Rectification of Errors — Account STD 11 Commerce — Question

If Depreciation reduces profit, reduces Book Value of assets and also reduces capital of the proprietor, then why do enterprises provide Depreciation?

Operating Profit earned by Heer Mehta in 2005-06 was ₹ 3,50,000. Its non-operating incomes were ₹ 75,000 and non operating expenses were ₹ 1,87,500. Calculate Profit earned during the year.

What do you understand by Contingent Liability?

What is the common objective between the Double Entry System and Single Entry System?

Name different information systems.

Which of the following are not Errors of Principle and why:

1. Vehicle expenses entered in Vehicles Account.
2. Purchase of machinery entered in Purchases Account.
3. Sales of ₹ 2,500 to Bishan completely omitted from books.
4. Sales to A. Kumar entered in A. Singh's Account?

What is meant by 'Grouping' and 'Marshalling'a Balance Sheet?

Cost of obtaining licence to carry out business is a Capital Expenditure or Revenue Expenditure?

What is meant by Indirect Expenses?

If ‘Adjusted Purchases' and 'Closing Stock’ are given in the Trial Balance, will you transfer 'Closing Stock’ to Trading Account? Give reason.