Class-XI ISC Section-A Account

Part-I (20 Marks) Time : 3 hrs. MM-90 Q.1. All questions are compulsory (10×2) (a) Difference between book keeping and accounting. (b) What is mean by window dressing in accounting? (c) Who are the internal users of accounting information (d) What do you mean by convention of conservatism or prudence? (e) Explain dual aspect concept? (f) Give two examples of current assets? (g) Distinguish between revenue expenditure and capital expenditure (h) What are artificial personal accounts? Give one example? (i) What is a debit note? (j) What do you mean by posting in ledger

Part-II (40 Marks) Q.2. Journalise the following transaction (i) Purchased furniture worth ` 20,000 and tools worth ` 5,000 (ii) Banked (cash sent to bank) ` 1,00,000 (iii) ` 1,000 due from Ravi are now bad debts (iv) Goods costing 10,000 sold to Ramesh for ` 12,000 (v) Goods worth ` 2,000 were used by the proprietor (vi) Charge depreciation @10% p.a. for two months on machine costing ` 30,000 (vii) Provide interest on capital of ` 1,50,000 at 6% p.a. for 9 months (vii) Paid electricity bill ` 1,800 and miscellaneous expenses ` 120 (ix) Salaries paid ` 15,000 and rent due to landlord ` 3,000 (x) Sold goods for cash of the list price of ` 80,000 at 10% trade discount and 3%

cash discount Q.3. Enter the following transactions in a triple column cash book. ` (1) Cash in hand 4,000 Bank overdraft 3,000 (2) Sold goods for cash 2,500 (3) Sold goods for cheque and paid into bank the same day 2,400 (4) Paid to Hary by cheque 815 Discount allowed 20 (5) Banked 3,100

2 Question Paper

(6) Received from Sohan a cheque for ` 1,850 in full settlement of his account of ` 1,900 (7) Paid wages in cash 300 (8) Purchased goods by cheque 4,600 (9) Withdraw from bank for office use ` 2,000 and personal use ` 1,200 (10) Bank charges 50 (11) Bank collected interest on securities 800 Q.4. Prepare a bank reconciliation statement of SK Sharma as on December 31, 2005 (i) The debit balance as per pass book 10,000 (i) Cheques amounting to ` 8,000 drawn on 25 in December, of which cheques

of ` 3,000 were cash within 31st Dec. (ii) Cheques paid for collection amounted to ` 50,000 but cheques of ` 22,800

were credited on 2nd January, 2009. (iii) Items entitled in the passbook are: (a) Incidental charges ` 25, (b) Dividend collected by bank on our behalf ` 350 (iv) A cheque of ` 600 debited in the cash book omitted to be banked. (v) A cheque of ` 750 banked and credited, but omitted to be recorded in the cash

book Q.5. The following trial balance has been prepared by an inexperienced accounted

redraft it in a correct form : Particulars Dr. (`) Cr. (`)

Opening stock Cost of goods sold Closing stock Sales Office expenses Selling exp. Fixed Assets Debtors Creditors Capital Cash in hand Bank balance

4,80,000 25,40,000

1,20,000 60,000

5,00,000

6,50,000 20,000 70,000

5,30,000 33,00,000

3,60,000 2,50,000

44,40,000 44,40,000

Question Paper 3

Q.6. Rectify the following errors (i) An amounted of ` 200 withdrawn by the proprietor for his personal use has

been debited to trade expenses account. (ii) ` 50 received from Shashi has been credited to Shekhar’s account (iii) Contractor’s bill of ` 2,750 for expansion of building was debited to repair

account (iv) An amount of ` 80 received on account of interest was credited to

commission account (v) Goods worth ` 250 returned by a customer but no entry was passed in the

books of accounts. (vi) ` 175 paid on account of salary to cashier Shri A.k. Gupta stands debited to

his personal account. Q.7. A company purchased a machinery on 1st August 2009 for ` 90,000. On 1st

October, 2010 it purchased another machine for ` 40,000. On 30th June 2011, it sold off the first machine purchased in 2009 for ` 58,000

and on the same date purchased a new machinery for ` 1,00,000. Depreciation is provided at 20% p.a. on the original cost every year account are closed each year on 31st March.

Show the machinery account for three year. Q.8. A sells goods for ` 40,000 to B on 1st January 2012 and on the same day draws a

bill on B at three months for the amount. B accepts it and return it to A, who discounts it on 4 the January, 2012 with bank at 6% .a. the acceptance is dishounered on the due date and the noting charges were paid by bank being ` 200.

On 4th April, 2012, & accepts a new bill at three months for the then due to A together with interest at 12% p.a.

Make journal entries to record these transactions in the books of A and B Section-B (20 Marks)

Answer any two questions Q.9. From the following trial balance, you are required to prepare trading and Profit &

Loss A/c for the year ending 31st March, 2001 and a balance sheet on that date. Particulars Amt (`) Particulars Amt (`)

Opening stock Furniture Carriage towards Purchases Bad debts

25,000 16,000

4,700 5,55,300

1,800

Sales Creditors Bank Overdraft Provision for Bad & Doubtful

Debts

7,00,000 72,500 50,000

2,100

4 Question Paper

Wages Debtors Sales Return Rent Miscellaneous Expenses Salaries Cash Drawings Buildings Advertising Interest on Bent Overdraft)

52,000 80,000 15,000 24,000

3,400 38,000

8,900 14,000

1,60,000 10,000

7,000

Discount Capital Purchase Returns

500 2,00,000

20,000

10,45,100 10,45,100 Adjustments (i) Closing stock is valued at ` 36,000 (ii) Private purchases amounting to ` 5,000 has been debited to Purchases

Account (iii) Make a provision for bad and doubtful debts at 5% on debtors (iv) A new sign board costing ` 4,000 is included in advertising. (v) Depreciate furniture and fitting by 10% Q.10. Ashok Kumar keeps his books on single entry system. The statement of affairs of

his business as on 1st April, 2011 was a follows Liabilities Amt (`) Assets Amt (`)

Creditors Capital

5,000 70,000

Cash in hand Cash at bank Debtors Stock Furniture Plant and Machinery

400 1,600

17,000 20,000

6,000 30,000

75,000 75,000 His position on 31st March, 2012 was : Cash in hand ` 1,000, cash at bank `

2,000; B/R ` 4,000 debtors ` 21,000; stock 32,000; furniture ` 8,000 plant and machinery ` 40,000 and creditor, ` 18.

He withdrew during the year ` 30,000 out of which he spent ` 18,000 for purchasing a scoter for the business.

Question Paper 5

Calculate his net profit for the year after the following adjustments and prepare a final statement of affair as on 31st March, 2010.

(1) Depreciate furniture and scooter @ 20% (2) 5% of the debtors are doubtful and ` 800 are absolutely bad. (3) Make a provision of 5% on bill receivable also. Q.11. Following is the receipt and payment account of literacy debtor the year under

31.3.2015 Receipts Amt (`) Payments Amt (`)

Balance b/d Subscription : 2013-14 1,200 2014-15 26,500 2015-16 500 Sale of old newspapers

government grants Sale of old furniture (book

value ` 7000) Interest on fixed deposits

19,550

28,200

1,250

10,000 450

Salary Newspaper Electricity bill Fixed deposit (on 1.7.2014 @ 9% p.a.) Books Rent Furniture Balance c/d

3,000 2,050 1,000

20,000 10,600

6,800 10,500 11,200

65,150 65,150 Additional information : (i) Subscription outstanding as on 31.3.2014 were ` 2,000 and on 31.3.2015

` 2,500 (ii) On 31.3.2015 salary understanding was ` 600 and rent outstanding was

` 1,200 (iii) The club owned furniture ` 5,000 and books ` 7,000 on 1.4.2014 Prepare income and expenditure A/c of the club for the year ended 31.3.2015