INDIAN SCHOOL AL WADI AL KABIR

DEPARTMENT OF COMMERCE

SAMPLE PAPER 2- 2024-2025

ACCOUNTANCY (055)

CLASS: XI TIME: 3 Hours MARKS: 80

General Instructions:
1. All questions are compulsory.
2. Read the questions carefully and attempt all the parts of the questions at one place.
3. While answering the MCQ’s write the selected option number along with the answer.

1. The art of recording all business transactions in a systematic manner in a set of 1

books is called
A. Accounting
B. Bookkeeping
C. Ledger Posting
D. Balancing

2. ASSERTION (A): Reliability, relevance, understandability, comparability are the 1

qualitative characteristics of accounting information.
REASON (R): Qualitative attributes make the accounting information useful to
users.

A. Assertion and Reason are correct and Reason is the correct explanation of
Assertion.
B. Assertion and Reason are correct and Reason is not the correct explanation
of Assertion.
C. Assertion and Reason both are incorrect.
D. Assertion is correct; Reason is incorrect

3. Terminology Examples 1
1.Non-current assets a. Long Term loans
2.Current liability b. Machinery
3.Non-current c. Goodwill
liability
4.Intangible assets d. Outstanding
rent

Match the above terms with example:

A. 1-b; 2-a; 3-d; 4-c
B. 1-b; 2-d; 3-a; 4-c
C. 1-c; 2-a; 3-d; 4-b
D. 1-d; 2-c; 3-b; 4-a
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4. Kamini purchased goods from Nisha on credit. 1
Which document will be issued by Nisha to Kamini?
A. Cash Memo
B. Invoice
C. Credit Note
D. Receipt.

5. A Mobile repainting shop installs air conditioners for customers comfort. 1

Identify the type of expenditure incurred by the shop.
A. Revenue Expenditure
B. Capital Expenditure
C. Deferred Revenue Expenditure
D. Recurring Expenditure.

6. Identify the item on which GST is not applied. 1

A. Educational services
B. Electronic Goods
C. Rent of premises
D. Clothes and dress material

7. A firm held stock which was purchased for ₹ 3,000 but due to heavy market 1
demand the stock value is expected to be ₹ 3,300. The normal accounting
procedure is to ignore the higher value because of the ___________ concept.
A. Money Measurement
B. Verifiable objective
C. Conservatism
D. Dual aspect

8. Which one of the following is not a feature of accounting principle? 1

A. Rigid
B. Man made
C. Flexible
D. Generally Accepted

9. Fixed assets are depreciated every year following a particular method. 1

Identify the accounting principle from the above statement.
A. Materiality
B. Business entity
C. Consistency
D. Going Concern

10 Which one of the following is an example of objectivity concept? 1

A. The method selected for depreciating fixed assets is followed year after year.
. B. Purchase of pen is treated as a revenue expenditure.
C. Transactions are recorded based on source documents.
D. Intelligence of the workforce cannot be recorded in the books of account.

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11 Goods sold to Irfan on credit is posted in the ledger as: 1
A. Debit of Irfan’s A/c and credit of sales A/c
. B. Debit of Cash A/c and credit of sales A/c
C. Debit of Sales A/c and credit of Irfan’s A/c
D. Debit of Sales A/c and credit of cash A/c

12 A motor vehicle of ₹ 1,00,000 is depreciated @10% p.a. for 6 months. What 1

will be the effect of this transaction while preparing accounting equation?
. A. Decrease Motor vehicle by ₹10,000 and decrease cash by ₹10,000.
B. Increase Motor vehicle by ₹5,000 and increase capital by ₹5,000.
C. Increase Motor vehicle by ₹5,000 and increase capital by ₹5,000.
D. Decrease Motor vehicle by ₹5,000 and decrease capital by ₹5,000.

13 In a Trial Balance, carriage inward has a (i)___ balance and return inward has a 1
(ii)___ balance.
. A.(i) debit; (ii) credit
B.(i) credit; (ii) debit
C.(i) credit; (ii) credit
D.(i) debit; (ii) debit

14 The total of cash receipt is ₹ 12,000 and the cash payment ₹ 8,000 is recorded 1
in a cash book. The accountant retained ₹ 1,000 and deposited the excess into
. bank A/c.
What is the amount deposited?
A.₹ 4,000
B.₹ 3,000
C.₹ 7,000
D.₹ 11,000

15 Monika’s Cash books shows a bank balance of ₹ 20,000. Her bank reconciliation 1
shows cheques deposited but not credited ₹ 6,000 and interest provided by the
. bank ₹ 4,000.
What will be balance as per pass book?
A.₹ 30,000
B.₹ 22,000
C.₹ 14,000
D.₹ 18,000

16 A motor car costing ₹ 1,00,000 is depreciated @ 10% p.a using written down 1
value method. What will be net book value of the car after 2 years?
. A.₹80,000
B.₹ 81,000
C.₹ 90,000
D.₹ 75,000

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17 Suman sold goods to Prashant of 8,000 at a trade discount of 10%. This 1
transaction will be recorded by Prashant in __________________.
. A. Purchase Book
B. Sales Book
C. Purchase Return book
D. Sales Return Book.

18 Goods purchased from Seema for Rs.8,500 was not posted in Seema’s A/c is an 1
example of which type of error?
. A. Error of commission
B. Error of principle
C. Error of partial omission
D. Casting error

19 Assertion (A): Balance sheet is a statement showing the assets and liabilities of 1
a firm at a certain date.
Reason (R):The purpose of Balance sheet is to show the financial position of the
firm at the a certain date.
A. Assertion and Reason are correct and Reason is the correct explanation of
Assertion.
B. Assertion and Reason are correct and Reason is not the correct explanation
of Assertion.
C. Assertion is incorrect; Reason is wrong.
D. Assertion is correct; Reason is wrong.

20 Stock costing ₹ 15,000 was donated by a firm for helping people who were 1
affected by a severe earthquake. This information was given after the trial
balance was prepared at the end of the accounting year. What is the treatment
of this adjustment while preparing the financial statement?
A. Subtract ₹ 15,000 from purchase in the Trading A/c and also from Capital in
the Balance sheet.
B. Subtract ₹ 15,000 from purchase in the Trading A/c and post the amount in
the debit side of Profit/loss A/c.
C. Subtract ₹ 15,000 from purchase in the Trading A/c and show it as asset in
the Balance sheet.
D. Subtract ₹ 15,000 from purchase in the Trading A/c and post the amount in
the credit side of Profit/loss A/c.
21 Pass the journal entries in the books of Suraj, a retailer: 3

. 2023 Sold goods to Mahima of list price ₹ 40,000 allowing her a trade
Dec 1 discount of 10%. CGST and SGST @5%

Dec 4 Interest on capital charged @ 10% p.a on ₹50,000

Dec 8 Stock worth ₹ 15,000 (Market price ₹18,000) was stolen, the
insurance company accepted the claim of 50%.

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22 The following transactions are extracted from Anya’s books of account for the 3
month of August 2021:
.
August 1. Balance due to Bimal ₹ 12,500.
August 5. Purchased goods from list price ₹ 5,000 from Bimal, Trade discount
@ 10%.
August 8. Returned goods to Bimal of list price ₹ 1,000.
August 16. Settled Alok’s A/c receiving a discount of ₹ 2,500.
Prepare Bimal’s A/c in Anya’s book.

23 Prepare a trial balance from the following list of balances: 3

. Creditors – ₹ 600
Bad debt – ₹ 200
Salaries prepaid – ₹ 2,000
General reserve –₹ 300
Book debt - ₹ 4,000
Return outward – ₹ 700

24 Prepare a Petty cash Book for Blue Sky Ltd, with an imprest amount of ₹ 1,000. 4
2023.
. Oct 1 Balance with petty cashier ₹ 700.
Oct 1 Received cash from head cashier.
Oct 3 Send letters through registered post ₹ 200.
Oct 4 Paid for printing cards ₹ 100
Oct 5 Decoration of hall ₹ 300
Oct 6 Taxi fare for Manager ₹ 200
Oct 7 Cleaning charges ₹ 100

25 Ameer maintains his book under single entry system, He started his business 4
on 1st Apr 2023 with a capital of ₹ 30,000.
. During the year he sold his laptop worth ₹ 18,000 at a profit of ₹ 2,000 and
introduced the amount into business.
He bought a sofa set for domestic use for ₹ 7,000 using the business fund.
On 31st Mar’ 2024, the total assets owned by his business was ₹ 80,000. Loan
taken from brother was ₹ 10,000 and outstanding interest on loan ₹ 1,000 and
creditors 2,000.
Calculate the amount of profit/loss for Ameer’s business.
26 Record the following transactions in a suitable cash book and derive the 6
balances:
.
2023
Apr 1. Cash at Office: ₹ 1,000; Cash at bank: ₹800
Apr 4. Received a cheque from customer ₹ 3,000 in full
settlement of ₹ 4,000.
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 Apr 10. Interest credited by bank ₹ 200.
Apr 12. Purchased goods worth ₹ 1,200 and received a cash
discount of ₹ 200. Paid half of the amount by cash and balance by
cheque.
Apr 15. A customer directly deposited ₹ 2,000 into our bank A/c.
Apr 20. Paid electricity bill of residence 150.
Apr 24. Endorsed Rohan’s cheque in favour of Kumar to settle
the due of ₹ 1,840.

27 Prepare Sales book and Sales return book for a grocery store from the following 6
details. Also prepare Sales A/c.
. 2017
Jan 1 Sold 100 kg of rice to Angad @ ₹ 50 per kg at a trade
discount of 10%, cash discount 3% and issued Invoice
No.07561
Jan 4 Angad returned 5 kg of rice.
Jan 5 Sold 300 kg of rice to Gupta @ ₹ 80 at a trade discount of
10% and received the amount after a cash discount of 5%.
Jan 6 Sold 60 kg of sugar to Rakesh @ ₹ 25 per kg. Trade discount
10%. Packing charges separately added in the invoice ₹ 200.
Jan 7 Sold 120 kg of rice @ ₹ 150 per kg and 30 Kg of sugar @ ₹ 20
to Vidya at a trade discount of 10%, Invoice No. 00225
Jan 8 Sold the old delivery vehicle for ₹ 40,000 to Shyam Lal.
Jan A credit note was issued to Vidya for 10 kg of sugar.
10

28 From the following particulars, find out bank balance as per adjusted cash book 6
and thereafter prepare Bank Reconciliation Statement as on 31st December
. 2024

(i)Overdraft per Cash Book is ₹ 10,000 as on 31st Dec 2024.

(ii) Cheques issued for ₹ 3,000 in December, out of which a cheque for ₹
1,900 was presented for payment on 5thJanuary 2025.

(iii) Direct deposit by a customer of ₹ 600 is recorded in the cash book as ₹

550
(iv) Bank charged ₹ 300,intimation of it was not received in December.

(v) Cheque received of ₹ 2,000 entered twice in the cash book.

(vi) The pass book showed a wrong debit of ₹750 for a withdrawal by a
customer having same name as ours.

(vii) Interest allowed by bank ₹ 100

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 (viii) A Bill receivable collected by bank ₹ 1,000

29 The trial balance for a business enterprise did not tally, it was excess debit by ₹ 6
800 and on inspection the following errors were identified. You are required to
. pass the journal entries to rectify the following errors and then prepare a
Suspense A/c.
(a) Goods sold to Jasprit ₹ 3,200 are recorded in Purchase book.
(b) The installation cost of ₹ 700 for machinery was debited to Office expenses
A/c.
(c) A credit purchase of ₹ ₹ 1,500 from Alia was posted in her account as ₹
500.
(d) The Return inward book was found to be undercast by ₹ 350.
(e) The balance of ₹ 2100 in Sales book was carried forward to the next page
as ₹ 1200.
(f) Goods withdrawn by proprietor for personal use ₹ 1,000 were credited to
Bank A/c.

30 Following balances appear in the books of Priyank Brothers: 6

. 1/4/2023 Machine A/c: 10,00,000

Provision for depreciation A/c: 4,00,000

On 1st April, 2023, they decide to sell a machine for ₹ 4,00,000. This machine
was purchased for ₹ 7,00,000 on 1st April, 2021. Prepare the Machinery
Account and Provision for Depreciation Account for the year ended 31st March,
2024 assuming that the firm has been charging Depreciation @ 10% p.a. on
the Straight-Line Method.

31 From the following balances extracted for Delight Confectionery as on 31st Mar 6
2023, prepare a Trading and Profit & Loss Account for the year ending 31.3.2024.
. DEBIT BALANCE ₹ CREDIT BALANCE ₹
Stock Sales 2,79,000
16,800 Return Outward 5,700
Salaries & wages Capital 70,000
9,000
Purchases 2,50,00 Bad debt recovered 6,000
0
Carriage inward 10,800 Rent from Sublet 2,600

Advertisement 15% Loan (Taken on

14,900 1.10.2022) 20,000
Trade Debtors Discount 500
30,000

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 Repairing charges
8,800
Rent
5,500
Interest on Loan
1,000
Discount
1,340
General Expenses
3,610
Audit Fees
1,500
Insurance Premium
550
Bad debt
2,000
Depreciation
6,000
Goodwill
22,000

3,83,80 3,83,800
0

Additional Information:
(i) Stock in hand on 31st March 2024 was ₹ 12,000.
(ii) Prepaid Insurance ₹ 400 and outstanding salaries & wages ₹ 500.
(iii) Goods costing ₹ 4,000 was lost due to theft, no claim was received for the
theft.
(iv) Commission earned but not received 5,000.
(v)1/3 of the rent is carried forward to the next year.

32 The following balances are extracted from the books of M/s Ram on 7
March 31, 2024. You are required to prepare profit and loss account and the
. balance sheet as on date :
Accounts ₹
Debtors 12,000
Interest on investment 4,000
10% Investment 50,000
Provision for doubtful 10,000
debt 6,000
Stationery 1,000
Bank overdraft 11,000
Wages 80,000
Sales 9,000
Salaries 13,000

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Creditors 4,000
Rent 9,900
Office Equipment 31,000
Capital 3,000
Commission (Dr) 500
Printing charges 1,100
Drawings 6,000
Bad debt 500
Establishment Expenses 1,000
Bank Charges 5,000
Machinery 10,000
Land and building 5,000
Reserve Fund

The firm earned a gross profit of ₹ 56,000

Additional Information:
(i) Closing Stock ₹ 4,000
(ii) Salaries prepaid ₹ 3,000
(iii) Commission due ₹ 800.
(iv) Debtors of ₹ 2,000 proved to be irrecoverable and the provision for doubtful
debt to be maintained @ 5%.
(v) Machinery is depreciated @ 10% p.a and building depreciated @5 % p.a.

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