Books of Original Entry – Special Purpose Subsidiary Books — Account STD 11 Commerce — Question

What is meant by a rectifying entry?

In a business provision for doubtful debts is created @5% on debtors every year. Name the two accounting principles followed in this process.

‘X’ commenced business on 1st April, 2013 with a capital of ₹ 6,00,000. On 31st March, 2014 his assets were worth ₹ 8,00,000 and liabilities ₹ 50,000. Find out his closing capital and profits earned during the year.

What is the purpose of preparing Bank Reconciliation Statement?

List any two functions of Accounting.

Give the rules of debit and credit of the three types of accounts.

Give transaction that:
Increase an asset and increase a liability.

1. A had a capital of ₹ 75,000 on 1st April, 2018. He had also goods amounting to ₹ 15,000 which he had purchased on credit and the payment had not been made. Find out the value of the total assets of the business.
2. After a period of one month, he came to know that he had suffered a loss of ₹ 1,700. He withdrew ₹ 800 for his personal use. Find out his capital and assets of the business.

Explain Money Measurement Concept.

Mention two causes of differences in the Cash Book and Pass Book balances.