Which one of the following is not a branch of accounting?

(a)

Financial accounting

(b)

Management accounting

(c)

Human resources accounting

(d)

None of the above

When goods meant for resale are sold it is called as ______

(a)

Purchases

(b)

Sales

(c)

Income

The profounder of double entry system of book-keeping is ___________

(a)

J. R. Batlibai

(b)

Luca Pacioli

(c)

Old Kesal

(d)

Menhar

The incorrect accounting equation 

(a)

Assets = Liabilities + Capital

(b)

Assets = Capital + Liabilities

(c)

Liabilities = Assets + Capital

(d)

Capital = Assets - Liabilities

Madhan spent Rs.2,000 as repair on purchases of machine from scrap dealer. The transaction will ____

(a)

Increase and decrease Asset

(b)

Decrease Assets and Capital

(c)

Increase and decrease Asset

(d)

Increase and Decrease Liability

If the total of the debit side of an account exceeds the total of its credit side, it means

(a)

Credit Balance

(b)

Debit Balance

(c)

Nil Balance

(d)

Debit and Credit Balance

________ accounts give the net amount due to creditor and the net amount due from debtors.

(a)

Real

(b)

Personal

(c)

Nominal

(d)

Ledger

The account which has a debit balance and is shown in the debit column of the trial balance is_______

(a)

Sundry creditors account

(b)

Bills payable account

(c)

Drawings account

(d)

Capital account

Sales book is used to record_____

(a)

all sales of goods

(b)

all credit sales of assets

(c)

all credit sales of goods

(d)

all sales of assets and goods

A Bill is drawn on 1.4.2004 for 2 months, its due date is _____

(a)

1.6.2004

(b)

3.6.2004

(c)

4.6.2004

(d)

4.4.2005

If the debit and credit aspects of a transaction are recorded in the cash book, it is ______.

(a)

Contra entry

(b)

Compound entry

(c)

Single entry

(d)

Simple entry

When money is withdrawn from bank, the bank _______.

(a)

Credits customer's account

(b)

Debits customer's account

(c)

Debits and credits customer's account

(d)

None of these

A time gap between the depositing of the ________________ and the collection by the bank.

(a)

cash

(b)

cheques

(c)

petty Cash

(d)

none of these

The difference in trial balance is taken to _______.

(a)

The capital account

(b)

The trading account

(c)

The suspense account

(d)

The profit and loss account

Depreciation is provided on ____________

(a)

Fixed assets

(b)

Current assets

(c)

Outstanding charges

(d)

All assets

Under which method of depreciation, interest is also taken into consideration?

(a)

Revaluation method

(b)

Depletion method

(c)

Annuity method

(d)

None of the above

An asset worth Rs. 1,00,000 is sold for Rs. 75,000 the capital loss amounts to __________

(a)

Rs.1,75,000

(b)

Rs.1,00,000

(c)

Rs.75,000

(d)

Rs.25,000

Goodwill is classified as _______.

(a)

A current asset

(b)

A liquid asset

(c)

A tangible asset

(d)

An intangible asset

The Trial Balance as on 31-03-2016 shows capital Rs.5,00,000. Interest on capital at 6% p.a. is ______

(a)

Rs.5,00,000

(b)

Rs.30,000

(c)

Rs.5,30,000

(d)

Rs.2,50,000

Customised accounting software is suitable for _______.

(a)

Small, conventional business

(b)

Large, medium business

(c)

Large, typical business

(d)

None of the above

What is solvency?

How are personal accounts classified?

Explain the principle on which the agreement of trial balance is based.

What is credit note?

Who prepares a bank statement?

State the account/s affected in each of the following errors:
(a) Goods sold to Vasu on credit for Rs.1,000 was not recorded in the sales book.
(b) The total of sales book Rs.2,500 was posted twice.

What is annuity method?

What is meant by revenue expenditure?

How will the following adjustment appear in the balance sheet as on 31-12-2010?
Sundry Debtors Rs.21,000
Bad debts to be written off Rs.1,000
Provide 5% provision for bad and doubtful debts and 2% provision for discount on debtors.

What is a computer?

Discuss the role of an accountant in the modern business world.

What are the basic concepts of accounting?

What is the accounting treatment for insurance premium paid on the life of the proprietor?

Indicate the nature of normal balance in the following accounts.
(a) Cash  (b) Creditors  (c) Sales (d) Furniture   (e) Commission received (f) Debtors  (g) purchases  (h) Capital   (i) Salaries and   (j) Computer

What are the various types of subsidiary books?

Enter the following transactions in a simple cash book of Kuna 

2017
Jan		Rs
1	Cash in hand	11,200
5	Received from ramesh	300
7	Pain Rent	30
8	Sold goods for cash	300
10	Paid mohan	700
27	Purchased furniture for cash	200
31	Paid salaries	100

The following errors were located after the preparation of the trial balance. Assume that there exists a suspense account. Rectify them.
(a) Sale of goods on credit to Arun for Rs. 152 posted to his account as Rs. 125.
(b) Bought goods from Lakshmi on credit for Rs. 550, credited to her account as Rs. 505.
(c) Purchase of furniture from Abirupa for Rs. 404 on credit was debited to furniture account as Rs. 440.
(d) Purchased machinery for cash Rs. 200 was not posted to machinery account.
(e) The total of purchases book Rs. 89 was carried forward as Rs. 98.

Opening stock Rs. 30,000, Purchases Rs. 54,600, Expenses Rs. 6,000, Sales Rs.90,000, Expenses on sales Rs. 3,000, Closing stock Rs. 36,000. Calculate Cost of goods sold and Gross profit.

Sundry debtors as per trial balance as on 31^st March, 2016 is Rs. 10,000.
Adjustment: Write off bad debts amounting to Rs. 300.
Give adjusting entry and show how these appear in the final accounts as on 31^st March, 2016.

State the input and output devices of a computer system.

1. Explain the Accounting cycle

2. Deepak is a dealer in stationery items. From the following transactions, pass journal entries for the month of January and February, 2018

   Jan		Rs
   1	Commenced bussiness with cash	2,00,000
   2	Opened a bank account by deposited cash	1,00,000
   3	'A 4 paper' sold on credit to Padmini and Co	60,000
   4	Bills received from Padmini and Co. for the amount due
   5	Bills received from Padmini and Co. discounted with the bank	58,000
   Feb
   15	Bills of Pad mini and Co. dishonoured

1. Pass journal entries for the following transactions and post them in the ledger accounts.

   2017 June   1	Basu started business with cash Rs. 50,000
   4	Purchased furniture by paying cash for Rs. 6,000
   7	Purchased machinery on credit from Harish Rs. 10,000
   10	Bought goods for cash Rs 4,000
   18	Paid insurance premium Rs 100

2. Prepare the trial balance from the following information:

   Name of the account	Rs	Name of the account	Rs
   Bank Loan	2,00,000	Purchases	1,80,000
   Bills Payable	1,00,000	Sales	3,00,000
   Stock	70,000	Debtors	4,00,00
   Capital	2,50,000	Bank	2,00,000

1. From the following information, prepare the necessary subsidiary books for Nalanda Book Stores.

   2017 Dec. 1	Bought from M/s. Umadevi on credit
   	100 copies Business Statistics Book @ Rs. 80 each
   	100 copies Accountancy Book @ Rs. 150 each
   Dec. 7	Sold to Sridevi & Co., on credit
   	240 copies Business Statistics @ Rs. 90 each
   	250 copies Accountancy books @ Rs. 170 each
   Dec. 10	Bought from Subha & Co.,
   	40 Copies Economics books @ Rs. 80 each
   	Less: 15% Trade Discount
   Dec. 15	Returned to Mis. Vma Devi 10 copies of damaged Accountancy book for which cash is not received
   Dec. 18	Sold to Gupta Bros., on credit
   	200 copies of Economics book @ Rs. 95 each
   Dec. 26	Returned 6 copies of Economics books to Subha & Co.,

2. Enter the following transactions in the double column cash book of Mr. Srinivasan.

   2002 May	Particulras	Rs
   1	Cash in hand	50,000
   3	Cash Paid to Rajan	6,000
   	Discount allowed by him	100
   6	Cash Purchases	10,000
   10	Received cash from Arun Rs 2,900 and allowed hime discount	100
   13	Cash Sales	15,000
   15	Electricity charges paid	1,000
   18	Paid for miscellaneous expenses	2,000
   20	Received cash from Murali	3,450
   	Discount allowed	50

1. Prepare a analytical petty cash book from the following information on the imprest system:

   2017		Rs
   Jan 1	Received for petty cash	500
   Jan 2	Paid rickshaw charges	5
   	Paid cartage	12
   Jan 3	Paid for postage	15
   	Paid wages to casual labourer	66
   Jan 4	Paid for stationery	134
   	Paid for auto charges	18
   Jan 5	Paid for repairs	65
   	Paid for bus fare	11
   	Paid for cartage	24

2. From the following information, prepare bank reconciliation statement as on 31^st December, 2017 to find out the balance as per bank statement.

   Particulars	Rs
   (i) Bank overdraft as per cash book	20,000
   (ii) Cheques deposited but not yet credited	4,000
   (iii) Cheque issued but not yet presented for payment	1,000
   (iv) Rent collected by the bank as per standing instruction	500
   (v) Interest on overdraft debited by bank	2,000
   (vi) Amount wrongly debited by bank	300
   (vii) Cheque issued on 30th December 2017 dishonoured by the bank	5,000
   (viii) A customer's cheque deposited in the bank dishonoured by bank not recorded in the book	2,000

1. Pass journal entries to rectify the following errors located after the preparation of the trial balance. Assume that there exists a suspense account.
   (a) The total of sales book was undercast by Rs. 2,000.
   (b) The purchase of machinery for Rs. 3,000 was entered in the purchases book.
   (c) A credit sale of goods for Rs. 450 to Mathi was posted in his account as Rs. 540.
   (d) The purchases returns book was overcast by Rs. 200.
   (e) The total of sales book Rs. 1,122 were wrongly posted in the ledger as Rs. 1,222.

2. A manufacturing company purchased on 1 April, 2010, a plant and machinery for Rs. 4,50,000 and spent Rs. 50,000 on its installation. After having used it for three years, it was sold for Rs. 3,85,000. Depreciation is to be provided every year at the rate of 15% per annum on the fixed instalment method. Accounts are closed on 31^st March every year. Calculate profit or loss on sale of machinery.

1. Classify the following receipts under capital and revenue.
   i) Rs.3,00,000 worth of debentures are issued for raising loan.
   ii) Rs.5,000 received as dividend from the investment on shares.
   iii) Gokul started business with Rs.4,00,000.
   iv) A machinery costing Rs.50,000 was sold for Rs.50,000.
   v) Creditors allowed discount Rs.30,000.

2. From the following information, prepare trading account for the year ending 31st December 2017.

   Particulars	Rs	Particulars	Rs
   Opening stock	50,000	Dock charges on purchases	4,000
   Cost of goods manufactured	12,000	Import duty on purchases	3,500
   Cash purchases	60,000	Wages	11,000
   Cash sales	85,000	Sales returns	3,000
   Purchases returns	2,000	Credit purchases	35,000
   Carriage inwards	4,000	Credit sales	60,000
   Freight outwards	3,000	Other direct expenses	7,000
   Coal and fuel	2,500

1. Given below are the balances of Pandian as on 31st March, 2016.

   Particulars	Debit Rs.	Credit Rs.
   Capital		1,20,000
   Sundry debtors and creditors	22,000	22,500
   Sales		59,700
   Drawings	2,000
   Cash in hand	8,200
   Cash at bank	30,000
   Wages	2,500
   Purchases	10,000
   Opening stock	30,000
   Business premises	60,000
   Bills receivable	14,500
   Office telephone expenses	3,500
   General expenses	9,000
   Goodwill	10,500
   	2,02,200	2,02,200

   Adjustments:
   (a) The stock value at the end of the accounting period was Rs. 5,000
   (b) Interest on capital at 6% is to be provided
   (c) Interest on drawing at 5% is to be provided
   (d) Write off bad debts amounting to Rs. 2,000
   (e) Create provision for bad and doubtful debts on sundry debtors @ 10%
   Prepare final accounts for the year ended 31st March, 2016.

2. Calculate depreciation under Straight Line Method using Spreadsheet based on the details given below.

   A	B	C	D	E	F
   Asset	Cost of purchase Rs	Installation charge Rs	Transportation charge Rs	Salvage value Rs	Life in years
   1. Machinery	200000	20000	5000	25000	10
   2. Furniture	50000	4000	2000	5000	8