Practice Paper
TERM II (2021 – 2022)
Class – XI
Accountancy (055)
Time: 2 hours Maximum Marks: 40
General Instructions:
1. This question paper comprises two Parts – A and B. There are 12 questions in the
question paper. All questions are compulsory
2. Both Parts are compulsory for all candidates.
3. Question nos. 1, 4, 5 and 6 are short answer type–I question carrying 2 marks each.
4. Question nos. 7 to 10 are short answer type–II questions carrying 3 marks each
5. Question nos. 2, 3,11 and 12 are long answer type questions carrying 5 marks each.
6. There is no overall choice. However, an internal choice has been provided in 3 questions
of three marks and 1 question of five marks.
Part A: Financial Accounting – I
1. Give any two differences between Bills of Exchange and Promissory Note.
| Bills of Exchange | Promissory Note |
| 1. Drawer: Drawer is the person who issues the instrument in order to receive a payment. | Drawer/Maker: Drawer is the debtor who promises to pay the amount to lender or creditor. |
| 2. Payee is the person who receives the payment. In most cases, the drawer and the payee are the same individuals unless it is transferred to third party payee by the drawer. | Payee: Payee is the creditor who is been promised by the borrower or debtor about the pending payment. |
2. A owed to B Rs. 10,000. He gave a bill for the same on 12 April, 2021, payable after 4 months . Immediately after receiving the bill, B endorsed it to C in payment of his debt. On 12th May, C discounted the bill at 12% p.a. The bill is dishonoured on due date and noting charge was Rs.500. Pass the necessary Journal entries in the books of B and C .
In the books of B
| Date | Particulars | L.F. | Amount Dr. | Amount Cr. | Marks |
| 12April, 2021 | B/R Dr. To A | 10,000 | 10,000 | 1/2 | |
| 12April, 2021 | C Dr. To B/R | 10,000 | 10,000 | 1 | |
| 14Aug, 2021 | A Dr. C | 10,500 | 10,500 | 1 |
In the books of C
| Date | Particulars | L.F. | Amount Dr. | Amount Cr. | Marks |
| 12April, 2021 | B/R Dr. To B | 10,000 | 10,000 | 1/2 | |
| 12May, 2021 | BankA/c Dr. Discount A/c Dr. To B/R A/c | 9,700 300 | 10,000 | 1 | |
| 14Aug, 2021 | B Dr. To Bank A/c | 10,500 | 10,500 | 1 |
3. Rectify the following errors.
1. Credit sales to Arindam Rs.7,000 were recorded in purchases book.
2. Credit purchases from Pankaj Rs. 9,000 were recorded in sales book.
3. No entry has been made for sales return of Rs. 450.
4. Rs.1,000 received from X has been credited to Y account.
5. An Office table purchased for Rs. 7,500 has been wrongly passed through the Purchase book.
1 Arindam Dr. 14,000,
To purchase 7000,
To sales 7000
2. Purchase Dr. 9000
Sales Dr. 9000
To Pankaj 18000
3. Sales Return Dr. 450
To Debtors 450
4. Y Dr. 1000
To X 1000
5. Furniture Dr. 7500
To Purchase 7500
Part B: Financial Accounting – II
4. From the following information calculate Gross Profit and Cost of Goods Sold :
Sale Rs.5,00,000
Gross Profit 25% on Cost
GP RS 1,00,000 AND COST RS. 4,00,000
5. Identify the following item as capital or Revenue:
a) Purchase of building
Capital
b) Carriage paid on purchase of goods
Revenue
c) Carriage paid on purchase of machinery
Capital
d) Repayment of long term loan
Capital
6. Differentiate between Computerized accounting and Manual Accounting. (Any2)
| Computerized Accounting | Mannual Accounting |
| Data content is recorded in customized database. | Recording is possible through book of original entry. |
| Only data input is required, the calculations are performed by computer system. | All the calculation is performed manually. |
| Comparatively faster. | Slow |
7. Calculate Sales and gross profit from the following information.
Purchases 40,000 Direct Expenses 4,500
Opening Stock 8,000 Closing Stock 7,500
Rate of GP is 20% on cost
Sales 54000 GP 9000
OR
Calculate cost of goods sold and gross profit from the following information.
Sales 62,500 Purchases 32,000
Sales Returns 500 Direct Expenses 4,200
Opening Stock 6,400 Closing Stock 7,200
CGS- 35400 Gross Profit – 26600
8. Opening capital is Rs. 2,50,000 ; Closing capital is Rs .3,00,000 ; Drawing during
the year was Rs. 20,000 ; Additional capital Rs. 15,000. Calculate profit or Loss.
Profit Rs.55,000
OR
Opening capital is Rs. 3,50,000 ; Closing capital is Rs. 4,00,000 ;drawing during
the year was Rs. 30,000; Additional capital Rs.85,000. Calculate profit or Loss.
Loss Rs.5,000
9. Explain any three elements of computer system.
1] Hardware
These are all the physical aspects of a computer system. They are tangible, i.e. you can see and touch them. Hardware components are the electronic or mechanical instruments, like keyboard, monitor, printer etc. They help the users interface with the software, and also display the result of the tasks being performed.
Hardware can actually be of four types, depending on which function they perform. The four types of hardware are,
Input Hardware: For users to input data into the computer system. Examples: Keyboard, mouse, Scanner
Output Hardware: To translate and display the result of the data processing =. Example: Monitor Screen, Printer etc
2] Software
Software is nothing but a set of programmes (computer instructions), which helps the user to do a set of specific tasks. It helps the user interact with the computer system with the help of hardware. Software, as you can imagine, is the intangible aspect of the computer system.
Basically, there are six main types of software, which are as follows,
Operating System: These specialized programmes allow the communication between software and hardware. The operating systems run all the other computer programmes, and even regulate the startup process of the computer. Examples: Windows XP, Macintosh etc
Application Software: These are designed to perform a specific task or a bunch of tasks. They can be user-designed (specific to the user’s needs) or readymade application software. Example: PowerPoint, Tally etc.
3] People
The people interacting with the computer system are also an element of it. We call this element the Liveware. They are the ultimate “users” of the computer systems. There are three types of people that interact with the system, namely
Programmers: Professionals who write the computer programs that allow users to interact with the computer. They must have technical knowledge of computers and computer languages.
System Analyst: They mainly design data processing systems, and solve problems that arise in data processing
10. Explain three benefits of computerized accounting.
Reduce the time spent on manual processes
Computerised accounting uses sophisticated software to automate manual accounting and bookkeeping processes, such as complex calculations. For small to medium-sized businesses (SMEs), digital accounting will save hours of time and resource by enabling you to manage your accounts in a fraction of the usual time.
Less errors and increased accuracy
Digital accounting ensures all entered data is calculated precisely, which means you won’t have to manually check your accounts every time you or a member of staff inputs new data. This includes income, expenses, transactional data, account reconciliation, period end adjustments, as well as stock and VAT.
Real-time financial information
Computerised accounting systems are synchronised and aligned with your online bank account. This means you will always have access to up-to-date information on whether invoices are being paid by your customers, as well as your business outgoings.
OR
Explain three limitations of computerized accounting.
Following are the limitations of the computerised Accounting:
(a) It is subject to greater degree of risk of security and more prone to computer crimes.
(b) It depends on power supply to run the computer.
(c) A person has to be computer literate to use computer accounting.
(d) It requires highly reliable system to record day today transactions of business to provide accurate results.
11. From the following Trial Balance as on 31st March 2010, prepare Trading and
Profit & Loss Account.
Adjustments:
(i) Stock in hand at the end Rs. 35,000.
(ii) Charge 20% of the advertisement this year.
(iii) Charge interest on loan given to Ram @ 9% p.a.
(iv) Create 5% provision for bad and doubtful debts.
GP 1,11000, NP 93,050 (2+3 marks)
| Trading and Profit & Loss Account | |||||
| Carriage on purchase | 750 | Sales | 177000 | ||
| Manufacturing wages | 10,000 | Returns | 1000 | 176,000 | |
| Opening stock | 30,000 | ||||
| Purchases | 60,000 | Stock | 35,000 | ||
| Purchase Returns | 750 | 59,250 | |||
| GP | 1,11,000 | ||||
| 2,11,000 | 2,11,000 | ||||
| Advertisement | 400 | GP | 111,000 | ||
| Rent, Rates and Taxes | 10000 | Rent Received | 525 | ||
| Carriage on sales | 1200 | interest on loan | 1800 | ||
| Salaries | 6000 | ||||
| Bank charges | 75 | ||||
| Discount | 350 | ||||
| provision for bad debt | 2250 | ||||
| TOTAL | 20275 | ||||
| NP | 93050 | ||||
| 113,325 | 113,325 |
OR
From the following Trial Balance as on 31st March 2010, prepare Trading and
Profit & Loss Account.
Adjustments:
(i) Stock in hand at the end Rs. 45,000.
(ii) Charge 30% of the advertisement this year.
(iii) Charge interest on loan given to Ram @ 6% p.a.
(iv) Create 5% provision for bad and doubtful debts.
GP 1,23,000, NP 1,04,350 ( 2+3 marks)
| Trading and Profit & Loss Account | |||||
| Carriage on purchase | 750 | Sales | 197,000 | ||
| Manufacturing wages | 15,000 | Returns | 1000 | 196,000 | |
| Opening stock | 35,000 | ||||
| Purchases | 68,000 | Stock | 45,000 | ||
| Purchase Returns | 750 | 67,250 | |||
| GP | 1,23,000 | ||||
| 2,41,000 | 2,41,000 | ||||
| Advertisement | 1,500 | GP | 123,000 | ||
| Rent, Rates and Taxes | 10,000 | Rent Received | 6,525 | ||
| Carriage on sales | 3,200 | interest on loan | 1200 | ||
| Salaries | 6000 | ||||
| Bank charges | 75 | ||||
| Discount | 3,350 | ||||
| provision for bad debt | 2250 | ||||
| TOTAL | 26375 | ||||
| NP | 104350 | ||||
| 130,725 | 130,725 |
12. Miss Radha maintains the books of accounts from incompletes records. His books
provide the information:
She withdrew Rs. 300 per month for personal expenses. She sold her
investment of Rs. 16,000 at 2% premium and introduced that amount into
business. You are required to calculate profit or loss.
Opening capital – 33,900; closing capital – 56400; (3 marks)
Profit = 56400 + 3600 – 16320 – 33900 = 9780 (2marks)