1. Explain the following terms :- (Any four)

(i) Assets           (ii) Revenue

(iii) Insolvency (iv) Drawings

(v) Narration     (vi) Discount            (6 mks)

What groups of people are interested in Accounting information ? (5)

Fill up the blanks :-

i) _____________ is the interest of the owner in a business.

ii) When the word `paid' occurs, It means a reduction of _____________ (2)

Under What heading (Personal, Real, Nominal) would you classify the following Accounts) Would you classify the following Accounts :-

i) Bank Overdrafts         (ii) Equipment A/c.

iii) Salony Outstanding (iv) Carriage Inward       (4)

Journalise the following transactions which took place in the Sale Proprietor business of Ravi and Sons.

Jan 1, 2000 : Ravi Commenced business with Rs 20000

Jan 3, 2000 : Deposited into Bank Current Account Rs 15000

Jan 6, : Furniture baught from Ram Rs 5000

Jan 7 : Amount Paid to Ram by Cheque

Jan 10, 2000 . Goods Purchased for Cash Rs 1000

Jan 12, Goods Purchased from Hari Rs 2000

Jan 15, Cheque Paid to Hari in full settlement of his Account Rs 1900

Jan 20 Paid for Cartage Rs 200

Jan 21 Goods Sold to Jaya Rs 1000

Jan 25 Cash Sale to Anil Rs 500

Jan 31 Paid for Rent Rs 500

Jan 31 Paid for Services Rs 300

Jan 31 Paid for Light & Water Rs 200

Jan 31 Goods Worth Rs.600 were used by proprietor for doeestic purpose.
                                                                                                                                                       (10 mks)

Enter the following transactions in the Cash Book of Sanjay & Co.

2000 Cash at Bank Rs.5000.
Jun

1 Cash in hand Rs.2000.
5. Cash paid to Rahim Rs.500
and he allowed us discount. Rs.20
6. Goods Purchased from Mohan Rs.500.
7. Goods Purchased from Sonia for Cash.
10. Cheque paid to Mohan Rs.450
and he allowed us discount Rs.50

15. Stationery Purchased. Rs.20.
17. Rent paid in Cash Rs.100.
18. With drawn from Bank for office Rs.400

Jun

20. Cash Sales Rs.2000
22. Purchased a building and paid by Cheque Rs.5600
25. Paid for Charity Rs.100
27. Cheque received from Rahim Rs.5000.
29. Rahim's Cheques deposited into bank
30. Wages Paid by Cash. Rs.200

                                                                                                                                                      (12)

What is the meaning of "Receipt". (2)

Distinguish between Cash discount 8 Trade Discount. (4)

Prepare the Account of X & co in the Books of J & co.
Opening Balance           Rs.10000.
Goods Purchased          Rs.5000.
Cash Paid                        Rs.9000.
Discount allowed           Rs.500.
Gods refurned                Rs.2000.
and Complete Closing Balance of X & Co's Account. (7)

"The Agreement of the trial Balance is not a Conclusice Proof of Accountancy." Briefly explain this statement. (4 mks)

State the advantage of Petty Cash Book. (2)

What are the two important points which should be remembered white preparing the Purchase Book. (2)

On 31st March, 2000 the Pass Book of Mr.S.Kumar showed a Credit Balance of Rs.10,000. Prepare a Bank Reconciliation Statement. With the following information :-

(I) Cheques issued of Rs.2500 on 25 March, but this was presented for payment in April.

(ii) Cheques deposited of Rs.500 and Rs.1000 on 28 March were not credited by bank.

(iii) Pass Book showed Bank Charges of Rs.100 not recorded in Cash Book.

(iv) Interest Credited by bank of Rs.200 and recorded in the Cash Book.

(v) A bill directly received by the bank from Customer of Rs.2500.

(vi) Insurance Premium paid by the bank of Rs.2000 but not recorded in Cash Book.
(12mks)

While Preparing Bank Reconciliation Statement the following transactions are not recorded in our books.

(I) Direct Payment of Rent by Bank of Rs.2000.
(ii) Dividend on shares directly _____________ by the bank of Rs.2500.

Pass the Journal Entries for the above transactions.

Given example of each of the following types of transactions :-

(I) Increase in One Asset and decrease in Another Asset.
(ii) Increase in liability and Increase ub Asset.
(iii) Decrease in Asset and Decrease in liability.
(iv) Increase in Assets & Increase in Owners Capital.                                                                   (4)

Describe briefly any two of the following :-
(1) Money Measurement ____________
(2) Matching Principle
(3) Materiality                                                                                                                                (6 mks)

Enter the following transactions in the Sales Return Book of M/S Ravinder & Sons.

2000
1st April           Returned by Harish Gupta & Co.
                          100 bags Coffee @ Rs. 40 per bag. Trade discount 10%

16 April            Returned by Sohan & Co.
                          200 chests tea @ Rs. 50 per chest.

20 April            Returned by Bhala & Co.
                          50 tins Ghee @ Rs. 100 Per tin.

25 April            furniture returned to Monish & C0.
                         50 chairs @ Rs. 120 per chair.                                                                             (8 mks)

Enter the following transactions in Columner Petty Cash Book maintained on Imprest System:-

2000
June 1 Received from Chief Cashier. Rs. 250.

1 Paid Conveyance charges to clerk Rs. 20
2 Bought Postage Stamps Rs. 5
3 Paid Coolie & Cartage Expenses Rs. 10
5 Paid Telephone bills for May Rs. 50
7 Cost of News paper Rs. 60  

10 Paid to liftman & coatchman Rs. 50
15 Paid Sweeper for May Rs. 10
25 Typewriter Ribbon bought Rs. 5
28 Revenue Stamps purchased Rs. 2
30 Coages paid Rs.5                                                                                                                                                       (8)