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What are fixed assets?

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प्रश्न

What are fixed assets?

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उत्तर

  1. Fixed assets are those assets which are acquired or constructed for continued use in the business and last for many years such as land and building, plant and machinery, motor vehicles, furniture, etc.
  2. It is classified into a. Tangible Assets and b. Intangible Assets.
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अध्याय 12: Final Accounts of Sole Proprietors - 1 - Very short answer questions [पृष्ठ २६४]

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सामाचीर कलवी Accountancy [English] Class 11 TN Board
अध्याय 12 Final Accounts of Sole Proprietors - 1
Very short answer questions | Q II 3. | पृष्ठ २६४

संबंधित प्रश्न

Give a word, term, or phrase which can substitute the following statement:
The accounts prepared at the end of the accounting year to know the profit or loss and Financial position of business


Select the most appropriate alternatives given below and rewrite the sentence :
____________ is excess of assets over liabilities


Select the most appropriate alternatives given below and rewrite the sentence :
Outstanding expenses are shown on the ____________ side of Balance Sheet.


State True or False with reasons :
Goodwill is not a fictitious asset


Fill in the blank :
Income Receivable appears on __________ side of Balance Sheet.


Do you agree or disagree with the following statement :
Balance Sheet is a statement as well as an account.


Bank overdraft should be shown ______.


From the following particulars, prepare balance sheet in the books of Bragathish as on 31st December, 2017:

Particulars Particulars
Capital 80,000 Cash in hand 20,000
Debtors 12,800 Net profit 4,800
Drawings 8,800 Plant 43,200

Prepare trading and profit and loss account in the books of Ramasundari for the year ended 31st December, 2017 and balance sheet as on that date from the following information:

Particulars Particulars
Opening stock 2,500 Sales 7,000
Wages 2,700 Purchases 3,300
Closing Stock 4,000 Salary 2,600
Discount received 2,500 Capital 52,000
Machinery 52,000 Cash at Bank 6,400
Creditors 8,000    

Chennai tennis club had a Match fund showing a credit balance of ₹ 24,000 on 1st April, 2018. The receipt to the fund during the year was ₹ 26,000. Match expenses incurred during the year was ₹ 33,000. How these items will appear in the final accounts of the club for the year ended 31st March, 2019?


Compute capital fund of Salem Sports Club as on 1.4.2019.

Particulars Particulars
Sports equipment 30,000 Prize fund 10,000
Computer 25,000 Prize fund investments 10,000
Subscription outstanding for 2018-19 5,000 Cash in hand 7,000
Subscription received in advance for 2019-20 8,000 Cash at bank 21,000

Following is the Receipts and Payments account of Neyveli Science Club for the year ended 31st December, 2018.

Dr. Receipts and Payments Account for the year ended 31st December, 2018 Cr.
Receipts Payments
To Balance b/d   By Balance b/d    
Cash in hand 2,400 Bank overdraft   1,000
To Subscription 8,700 By Postage expenses   200
To Life membership fees 5,000 By Science equipments purchased   10,000
To Exhibition fund receipts 7,000 By Laboratory expenses   2,400
To Sale of science equipments (Book value ₹ 5,000) 6,000 By Secretary’s honorarium   5,000
To Miscellaneous income 500 By Audit fees   3,600
    By General charges   1,800
    By Exhibition expenses   5,000
    By Balance c/d    
    Cash in hand 200  
    Cash at bank 400 600
  29,600     29,600

Additional information:

  1. Opening capital fund ₹ 6,400
  2. Subscription includes ₹ 600 for the year 2019
  3. Science equipment as on 1.1.2018 ₹ 5,000
  4. Surplus on account of exhibition should be kept in reserve for new auditorium.

Prepare income and expenditure account for the year ended 31st December, 2018 and the balance sheet as on that date.


Calculate the Capital.

Assets  (₹) Liabilities  (₹)

Building 

20,000

Bills Payable  18,000
Furniture 15,000 Creditors 20,700
Debtors 30,000 Outstanding Wages 1,250
Investments 10,000    
Cash at Bank 5,000    
Plant & Machinery 20,000    

Mr. Pramod borrowed a Loan from the State Bank of India ₹ 3,50,000 on 1st Oct. 2018 at the rate of interest of 12% p.a. Calculate the Interest on a bank loan for the year 2018-19, assuming that the financial year-end on 31st March every year.


Calculate the amount of gross profit and operating profit on the basis of the following balances extracted from the books of M/s Rajiv & Sons for the year ended March 31, 2017.

 
Opening stock 50,000
Net sales 11,00,000
Net purchases 6,00,000
Direct expenses 45,000
Administration expenses 45,000
Selling and distribution expenses 65,000
Loss due to fire 20,000
Closing stock 70,000

What does a balance sheet reveal about a business?


What does it indicate if the balance sheet does not tally (totals on both sides are not equal)?


Which statement best describes the relationship between assets and source of funds?


If cash at bank increases, which side of the balance sheet changes?


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