Q.1. The following balances appear in the books of Y Ltd.

The following balances appear in the books of y Ltd:

Machinery A/c as on 1-4-2014 800000

Provision for Depreciation A/c as on 1-4-2014 3,10,000

On 1-7-2014, a machinery which was purchased on 1-4-2011 for *1,20,000 was sold for $50,000 and
on the same date another machinery was purchased for $3,20,000.

The firm has been charging depreciation at 15% p.a. on Original Cost Method and closes its books on
31st March every year. Prepare the Machinery A/c and Provision for Depreciation A/c for the year
ending 31st March 2015

Q.2 (a) Yogesh commenced business on 1st April, 2017 with a Capital of

5,00,000 and a loan of 1,00,000 borrowed from Citi Bank. On 31st March, 2018, his

assets were 8,00,000. Calculate his closing capital and profits earned during the year.

(b) If in the above case, the proprietor had introduced fresh capital of 40,000 and had withdrawn
10,000 for personal purposes, calculate his profits.

Q.3. Show the accounting equation on the basis of following transactions :

(i) Commenced business with Cash 20,000; Goods 50,000 and Furniture 30,000.

(ii) Purchased goods from Gopal on Credit 40,000.

(iii) Sold goods for Cash ₹40,000 (Costing ₹30,000).

(iv) Sold goods to Ram on Credit ₹65,000 (Costing ₹50,000).

(v) Withdrew for personal use goods costing ₹5,000.

(vi) Purchased typewriter for personal use of the proprietor 20,000.

(vii) Purchased chairs for office use for Cash 10,000.

(viii) Paid for printing 500 and received Commission ₹1,200.

(ix) Introduced fresh Capital 40,000.

(x) Paid to Gopal ₹30,000..

(1) Proprietor withdrew for his personal use cash 20,000 and goods worth 10,000.

(2) Goods for 50,000 were given away as charity. (Sale price ₹60,000)

(3) Goods worth 25,000 were distributed as free samples.

(4) Goods worth 50,000 and cash 20,000 were stolen by an employee. (Goods worth 1,00,000 were
destroyed by fire. Insurance Company admitted

and paid claim for 60% amount.

Q.5. Pass Journal Entries for the following:-

2017 March 2 Purchased an Iron Safe for business for 1,00,000 and payment made by cheque.
March 3 Purchased filing cabinet for office use 40,000 and paid 200 as cartage on it.

March 4 Purchased a Computer from Radha Kishan & Co. for 80,000 on credit.

March 5 Purchased an electric fan for 20,000.

March 6 Purchased a 'Horse' for business for 1,50,000 and payment made by cheque.

March 7 Purchased Post Cards for 250; Envelopes for ₹500 and Stamps for ₹1,000.

March 8 Purchased office stationery for ₹4,000.

March 15 Gave as Charity - Cash ₹2,000 and Goods ₹4,000.

March 20 The horse bought on March 6 died, its carcass was sold for ₹10,000.

March 25 Sold household furniture for ₹1,00,000 and paid the money into business.

March 31 Paid to landlord by cheque 1,20,000 for rent. One third of the building is occupied by the
proprietor for residential use.

Q.6 Pass entries in the books of Deepak of Gujarat for the following transactions:

2018

Feb. 2 Purchased goods from Anupriya of Gujarat for ₹2,50,000. (CGST @9% and SGST @9%)

Feb. 5 Purchased goods from Rana Rathore of Rajasthan for ₹3,00,000 (IGST @12%)

Feb. 10 Sold goods to Gurdeep Sidhu of Gujarat for ₹2,00,000. (CGST @9% and SGST @ 9%)

FEB12 Paid railway freight 15,000. (CGST @9% and SGST @9%)

Feb. 16 Purchased Computer Printer for office for 80,000 from Dell Ltd. on credit. (CGST @6% and
SGST @6%)

Feb. 24 Sold goods to Ganga Ram of U.P. goods for 4,20,000 against cheque which is deposited into
the bank.

(IGST @18%)
Feb. 25

Paid for Broad-band services 10,000 by Cheque.

(CGST @6%, SGST @6%)

Feb. 2

Payment made of balance amount of GST.

Q.7.CASHBOOK
: Jan. 1

Cash in hand 50,000; Bank overdraft ₹1,90,000.

Jan. 2 Purchased goods from Rajesh Kumar of the list price of 50,000 at 5% trade

discount and payment made by cheque.

Jan. 6 Goods sold for 80,000 and payment received by cheque. Cheque deposited into

Bank on same day.

Jan. 10 Goods purchased for cash ₹19,800.

Jan. 15 Furniture sold for ₹1,77,000 and payment received by cheque & cheque deposited

into Bank on same day.

JAN 18 Salaries paid ₹4,500.

JAN21Settled the amount due to Ram ₹2,000 by paying cash ₹1,910.

Jan. 22 Cash received from Jai 14,780 in full settlement of his account of ₹15,000.

JAN 23 Paid Life Insurance premium ₹1,500.

JAN 31 Deposited with bank the entire balance after retaining ₹7,000 cash in hand.

Q.8 . Record the following transactions in a Petty Cash Book with suitable columns. The book is kept
on imprest system, amount of imprest being ₹4,000.

2020

April 1 Petty cash in hand 540. Received cash to make-up the imprest.

Paid for office cleaning ₹100.

April 4 Paid railway fare 320, bus fare 280, wages ₹150.

April 5 Bought shorthand note books for office ₹370.

April 7 Paid carriage on parcels 150, paid for wages ₹220.

April 12 Paid for repairs 200, gave tips to office peon ₹150.

April 13 Gave charity 100, served tea to customers ₹250.

April 15 Paid for wages 160, rewards to servant 100.

Q.9. Prepare Return Books of M/s Gupta Brothers, Jaipur (Rajasthan) from the following transactions
assuming CGST @ 6% and SGST @ 6% :-

2018

March 7

Returned to Arora & Co., Nai Sarak, Delhi, being not according to samples:-

10 Chairs @ 2,000 each

1 Table for 5,000

Less: 20%

MARCH 10

Subhash Furniture Co., Faridabad (Haryana) returned to us :-

2 Broken Almirahs @ 11,000 each

Less: 15%

MARCH 20

Returned to Fateh Chand & Co., Jaipur, the following goods for being damaged in transit :-

5 Chairs @ 1,600 each

Less: 10%

MARCH 25

Ravi Saxena, Jaipur returned to us the following, being not of specified quality:-

1 Dining Table for ₹10,000

5 Chairs @ 2,000 each

Less: 15%
Q10. On 30th June, 2020 the Pass Book of Sh. Mahabir Prashad showed a balance of ₹22,000. On
comparing the Pass Book with Cash Book the following differences were found :-

1. Mahabir Prashad had paid into the Bank on 26th June four cheques for ₹3,000; ₹6,000; ₹8,000
and 10,000. Of these, the cheque for ₹6,000 was credited by the bank in July 2020.

2. On 23rd June three cheques were drawn for 12,000; 13,000 and ₹16,000. The first two cheques
were presented to the bank for payment in June and the third in July 2020.

3. Cheques amounting to 3,600 were deposited in the bank but no entry was passed in the Cash
Book.

4. Bank charges entered in Cash Book twice ₹50.

5. Cheque received entered twice in the Cash Book ₹3,200.

Prepare a Bank Reconciliation Statement as on 30th June 2020