Q-1: A Give one word/Phrase or term for each of the following statements.

(05)
1. Property of any description owned by the proprietor
2. The tax imposed by Central Government on Goods and Services
3. Brief explanation of an entry.
4. The French word from which the word journal is derived.
5. Anything taken by the proprietor from business for his personal
use.
Q-1: B Select the most appropriate alternative from the foI1o»'ing and rewrite (05)
the statements:
1. Amount which is not rccoverab1e f rom customer is known as
a) Debts b) Bad Debts
c) Debtors d) Doubtful Debts
2. Suspense Account is opened when ______________ does not tally.
a)Balance sheet b)Trial balance
c) Trading Account d) P &L A/c
3. Every Debit has corresponding ______________.
a) Debit b) Credit
c) Left Side d) Right side
4. Bank Reconciliation Statement is prepared by_______________.
a) Bank b) Businessman
c) Student d) Post office
5. 5. Radha’s account is a type of ___________ account.
a) Nominal b) Businessman
c) Personal d) Real

Q-1:C Find the Odd One (05)

1. Rent, Salary, insurance, Plant & Machinery
2. Advertisement, Travelling Expenses, Factory Rent, Insurance.
3. Straight Line Method. Reducing Balance Method. Original Cost
Method, Fixed Installment Method.
4. Petty Cash Book, Two Column Cash Book, Sin ale Column Cash
Book.
5. Cash in hand, Debtors, Outstanding Income, RDD.

Q-1:D State whether the following statements are true or false (05)
1. Goodwill means a reputation of a business organization valued
in terms of money.
2. Solvent person is a person whose assets are more than his
liabilities.
3. Cash discount doesn’t appear in the books of accounts.
4. A Transaction is concerned with money or money’s worth.
5. Totaling of ledger or journal is called as casting.
Q-2: Journalise the following transactions in the books of Madhvi Traders. (Narration is (10)
required)
 Date Transactions
2022 July Started business with Cash Rs.1,00,000, Bank Balance
1st Rs.2,00,000,
and Machinery Rs.50,000.
4th Paid Salary to Mr.Mangesh Rs.15,000.
7th Purchased a Ntachinery worth Rs.2,00,000 trom L&T Ltd. at 28%
GST
and amount paid by Debit Card.
10th Deposited into Bank of Baroda Rs.1,00,000.
12th Paid Life Insurance Premium of Ms.Madhvi Rs.5,000 from
business
bank account.
15th Sold Goods to Sanjay Rs.1,00,000 @, 10% T.D and 5% C.D and
received 1/2 amount by cash
21st Received Dividend from Infosys Ltd Rs.5,000 by cheque.
Q-3: Pass journal entries (without narration) for the following transactions in the (10)
books of Vinay and prepare the ledger accounts of Capital A/c, Bhushan’s
A/c, and Wages A/c and balance the ledger accounts.

2019

 Jan. 1 - Started business with cash Rs. 10,000.

 Jan. 2 - Sold goods to Bhushan on credit Rs. 2,400.
 Jan. 3 - Received on account from Bhushan Rs. 1,000.
 Jan. 4 - Cash purchases Rs. 3,600.
 Jan. 5 - Paid wages Rs. 400.

Q-4 Prepare two columns Cash Book of Choksi & Choksi Brothers (10)

2019 March

 1st - Cash Balance Rs. 13,000 and Bank Overdraft Rs. 18,000.
 2nd - Received from Neha cash Rs. 1,700 and bearer cheque Rs. 500.
 7th - Paid to Dhanraj Rs. 6,000 by cheque.
 8th - Cash sales Rs. 6,545 and discount allowed Rs. 55.
 10th - Cheque received on 2nd March 2019 deposited in Bank.
 12th - Deposited into bank Rs. 5,000.
 13th - Goods purchased from Prachi on credit Rs. 5,000.
 15th - Cheque received from Neha returned dishonoured.
 20th - Purchased goods from Sweety Rs. 5,000 at 7% T.D. and paid
half the amount immediately.
 22nd - Bank paid insurance premium Rs. 1,000 and collected
interest on investment Rs. 1,650.
 24th - Cheque issued to Dhanraj was dishonoured.
 26th - Gupta Stores directly deposited into our Bank A/c Rs. 7,500.
 30th - Deposited cash in excess of Rs. 3,000 into Bank.
Q-5: Mr. Param gives you the following information and asks you to prepare (8)
Purchase Book, Sales Book, Purchase Return Book, and Sales Return
Book for the month of January 2018. (10)

2018 Jan.

 1st - Purchased goods on credit from Dhanal Traders for Rs. 15,000
and sold the same to Kunal Traders at a profit of 25% on cost.
 5th - Placed an order with Sunetra for goods of Rs. 10,000 less 5%
Trade Discount.
 8th - Purchased goods of Rs. 20,000 at 10% Trade Discount from
Saurabha Traders.
 13th - Sold goods to Vinayak Stores Rs. 8,000 at 5% Trade
Discount.
 15th - Vinayak Stores returned goods to us Rs. 200 (Gross).
 18th - Sunetra executed our order placed on 5th Jan. 2018.
 20th - Sold goods to Vishnu Traders Rs. 21,000 less 5% Trade
Discount.
 22nd - Returned goods to Sunetra Rs. 1,000 (Gross).
 28th - Kunal Traders returned goods to us Rs. 500.
 30th - Returned goods to Saurabha Traders Rs. 1,500 (Gross).

OR

Q-5: Trial Balance of Shahid did not agree. Rectify the following Errors. (8)
(Use Suspense A/c wherever necessary) (08)

1. Amount paid on registration of Motor car Rs. 800 was recorded as

legal charges.
2. Repairs to Machinery Rs. 300 debited to Machinery account.
3. Repairs paid for the overhauling of second-hand machinery purchased
Rs. 1,000 was debited to the repairs account.
4. Purchased material Rs. 90,000 and paid wages of Rs. 10,000 for the
construction of a building, not recorded in books.
5. Furniture purchased for Rs. 6,000 was posted to the purchase account
as Rs. 400.
6. Old machinery sold to Ram at Rs. 1,000 was recorded through the
Sales book.
7. Total of Sales Returns Book Rs. 2,000 was not posted to the ledger.

Q.6: On 31st March, 2019 the Cash book of Mr. Dhruv showed a bank balance (10)
of Rs. 57,400, but Pass book showed a different balance.
On comparing the Cash book with the Pass Book, the following discrepancies
 were noted: (08 Marks)

i. Cheque of Rs. 6,350 deposited into bank but was not yet collected by bank.
ii. Bank paid our electricity bill Rs. 9,700, which was not recorded in the Cash
Book.
iii. Cheque issued to our supplier Rs. 15,100 was not presented for payment
up to 31st March, 2019.
iv. Interest on investment Rs. 8,800 was collected by the bank but was not
recorded in the Cash Book.
v. Bank Charges Rs. 650 was debited in Pass Book.
vi. Mr. Vinay, our debtor, directly deposited Rs. 12,000 into our bank account
on 28th March, 2019, which was not entered in the Cash Book.

Prepare a Bank Reconciliation Statement as on 31st March 2019.

OR

Q-6: Prabhakar and Sons Aurangabad made Furniture for their own office on
1st October, 2015.
For this, they had spent Rs. 72,000 on Materials and Rs. 32,000 on Wages.
The estimated life of Furniture is 10 years and its expected scrap value at the
end of it would be Rs. 24,000.

They sold the entire Furniture for Rs. 80,000 on 1st October, 2018.
They close the books of accounts on 31st March every year.

Show the Furniture A/c, Depreciation A/c for the years 2015-16, 2016-17,
2017-18 & 2018-19 and also pass Journal entries for the year 2015-2016.
(12 Marks)

Q-7: From the following Trial Balance of Vrisha Enterprises, you are required to
prepare Trading Account, Profit & Loss Account for the year ending on
31st March, 2018 and Balance Sheet on that date.

Trial Balance as on 31st March, 2018

Particulars Debit (Rs.)

Credit (Rs.)
Opening Stock 45,200 -
Capital - 3,00,000
Drawings 20,000 -
Furniture 60,000 -
Prepaid Insurance 1,770 -
Purchases & Sales 70,000 1,29,250
Debtors and Creditors 57,000 1,20,000
Plant & Machinery 50,000 -
Investment 68,000 -
Factory Insurance 26,000 -
Audit Fees 21,000 -
Carriage Inward 1,800 -
Land & Building 1,40,000 -
Rent 7,120 6,000
Reserve for Bad Debts 8,360 9,000
Carriage Outward 2,000 -
Returns 1,000 7,000
Discount - 8,000
Commission Received - 8,000
TOTAL 5,79,250 5,79,250

Adjustments:

1. Write off Bad Debts Rs. 2,000 and provide 2.5% reserve for Bad
Debts on debtors.
2. Closing stock valued at Cost Price Rs. 46,000 and Market Price Rs.
40,000.
3. Provide depreciation at 5% on Building and 10% on Machinery.
4. Rent prepaid Rs. 3,000.
5. Outstanding Carriage Inward is Rs. 1,200.