ST.

XAVIER’S PUBLIC SCHOOL DALLA

CLASS -XI

Half Yearly

Accountancy
Instructions
Read all the questions carefully before attempting them.
13-09-24
Duration: 3 Hours 00 Mins
SESSION: 2024 – 25
MARKS: 80
General Instructions:
Read the following instructions very carefully and strictly follow them:
(i) This question paper contains 34 questions. All questions are compulsory.
(ii) Marks are indicated against each question.
(iii) Answers should be brief and to the point.
(iv) Answers to questions carrying 3 marks may be from 30 to 55 words.
(v) Answers to questions carrying 4 marks may be in about 130 words.
(vi) Answers to questions carrying 6 marks may be in about 180 words.
(vii) Attempt all parts of a question together.

Questions no. 1 to 20 are Multiple Choice Questions (MCQs), carrying 1 mark each.
20x1=20

1. Which is the last step of accounting as a process of information? (A) Recording of data
in the books of accounts (B) Preparation of summaries in the form of financial
statements (C) Communication of information (D) Analysis and interpretation of
information C
2. If the Capital of a business is ₹ 1,20,000 and outside liabilities are ₹ 40,000. Calculate
total assets of the business. (A) ₹ 80,000 (B) ₹ 1,20,000 (C) ₹ 1,60,000 (D) ₹ 1,50,000
3. The art of recording all business transactions in a systematic manner in a set of books
is called (A) Journal (B) Bookkeeping (C) Ledger (D) None of these B
4. Long term assets without any physical existence but, possessing a value are called (A)
Intangible assets (B) Fixed assets (C) Current assets (D) Investments A
5. Accounting starts: (A) Where book-keeping begins (B) Where book-keeping ends (C)
Where book-keeping are not maintained at all (D) After preparing final accounts
6. Goods means: (A) Commodity to be bought and sold (B) Commodity to be bought but
not to be sold (C) Commodity to be used as an asset (D) All of the above
7. According to Dual Aspect Concept, the system of recording transactions is called: (A)
Double Account System (B) Double Entry System (C) Double Book System (D) All of the
above
8. As per going concern concept business will continue to exist: (A) For a limited period (B)
For 10 years (C) For 25 years (D) For a long period in the future
9. According to which concept even the proprietor of the business is treated as a creditor
of the business: (A) Going concern concept (B) Cost concept (C) Business entity concept
(D) Accounting period concept
10.If Total assets of a business are ₹ 10,00,000 and capital is ₹ 5,00,000. Calculate creditors. (A) ₹
4,00,000 (B) ₹ 5,00,000 (C) ₹ 6,00,000 (D) ₹ 7,00,000
11.First step in accounting process is: (A) Recording in the books of original entry (B)
Posting to Ledger (C) Identification of Transaction (D) Preparation of Trial Balance
12.In accrual basis recording in made of: (A) Cash transactions (B) Credit transactions (C)
Cash as well as Credit transactions (D) None of the above
13.Accounting standards should be: (A) Simple (B) Understandable (C) Simple and
Understandable (D) None of the above
 14.Which of the following is not a limitation of accounting? (A) Window dressing (B) It
ignores the effect of price level changes (C) It ignores qualitative elements (D) Can be
used as evidence in court
15.Which equation is incorrect out of the following: (A) Assets = Liabilities + Capital (B)
Capital = Assets - Liabilities (C) Liabilities = Assets - Capital (D) Assets = Liabilities –
Capital
16.Purpose of financial accounting is to ascertain: (A) Profit or Loss (B) Value of assets and
liabilities (C) Financial position (D) Profit and Loss and Financial position

Assertion reason questions

Read the following statement carefully and choose the correct alternative from the following:
Alternatives:
(I) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of
Assertion (A). (II) Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct
explanation of Assertion (A).
(III) Assertion (A) is true but Reason (R) is false.
(IV) Assertion (A) is false but Reason (R) is true.

17.Assertion (A): In case of goods costing ₹ 30,000 is sold for cash for ₹ 40,000, the
accounting equation will hold true because it will lead to increase in cash by ₹ 40,000
and decrease in stock by a similar amount i.e., ₹ 40,000.
Reason (R): In the above mentioned case accounting equation will hold true because
cash will increase by ₹ 40,000; Stock will decrease by ₹ 30,000 and capital will increase
by ₹
10,000.
(A) I (B) II (C) III (D) IV
18.Assertion (A): Double entry system means that each transaction is recorded twice.
Reason (R): Double entry system means that each transaction affects at least two
accounts in opposite directions. One of them is debited and the other is credited.
(A) II (B) IV (C) III (D) I
19.Assertion (A): A journal records both the debit and credit aspects of a transaction.
Reason (R): Transactions are recorded in Journal according to the double entry system
of book-keeping.
(A) I (B) III (C) II (D) IV
20.Assertion (A): Journal is a book of original entry in which transactions are recorded first
of all, as and when they take place.
Reason (R): Transactions are recorded in Journal in chronological order.
(A) IV (B) I (C) III (D) II
21.(a) Explain Trade discount with example.
3
OR
(b) What is a Capital expenditure? Give example.
3
22.(a) Explain Cash discount with example.
3
OR
(b) What is a Revenue expenditure? Give example. 3
23.Following information provided: 3
 Transaction Amount
Cash Sales ₹ 14,00,000
Credit Purchase ₹ 4,00,000
Cash Purchase ₹ 5,00,000
Expenses (Out of which ₹ 20,000 is still to be paid ₹ 1,00,000
Find out the net profit or loss as per cash basis of accounting.
24.Pass the journal entry on the basis of following information.
3
Assets: Cash ₹ 10,000; Bank balance ₹ 50,000; Debtors ₹ 30,000; Stock ₹ 1,00,000; Furniture ₹
50,000.
Liabilities: Capital ₹ 2,00,000; Sundry Creditors ₹ 50,000.
25.(a) What is Going concern concept?
4
OR
(b) On the basis of the following information prepare Balance sheet.
4
Cash ₹ 60,000; Capital ₹ 90,000; Bank ₹ 30,000; Stock ₹ 70,000; Furniture ₹ 40,000; Creditors ₹
1,10,000.
26.(a) What is Accrual Basis of Accounting? Write any Advantage of it.
4
OR
(b) Ram Naresh started business on 1st April 2022 with capital of ₹ 8,00,000 and a loan of ₹
2,00,000 from bank. On 31st March 2023 his assets were ₹ 16,00,000. Find out his Capital on 31st March 2023
and Profit made or Losses incurred during the year 2022-223. 4
27.(a) What is Cash Basis of Accounting? Write any Dis-Advantage of it.
4
OR
(b) “XYZ” commenced his cloth business on 1 st April, 2022 with a capital of ₹ 4,00,000. On
31st March, 2023 his assets were worth ₹6,00,000 and liabilities ₹ 2,00,000. Find out his closing capital and
profits earned during the year.
4
28.(a) Define assets and its types. 4
OR
(b) Explain inventory and its types.
4
29.Fill in the missing information in the following journal entries:
4
 Amount Amount
S. No. Particulars L.F.
(Dr.) (Cr.)
Dr.
1 To
(Goods costing ₹ 1,00,000 destroyed by fire)
₹ 5,000
2 ₹ 5,000
(Interest due but not received)
Dr. ₹ 50,000
Dr. ₹ 2,000
3
To ₹ 52,000
(Purchased goods and paid carriage)
Dr. ₹ 25,000
To ₹ 25,000
4
(Custom duty paid by cheque on import of a new
machinery)
30.Pass the necessary journal entries:
4
Sold goods to shanti on March 25 th for ₹ 2,00,000, allowed her 15% trade discount 5% cash discount
if the payment is made within 15 days. She paid 1/5th of the amount by cheque on March 5th and 50% of the
remaining on March 15th in cash.
31.(a) Distinguish between Cash Basis of accounting and Accrual Basis of accounting.
6
OR
(b) Govind and Co. gives you the following information for the year ended 31 st March,
2023: 6
Transaction Amount
Cash Sales ₹ 9,00,000
Credit Sales ₹ 7,50,000
Cash Purchase ₹ 4,50,000
Credit Purchase ₹ 2,00,000
Salary Paid ₹ 70,000
Salary Outstanding ₹ 20,000
Rent Paid for 11 months ₹ 44,000
Insurance Expenses Paid (including prepaid ₹ 10,000) ₹ 30,000
Income received in advance ₹ 10,000
Income earned but not received ₹ 25,000
Income received (excluding income received in advance) ₹ 5,000
Determine the profit or loss if he adopts (i) Cash Basis of Accounting, and (ii) Accrual
Basis of Accounting.
32.(a) Distinguish between Book-keeping and Accounting.
6
OR
(b) 6
33.(a) Distinguish between Accounting Concepts and Accounting Conventions.
6
OR
(b) 6
34.(a) 6
OR
(b) 6