C a s h a n d A c c r u a l S y s t e m o f A c c o u n t i n g # 1

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Class 11th
Accounting

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Q.1. Mr. Shabbir sold goods worth Rs.3,75,000 in cash and Rs.1,25,000 on credit in the year 2019. He incurred expenses worth
Rs.2,10,00 in cash and Rs.90,000 is still due for the same year. Calculate the amount of profit or loss for the year using
1. Cash system of Accounting.
2. Accrual System of Accounting.
{Cash System:- Rs.1,65,000; Accrual System:- Rs.2,00,000}

Q.2. Miss Naquiya wants to know her profit as per Cash system and Accrual System. She sold goods for Cash worth Rs.1,35,000
and on Credit Rs.62,000. She purchased Goods worth Rs.45,000 for Cash and Rs.31,000 on credit. Besides she paid Rs.19,500
as total expenses and expenses of Rs.8,200 is still payable. Calculate her profit as per
1. Cash system
2. Accrual System
{

Q.3. During the year 2019, Amatullah sold goods worth Rs.9,25,000 in cash and 5,40,000 on credit. He incurred the following
expenses during the year
Purchases Cash Rs.4,15,000 and on credit Rs.2,95,000
Wages Paid Rs.82,000 and to be paid Rs.29,000
Stationery paid Rs.12,000
Salaries Paid Rs.1,10,000 and due Rs.35,000
Insurance Premium Paid Rs.90,000 which includes Premium from January 2020 to March 2020 Rs.15,000
Deprecation Rs.25,000
Calculate Profit of Amatullah on the basis of
1. Cash system
2. Accrual System
{Cash System:- Rs.2,16,000; Accrual System:- Rs.3,87,000}

Q.4. During the year 2019, Kratika’s record of Revenue and Expenses are as follows
Expenses
Purchase Rs. 6,80,000 in cash and Rs.13,40,000 on credit
Wages Paid Rs.2,40,000 and still due Rs.60,000
Salaries Paid Rs.20,000 per month till Feb 2020
Rent Rs.15,000 p.m. upto October 2019
Depreciation Rs.30,000 on Machinery
Interest Paid Rs.12,000 against full year interest on 10% loan of Rs.1,50,000
Revenues
Sales Rs.8,75,000 in cash and Rs.21,50,000 on credit
Interest Received Rs.88,200 against the total interest of Rs.1,10,000
Other Revenues Received Rs.36,000.
Calculate the amount of Net profit using
1. Cash System
2. Accrual System
{Cash System:- Rs.3,62,800 (Loss); Accrual System:- Rs.3,76,000 (Profit)}

Q.5. Vanshka show’s her record of Revenue and Expenses for the year 2019.
Revenues
Sales Total Rs.16,50,000 which includes credit sales of Rs.4,95,000
Expenses
Purchases Rs.8,32,000 out of which Rs.3,25,000 was credit purchases
Wages Total was Rs.75,000 out of which paid Rs.67,000
Carriage Inwards Rs.15,000 paid
Carriage Outwards Rs.8,000 paid.
Depreciation Rs.15,0000
Stationery Rs.18,000 which includes paid for 2020 Rs.3,000
Electricity Bill Paid Rs.32,000 and to be paid Rs.5,000
Calculate the amount of profit as per
 C a s h a n d A c c r u a l S y s t e m o f A c c o u n t i n g # 2
1. Cash system
2. Accrual system

Q.6. Mr. Anirudh is a chartered Accountant. His Records of Revenues and Expenses of his profession are as follows:-
Expenses
Electricity Bill Paid Rs.82,000 and one bill of Rs.15,000 is still due.
Telephone Paid Rs.75,000 which includes One bill related to 2018 Rs.12,000 and One bill of 2019 Rs.15,000 is still payable.
Bill
Salaries Paid Rs.7,000 per month to an Employee till November 2019 only.
Office Rent Total Rent for 16 month was paid @ Rs.6,000 p.m. It includes Rent of December 2019 and Advance Rent for
next 3 months.
Stationery Bill Paid Rs.46,000 out of the total Bill of Rs.60,000
Revenues
Fees Received fees Rs.6,28,000 during the year, which includes Fees for the year 2018 Rs.37,000
and advance fees for the year 2020 Rs.18,000. Besides fees for 2019 still to be received Rs.1,45,000.
Interest Received Rs.35,000 and to be received Rs.18,000
Calculate his profit for the year ending on 31st December 2019 as per
1. Cash system
2. Accrual System