debt Collection Period
s) Creditor’s Turnover Ratio
t) Average Payment Period
Unit – 10: Cash Flow Statement (5)
Qsn. 1: What is Cash Flow Statement? What are its objectives and features? Mention its uses and limitations. [AHSEC 2022, 2023, 2024, ASSEB 2025]
Qsn. 2: How is a cash flow statement prepared? Or What are various classifications of Cash flows? Give four examples of each. [AHSEC 2013, 2017, 2018, 2022, 2023, ASSEB 2025]
Qsn. 3: Explain the method of calculating “Cash flows from Operating Activities” under direct and indirect methods. [AHSEC 2022]
Qsn. 4: What are cash and cash equivalents? [AHSEC 2023, 2024]
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