Theory Base of Accounting — Account STD 11 Commerce — Question

A Bill of Exchange drawn on 1st July, 2018 for ₹ 5,900 for 3 months was dishonoured on due date and a sum of ₹ 20 was incurred as noting charges. The bill was renewed for another 3 months with 12% interest per annum. Find out the amount of the renewed bill.

The accountant of the firm found an error in the books of accounts but neither he rectified the error nor disclosed it to the management fearing that it will risk his job. Which value has been violated by the accountant?

Name two errors which cannot be disclosed by preparing a Trial Balance.

Are there any accounts which are not considered while preparing Trial Balance by Balance Method?

A bill for ₹ 40,000 was discounted by Ganesh with Axis Bank for ₹ 8,500. At maturity, the bill was dishonoured and bank notified it for ₹ 600. How much amount Axis Bank will deduct from the bank balance of Ganesh at the time of dishonour?

What will be the effect on Trial Balance if ₹ 5,000 received as rent and correctly entered in the cash book are not posted to Rent Account?

What is revenue?

How do we ascertain the financial position of the business?

Distinguish between Bill of Exchange and Promissory Note on the basis of acceptance.

“When a Sales Book is maintained, there is no need to open Sales Account in the Ledger”. Do you agree?