SD Jain modern

school

11th Final paper 24 - 25

CLASS 11 - ACCOUNTANCY

Time Allowed: 3 hours Maximum Marks : 80

Section A

1 Accounting function is ________ in nature. [1]

a) clerical

b) routine

c) analytical

d) Both routine and analytical

2 Cost of Goods Manufactured is determined by: [1]

a) Cost Accounting

b) Human Resource Accounting

c) Financial Accounting

d) Management Accounting

3 The person who makes the investment and bears all the risks connected with [1]
the business is called

a) Proprietor

b) Debtor

c) Debenture holder

d) Creditor

4 A principle which assumes that a business enterprise will not be liquidated in [1]
the near future:

a) Accounting entity

b) Prudence

c) Going concern concept

 d) Accounting period

5 As per Revenue Recognition Concept, revenue is deemed to be realised: [1]

a) When cash is received from the purchaser

b) When purchase order is received from the purchaser

c) When the title of the goods has been transferred to the purchaser

d) When goods are delivered to the purchaser

6 As per the law, which of the following is the correct accounting period? [1]
a) 1st April to 31st December

b) 1st January to 31st December

c) 1st April to 31st March

d) Both 1st April to 31st March and 1st January to 31st December

7 Input CGST is first set - off against [1]

a) Both CGST and SGST

b) Output CGST

c) Output IGST

d) Output SGST

8 Received₹ 4,900 from Geeta in full settlement of ₹ 5,000. Posting of ₹ 100 will [1]
be made to the:

a) Dr.side of Discount A/c

b) Cr. side of Discount A/c

c) Dr. side of Garima A/c

d) Cr. side of Cash A/c

9 Which of the following accounts always shows a credit balance [1]

a) Carriage Outward

b) Carriage Inward

c) Returns Outwards

d) Return Inwards
10 Which of the following balance is true, Given: [1]
1. Dr. Balance as per Cash Book₹ 40,000;

2. Cheque deposited into bank for₹ 25,000 but cheques of only ₹ 16,000
were credited by bank:

a) ₹ 56,000

b) ₹ 31,000

c) ₹ 24,000

d) ₹ 49,000

11 The negative balance of bank account in cash book shows: [1]

a) Overdraft

b) cash paid to bank

c) Cash deposited in our bank

d) Cash withdrawn from bank

12 Drawings - Rs.2,400, profit made during the year - Rs.4,800, capital at the end [1]
- Rs.16,000.Capital introduced during the year - Rs.4,000. Calculate Capital in
the beginning:

a) Rs.9,600

b) Rs.13,600

c) Rs.12,000

d) Rs.14,800

13 Capital in the beginning - Rs.24,000, profit made during the year - Rs.4,000, [1]
drawings - Rs.8,000, Capital introduced during the year - Rs.12,000.Calculate
capital at the end

a) Rs.35,000

b) Rs.20,000

c) Rs.32,000

d) Rs.28,000

14 If goods worth₹ 25,000 are distributed as charity, then while passing a journal [1]
entry.
 1. Purchases account is debited with₹ 25,000 and Charity account is
credited with ₹ 25,000.

2. Charity account is debited with₹ 25,000 and Purchases account is

credited with ₹ 25,000.

3. Drawings account is debited with₹ 25,000 and Purchases account is

credited with ₹ 25,000.

4. None of these

a) Option (ii)

b) Option (i)

c) Option (iii)

d) Option (iv)

15 Prepaid Expenses A/c is: [1]

a) All of these

b) Personal Account

c) Real Account

d) Nominal Account

16 If Razi paid₹ 9,900 in settlement of her account of ₹ 10,000, then the discount [1]
allowed of ₹ 100 will be recorded in:

a) Purchase book

b) Cash book

c) Journal book

d) Both Journal book and Cash book

17 Purchase of goods from Mohit for Rs.2500 was entered in the Sales Book; [1]
however Mohit,s Account was correctly credited. Rectify through suspense
account.

a)
 b)

c)

d)

18 Which of the following is not an error of commission? [1]

a) Purchase of furniture debited to purchases account

b) Wrong balancing of machinery account

c) Overcasting of sales book

d) Credit sales to Pawan Rs.5000 credited to his account

19 If the amount of any known liability cannot be determined accurately: [1]

a) Provision should be created

b) Definite liability should be created

c) Should be shown as a contingent liability

d) Reserve should be created

20 ________ is the reserve, which is created for some specific purpose and can be [1]
utilised only for that purpose.

a) Capital reserve

b) Specific reserve

c) Revenue reserve

d) General reserve

21 Name the accounting concept or convention associated with the following [3]
1. Assets are recorded at cost, irrespective of the market price.

2. Life of a business should be divided into smaller periods.

 3. Accounting transactions should be free from bias of accountants and
others.

22 From the following list of balances, prepare a Trial Balance: [3]

23 Calculate gross profit and cost of goods sold from the following information: [3]
1
Net Sales₹ 12,00,000,Gross Profit 33 % on Sales.
3

OR

Arrange assets in the order of permanence:

Sundry Debtors, Stock, Investment, Land and Building, Cash in Hand, Motor
Vehicle, Cash at Bank, Goodwill, Plant and Machinery, Furniture, Loose Tools,
Marketable Securities.

24 Calculate the amount of gross profit and operating profit on the basis of the [3]
following balances extracted from the books of M/s Rajiv & Sons for the year

ended 31 st March, 2014

25 From the following information of M/s. Naveen & Co., Delhi, prepare the [3]
Purchases Book for the month of March, 2023:
26 Correct the following errors in Mohan Lai’s Book [3]
1. A payment of Rs.5,000 for salaries (to Mr. Ram) has been posted twice
to the Salaries Account.

2. Rs.750 received from Rajesh are entered on the debit side of the Cash
Book. No posting was done in Rajesh’s Account.

3. The Sales Book was overcast by Rs.3,000.

4. Goods (cost Rs.2,000 sale price Rs.2,500) Distributed as free samples

among prospective customers were not recorded anywhere.

27 X Ltd. purchased a plant on 1❑st July, 2020 costing ₹ 5,00,000. It purchased [4]
another plant on 1 ❑st September, 2020 costing ₹ 3,00,000. On 31 ❑st
December, 2022, the plant purchased on 1 ❑st July, 2020 got out of order and
was sold for ₹ 2,15,000. Another plant was purchased to replace the same for
₹ 6,00,000. Depreciation is to be provided at 20% p.a. according to Written
Down Value Method. The accounts are closed every year on 31 ❑st March.
Show the Plant Account and Provision for Depreciation Account.
28 X tells you that his capital on 31st December, 2013 is Rs 1,87,000 and his [4]
capital on 1st January, 2013 was Rs 1,92,000. He further informs you that
during the year, he gave a loan of Rs 35,000 to his brother on private account
and withdrew Rs 3,000 per month for personal purposes, he also used a flat for
his personal purposes, the rent of which at the rate of Rs 1,000 per month and
electricity charges at an average rate of Rs.100 per month were paid from the
business account. During the year, he sold his 7% government bonds ofRs
20,000 at 2% premium and brought that money into the business. Besides this,
there is no other information.

You are required to prepare a statement of profit.

OR

Mr. A started business with a capital₹ 5,00,000. At the end of the year his
 position was:

Sundry creditors on this date totalled₹ 80,000. During the year, he introduced
a further capital of ₹ 1,50,000 and withdrew for household expenses ₹ 90,000.

You are required to calculate profit or loss during the year.

29 Prove that the Accounting Equation is satisfied in all the following transactions [4]
of Sanjay. Also prepare a Balance Sheet.

1. Commenced business with cash₹ 60,000.

2. Paid rent in advance₹ 500.

3. Purchased goods for cash₹ 30,000 and credit ₹ 20,000.

4. Sold goods for cash₹ 30,000 costing ₹ 20,000.

5. Paid salary₹ 500 and salary outstanding being ₹ 100.

6. Bought motorcycle for personal use₹ 5,000.

30 Rohini Cement Ltd purchased on 1st January, 2010 a plant for Rs.80,000. On [6]
1st April, 2011, it purchased additional plant costing Rs.48,000. On 1st
September, 2012 the plant purchased on 1st January, 2010 was sold off for
Rs.42,000 and on the same date fresh plant was purchased at the cost of
Rs.75,000.

Depreciation is provided at 10% per annum on the diminishing balance

method every year. Accounts are closed each year on 31st December. Show the
plant account for 3 year.

31 From the following transactions, prepare Cash Book with Cash and Bank [6]
 Columns:
32 Following Trial Balance is drawn from the books of a merchant as at 31st [6]
March, 2023: TRIAL BALANCE as at 31❑st March, 2023
 The following adjustments are to be made:

1. Depreciate Building @ 5%, Furniture and Fixtures @ 10% and Vehicles

@ 20%.

2. ₹ 850 is due for interest on Bank Loan.

3. Salaries₹ 3,000 and Municipal Taxes ₹ 1,200 are outstanding.

4. Prepaid Insurance is₹ 1,000.

5. One - third of the commission received is in respect of work to be done

next year.

6. Write off further₹ 1,000 as Bad Debts and Provision for Doubtful Debts
is to be made equal to 5% on Sundry Debtors.

Prepare Trading and Profit & Loss Account for the year ended 31❑st March,
2023 and Balance Sheet as at that date.

33 Give the journal entries of M/s Sumit Traders. [6]

34 You are presented with a trial balance showing a difference, which has been [6]
carried to Suspense Account and the following errors are revealed:

1. ₹ 350 paid in Cash for a typewriter was charged to Office Expenses A/c.

2. Goods amounting to₹ 660 sold to W, were correctly entered in the Sales
Book but posted to W’s Account as ₹ 760. The total sales for the month
were overcast by ₹ 1,000.

3. Goods worth₹ 130 returned by G, were entered in the Sales Book and
posted therefrom to the credit of G’s personal account.

4. Goods sold for₹ 1,240 and debited on 20th March to C, were returned
by him on 23rd and taken into stock on 31st March, no entries being
made in the books for return.

5. Sales return book was overcast by₹ 100.

Journalise the necessary corrections and raise Suspense Account, assuming

that there are no other errors.