Rectification of Errors — Account STD 11 Commerce — Question

Give two advantages of GST.

Distinguish between Cash Book and Cash A/c.

Journalise the following in the books of Hari.
Sohan informs Hari that Mohan's acceptance for ₹ 13,000, endorsed in favour of Sohan by Hari, has been dishonoured. Sohan agrees to accept ₹ 3,000 in cash and an acceptance at 3 months together with interest @ 12% per annum.

The balance of cash at bank as shown by the Cash Book of Pan & Co. on 31st December, 2016, was ₹ 7,500. On checking the entries in the Cash Book with the Pass Book, it was ascertained that cheques of ₹ 500 and ₹ 700 respectively paid in on 30th December, were not credited until the 2nd January following and three cheques of ₹ 600, ₹ 800 and ₹ 1,200 issued on the 28th December were not presented until the 3rd of January. There was a credit of ₹ 125 in the Pass Book in respect of interest under date 31st December, which was not entered in the Cash Book. There were also Bank Charges debited in the Pass Book amounting in all to ₹ 10 which were not entered in the Cash Book. Prepare a Bank Reconciliation Statement as at 31st December, 2016.

Prepare Accounting Equation from the following:

1. Started business with Cash ₹ 2,00,000.
2. Purchased goods for Cash ₹ 60,000 and on Credit ₹ 1,50,000.
3. Sold goods for Cash costing ₹ 40,000 at a profit of 20% and on Credit costing ₹ 72,000 at a profit of 25%.
4. Paid for Rent ₹ 5,000.

“Only financial transactions are recorded in Accountancy.” Explain the statement.

Prepare the Accounting Equation on the basis of the following:

1. Started business with cash ₹ 1,40,000 and Stock ₹ 2,50,000.
2. Sold goods (costing ₹ 50,000) at a profit of 25% on the cost.
3. Deposited into bank account ₹ 1,80,000.
4. Purchased goods from Mohan ₹ 80,000.

Give two examples of reserves.

A Limited purchased a machine on 1st July 2011 for ₹ 3,00,000 and on 1st January 2013 bought another machinery for ₹ 2,00,000. On 1st August 2013 machine bought in 2011 was sold for ₹ 1,60,000. Another machine was bought for ₹ 1,50,000 on 1st October 2013. It was decided to provide depreciation @ 10% p.a. on written down value method assuming books are closed on 31st March each year. Prepare Machinery Account and Provision for depreciation account for 3 years.

Prepare Accounting Equation from the following:

1. Started business with cash ₹ 1,00,000.
2. Purchased goods for cash ₹ 20,000 and on credit ₹ 30,000.
3. Sold goods for cash costing ₹ 10,000 and on credit costing ₹ 15,000 both at a profit of 20%.
4. Paid salaries ₹ 8,000.