“TOGETHER TOWARDS EXCELLENCE”

FIRST TERM EXAMINATION (2024-25)

GRADE: XI
SUBJECT: ACCOUNTANCY (050)

Time: 3 hours Total Mark: 80

Date: 26-09-24

Name of the candidate:

Signature of the candidate:

GENERAL INSTRUCTIONS:
 Total number of pages in the question paper is 11.
 Fill in your Name (in CAPITALS), Class, Section, Roll no: etc., clearly in the columns provided.
 At the beginning of the exam, use the allocated reading tme carefully to review all the questions.
 Write answers with the correct question numbers as given in the question paper.
 For choice questions, answer only the required number of questions as specified.
 Write your answers neatly and legibly.
 Use blue or black ink only. Do not scribble or make unnecessary marks on the answer sheet.
 Draw diagrams with a pencil and label them clearly.
 Ensure that you have completed all required sections before submitting.
 The use of correction fluid, calculators, mobile phones, and electronic devices are NOT permitted.
 Any form of cheating or malpractice will result in cancelling the examination.
 Allocate your time wisely to complete all questions within the given duration.
 Carefully review your answers before submitting the answer sheets.
 Remain seated until all answer sheets are collected.
Please ensure that you follow these instructions carefully to avoid any issues during the Examination.
Good luck!

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 I. This question paper contains 34 questions. All questions are compulsory.
II. Questions 1 to 20 carries 1 mark each.
III. Questions 21 to 26 carries 3 marks each.
IV. Questions 27 to 29 carries 4 marks each.
V. Questions from 30 to 34 carries 6 marks each.
VI. There is no overall choice. However, an internal choice has been
provided in 3 questions of one mark, 1 question of three marks,
1 question of four marks and 1 question of six marks.

SECTION -A
1. Which of these is an advantage of accounting: (1)
(a) Shows the present value of business.
(b) Window dressing.
(c) Shows the effect of price level changes.
(d) Decision Making.
2. A ledger is a: (1)
(a) Book of original entry.
(b) Book of final entry.
(c) Subsidiary Book.
(d) Cash Book.
OR
Purchase book is a part of:
(a) The Journal.
(b) The Ledger.
(c) The Trading a/c.
(d) The Balance Sheet.
3. Cash, goods or assets invested by the proprietor in the business for earning profit (1)
is called_________.
(a) Profit.
(b) Capital.

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 (c) Fixed assets.
(d) None of these.
4. ___________ is the last step of accounting as a process of information. (1)
(a) Recording of data in the books of accounts
(b) Preparations of summaries in the form of financial statement
(c) Communication of information
(d) Analysis and interpretation of information.
5. Match the items of column A with column B: (1)

Column A Column B
a) Their bread and butter depend
(i) Proprietor on good results.
b) To fix taxes, computing
(ii) Management national income.
c) To estimate the trading results,
(iii) Government know the future prospects etc.
d) For planning and controlling
(iv) Employees purpose; to improve efficiency
of business.
(a) (i) d, (ii) a, (iii) c, (iv) b
(b) (i) b, (ii) a, (iii) d, (iv) c
(c) (i) b, (ii) c, (iii) d, (iv) a
(d) (i) c, (ii) d, (iii) b, (iv) a
6. Which of the following account has a credit balance? (1)
(a) Discount Received
(b) Wages Paid
(c) Bank
(d) Discount Allowed

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7. The cost of a small calculator is accounted as an expense and not shown as an (1)
asset in a financial statement of a business entity due to__________.
(a) Materiality concept
(b) Matching concept
(c) Periodicity concept
(d) Principle of full disclosure
8. Paid to Vishakh ₹.14,000 in full settlement of ₹.15,000. Posting of ₹.1,000 will be (1)
made to the:
(a) Debit side of Discount a/c
(b) Credit side of Discount a/c
(c) Debit side of Cash a/c
(d) Credit side of Vishakh a/c
OR
Cash received from Kajal ₹.36,000 after allowing discount @10%. Amount debited
to discount account will be:
(a) ₹.3,600
(b) ₹.4,000
(c) ₹.4,400
(d) ₹.40,000
9. When goods are sold on credit, the seller prepares: (1)
(a) Cash Memo
(b) Invoice
(c) Accounting Voucher
(d) Transfer Voucher
[Link] the correct statement regarding rules of debit and credit: (1)
(a) Decrease in income is credited
(b) Increase in expense is credited
(c) Decrease in revenue is debited
(d) Decrease in capital is credited
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[Link] of preparing Trial Balance is: (1)
(a) To ascertain the profit or loss.
(b) To ascertain the financial position.
(c) To provide a conclusive proof of the accuracy of the books of accounts.
(d) To ascertain the arithmetical accuracy of accounts.
[Link] of the following is a limitation of accounting? (1)
(a) Based on accounting convention
(b) Evidence in Legal Matte₹
(c) Complete Information
(d) Omission of Qualitative Information
OR
Which qualitative characteristic of accounting information is reflected when
accounting information is clearly presented:
(a) Relevance
(b) Reliability
(c) Understandability
(d) Comparability
13.A cheque of 500 deposited into bank but was not recorded in the cash book. How (1)
will it be treated for the purpose of Bank Reconciliation Statement?
(a) 500 will be deducted from the balance as per pass book.
(b) 500 will be deducted from the balance as per cash book
(c) 500 will be added from the balance as per cash book
(d) None of the above
14.A firm may hold stock that is heavily in demand. Consequently, the market value of
this stock may be increased. Normal accounting procedure is to ignore this
because of the _____________. (1)
(a) Dual aspect concept
(b) Conservatism concept

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 (c) Business entity concept
(d) Measurement concept
[Link] the basis of following two statements, Identify the correct option: (1)
Assertion (A): Accounting may be influenced by personal bias.
Reason (R): In some situations, a choice has to be made from alternative accounting
policies.
Choose correct option:
(a) Both (A) and (R) are correct and (R) is not correct explanation of (A).
(b) Both (A) and (R) are correct and (R) is the correct explanation of (A).
(c) (A) is True but (R) is False.
(c) (A) is False but (R) is True.
[Link] cash book balance was ₹ 1790. When the bank statement is received, it was
identified that unpresented cheques were ₹ 1,040 and deposits not credited were
₹ 820. Balance of the bank statement will: (1)
(a) ₹ 70
(b) ₹ 1,570
(c) ₹ 2,010
(d) ₹ 3,650
[Link] users of accounting information are: (1)
(a) Potential Investors
(b) Creditors
(c) Management
(d) Banks And Financial Institutions
[Link] right side of a T-account is __________. (1)
(a) the balance of an account.
(b) the debit side.
(c) the credit side.
(d) blank.

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[Link] wages paid for the installation of new machinery is debited to the wages account, (1)
it is_____________________.
(a) An error of commission
(b) An error of principle
(c) A compensating error
(d) An error of omission
[Link] document will be prepared by Mr. Agarwal, when he returns the goods (1)
to Praveen?
(a) Debit Note
(b) Credit Note
(c) Invoice
(d) Bill
[Link] Accounting? Explain any two features of accounting. (3)
OR
Explain the steps in the process of accounting.
[Link] an example of a transactions that result in: (3)
(a) A Decrease in assets and a decrease in a liability.
(b) A decrease in one asset and an increase in another asset.
(c) An increase in assets and increase in liability.
[Link] 25th March 2024 a fire broke out in the premises of Anil Ltd and destroyed (3)
a part of its plant and machinery. On account of this a sharp decline in production
for the next six months is expected. The company did not disclose this fact in its
annual report for the year 2023-24.
Identify and explain the accounting principle being Violated in such cases.
[Link] is contra entry? Is cash book a subsidiary book or a principal book, (3)
Explain.
OR
What are the different types of errors that are usually committed in recording business
transactions?
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[Link] the Modern Approach of Accounts. (3)
[Link] the types of following accounts (Assets / Liabilities / Expenses /
Incomes / Capital). (3)
(a) Drawings
(b) Salary
(c) Prepaid Rent
(d) Cash
(e) Bank
(f) Outstanding Sales
[Link] a Trial Balance of Arjun on 31st March 2023. (4)
Particulars Amount
Bank overdraft 85,000
Sales 8,10,000
Purchase return 22,500
Debtors 4,00,500
Wages 96,000
Capital 1,58,750
Purchase 4,45,000
Cash in hand 8,500
Creditors 2,15,000
Sales return 15,750
Equipment 25,000
Opening stock 3,00,500

[Link] are vouchers? (4)

Prepare the Accounting Voucher: Starting business with cash ₹ 1,00,000
OR
What is a journal? Give a specimen of journal showing at least five entries.
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[Link] the relevance of accounting concepts/principles in accounting. (4)
Name the concept/ assumption related to the following statements:
(a) The cost of stationery is accounted as an expense and not shown as an asset in
financial statements.
(b) Provision for a discount on creditors is not created.
(c) The owner of the business shows his capital as a liability and not shown as asset.
[Link] the accounting equation on the basis of the following transactions: - (6)
(a) Started business with Cash ₹ 6,00,000 and Goods ₹ 30,000.
(b) Purchased goods for Cash ₹ 40,000 and on Credit ([Link]) ₹ 25,000.
(c) Goods costing ₹ 20,000 sold at a loss of 5%, out of which ₹ 12,000 received in Cash.
(d) Salary outstanding of ₹ 6,000.
(e) Paid ₹ 24,500 to Mr. Ram in full settlement.
(f) Goods destroyed by fire of ₹ 500.
[Link] the Journal entries for the following transactions: (6)
(a) Purchased goods from Sanjiv of Rs. 40,000 plus IGST @ 18% at 10% Trade
Discount and 2.5% Cash Discount. Paid amount at the time of purchase itself.
(b) Purchased goods from Vijay of Rs. 40,000 plus IGST @ 18% at 10% Trade Discount
and 3 % Cash Discount. Half of the amount paid at the time of purchase.
(c) Sold goods to Anil for Rs. 20,000 plus CGST and SGST @ 9% each, allowed him
10 % Trade Discount and 3% Cash Discount. Received half of the amount by cash
and balance half by cheque immediately.
(d) Sold goods to Ajay for Rs. 50,000 plus CGST and SGST @ 9% each allowing 10%
Trade Discount and 2% Cash Discount. Half of the amount received by cheque
immediately.
(v) Sold goods costing Rs. 40,000 to Anil against a correct dated cheque at a profit of
25 % on cost less 20 % trade discount plus IGST @ 18%. Cash discount is allowed
@ 2 %.
[Link] a Bank Reconciliation Statement from the following particulars and show (6)
the balance as per cash book.
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 (a) Balance as per passbook on March 31st 2017 overdrawn ₹ 20,000.
(b) Interest on bank overdraft not entered in the cash book ₹ 2,000.
(c) ₹ 200 insurance premium paid by bank has not been entered in the cash book.
(d) Cheques drawn in the last week of March 2017, but not cleared till date for ₹ 3,000
and ₹ 3,500.
(e) Cheques deposited into bank on February 2017, but yet to be credited on dated March
31st 2017 ₹ 6,000.
(f) Wrongly debited by bank ₹ 500.
OR
Prepare bank reconciliation statement as On 31st March 2022. Bank pass book of
‘DABOUR’ Ltd showed a balance of ₹15,000 .
(a) Before that date, she had issued cheques amounting to ₹ 8,000 out of which cheques
amounting to ₹3,200 have so far been presented for payment.
(b) A cheque of ₹ 2,200 deposited by her into the bank on 26th March is not yet credited in
the pass book.
(c) She had also received a cheque of ₹500 which although recorded by her in the bank
column of cash book , was omitted to be deposited in the bank.
(d) On 30th March 2022, a cheque of ₹1,570 received by her was paid into the bank
but the same was omitted to be recorded in the cash book.
(e) There was a credit of ₹150 for interest on current account and a debit of ₹ 25 for
bank charges.
[Link] the following transactions of M/s Kishore & Sons (readymade garments), (6)
Delhi. Prepare the Sales Book and sales return book:
(a) Sold to M/s Gupta & Verma, Delhi:
30 shirts @ ₹400 each 20 trousers @ ₹600 each.
Less: trade discount@10%.
(b) Sold furniture to M/s Sehgal & Co., Delhi for ₹8,000.
(c) Goods returned by M/s Gupta & Varma , Delhi:
5 Shirts and 5 trousers.
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 (d) Sold 50 shirts to M/s Jain & sons , Kanpur @ ₹400 each.
(e) 10 Shirts were returned by M/s Jain & sons.
(f) Sold to M/s Mathur & Jain , Kolkata:
100 shirts @ ₹400 each 10 overcoats @₹1000 each.
Less: trade discount @10%.
[Link] double column cash book from the following information for (6)
September 2023.
Date Particulars Amount
1 Cash in hand 7,500
Bank overdraft 3500
3 Paid wages 200
5 Cash sales 7000
10 Cash deposited into bank 4000
15 Goods purchased and paid by cheque 2000
20 Paid rent 500
25 Drew from bank for personal use 500
30 Salary paid 1000

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