ACCOUNTS CLASS 11

The process of Accounting includes-

• Recording, classifying and summarising

• Analysis and interpretation

• Communication

• All of the above

Which of the following transaction is not of a financial character?

• Purchase of an asset on credit

• Purchase of an asset for cash

• Withdrawal of Cash by the proprietor from the business

• Strike by employees

State the Accounting Concept you would use when the long term success of the company is doubtful due to market competition.

• Money Measurement Concept

• Prudence/Conservatism Concept

• Going Concern Concept

• Realisation Concept

'Accrued Interest' is which type of account?

• Real Account

• Natural Personal Account

• Nominal Account

• Representative Personal Account

The example of Compound Journal Entry is-

• Sale of Goods of Rs.5000 to Satish.He pays 2000, bal. to be paid later

• Sale of Goods to Akash worth 10,000 applicable to cash discount @9%

• Goods given as Samples

• Rebate of Rs.2000 allowed to Raman on goods sold.

An increase in Bank Overdraft will lead to -

• Dr. side will decrease

• Dr. side will increase

• Cr. side will increase

• Have no impact on either sides Dr. or Cr.

Nominal Accounts are transferred at the end of the financial year to-

• Trading Account

• Balance sheet

• Profit and Loss Account

• Trading and Profit and Loss Account

Calculate the Capital -

STOCK- 2,88,000
B/P- 48,000
CASH AT BANK- 2,16,000
PLANT & MACHINERY- 1,20,000
DEBTORS- 60,000
CREDITORS- 96,000
INVESTMENT- 2,40,000
LOAN FROM GANESH- 1,80,000

• 500,000

• 606,000
  

• 600,000

• 599,999

Long term assets having no physical existence but, possessing a value are called-

• Intangible assets

• Current assets

• Investments

• Fixed assets

Calculate the Profit earned or loss incurred when CASH BASIS OF ACCOUNTING IS FOLLOWED.

Cash sales- 500,000

Insurance paid in advance- 2500

Credit purchases- 125,000

Cash Purchases- 275,000

• 497,500

• 97,500

• 222,500

• 375,000