______ are created in business for rainy day
- ✓General Reserve
- BDividend equalization fund
- CDividend fund
- DCapital Reserves
Answer: A.
View full solution →48 questions across 7 question groups — pick any mix to generate a Account paper with step-by-step answer keys.
M.C.Q (1 Marks)
21 Q→023 Marks Question
5 Q→034 Marks Question
4 Q→046 Marks Question
6 Q→05M.C.Q (1 Marks)
5 Q→063 Marks Question
3 Q→076 Marks Question
4 Q→One sample from each question group in this chapter. Select any group above to see the full set with answer keys.
Answer: A.
View full solution →Answer: B.
View full solution →Answer: A.
View full solution →Answer: A.
View full solution →Answer: D.
View full solution →2023 | ₹ | |
June 20 | Opening Balance of Cash | 1,180 |
| Progressive Bank | 19,040 |
| Goodwill Bank (Overdraft) | 6,460 |
20 | Received a cheque for₹ 1,800 from a debtor Mr. X and deposited in Goodwill Bank. The Bank credited the amount on 23rd June and debited 4 as its collection charges. |
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21 | Purchased goods for 18,210 and a cheque issued on Progressive Bank. |
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22 | Paid office expenses 410 and 80 for stationery in cash. |
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23 | Deposited a cheque for ₹21,090 being sale proceeds of goods in Progressive Bank. The Bank credited the amount on the same day and debited 21 as cheque discounting charges. |
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23 | A cheque for₹ 8,000 drawn by Mr. Jain himself on Progressive Bank was deposited in his account with Goodwill Bank. |
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25 | Cash drew from the account with Progressive Bank 600 for office use. |
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25 | A cheque for 1,100 received from Mr. A and earlier deposited in Goodwill Bank (on 14 4th June) was returned unpaid and Bank debited 10 towards its charges. Mr. Jain received the amount of returned cheque and Bank charges in cash from Mr. A. |
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28 | Deposited cash 1,500 in the account with Goodwill Bank. |
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29 | Purchased postal stamps for 200 and paid in cash. |
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| ( ₹ ) |
| (₹) |
Sundry Debtors | 4,10,000 | Stock (April 1, 2022) | 2,30,000 |
Sundry Creditors | 80,000 | Premises | 12,00,000 |
Rent and Taxes | 48,000 | Fixtures & Fittings | 3,10,000 |
Purchases | 34,00,000 | Bad Debts written off | 8,000 |
Sales | 56,00,000 | Rent received from sub-let of part of premises | 30,000 |
Trade Expenses | 12,000 | Loan from Rahul | 1,50,000 |
Returns Outwards | 80,000 | Interest on Rahul's Loan | 15,000 |
Returns Inwards | 1,20,000 | Drawings | 40,000 |
Expenses | 4,000 | Cash in hand | 75,000 |
Motor Vehicles | 6,50,000 | Stock on 31st March, 2023 |
|
Electricity | 25,000 | (not adjusted) | 3,80,000 |
You are required to prepare the trial balance treating the difference as his capital.
2018 |
| Rs. |
Jan-01 | Ram commenced business with cash | 30,000 |
Jan-02 | Opened a bank account with Union Bank by cheque from savings account | 21,000 |
Jan-03 | Purchased goods from Rahul in Cash | 10,000 |
Jan-07 | Withdrew cash from bank for office use | 3,000 |
Jan-10 | Sold goods to Hari, Delhi on credit | 5,000 |
Jan-15 | Purchased goods from Shyam, Meerut (UP) | 15,000 |
Jan-20 | Cash sales | 3,000 |
Jan-25 | Paid to Shyam | 14,750 |
| Discount Received | 250 |
Jan-31 | Paid Salaries | 10,000 |
CGST and SGST is levied @ $6 \%$ each on intra-state sale and purchase. IGST is levied @ $12 \%$ on inter-state sale and purchase.
Answer: C.
View full solution →Answer: A.
View full solution →Answer: D.
View full solution →Answer: A.
View full solution →Answer: C.
View full solution →| Name of Account | Debit Amount (Rs.) | Credit Amount (Rs.) |
| Capital | 3,00,000 | |
| Stock on 1 st April, 2012 | 60,000 | |
| Cash at bank | 20,000 | |
| Cash in hand | 10,000 | |
| Machinery | 2,00,000 | |
| Furniture | 26,000 | |
| Purchases | 4,00,000 | |
| Wages | 1,00,000 | |
| Carriage inwards | 66,000 | |
| Salaries | 1,40,000 | |
| Discount allowed | 8,000 | |
| Discount received | 10,000 | |
| Advertising | 1,00,000 | |
| Office expenses | 80,000 | |
| Sales | 10,00,000 | |
| Sundry debtors | 1,80,000 | |
| Sundry creditors | 80,000 | |
| 13,90,000 ====== | 13,90,000 ====== |
Value of closing stock as on 31st March, 2013 was Rs. 1,00,000.
| Particulars | ₹ | Particulars | ₹ |
| Capital | 65,000 | Stock ($1^{\text {st }}$ April, 2022) | 32,000 |
| Creditors | 36,800 | Debtors | 12,500 |
| Rent Received | 600 | Cash at Bank | 22,560 |
| Purchases Return | 4,000 | Drawings | 5,000 |
| Sales | 2,89,600 | Purchases | 1,71,000 |
| Provision for Doubtful Debts | 600 | Carriage Inwards | 1,500 |
| Advertisement Expenses | 16,050 | Wages | 23,000 |
| Goodwill | 49,000 | Power | 9,000 |
| Machinery | 20,000 | Insurance | 22,000 |
| Discounts Received | 1,800 | Salaries | 46,390 |
| General Expenses | 8,600 | Income Tax | 5,000 |
| Sales Return | 600 | Bank Loan | 55,000 |
| Discount Allowed | 5,000 | Interest on Bank Loan | 1,500 |
| Patents | 2,700 |
Adjustments:
i. On $31^{\text {st }}$ March, 2023, stock is valued at cost ₹ 23,000 .
ii. A furniture costing ₹ 45,000 was purchased on $1^{\text {st }}$ July, 2022 but it was not recorded in the books as payment was not made for it. Wages ₹ 5,000 were paid for assembling which have been debited to Wages Account.
iii. Provide depreciation on both Machinery and Furniture @10%p.a. and amortise patents by one-third.
iv. Increase Provision for Doubtful Debts to ₹ 2,000 .
v. Carry forward $\frac{2}{3}$ rd Advertisement Expenses as unexpired.
vi. Annual Insurance premium of ₹ 1,200 has been paid up to $30^{\text {th }}$ June, 2023.
vii. Manager is to get $10 \%$ commission on net profit before charging such commission.
viii. A fire broke out on $25^{\text {th }}$ March, 2023 destroying goods costing ₹ 20,000, which were not insured.
| $31^{\text {st }}$ March, 2022 (₹) | $31^{\text {st }}$ March, 2023 (₹) | |
| Cash at Bank | 4,500 | 3,000 |
| Cash in Hand | 300 | 4,000 |
| Stock-in-Trade | 40,000 | 45,000 |
| Debtors | 12,000 | 20,000 |
| Office Equipment | 5,000 | 5,000 |
| Sundry Creditors | 30,000 | 20,000 |
| Furniture | 4,000 | 4,000 |
During the year, Karan introduced ₹ 6,000 as further capital and withdrew ₹ 4,000 as drawings. Write off Depreciation on furniture at 10% and on office equipment at 5%. Prepare a statement showing the profit or loss made by him for the year ended on $31^{\text {st }}$ March, 2023.
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