INTERNATIONAL INDIAN SCHOOL JEDDAH

MODELPAPER- II
Final Exam-2022-23
SUBJECT: ACCOUNTANCY CLASS: XI
Time: 3 Hours Max Marks: 80
No. of Pages: 9
GENERAL INSTRUCTIONS:
1. This question paper contains 34 questions. All questions are compulsory.
2. Question 1 to 20 carries 1 mark each.
3. Questions 21 to 26 carries 3 marks each.
4. Questions from 27 to 29 4 marks each
5. Questions from 30 to 34 carries 6 marks each
6. There is no overall choice. However internal choice has been provided in 7 questions of one
mark, 2 questions of three marks, 1 question of four marks and 2 questions of six marks

Q.No Question Marks

1. Which of the following transactions will result in higher balance in the bank column 1
of Cash Book in comparison to Pass Book?
(a) Cheques issued but not presented for payment
(b) Interest allowed by bank
(c) Bank charges entered twice in Cash Book
(d) Cheques paid into bank for collection but not yet credited

2. Use of common unit of measurement and common format of reporting promotes 1

(a) Comparability
(b) Understandability
(c) Relevance
(d) Reliability

3. Following are the causes of depreciation except _________. 1

(a) Wear and tear due to use or passage of time.

(b) Normal factors
(c) Expiration of legal rights
(d) Obsolescence

4. The nature of capital is 1

(a) an asset.

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 (b) a liability.
(c) an income.
(d) an expense.

5. The depreciation charged on an asset will be credited to ________. 1

(a) Depreciation A/c
(b) Asset A/c
(c) Bank A/c
(d) Cash A/c
6. Current liability includes -------- 1
(a) Bills payable
(b) Creditors
(c) Outstanding expenses
(d) all of these
OR
Current asset do not include ---
(a)Debtors
(b) motor car
(c) bank balance
(d) pre paid expenses

7 Which of the following transaction should not be recorded in petty cash book 1
( a) Purchase of Machinery
(b) Conveyance expenses
(c) Purchase of Stationery
(d) All the above
OR
The advance given to Petty cashier for making advance payment is called
(a) Advance amount
(b) Imprest amount
(c) Prepaid amount
(d) Unexpired amount

8 Which of the following accounts will have credit balance? 1

(a) Wages outstanding
(b)Return inwards
(c )Motor vehicles
(d)Prepaid rent
OR
Should the total of the trial balance always be equal?
(a)Yes, except when the trial balance total is tallied at the end of the year
(b)No, because it depends on the interests of the company
(c)Yes, always
(d)No, because it differs from a balance sheet
9 What is depreciation? 1
(a) Cost of using a fixed asset
(b) The value of asset

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 (c) Portion of a fixed assets cost consumed during the current accounting
(d) Cost of fixed asset’s repair

OR
Which of the following factor DOES NOT affect the amount of depreciation?

(a) Market value of asset

(b) Estimated useful life of asset
(c) Total cost of asset
(d) Scrap value

10 Which of the following is used for checking the arithmetical accuracy of the account 1
books?
(a)Ledger
(b)Trial balance
(c)Journal
(d)All of these

11 The term____is used to show loss in the value of intangible assets. 1

(a) Amortization
(b) Obsolescence
(c) Depletion
(d) Depreciation

12 If the rent of one month is still to be paid the adjustment entry will be 1

(a) Debit outstanding rent account and Credit rent account.

(b) Debit profit and loss account and Credit rent account.
(c) Debit rent account and Credit profit and loss account.
(d) Debit rent account and Credit outstanding rent account.

13 According to which principle the same accounting methods should be used each 1
year:
(a) Prudence
(b) Full disclosure
(c ) Materiality
(d) Consistency
14 Direct Expenses are entered in: 1
(a) Trading Account
(b) Profit & Loss Account
(c) Balance sheet
(d) None of these

15 Due to which principle qualitative transactions are not recorded in the books 1
(a) Business entity
(b) Money measurement

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 (c) Historical cost
(d) Dual aspect
OR
According to Principle of Conservatism
(a)Provision is made for bad and doubtful debts
(b) Depreciation is charged on assets
(c ) Recording is made of outstanding expenses
(d) All of the above

16 Custom duty is shown in: 1

(a)Debit side of Profit and Loss A/c
(b) Credit side of Profit and Loss A/c
(c) Debit side of Trading A/c
(d) Credit side of Trading A/c

17 According to the cost concept 1

(a) Assets are recorded at lower of cost and market value
(b) Assets are recorded by estimating the market value at the time of purchase
(c) Assets are recorded at estimated selling price
(d) Assets are recorded at the value paid for acquiring it.

18 Expenditure of recurring nature are 1

(a)Revenue expenditure
(b) Capital expenditure
(c)Deferred revenue expenditure
(d) None of the above
OR
Capital Expenditure and Capital Receipts are shown in
(a) Trial Balance
(b) Trading A/c
(c) Profit and Loss A/c
(d) Balance sheet

19 Which voucher is prepared when amount is paid to creditor 1

(a) Debit voucher
(b) Credit Voucher
(c) Cash memo
(d) Journal voucher

20 Income tax paid by sole trader is shown 1

(a)On debit side of Trading A/c
(b) On debit side of Profit and Loss A/c
( c) As addition to capital in the Balance Sheet
(d)As deduction from capital in the Balance Sheet
OR
Manager is allowed a commission of 10% on the net profit after charging
commission . It the net profit before commission is 22,000 then the manager’s
commission will be;
(a) 2,200
(b) 2,000

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 (c) 1,100
(d) 1,000
21 Explain cash and accrual basis of accounting with the help of example. 3
OR
Explain the following concepts
(i) Accounting period
(ii) Revenue recognition
(iii) Business entity

22 Explain the following 3

(a) Revenue expenditure
(b) Capital Receipt
(c) Indirect expenses

23 Prepare Accounting Equation from the following: 3

i. Started business with cash Rs.1,00,000 and Goods Rs.20,000.
ii. Sold goods worth Rs.10,000 for cash Rs.12,000.
iii. Purchased furniture on credit for Rs.30,000
iv.Paid rent in advance Rs.3,000

24 Prepare necessary ledger accounts from the following transactions 3

Jan1 Sold goods to Manish Rs.4,000

Jan 7 Purchase machinery Rs. 30,000
Jan 15 Received from Manish in full settlement Rs,3,800

25 Explain the role of accounting in business.( Any 3 points) 3

OR
Explain the following terms
(i)Fixed Assets
(ii) Vouchers
(iii)Debtors
26 From the following particulars, prepare proper subsidiary book of Gupta & Co., 3
Kolkata who deals in furniture:

2019
Jan. 5 Sold to Hari & Co., Kolkata:
10 Tables @ 1,100 each
20 Chairs @ 1,000 each
Charged CGST and SGST @ 6% each

Jan. 10 Sold to M/s. Sharma & Co., Delhi:

5 Almirahs @ 5,000 each
5 Stools @ 1,000 each
Charged IGST @ 12%

Jan. 20 Sold old printer for 600 to Raja & Co., Kolkata

27 The Trial Balance of M/s. Gupta and Sons shows excess credit of Rs.22,200. To 4
prepare the Final Account on 31st March, 2009, this difference is placed in a

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 Suspense Account. Afterwards the following errors were disclosed
(i) Purchases Book total had been undercast by Rs.20,000.
(ii) A cheque received from Vasudev for Rs.7,800 had been debited in the Cash
Book but not posted in Vasudev’s Personal Account.
(iii) Returns Outward Book had been over cast by Rs.10,000.

Pass the necessary entries to rectify the above errors and show the Suspense
Account.
OR
Give the rectifying entries of the following:
(i) Sales of Rs.20,000 to Manoj were recorded as Rs.2,000 in the Sales Book.
(ii)An amount of Rs.25,000 spent for the extension of machinery has been debited to
the Wages Account.
(iii)Discount received from Ram and Co. Rs.350, has not been entered in the
discount column of the Cash Book.
(iv)Goods of Rs.3,000 sold to Mahesh were recorded in the Purchases Book
28 (a)Operating profit earned by M/s Arora & Sachdeva in 2016-17 was Rs. 17,00,000. 4
Its non-operating incomes were Rs. 1,50,000 and non-operating expenses were
Rs.3,75,000. Calculate the amount of net profit earned by the firm.

(b)Calculate Operating profit from the following

Gross Profit Rs.25,000
Salaries Rs. 6,000
Wages Rs.3,000
Loss on sale of furniture Rs. 1,500
Office expenses Rs. 4,500
Interest received Rs. 1,700

29 Enter the following transaction in the bank column cash Book 4

April 1 Cash in hand Rs. 2,000

April 1 Bank Overdraft Rs.24,500
April 2 Cash sales Rs.60,000 plus CGST and SGST @ 6% each
April 5 Deposited in Bank Rs.10,000
April 7 Issued cheque to Sohan Rs.10,000
April 9 Sold goods for cash Rs.2,800 and paid half the proceeds into
bank
April 19 Bank paid insurance premium as per standing instructions
Rs.2,500
Jan 21 Sold goods to Hari and received cheque. Rs.3,000
Jan 23 Hari’s cheque deposited into bank
April 24 Sohan's cheque returned on technical ground

30 6
From the following balances of M/s Jyoti Exports, prepare trading and profit and loss
account for the year ended March 31, 2017 and balance sheet as on this date.

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 Account Title Amount Dr Account Title Amount Cr
Rs. Rs.
Sundry debtors 9,600 Sundry creditors 2,500
Purchases 34,800 Sales 52,600
Carriage inwards 450 Bills payable 5,600
Wages 1,700 Capital 41,170
Insurance 820
Bad debts 500
Factory rent 3900
Advertisement 940
Plant & Machinery 24,000
Cash in hand 2,160
Office rent 2200
Octroi 800
Patents 10,000
Closing Stock 10,000
1,01,870 1,01,870

Adjustments:

1. Goods worth Rs. 3,500were destroyed by fire ,the goods were not insured
for the fire safety.
2. Provision for bad debts @5%
3. Office rent is paid for 11 months
4. Interest on capital @10%

31 6

On 31st March, 2015, Bank Pass Book of Naresh and Co. showed an overdraft of
Rs.10,700. From the following particulars, prepare Bank Reconciliation Statement:
(i) Cheques issued before 31st March, 2015 but presented for payment after that
date amounted to Rs.900.
(ii)Cheques paid into the bank but not collected and credited until 31st March, 2015
amounted to Rs.2,200.
(iii)Interest on overdraft amounting to Rs.1,200 did not appear in the Cash Book.
(iv)Rs.5,000 being interest on investments collected by the bank and credited in the
Pass Book were not shown in the Cash Book.
(v)Bank charges of Rs.50 were not entered in the Cash Book.
(vi)Rs.800 in respect of dishonoured cheque were entered in the Pass Book but not
in the Cash Book.

OR
On examining the Bank Statement of Green Ltd., it is found that the balance shown
on 31st March, 2015, differs from the bank balance of Rs.23,650 shown by the Cash
Book on that date. From a detailed comparison of the entries it is found that:

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 (i) Rs.2,860 is entered in the Cash Book as paid into the bank on 31st March, 2015
but not credited by the ba until the following day.
(ii) Bank charges of Rs.70 on 31st March, 2015 are not entered in the Cash Book.
(iii) Interest on investment was collected by bank Rs,2,300 .
(iv) Cheques totaling Rs.16,720 were issued by the company and duly recorded in
the Cash Book before 31st March, 2015 but had not been presented at the Bank for
payment until after that date.
(v) On 25th March, 2015, a debtor paid Rs.1,000 into the Company’s Bank in
settlement of his account but no entry was made in the Cash Book of the company
in respect of this.

32 6
A firm purchased on 1st April 2008 certain machinery for Rs.5,82,000 and spent
Rs.18,000 on its erection. On 1st October, 2008, additional machinery costing
Rs.2,00,000 was purchased.
On 1st October, 2010, the machinery purchased on 1st April, 2008 was auctioned
for Rs.2,86,000 and a new machinery for Rs.4,00,000 was purchased on the same
date. Depreciation was provided annually on 31st March at the rate of 10% on the
Written Down Value Method. Prepare the Machinery Account for the years ended
31st March, 2009 to 2011.
OR

Sharma and Co. whose books are closed on 31st March, purchased machinery for
Rs.1, 50,000 on 1st April, 2005, Additional machinery was acquired for Rs.50,000 on
1st October, 2005. Certain machinery which was purchased for Rs.50,000 on 1st
October, 2005 was sold for Rs.40,000 on 30th September, 2007.
Prepare the Machinery Account and Accumulated Depredation Account for all the
years up to the year ended 31st March, 2008. Depreciation is charged @ 10% p.a.
on Straight Line Method. Also, show the Machinery Disposal Account.

6
33 Journalise the following transactions:
(i) Goods uninsured worth Rs.3,000 were destroyed by fire.
(ii) Supplied goods costing Rs.600 to Mohan issued at 10% above cost less 5%
Trade Discount.
(iii)Issued a cheque in favour of M/s. Parmatma Singh and Sons on account of
purchase goods worth Rs.7,500.
(iv) Rent outstanding Rs.5,000.
(v) Provided interest on capital (Rs.50,000) at 6% for six months.
(vi) Paid Rs.780 to Surinder in full settlement of debt of Rs.800.

Prepare the trading and profit and loss account for the year ending March 31, 2017
34 and Balance Sheet on that date of M/s Shine Ltd. from the following particulars.
6

Account Title Amount Dr Account Title Amount Cr

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 Sundry debtors 1,00,000 Sundry creditors 25,000
Bad debts 3,000 Return outwards 4,500
Trade expenses 2,500 Bank loan( 1-7-2016) 20,000
Freight 2,250 Capital 2,01,750
Sales return 6,000 Rent 7,000
Motor car 25,000 Interest received 11,000
Opening stock 75,500 Sales 1,50,000
Furniture and Fixture 15,500
Purchases 75,000
Drawings 13,000
Investments 65,500
Cash in hand 36,000

4,19,250 4,19,250

Adjustment:
1.Interest on bank loan is due @ 6% P.a
2. Accrued Interest on investment 240
3. Closing Stock cost price Rs.4,000 ,market price Rs.4,500
4. Rent received in advance Rs.1,000

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