Recording of Transactions - 1 — Account STD 11 Commerce — Question

Goods costing ₹ 10,000 have been sold for cash at 25% profit. How will the transaction be shown in the Accounting Equation?

If the Capital of a business is ₹ 1,20,000 and Outside liabilities are ₹ 20,000, calculate total assets of the business.

Give two objectives of preparing a Trial Balance.

What are days of grace?
OR
How many days of grace are added to the period of a Bill of Exchange?

What are Internal Liabilities?

While preparing Bank Reconciliation Statement from the debit balance of the Pass Book indicate whether the following items will be written in Plus or Minus Column.

1. Insurance premium paid by the bank.
2. Interest and dividend collected by the bank.
3. Payment of ‘Bills Payable' by the bank on behalf of the customer.
4. Interest allowed by the bank.
5. Cheques deposited into the bank but not yet cleared.

Give two characteristics of a business transaction.

What does debit balance of a Personal Account indicates?

Reliance co. did not use a particular machine during the current year. should depreciation be charged on this machine also?

Book Keeping is not a part of accounting. Do you agree with the statement?