Anirulh Aribobi

CAMPION SCHOOL, BHOPAL

ANNUAL EXAMINATION 2022-23
ACCOUNTANCY XI

Time Duration: 3 hours Max. Marks: 80

Printed pages = 7] Date:17.02.2023

General Instructions:
question paper contains 34 questions. All questions are compulsory.
his
(i) This question paper is divided into two parts, Part A and B.

(ii) Question 1 to 16 and 26 to 29 carries 1 mark each.

(iv) Questions 17 to 20, carries 3 marks each.
(v) Questions 21, 30 and 31 carries 4 marks each.
(vi Questions from 22 to 25, 32 and 33 carries 6 marks each.
(vii) Allquestions are compulsory
PART A: FINANCIAL ACCOUNTING
01.Which Qualitative characteristic of accounting information requires the use of
common unit and common format of reporting?
02. "When a person brings in some money as capital into his business, in
accounting records, it is treated as liability of the business to the owner." The
concept relate to
the.
(a) Objectivity (b) Money measurement
(C) Business entity (d) Duel aspect
Q3. The accounting concept which suggested that each transaction should be
recorded in the books of account by supporting vouchers
(a) Objectivity (b) Dual aspect
(c) Materiality (d) Consistency
Q4. An owner of a shopping mall received rent on 1st April, 2020 from 20 tenants
Rs. 15,000 per month for 18 months As per the recognition concept
revenue
of accounting, Rent, an income to be realized by Rs._ f o r the accounting
year 2020-21.
(a) 1,80,000
(b) 2,70,000
(c) 36,00,000
(d) 54,00,000
Q5.Which external user of
the accounting information is most interested in knowing
long-term solvency position of the firm?
(a) Employees
(c) Bank and (b) Management
financial institutions (d) Researchers
1
 Q6. Which of the following is an example of a voucher?
(a) Cash Memo (b) Invoice
(c) Sales Bll (d) All of these
Q7. X commenced
business on 1st April, 2020 with a capital of Rs.6,00,000. On
31st March, 2021 his assets were worth Rs.8,00,000 and liabilities Rs.50,000. Find
out his
closing capital
(a) Rs.7,50,000
(b) Rs.2,00,000
(c)Rs.5,50,000 (d) None of these
Q8. What are current assets?

Q9. Gopal is
debtor for Rs.
our
a is
rupee received from him.
10,000. He became insolvent and only 60
The balance of Rs. paise in
(a) Debit of Cash A/c 4,000 would be entered to the:
(c) Debit of bad debt A/c (b) Debit of Discount A/c
(d) Debit of Gopal A/c
Q10. Is provision for doubtful debt
profit?
a charge against profit or an
appropriation of
Q11. Reliance Co. did not use
particular machine during the current
a
was
purchased few years back. Should which
also? Give reason. depreciation be charged on thatyear,
machine
Q12. Depreciation for the
second year @10% On
15,000 will be Rs._ a machine purchased for Rs.
under Written Down Value method.
Q13. Read the following statement
of the correct Assertion (A) and Reason
-

alternatives given below: (R). Choose one

Assertion (A): Purchase account is credited
when the
from the business for his personal use. proprietor withdrawal goods
Reason (R): Purchase account is
credited because
result of withdrawal of
as a
goods, net amount of
purchase of the business is reduced. Alternatives:
(a) Both (A) and (R) are correct, and
(R) is the correct
(b) Both (A) and (R) are correct, but explanation of (A).
(R) is not the correct explanation of
(c) (A) is correct but (R) is (A).
wrong
(d) Both (A) and (R) are incorrect.

2
Q14. Arun purchased a machinery for 2,00,000 and scrap value of the machinery
is R30,000 and estimated life of the machinery is 10 years. What will be the rate
of depreciation?
(a)10% (b) 17%
(c) 12% (d) 11%

a15. On Intra-state purchase of goods, which of the following GST is levied?

(a) CGST and SGST b) SGST
(c) CGST and IGST (d) IGST

Q16. Suspense A/c appears in the Trial Balance because

of
(a) One sided errors (b} Compensating errors
(c) Errors of principle (d) Two sided errors

a17, Frame Accounting Equation from the following transactions:

a) Started business with cash 1,00,000 and goods worth 20,000.

Sold S0% of the above goods at a profit of 2,000 on credit to Ravi.
b)c) Ravi paid 90% of his amount due in full settlement.
Q18. Define Accounting. Explain its objectivestany
two)
Q19. Pass Journal Entries in the books of Shri Zahid of Rajasthan assuming
CGST@9% and SGST @9% and IGST @18% for the following transactions:

(a) Purchased goods for Rs.3,00,000 from litender of Gujrat at 10% Cash
discount.
(b) Sold goods costing Rs.80,000 to Mr. Babudin of Rajasthan at a profit of 25%
on cost less trade discount 10%.
(c) Proprietor withdrew goods of Rs. 10,000 for personal use.

Q20. Prepare a Trial Balance from the following items:

ACCount Rs. Account RS.

Capital 24,000 Cash 7,300
Building 12,000 Discount received 970
Carriage outward 300
Opening stock 8,500
Returns inward 1,900 Salaries 3,000
Returns outward 350 Sales 22,500
Purchases 8,950 Office rent 2,270
Trade expenses 1,000 Furniture 2,600

3
 from the following8
Book of Shashank Stationery
Prepare a Purchase
21.
information.
Date Particulars

2018
June 1 Purchased from Gagan Stationery Mart on credit
(a) 70 dozen pencils @ Rs. 25 dozen
(b) 10 dozen registersRs. 15 per register
Carriage expenses Rs. 100
Trade discount received 10%.
June 10 Purchased from Amrit Furniture 2 tables @ Rs. 1,500 per table.
June 15 Purchased 3 dozen ink pots @ Rs. 80 per dozen from Mehar paper
Company and received cash
Cash discount of Rs. 50.
June 18 Purchased from Rehman Bros. on credit
(a) 5 reams of white paper @ Rs. 50 per ream
(b) 120 pens Rs. 60 per dozen.
Trade Discount of 10%.

Q22.a. Differentiate between Provision and Reserve the basis of

(i) Basic Nature
on
following:
(i) Purpose
(ii) Use for payment of dividend
b. Differentiate between Trade Discount and Cash
Discount on the basis of
following:
(i) Objective
(ii) Rate of discount
(ii) Recording in books of accounts.

Q23. On 1st April, 2018 Z Ltd. purchased machinery for Rs.

1,20,000 and on 1s
October 2019, it acquired additional machinery for Rs.
50,000. On 1st July 2020
one of the original machines (purchased
found
on
1 April 2018) which had cost Rs.
20,000 was to have
become obsolete and was sold as
the
scrap for Rs. 500. On
same date a new machine was
purchased for Rs. 40,000. Depreciation is to be
charged @10% p.a. on written down value. Accounts are closed on 31st
March
each year. Show machinery account for the first 3
years.

-4-
 balances appear in the books of Pathak Brothers:
Q24. Following
RS.
1st April, 2017 Machinery A/c 20,00,000
Provision for Depreciation on Machinery A/c 8,00,000

On 1st October, 2017, they decide to sell a machine for Rs 5,00,000. This machine
was purchased for Rs. 7,00,000 on 1st April, 2014.On the same day a new
Machine was purchased for Rs. 10,00,000. Prepare the Machinery Account and
Provision for Depreciation Account and Asset Disposal Account for the year ended
31st March, 2018 assuming that the firm has been charging Depreciation 10%
p.a. on the Straight Line Method.

a25. Rectify the following errors by passing necessary rectifying Journal Entries.
a) Sales book is overcast by Rs. 2,500.
b) Goods purchased from Sandy Rs. 1,000 were recorded in Sales book.
c)Salaries paid Rs. 1,500 has been posted to the credit side ofSalaries account as
Rs. 1,100.
d) Cash withdrawn by the proprietor for personal use Rs. 1,000 were debited to
Sundry expenses A/c.
e) Goods distributed as free samples Rs. 5,000 vwere not recorded in the books.
f) Rs.4,500 paid for installation of a machinery wrongly debited to Wages A/c as
Rs. 5,400.

PART B: FINANCIAL ACCOUNTING-II

a26. Which type of expenses is shown in Trading Account?
(a) Direct expenses (b) Indirect expenses
(c) Both Direct and Indirect expenses (d) None
027. If sales are Rs.60,000 and the rate of Gross Profit on Cost of
Goods sold is
25%, Cost of Goods sold will be:
(a) Rs.45,000 (b) Rs.50,000
()Rs.48,000 (d) None of these

-5
 statements:
Income Tax a sole trader is reflected
in his financial
8. paid by
(a) On the debit side of the Trading a/c
(6) On the debit side of Profit and Loss a/c
(c) As asset in the Balance Sheet
an

(d) As way of deduction from Capital in the Balance sheet.

Ihe Manager is entitled to a commission of 5% on profit after charging sucn

commission. The profit before charging such commission is Rs. 10500.Hence what
will be the Manager's commission?
Show your working clearly.

Q30. Prepare Trading Account and compute cost of goods sold for the year 2021
with the help of the following information. Sales Rs.22,00,000, Purchases RS.16,
00,000, Wages Rs.1, O0,000, Stock (Apr. 01, 2020) Rs.3,
2021) Rs.4,00,000, Freight outwards Rs.1,00,000, Returns
00,000, Stock (March 31,
Inward Rs. 2,00,000,
Returns Outward Rs. 1,00,000.

Q31.
Pass necessary adjustment entries tor the following transactions
a. Prepaid Insurance premium
of RS.12,000
b. Rent received in advance
Rs.2,400
C. Salaries outstanding Rs.18,000 aid
d. Commission accrued
Rs.7,300
Q32.Show the treatment of the following extract of Trial Balance in the Profit and
Loss account and Balance Sheet:

Items
DebitCredit
RS. Rs.
Debtors 40,5
Bad debts 800
Provision for doubtful debts 2,000
Purchases 80,000
Adjustments:
1. There was a
further bad debt of Rs. 500
2. Create Provision for discount on debtors @1%
3. Make a provision for
4. Goods of
doubtful debt @10%
Rs. 3,500 distroyed by fire.
5. Insurance Company accepted a claim tor compensation of Rs. 2,800.
a33. From the following trial balance as on 31 March 2021, prepare Trading and
Profit and loss Account and Balance Sheet as on that date.

Particulars Debit Rs. Credit Rs.

Opening stock ,500
Purchases and sales 20,000 50,000
Returns 2,500 1,000
Building 10,000
Wages 2,500
Debtors and Creditors 4,000 2,500
Interest 500
Salaries 5,000
Machinery 15,000
Carriage inward 1,000
Carriage outward 2,500
Rent, rates and taxes 5,000
Capital 24,500
Drawings 1,000
Trading expenses 1,000
Office cleaning
expenses 500
Investment@20% 5,000
Cash 1,000

Adjustments:
1) Stock in hand on 31March 2021 Rs. 5,000.
2) Salaries Rs. 500 and Wages Rs 500 were unpaid.
3) Rs. 25 included in office cleaning expenses are prepaid.
4) Interest on investment for last 6 months was accrued but not received.