Application of Computers in Accounting — Account STD 11 Commerce — Question

Find out the amount of bills matured during the year on the basis of information given below:

	₹
Bills payable dishonoured,	37,000
Closing balance of Bills payable,	85,000
Opening balance of Bills payable,	70,000
Bills payable accepted,	90,000
Cheque dishonoured,	23,000

Write any three defects of Incomplete Records.

A firm sells goods at Cost plus 25%. Sales to credit customers (3/4 of total) was ₹ 1,80,000. His Opening and Closing Stocks were ₹ 20,000 and ₹ 15,000 respectively. Find out the value of Purchases.

What is a Purchases Book?

Rearrange the following assets in order of liquidity:-

1. Debtors
2. Bills Receivable
3. Goodwill
4. Closing Stock
5. Prepaid insurance
6. Cash in hand
7. Short-term Investments
8. Loose Tools
9. Cash at bank
10. Plant

State by giving reasons whether the following items of expenditure are Capital or Revenue:
i. Expenditure incurred for raising loans.
ii. Expenditure of registration of a trade mark.
iii. Carriage paid on goods purchased.
iv. Commission paid on net profit of the company to manager.
v. Travelling expenses of a director for trip abroad for purchasing capital goods.
vi. Damages on account of contract.
vii. Compensation paid to a retrenched employee.

What is meant by Errors of Commission?

What is meant by Adjustment Entry?

Briefly explain the purpose of grouping and sorting of the data as a means to refine a report.