DELHI PUBLIC SCHOOL, GURGAON
SUBJECT: ACCOUNTANCY (055)
CLASS: XI
Assignment
1 Extract of Trial Balance as at 31st March, 2024
Debit Credit
Bank Loan @ 10% 1,00,000
p.a. ( 1st July 2023)
Interest on loan 10,000
Interest on loan will be shown
(a) ₹ 7,500 in profit and loss A/c and ₹ 2,500 in Balance sheet Liabilities side
(b) ₹ 10,000 in profit and loss A/c and ₹ 7,500 in Balance sheet Asset side
(c) ₹ 7,500 in profit and loss A/c and ₹ 2,500 in Balance sheet Asset side
(d) ₹ 7,500 in profit and loss A/c and ₹ 7,500 in Balance sheet Liabilities side
2 Which of the following statements is not true with respect to Profit & Loss Account?
(a) Accrual basis of accounting is followed in preparing this account.
(b) Balance of this account is either Net Profit or Net Loss.
(c) It is the first stage in the preparation of the final accounts.
(d) It shows the financial performance during an accounting period.
3 Match the following correctly:
1. Error of Commission A. Credit purchase of goods from Aman
for ₹ 16,000 recorded in Purchases Book
but not posted to Aman’s Account.
2. Does not affect the Trial Balance B. Sales Book ₹ 20,000 carried forward to
the next page as ₹ 2,000.
3. Error of Omission C. Furniture purchased on credit debited
to Purchases Account.
(a) 1-A; 2-B; 3-C
(b) 1-B; 2-C; 3-A
(c) 1-A; 2-C; 3-B
(d) 1-C; 2-A; 3-B
4 Which of the following is correct:
(a) Operating Profit = Operating Profit (- )Non-Operating expenses( -) Non-Operating Incomes
(b) Operating Profit = Net Profit (+ )Non-Operating expenses( +) Non-Operating Incomes
(c) Operating Profit = Net Profit (- )Non-Operating expenses( +) Non-Operating Incomes
(d) Operating Profit = Net Profit (+ )Non-Operating expenses( -) Non-Operating Incomes
5 The correct order of assets as per their liquidity is :
(a) B/R, Cash in hand, Cash in Bank, Machinery, Sundry Debtors, Prepaid Expense, goodwill,
closing stock.
(b) Cash in hand, Cash in Bank, B/R, Sundry Debtors, closing stock, Prepaid Expense,
Machinery, goodwill.
(c) Cash in hand, Cash i. Bank, B/R, Sundry Debtors, Prepaid Expense,closing stock,
Machinery, goodwill.
(d) Cash in hand, Cash in Bank, B/R, Sundry Debtors, Prepaid Expense, closing stock, goodwill,
Machinery.
6 Choose the incorrect statement:
(a) Reserve is an appropriation of profits.
(b) Provision is created for known liability
(c) Reserve can not be invested in outside securities
(d) Provision can not be invested in outside securities
7 The Trial Balance of Ravi Traders did not match and it showed excess debit of ₹ 1,300.
The difference was placed in Suspense Account. While analysing, the following errors were found.
i) Salary ₹ 20,000 paid to Mayur was debited to his personal account.
ii) Goods returned by Suja ₹ 4,200 was entered in Purchases Return Book.
iii) Sales Book was overcasted by ₹ 1,800.
iv) Received ₹ 15,000 from Anita, a debtor but her account was credited with
₹ 10,500.
v) The balance ₹ 1,400 in Praveen’s account has been written off as bad but no
account has been debited.
Pass entries to rectify the above errors and prepare Suspense Account.
8 On 31st March, 2024, a merchant’s Pass Book showed a debit balance of 24,300 but the Cash
Book showed a different balance due to the following:
i) A cheque for 3,000 drawn in favour of Mr. Mohit has not yet been presented for payment.
ii) Withdrawal column of the Pass Book overcast by 540.
iii) Cheques totalling 6,120 deposited with the bank have not been collected and a cheque for
2,400 has been dishonoured.
iv) Insurance premium amounting to 300 paid by the bank has not been entered in the Cash
Book.
v) A bill for 6,000 was retired by the bank under a rebate of 90 but the full amount of the
bill was credited in the Bank column of the Cash Book.
Prepare a Bank Reconciliation Statement and find out the balance as per Cash Book.
9 Mahesh maintains his accounts under Single Entry System. Calculate his profit or loss for the year
ended 31st March, 2024 from the following information:
Assets and Liabilities 1st April, 2023 31st March, 2024
( ) ( )
Cash in Hand 10,500 5,000
Bank Balance 40,500 30,500
Furniture 20,000 20,000
Stock 10,000 30,000
Creditors 40,000 30,000
Debtors 30,000 40,000
During the year his drawings were 10,000 and additional capital invested 20,000.
10 Following are the balances extracted from the books of M/s Rohan on 31st March, 2024:
Plant & Machinery 20,000 Capital 80,000
Salaries 51,700 Sundry Creditors 48,560
Freight on purchases 5,280 10 % Bank Loan 11,000
Buildings 46,000 Purchases Return 1,740
Manufacturing Expenses 9,500 Sales 2,50,850
Insurance and Taxes 4,250 Provision for Doubtful Debts 2,000
Goodwill 25,000
General Expenses 8,200
Sundry Debtors 78,200
Stock (31st March, 2023) 34,200
Purchases 1,02,000
Sales Return 3,100
Bad Debts 1,400
Cash at Bank 5,320
Prepare Trading and Profit and Loss Account for the year ended 31st March, 2024 and Balance Sheet
as at that date after taking into account the following:
i) Stock in hand on 31st March, 2024 was valued at 30,500.
ii) Create provision for doubtful debts at 5 % on sundry debtors.
iii) Depreciate building by 25 % and plant and machinery by 10 %.
iv) Bank loan was taken on 1st January, 2024.
v) Manager is to be allowed a commission @ 5% on net profit after charging his commission.
