S$3

HALF YEARLY EXAM - 2022

SUBJECT ACCOUNTANCY (SET I)
TIME DURATION: 3 hours
MM: 80 marks

.Which among the following tells us about the financial position of a business? (1)
a) Profit & Loss Account b) Accounting Equation
Balance Sheet d) Trial Balance

02. An intimation was received by Ambika from the bank that a cheque of 7,600 given
to Bharat for making payment to settle her account of R8,000 had returned
dishonoured. The journal entry in the books of Ambika would be. (1)
03. Cash basis of accounting is suitable for big business houses. State True or False. (1)

04. Read the following statements and select the correct option from the options given
below (1)
Assertion (A): Income which is earned but not received is credited to accrued
income account.
Reason (R): As per the rules of accounting all incomes are credited.
(a) Both Assertion (A) and Reason (R) are True and Reason (R) is the correct
explanation of Assertion (A).
(b) Both Assertion (A) and Reason (R) are True but Reason (R) is not the
correct explanation of Assertion (A)
(c) Assertion (A) is true but Reason (R) is false.
(d) Reason (R) is true but Assertion (A) is false.
Q5.Accrual basis of accounting is considered the most scientific system of Accounting.
State True or False. (1)
Q6. Goods costing 750,000 given away to an orphanage (selling price 60,000). The
entry of above transaction is: (1)
a) Charity A/c Dr. 60,000
To Sales A/c 60,0000

b) Charity Alc Dr. 50,000

To Purchase Alc 50,000

c) Charity Alc Dr. 60,000

To Purchase Alc 60,000

d) Charity A/c Dr. 50,000

To Sales Ac 50,000

1
 He gave a cheque of
tor 2,40,000
1or business. 2que of
a machine AWc will be credited in the journal Q13. What is the
Q7 Ashutosh purchased account.
journal entry for the transaction given below: (1)
2,40,000 from
his savings (1) Paid wages for repairs of office furniture 5,000.
entry. a) Wages Alc Dr. 5,000
landlord R50,000.
deposit paid to
20,000 and security the ertect on the capital column To Cash ANc
5,000
Q8. Paid rent above
mentioned transaction,

As a result of the (1) b) Furniture A/c

would be:
Dr. 5,000
Decrease by 20,000 To Repairs Alc 5,000
a) Decrease by {50,000
b) c) Furniture Alc Dr. 5,000
c) Decrease by {70,000
Decrease by R30,000 To Cash Alc
d) 5,000
correct option from the options aiven d) Repairs Alc
statements and select the Dr. 5,000
Q9 Read the following (1)
below To Cash Alc 5,000
is incurred for the purpose of acquiring fixed
Assertion (A): Capital expenditure
assets. 014. By what amount will the debtors be increased in the following transaction: 1/3rd of
item is shown in the asset side of the Balance the goods which were earlier purchased at Z60,000 were sold at a profit of 10%
Reason (R): Capital expenditure
Sheet on cost. Half the payment was received by cheque. (1)
True and Reason (R) is the correct a) 22,000
(a) Both Assertion (A) and Reason (R)
are

explanation of Assertion (A).

b) T66,000
c)11,0000
True but Reason (R) is not the
(b) Both Assertion (A) and Reason (R) are d) F33,000
correct explanation of Assertion (A).
is false. Q15. Income received for the next year is accounted for and adjusted in
(c) Assertion (A) is true but Reason (R)
is false.
basis of accounting. (1)
(d) Reason (R) is true but Assertion (A)
016. Sold goods of list price 10,000 at a profit of 20%, at 10% trade discount and 5%
Q10. Bad debts arise from: (1) cash discount. Discount allowed account will be debited by: (1)
(a) Credit sales (b) Cash sales (c) Personal sales (d) Total sales a) 540 b) R450 c) F500 d) R600

Q11. Vinod's capital is 2,30,000 and liabilities are 90,000. His fixed & current assets Q17. As per Modern approach, the nature of Return Outwards Alc'is: (1)
are in the ratio of 3:1. Find out his fixed and current assets. (1) a) Asset Account b) Revenue Account
a) R67,500 & R22,500 d) Liabilities Account
b) R1,72,500 & 57,500
c)ExpenseAccount
o)2,40,000&R80,000 Q18. Match items in List I with terms in List lIl: (1)
d) None of the above
Description (List-1) Option (List )
Q12. Sequence the following activities in the process of accounting (1)
A. Journalising the transactions in the
ledger accounts
1-Increase in Capital, decrease in Capital A-Salary paid
B. Recording the business transactions in the books of
entry 2-Decrease in cash, decrease in Capital B-Goods sold
C. Preparation of Financial Statements
D. Preparation of Trial Balance C- Interest on Capital
E. Analysis and interpretation
Q19. will have a debit balance. (1)
a) Accrued income b) Outstanding salary c)Unearned Income d) None of them
 correct from the optione
option from options
statements and select
the
given a
1.000 were used by the
Q20. Read the following (1) owner's equity from the proprietor for
below nature of Bank
A/c is
Personal A/c. above information personal use. Find out the
Assertion (A): The
to the proprietor.
opening
ning
Bank A/c belongs 4)
Reason (R): The
and Reason (R) are True
and Reason (R) iss tho
the correct Q26 An accountant wo worked for 12
Both Assertion (A)
(a) a months
@ 8,000 per month
explanation of
Assertion (A). amounted to R64,000. Under the accrual but salaries
paid to
(R) are True Reason
but Reason (R) is not of salary will be recorded in the basis of
(b) Both Assertion (A)
and Reason the profit and loss account?accounting, which amount
of Assertion (A). (2)
correct explanation Ih During the year 2019-20,
(c) Assertion (A) is true
but Reason (R) is
false. Raj& Co which is a non-profit
sales of z4,00,000 and credit
is false. sales of ~5,50,000. organization, had cash
The expenses aid during the
(d) Reason (R) is true but
Assertion (A) ye were 1,50,000. Find out the income of
basis of accounting. Raj & Co
using the
financial transactions and in determination of
appropriate
Q21. Accounting helps in recording of (2)
three advantages of accounting excan Show the effect of the
profit and loss. Identify and explain any Q27 following independent transactions in the
the ones mentioned above. (3 equation: accounting
Purchased furniture for office use R8,000 and for personal R2,000 for
(4)
Q22. Differentiate between Cash and Accrual Basis of accounting on the followinn the proprietor.
use
Gaurav,
basis: (3) b) Received rent T5,000.
a) Suitability c)Purchased securitiesfor R7,500 in cash.
b) Acceptability d) Paid salary for three quarters 27,000.
c) Legal position
Q23. On which side will the increase in the following accounts be recorded?
Also o28. On the basis of the following transactions, prepare a T-Shape Account for Rakesh
mention the nature of the account on the basis of modern (Creditor).
classification of 6)
accounts: 1. Goods purchased from Rakesh on credit 1,50.000.
a) Drawings A/c
(4) 2. Goods sold to Mahesh on credit 25,000.
b) Bad debts A/c 3. Goods returned to Rakesh for 10,000.
c) Cash Alc 4. Purchased goods z20,000.
d) Sales Ac 5. Paid Rakesh 10,000 on account.
Q24. Read the Case 6. Goods further purchased from Rakesh R40,000.
Study given below and answer the questions
Shreya started a business of accordingly: (4) 7. Goods taken by proprietor for personal use 5.000
trading electronic gadgets with an initial cash
in
investment of T10,00,000. During the she rented a shop at a rent of 8. Paid to Rakesh 1,50,000.
10,000 per month, but at the end of theyear,
year, rent of 2 months was due but not
paid. 6)
She
029. Pass journal entries for the following transactions:
purchased goods worth R5,00,000. Out of the for a new table costing
costing 30,000 for 50,000 in cash and goods bought, she sold goods (a) An old table of book value 750,000 was exchanged
Furniture House.
Raghav. goods costing 40,000 for ~60,000 to 1,00,000. The old table was valued at 30,000 by
a car worth 45,000 in full
a., Calculate the worth of tangible assets left at the (b) Maya's loan of R50,000 was repaid by giving
b. Calculate the end of the year.
amount of settlement.
C. What is the value of the outstanding expenses.
debtors? c) Paid Income tax 60,000.
d. Calculate the value
of closing stock? (d) Goods embezzled by an employee 1,000.
Q25. In a business closing Assets were R1,35,000 and
During the year
goods of R50,000 were purchasedclosing Liabilities were {30,000.
sold in cash and and goods of
15,000 were sold on
credit, both at 20% profit on10,000 were
cost. Goods
Q30. Journalise the following independent transactionsi (6)
a) Bought asecond hand motor car for 710,000 and spent R2,000 on its repairs and
1,000 on its carriage.
b) One month old cheque of 13,000 received from Jeevan, endorsed to Shyam to
settle dues of R15,000.
c) Bank credited interest of R500.
d) Bought furniture worth R40,000 out of which T10,000 is for office and balance is
for stock.
e) Purchased goods worth 10,000 from Rohan and paid cartage of T1,000
(Recoverable from Rohan).

031. Prepare the Accounting Equation from the following transactions: (8)
a. Started business with cash 5,60,000 and machines 750,000.
b. She purchased goods of 5,00,000 from Tanya Traders@10% Trade discount
and @10% Cash discount.
C. Goods ocosting R24,000 sold at a profit of 25% on sales. Half the payment is
received in cash.
d. Goods of list price R40,000 purchased from Raman at a trade discount of 5%.
e Purchased investments (personal) worth T10,000.
f. Provided depreciation on machinery at 10%p.a.
g. Interest on capital provided@10%p.a.
Q32. Journalise the following transactions
(8)
() Sold goods of list price of R1,60,000 to Ayan at 33 4 % profit on cost price at
10% trade discount and 10% cash discount. He paid 60% of the amount in cash
and 20% by cheque.
i) Paid installment of bank loan T60,000 including interest on loan
T8,000.
Giüt) Out of the rent received earlier, R500 is to be carried forward as rent received
in advance.
iv) Goods lost by fire 10,000. 70% of the
goods were insured. The insurance
company admitted and paid 50% of the claim.