Accounts from Incomplete Records — Account STD 11 Commerce — Question

What is Two-Sided Error?

Prepare an imaginary specimen of Bill of Exchange.

Annual sales of a business were as under:

	₹
Cash Sales	35,000
Credit Sales	40,000

Cost of Goods Sold (including all direct expenses) works out at ₹ 52,000. Expenses incurred on sales amounted to ₹ 6,700. Find out his Net Profit.

Mr. Gauri Shankar, a businessman pays ₹ 1 lac per month as instalment for his newly acquired business premises. Is it a revenue expenditure or capital expenditure?

The following information of an accounting year is given: Opening Capital ₹ 60,000: Drawings ₹ 5,000; Capital introduced during the year ₹ 10,000 and Closing Capital ₹ 90,000. Calculate Profit or Loss for the year.

If debit side of Profit and Loss Account is bigger than the credit side, does it mean net profit or net loss? Why?

State two points of distinction between Capital Expenditure and Revenue Expenditure.

Give the adjustment entry and accounting treatment of the following items while preparing financial statements:

1. Outstanding Salaries.
2. Accrued Interest.

Sundry debtors in a Trial Balance are ₹ 90,000. Write off ₹ 5.000 as bad debts and make a Provision for Doubtful Debts @ 10% on sundry debtors. Pass necessary Journal entries.

Give two uses of Electronic Spread Sheet.