Q.1.

15M
a) Give one word 5M
1. Refusal by bank to make the payment of cheque.
2. The reserve created out of capital profit.
3. Dealing between two persons.
4. Excess of expense over income.
5. Anything taken by proprietor from business for personal use.
b) Fill in the blanks 5M
1. Bank reconciliation statement is prepared by………………….
(a) trader (b) bank (c) seller (d) student
2. The profit on sale of an assets is debited to………………. Account
(a) profit and loss (b) Reserve (c) Asset (d) Balance sheet
3. Interest on investment is …………. Of business concern
(a) a profit (b) a loss (c) an expenses (d) an income
4. Opening stock is entered in a trading A/c on the …………….side.
(a) credit (b) debit (c) assets (d) liabilities
5. Totaling of journal or ledger is called as………….
(a) posting (b) folio (c) casting (d) journalizing
c) True or false 5M
1. Book keeping and accountancy are one and the same thing
2. Accounting is useful only to the owner.
3. Debit balance of pass book represents overdraft
4. Final Accounts are prepared on the basis of Trial balance.
5. Capital account is personal Account.

Q.2. Classify the following accounts under the types of Personal, Real and Nominal Account. 10M
1. Sundry Expense A/C 8. Machinery A/C
2. Discount A/C 9. Carriage Outward A/C
3. Drawings A/C 10. Loss on Sale of Machinery A/C
4. Fixed Deposit A/C 11. Deposit with MSEB A/C
5. Profit on Sale of Furniture A/C 12. Loss by Fire A/C
6. Office Equipments A/C 13. Legal Expenses A/C
7. Bank of India A/C 14. Goodwill A/C
15. Salaries

Q.3. Journalise the following transactions in the books of Mr. Bipin. 10M
2011 July
1. Started business with cash Rs. 2,25,000 goods worth Rs. 50,000 and Laptop Rs.
45,000.
2. Deposited in Dena Bank Rs. 1,50,000.
3. Bought goods on credit from Manish Rs. 10,000 at 10% Trade discount.
4. Sold goods to Nitin of Rs. 12,000 at 5% Trade Discount.
5. Goods worth Rs. 900 burnt by fire.
6. Received cash Rs. 11,400 from Nitin
7. Drew from bank Rs. 4,000 for his personal purpose.
8. Paid cash Rs. 8,500 to Manish in full settlement of his account.

Q.4. Prepare a simple cash book from the following information: [8M]
 2011
Jan.1 Balance of cash Rs. 1,00,000.
3 Paid electricity bill Rs. 4,980.
4 Purchased furniture for office use Rs. 17,500
7 Deposited into bank Rs. 7,000
10 Purchased machinery for Rs. 15,000
13 Withdrew Rs. 2,500 from business for personal use.
15 Purchased goods of Rs. 14,000 at 5% trade discount.
19 Paid salary to staff Rs.18,000.
22 Purchased goods worth Rs. 11,000
26 Paid carriage on goods purchased Rs. 1,400
29 Borrowed loan from Mr. Tilak Rs. 40,000
30 Sold goods of Rs. 14,300 to Sandeep Traders for cash.
31 Received from Suyash Rs. 9,000

Q.5. Prepare Bank Reconciliation Statement as on 31st January 2011 from the following details.
10M
1. Cash book shows debit balance of Rs. 5,000 as on 31st January 2011.
2. Out of cheques of Rs. 8,000 issued, cheques of Rs. 4,000 has not been presented for
payment till 31st January 2011.
3. Bank commission Rs. 75 debited in the pass book only.
4. Transferred Rs. 2,000 from Fixed deposit account to Current account but not recorded.
5. A cheque of Rs. 4,500 deposited into Bank but not cleared by Bank.
6. Dividend collected by Bank recorded in the pass book failed to be recorded in the cash book
Rs. 650.

Q.6. From the following ledger balances Prepare Trial Balance of Mrs. Rohini as on 31st March, 2013.
10M
Particulars Amt Particulars Amt Particulars Amt
Capital 50,000 Wages 2,800 Rent 2,300
Plant & Machinery Debtors 13,000 R.D.D. 500
Insurance 8,000 Purchases 10,500 Sales 28,500
Drawings 3,600 Creditors 5,000 Outstanding
Motor Van 4,000 Land & Building 10,500 Expenses 400
Stock (1-4-12) 5,400 Office Expenses 1,700 Salaries 5,000
Cash at Bank 14,000 Carriage Inward 1,400 Bad Debts 1,000
1,200
Q.7.Following is the Trial balance of Mr. Pulkit as on 31st March, 2013. Prepare Trading and Profit
and Loss Account for the year ended 31st March, 2013 and Balance Sheet as on that date. 15M
Trial Balance as on 31st March, 2013
Particulars Amount Particulars Amt
Stock on 1-4-2012 25,000 Capital 40,000
Drawings 10,000 Sales 1,25,000
Purchases 75,000 Purchase Returns 2,000
Sales Return 1,000 Bills Payable 5,700
Salaries 6,000 Commission 1,000
Rent & Taxes 1,000 Discount Received 1,200
Insurance 900 Interest 400
Wages 3,000 Sundry Creditors 14,000
Building 10,000
Carriage 2,000
Machinery 17,000
Sundry Debtors 24,000
Investments 10,000
Cash in hand 3,300
Bad debts 400
Discount allowed 700

1,89,300 1,89,300
Adjustments:
1. Stock on 31st March, 2011 valued at cost price rs 34,000.
2. Provide depreciation on building at 2% and Machinery 10% p.a.
3. Rent of Rs. 200 and salaries of Rs 500 were outstanding.
4. Interest on investment Rs 500 due but not received.
5. Provide Reserve for doubtful debt at 5% on sundry debtors.