Depreciation, Provisions and Reserves — Account STD 11 Commerce — Question

‘Accounting information should be verifiable and free from personal Bias’. Name the qualitative characteristic of accounting information denoted by this statement.

What are Fixed Assets?

Why 'Dividend Equalisation Reserve' is termed as Reserve and not a provision?

Financial statements of the firm are prepared every year on 31st March.

Roshan purchased from Prem 500 items ₹ 100 each at 20% Trade Discount plus CGST and SGST @ 6% each. He is further given 2% Cash Discount as he made payment for the purchases immediately. Determine the amount that Roshan will debit to Purchases Account.

Is 'Cash Memo' a source document or an accounting voucher?

The position of a businessman on 30th June 1994 was as follows :
Cash ₹ 5,000; Debtors ₹ 20,000; Machinery ₹ 60,000; Stock ₹ 25,000; Capital ₹ 75,000. Calculate his liabilities.

Received a cheque from Maruti for ₹ 1,10,580 after deduction of 3% cash discount. The cheque was sent for collection and was dishonoured by the bank. How will you record the dishonour of cheque? Which values are not followed in this case?

Advance received from a customer is not taken as income or sales.

What does debit in an Expense Account signify?