S. D.

JAIN MODERN SCHOOL, SURAT

TEST – 2 (2021 – 22)
Standard: XI
Subject: Accountancy Marks: 40
Date:11/01/2022 Time:1.5 Hrs.

General Instructions:-
 All the questions are compulsory.
 Do not write anything on your question paper.
 Indicate the correct question number before answering.
 All parts of a question should be attempted at one place.
 Show workings wherever required.

1 The party which is ordered to pay the amount of bill of exchange is called: 1

 A Payee
 B None of these
 C Drawee
 D Drawer

2 Due date of a bill of exchange drawn on 30th January 2011 for one month will be: 1

 A 4 March
 B 29 Feb
 C 5 March
 D 3 March

3 The promissory note should be signed by 1

 A Drawer
 B Payee
 C Promiser
 D Drawee

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4 When noting charges are paid by the bank at the time of dishonour of bill 1
the Drawee credits:

 A Cash A/c
 B B/R A/c
 C None of these
 D Drawer's A/c

5 Encashing the bill before the date of its maturity is called: 1

 A Endorsement of Bill
 B Discounting of Bill
 C Retirement of Bill
 D Dishonour of Bill

6 A bill of exchange can not be 1

 A Endorsed
 B Refused
 C Crossed
 D Accepted

7 Bill receivable is an 1

 A Ledger
 B Capital
 C Asset
 D Profit

8 Which of the following is not a type of error. 1

 A Errors of Omission
 B Errors of Commission
 C Suspense Account
 D Compensating Errors

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9 These are the errors which are committed due to wrong posting of transactions, 1
wrong totalling or balancing of the accounts:

 A Errors of Commission
 B Errors of Omission
 C Error of principle
 D Compensating Errors

10 When two or more errors are committed in such a way that the net effect of these 1
errors on the debits and credits of accounts is nil, such errors are called

 A Errors of Commission
 B Compensating errors
 C Errors of Omission
 D Error of principle

11 The accountant tallies his trial balance by putting the difference on shorter side as 1

 A Suspense account
 B Credit account
 C Compensating account
 D Debit account

12 Under casting of sales book is corrected by _____ sales account 1

 A Both
 B Crediting
 C None
 D Debiting

13 Time of depiction of an error means 1

 A All of these
 B Error detected after the preparation of final accounts
 C Error detected before the preparation of trial balance
 D Error detected after the preparation of trial balance

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14 To Know the profitability and financial position of a business at the end of the year 1
_____________ are prepared.

 A Audit report
 B Financial statements
 C Profit and loss account
 D Balance sheet

15 The item discount received will appear on the 1

 A Debit side of Balance sheet

 B Debit side of Profit and loss account
 C Credit side of Balance sheet
 D Credit side of Profit and loss account

16 Which is not an example of Capital expenditure 1

 A Depreciation on fixed assets

 B Preliminary expenses for floating a company.
 C Expenses for obtaining a license.
 D Initial expenditure for acquiring patent right.

17 Revenue Expenditure means 1

 A Both
 B The expenditure which is incurred for the day to day running of the business
 C None
 D The amount which is incurred in acquiring or improving the value of fixed
assets

18 Capital receipts are shown in _____ 1

 A Trading account
 B Profit and Loss account
 C Balance Sheet
 D None of these

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19 All direct expenses are ___ to Trading account and all indirect expenses are 1
__________ to Profit and Loss account.

 A Credited, Debited
 B Debited, Debited
 C Credited, Credited
 D Debited, Credited

20 Accrued income is 1

 A Liability
 B Revenue
 C Asset
 D Expense

21 Give journal entries to rectify the following errors assuming that suspense account 4
had been opened.
(a) Goods distributed as free sample 5,000 were not recorded in the books.
(b) Goods withdrawn for personal use by the proprietor  2,000 were not recorded in
the books.
(c) Bill receivable received from a debtor  6,000 was not posted to his account.
(d) Total of Returns inwards book  1,200 was posted to Returns outwards account.
(e) Discount allowed to Reema  700 on receiving cash from her was recorded in the
books as  70.
22 From the following balances extracted from the books of M/s Ahuja and Nanda. 4
Calculate the amount of:
(a) Cost of goods available for sale
(b) Cost of goods sold during the year
(c) Gross Profit
` Opening stock 25,000
Credit purchases 7,50,000
Cash purchase 3,00,000
Credit sales 12,00,000
Cash sales 4,00,000
Wages 1,00,000
Salaries 1,40,000
Closing stock 30,000
Sales return 50,000
Purchases return 10,000
23 Ravi sold goods for `40,000 to Sudershan on Feb 13, 2016. He drew four bills of 6
exchange upon Sudershan. The first bill was for `5,000payable after one month. The
second bill was for `10,000 payable after 40 days; the third bill was for `12,000
payable after three months and fourth bill was for the balance amount payable after
19 days. Sudershan accepted all the bills and returned the same to Ravi. Ravi
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 discounted the first bill with his bank at 6% p.a. He endorsed the second bill to his
creditor Mustaq for the full settlement of a debt of `10,200. The third bill was kept by
Ravi with him till the date of maturity. Five days before the maturity of the fourth bill,
Ravi sent the bill to his bank for collection. All the four bills were dishounoured by
Sudarshan on maturity. Sudershan settled Ravi’s claim in cash three days after the
dishonour of each bill along with interest @ 12% p.a. for the terms of the bills. You are
requested to record the necessary journal entries in the books to Ravi, Sudershan,
Mustaq and bank for the above transaction. Also prepare Sudershan’s account and
Mustaq’s account in the books of Ravi.
24 The following is the trial balance of Manju Chawla on March 31, 2017. You are 6
required to prepare trading and profit and loss account and a balance sheet as on
date:
Account title Debit Amount ` Credit Amount`
Opening stock 10,000
Purchases and sales 40,000 80,000
Returns 200 600
Productive wages 6000
Dock and Clearing charges 4000
Donation and charity 600
Delivery van expenses 6000
Lighting 500
Sales tax collected 1000
Bad debts 600
Misc. incomes 6000
Rent from tenants 2000
Royalty 4000
Capital 40000
Drawings 2000
Debtors and Creditors 6000 7000
Cash 3000
Investment 6000
Patents 4000
Land and Machinery 43000

Closing stock ` 2,000.

-------------------All The Best ----------------------

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