Accounting Procedures Rules of Debit and Credit — Account STD 11 Commerce — Question

If total assets of a business are ₹ 1,30,000 and net worth is ₹ 80,000, calculate the creditors.
[Hint: Net Worth = Assets - Liabilities]

If the cheque is not presented for the payment up to the date of the preparation of the Bank Reconciliation Statement then the balance as per pass book will be ________.

1. Higher than the balance shown by the cash book by the amount of unpresented cheque.
2. Same as shown by the cash book.
3. Twice the balance shown by the cash book.
4. Lower than the balance shown by the cash book by the amount of unpresented cheque.

While preparing Bank Reconciliation Statement from the balance of Cash Book indicate whether the following items will be written in Plus or Minus column.

1. Cheques issued but not yet presented for payment.
2. Cheques paid into the bank but not yet cleared.
3. Dividend collected by the bank on customer's investments.
4. Payment of club fee by the bank according to the standing instructions.
5. Direct payment into the bank by a customer.
6. Any wrong entry on the debit side of the Pass Book.
7. Dishonour of the cheques deposited into the bank.

Do you think that a Provision is a charge against profit?

Why do the transactions are entered in a Journal rather than straight into ledger?

Distinguish between Opening Stock and Closing Stock.

What does debit balance of a Real Account indicates?

What does debit in an Expense Account signify?

Give two examples of Specific Reserves.

If the Capital is ₹ 1,00,000 and Outside Liabilities are ₹ 2,50,000, find the Total Assets.