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Find odd one. Capital, Bills Receivable, Reseve Fund, Bank overdraft. - Book Keeping and Accountancy

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Question

Find odd one.

Options

  • Capital

  • Bills Receivable

  • Reserve Fund

  • Bank overdraft

MCQ
One Word/Term Answer
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Solution

Bills receivable

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Chapter 1: Introduction to Partnership and Partnership Final Accounts - Exercise 1.1 (Objective Questions) [Page 52]

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Balbharati Book-Keeping and Accountancy [English] Standard 12 Maharashtra State Board
Chapter 1 Introduction to Partnership and Partnership Final Accounts
Exercise 1.1 (Objective Questions) | Q I. D. 3. | Page 52

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RELATED QUESTIONS

Rokadimal of Rajkot and Gunjal of Pune, entered into a Joint Venture to purchase and sale goods and agreed to share profit and losses in the proportion of 4 : 1 respectively.

Rokadimal sent goods of Rs 4,00,000 to Gunjal for sale.

Rokadimal paid Rs 11,500 for carriage.

Rokadimal drew a bill of Rs 95,000 on Gunjal, which he accepts.

Rokadimal discounted this bill with the bank for Rs 92,000.

The amount of discount is to be treated as joint venture expenditure.

Gunjal paid Rs 13,500 got advertisement.

Gunjal sold all the goods for Rs 5,00,000.

Gunjal paid Rs 7,000 for selling expenses and he is entitled for a commission on sales at 5% Co-venturers settled their accounts.

Give Journal Entries in the books of Gunjal of Pune.

From the following Trading Balance of M/s Ajay and Vijay you are required to prepared Trading and Profit and Loss Account for the year ended 31st March, 2009 and Balance Sheet as on that date 

            Trial Balance as on 31st March , 2009

Particulars Debit Amount Rs. Credit Amount Rs.

Capital A/c's           Ajay

                               Vijay

 

60000

35000

Purchases and Sales 46,700 85,000
Sundry Debtors and Creditors 28000 25000
Bills Receivable and payable 5000 6000
Commission 4600 1800
Opening stock 18000  
Wages 9900  
Investment 13500  
Postage and Telegrams 3600  
Insurance 1200  
Plant and Machinery 40700  
Furniture 18000  
Cash in hand 2500  
Carriage 3200  
Bad debts 400  
Prepaid Rent 7000  
Salaries 10500  

Adjustments:

1) The closing stock is valued at Rs 31,000.

2) Outstanding expenses were wages Rs. 1,400, salaries Rs 800.

3) Depreciate Plant and Machinery by 10%.

4) Insurance at Rs 500 is paid in advance.

5) Provide for further bad debts of Rs 1,500.

6) Commission due but not received Rs 1,200.


Sanjay and Sudhir are partners sharing profit and losses in the ratio 3: 2. The Trial Balance of the firm on 31st March, 2010 was follows:

Trial Balance as on 31st March, 2010
Particulars Amount
(Rs.)
Particulars Amount
(Rs.)
Opening stock 20,000 Capital A/c's  
Purchases 30,000 Sanjay 40,000
Debtors 12,000 Sudhir 30,000
Wages 5,000 Sales 70,000
Salaries 10,000 Sundry Creditors 21,000
Land and building 30,000 Bills Payable 20,000
Plant and machinery 25,000 Discount 5,000
Furniture 16,000 Outstanding Rent 1,500
Advertisement (for 2 years) 6,000    
Bills Receivable 8,000    
Insurance 2,000    
Drawings:      
Sanjay 2,000    
Sudhir 3,000    
Cash in hand 5,500    
Rent 10,000    
Power and Fuel 3,000    
  1,87,500   1,87,500

Adjustments:

1) Stock on hand on 31st March, 2010 was at Rs. 35,000.

2) Write off Rs. 2,000, for further Bad debts and maintain R.D.D. at 5% on debtors.

3) Depreciate Land and Building at 5% and Machinery at 10%.

4) Outstanding expenses were wages Rs 2,000 and salary Rs 1,000.

5) Credit purchases amounted to Rs 4,000 were not recorded in the books of accounts.

6) Provide interest on Partners Capital at 5% p.a.

From the above Trial Balance and adjustments prepare Trading and Profit and Loss Account for the year ended 31st March, 2010 and Balance Sheet as on that data.


Given below is the Trial Balance of M/s Roma and Mona partnership firm. Prepare Trading and Profit and Loss Account for the year ended 31st March, 2012 and Balance Sheet as on that date

                  Trial Balance as on 31st March, 2012

Debit Balance
Amount
Rs
Credit
Balance
Amount
Rs
Stock on 1st April, 2011 52000 Provident fund 50000
Sundry Debtors 84000 Interest on P.F. Investment 2800
Bad debts 3000 Sundry Creditors 84000
Premises 78000 Rent received 9600
Salaries 28000 Reserve for Doubtful Debts 2000
Motor Vehicles 50000 Discount received 3600
Purchases 176000 Sales 320000
Provident Fund Investment 50,000 Capital A/c-   
Provident Fund contribution 5500 Roma 50000
Wages 22000 Mona 50000
Rent (for 10 months) 16,000    
Office Expenses 5,000    
Discount allowed 2,500    
  572000   572000

Adjustments:

1) Stock on 31st March, 2012 was valued at Rs 80,000.

2) Goods of Rs 6,000 were sold and despatched on 27th March, 2012, but no entry was made in the books of accounts.

3) Write off Bad debts of Rs 4,000 and provide for R.D.D. at 5% on sundry debtors.

4) Provide reserve for discount on debtors at 2% and on creditors at 3%.

5) Outstanding wages Rs 4,000 and outstanding salaries Rs 3,066.

6) Depreciate Motor Vehicle at 5% p.a.


Mohini and Rohini are in partnership firm sharing profits and losses equally. From the following Trial Balance and adjustments given below, you are required to prepare Trading and Profit and Loss Account for the year ended 31st March, 2010 and Balance Sheet as on that date.

            Trial Balance as on 31st March, 2010

Particulars Debit Amount Rs.  Credit Amount Rs
Partner’s Capital A/c-    
Mohini   120000
Rohini   90000
Purchases and Sales 220000 430000
Sundry Debtors and Creditors 45000 35000
Bills Receivable and Bills Payable 45000 50000
Discount 4000 3500
Opening stock 25000  
Wages and Salaries 23000  
Manufacturing Expenses 9,000  
Factory Insurances

5,000

 
Factory Building 1,40,000  
Plant and Machinery

75,000

 
Advertisement (for 2years w.e.f. 1st Jan. 2010) 10,000  
Salaries and Wages

45,000

 
Warehouse rent

6,000

 
Import duty

11,500

 
Cash in hand 5,000  
10% Government Bond (Purchased on 1st July 2009) 60000  
  728500 728500

Adjustments:

1) Closing stock was valued at market price Rs 92,000 which is 15% above its cost price.

2) Goods costing Rs 3,000 purchased and received on 31st March, 2010 were not recorded in purchase book.

3) Depreciate Machinery at 10% p.a.

4) Outstanding Wages were Rs 2,500.

5) Goods of Rs 2,000 were taken by Mohini for personal use but no entry was made in the books of account.

6) Maintain R.D.D at 5% on Sundry Debtors.


Following is the Balance sheet of Harsha and Versha’s firm on 31st March, 2016. They share profit and losses in the ratio of 3 : 2.

Balance sheet as on 31st March, 2016
Liabilities      Amount (₹) Assets Amount (₹)
Capital A/c:   Land & building 2,00,000
Harsha 2,80,000 Furniture 76,000
Varsha 2,80,000 Sundry debtors 3,00,000
Sundry creditors 4,00,000 Stock 1,60,000
    Cash at bank 2,24,000
  9,60,000   9,60,000

They decided to admit Asha on 1st April, 2016, into partnership on the following terms:

  1. Asha should bring Rs. 80,000 as her share of goodwill, which is to be retained in the business.
  2. She should bring Rs. 1,00,000 as her capital for 1/4th share in future profits.
  3. land and building to be valued at Rs. 2,40,000 and furniture be reduced by 10%.
  4. A provision of 5% on debtors to be made for doubtful debts.
  5. The stock is to be taken at a value of Rs. 2,00,000.
  6. The excess of capital of Harsha and Varsha over their due proportion of sharing profits in the firm is to be transferred to their respective loan accounts.

Prepare: 

Profit and Loss Adjustment Account, Partner’s Capital Account and new Balance Sheet of the firm.


Ashok and Sangmesh are in partnership sharing profit and losses in the ratio of 2 : 1. From the following trial balance and adjustments given below, you are required to prepare Trading and Profit and Loss Account for the year ended on 31st March 2016 and Balance sheet as on that date:

Trial Balance as on 31st March 2016
Particulars Debit Amount
(₹)
Credit Amount (₹)
Prepaid insurance 3,200  
Insurance 8,000  
R.D.D.   4,000
Discount 3,200  
Postage and telephone 12,800  
Debtors and creditors 2,64,000 2,72,000
Salaries 2,24,000  
Wages 96,000  
Opening stock 1,92,000  
Carriage 4,000  
Purchased and sales 7,72,800 12,06,400
Return inward/Outward 22,400 36,800
Bank Overdraft   4,83,200
Plant and Machinery 96,000  
Land and Building 7,04,000  
Partner's Capital accounts:    
Ashok   2,08,000
Sangmesh   1,92,000
  24,02,400 24,02,400

Adjustment:

  1. Write off Rs. 8,000 for bad debts and provide R.D.D. @ 5% on debtors.
  2. Goods worth Rs. 16,000 were distributed as free samples.
  3. Closing stock on 31st March 2016 was valued at the cost of Rs. 2,24,000 while its market price was Rs. 2,40,000.
  4. The salaries were outstanding at Rs. 8,000.
  5. Depreciation: Land and Building @ 5% p.a. and Plant and Machinery @ 10 % p.a.

Darshan and Amar were partners sharing profit and losses in the proportion of 2: 1. Their balance sheet is as follows:

Balance sheet as on 31st March 2016

Liabilities Amt(Rs) Amt(Rs) Assets Amt(Rs) Amt(Rs)
Capital A/cs:     Building   1,00,000
Darshan 96,000   Furniture   20,000
Amar 64,000 1,60,000 Equipments   10,000
General reserve   18,000 Debtors 63,000  
Profit and Loss A/c   6,000 Less: R.D.D 3,000 60,000
Creditors   80,000 Stock   84,000
Pawans loan A/c   26,000 Cash   16,000
    2,90,000     2,90,000

On 1st April, 2016 Ranjit is admitted in the partnership on the following terms.

(1) Ranjit should bring in cash Rs 48,000 as capital for 1/5th share in future profits.
(2) Goodwill was raised in the books of the firm for Rs 18,000
(3) Building is revalued st RS 1,12,000 and tghe value of stock to be reduced by Rs 6,000
(4) Reserve for doubtful debts be maintained at Rs 1,800.
(5) Pawans loand is to be repaid.

Prepare: 
(1) Revaluation A/c 
(2) Capital A/cs of partners and 
(3) Balance sheet of the new firm


Write the word/phrase/term, which can substitute the following sentence.

The account to which all adjustments are made when capital is fixed.


Write the word/phrase/term, which can substitute the following sentence.

The accounts that are prepared at the end of each accounting year.


Write the word/phrase/term, which can substitute the following sentence.

The account in which selling expenses of the business are recorded.


State whether the following statement is True or False with reasons.

Balance Sheet is an Account.


State whether the following statement is True or False with reasons.

Income received in advance is a liability.


State whether the following statement is True or False with reasons.

R.D.D. is created on Creditors.


State whether the following statement is True or False with reasons.

Bank loan is a current liability.


Find odd one


Find odd one.


The withdrawal by partner for personal use from the firm is ________ to his account.


The expenses paid for trading purpose are known as _______ expenses.


Assets which are held in the business for a long period are called ______.


When goods are distributed as free samples, it is treated as ___________of the business.


Answer in one sentence only.

As per which principle of accounting, closing stock is valued at cost price or at market price whichever is less?


Answer in one sentence only.

Why wages paid for installation of machinery are not shown in Trading Account?


Do you agree/disagree with the following statement:

Sold but undispatched goods must be part of valuation of closing stock.


From the following Trial Balance and adjustments given below of Reena and Aarti, you are required to prepare Trading and Profit and Loss Account for the year ended 31st March 2019 and Balance Sheet as on that date.

Trial Balance as on 31st March 2019

Debit Balance Amount ₹ Credit Balance Amount ₹
Purchases 35,500 Sales 58,200
Sundry Debtors 40,000 Sundry Creditors 25,700
Sales Returns 1,000 Purchases Returns 500
Opening Stock 18,100 R.D.D 800
Bad debts 500 Discount 50
Land and Building 25,000 Commission 250
Furniture 20,000 Capital:  
Discount 1,000 Reena 50,000
Royalties 700 Aarti 30,000
Rent 1,900    
Salaries 3,000    
Wages 800    
Insurance 1,500    
Drawings:      
Reena 2,000    
Aarti 1,000    
Cash at Bank 11,500    
Cash in Hand 2,000    
  1,65,500   1,65,500

Adjustments :

  1. Closing Stock valued at ₹ 22,000.
  2. Write off  ₹ 900 for Bad and doubtful debts and create a provision for Reserve for doubtful debts ₹ 1,000.
  3. Create a provision for Discount on Debtors @ 3% and creditors @ 5%.
  4. Outstanding Expenses - Wages ₹ 700 and Salaries ₹ 800.
  5. Insurance is paid for 15 months, w.e.f. 1st April 2018 
  6. Depreciate Land and Building @ 5%
  7. Reena & Aarti are Sharing Profits & Losses in their Capital Ratio.

From the following Trial Balance of M/S Meera and Madhav. Prepare Trading and Profit and Loss Account for the year ended 31st March 2019 and Balance Sheet as on that date. 

Trial Balance as on 31st March 2019

Debit Balance

Amount ₹

Credit Balance

Amount ₹

Stock (1/4/2018)

25,000

Bank overdraft

5,000

Debtors

80,500

Bills Payable

12,500

Bills Receivable

10,000

Creditors

68,000

Purchases

2,08,500

Sales

3,25,000

Returns

1,000

Outstanding Rent

2,000

Carriage Inward

3,000

Unpaid Wages

1,500

Carriage Outwards

4,500

Capital :

 

Motor Vehicle

55,000

Meera

75,000

General Expenses

1,800

Madhav

75,000

Export Duty

900

Purchase Return

1000

Advertisement

4,800

   

(For 3 years from 1/10/2018)

     

Printing & Stationery

1,200

   

Drawings :

     

Meera

3,500

   

Madhav

2,000

   

Leasehold Premises

1,10,000

   

Cash at Bank

45,000

   

Furniture

8,300

   
 

5,65,000

 

5,65,000

Adjustments :

1) Closing Stock is valued at  ₹32,000.

2) Provide Provision for Doubtful Debts ₹ 2,000.

3) Create reserve for Discount on Debtors @ 3%.

4) Valued of Leasehold Premises on 31st March 2019 ₹1,00,000.

5) Outstanding Expenses Printing & Stationary ₹500.


Archana and Prerana are partners, sharing Profits and Losses in the ratio 2: 1 with the help of following Trial Balance and Adjustments given below. You are required to prepare Trading and Profit and Loss Account for the year ended 31st March 2019 and Balance Sheet as on that date.

Trial Balance as on 31st March 2019

Debit Balance

Amount ₹

Credit Balance

Amount ₹ 

Stock (1/4/2018)

8,560

Capital:

 

Patents

2,000

Archana

40,000

Sundry Debtors

18,500

Prerana

20,000

Stock of Stationary

3,000

Other Loans

3,000

Trade Mark

2,000

Reserve fund

1,000

Bills Receivable

6,300

Sundry Creditors

17,500

Electricity charges

1,450

Bills Payable

5,000

Wages

950

Purchase Return

1,000

Heating & Lighting

1,000

R.D.D

500

Trade Expenses

850

Sales

30,200

Sales Return

400

Interest

310

Land & Building

22,000

   

Furniture

13,000

   

Cash at Bank

5,000

   

Investments

7,500

   

Drawings :

     

Archana

1,200

   

Prerana

900

   

Bad debts

200

   

Purchases

23,700

   
 

1,18,510

 

1,18,510

Adjustments:

1) Stock on 31st March 2019 is valued at Cost Price ₹ 12,000 and Market Price ₹ 17,000.

2) Our customer Mr. Shekhar failed to pay his dues of ₹ 800.

3) 1/8th of Patents are to be written off.

4) A part of Furniture ₹ 5,000 is purchased on 1st Oct 2018.

5) Depreciation on Land & Building 10% and on Furniture 5%.

6) Outstanding Expenses Wages ₹ 300 and Electricity Charges ₹ 200.

7) Allow Interest on Capital 3%. 


Satish and Pramod are Partners. Prepare Trading Account and Profit and Loss Account for the year 31st March 2019. You have to find out Gross Profit and Net Profit only.

Trial Balance as on 31st March 2019

Debit Balance

Amount  ₹

Credit Balance

Amount ₹

Stock (1/4/2018)

8,700

Sales

68,000

Purchases

18,300

Dividend

2,000

Wages

1,000

Purchases Return

500

Insurance

800

Sundry Creditors

13,000

Unproductive Wages

1,400

10% Bank Loan

(w.e.f. 1/7/2018)

8,000

Warehouse Rent

600

Carriage Outward

1,200

Other Receipts

1,000

Sales Return

600

   

Export Duty

1,400

   

Customs Duty

800

   

Sundry Debtors

40,000

   

Investments

15,700

   

Factory Rent

1,600

   

Postage & Telegram

400

   
 

92,500

 

92,500

Adjustments:

  1. The Closing Stock is valued at ₹ 15,400.
  2. Outstanding Wages ₹ 500.
  3. Create provision for Bad debts ₹ 800 and maintain R.D.D. 3% on Sundry Debtors.
  4. Goods of ₹ 1,800 distributed as a free sample.
  5. Goods of ₹ 2,000 were sold and delivered on 31st March 2019 but no entry is passed in the Books of Account.

The insurance premium is paid for the year ending 1st September 2019 amounted to ₹ 1,500. Calculate prepaid insurance assuming that the year ending is 31st March 2019.


Borrowed loan from Bank of Maharashtra ₹ 2,00,000 on 1st October 2019 at a rate of 15% p.a. Calculate Interest on Bank Loan for the year 2019-20 assuming that the financial year ends on 31st March, every year.


Returns outward are deducted from ______.


Sun and Moon are partners sharing profits and losses equally. From the following trial balance and additional information prepare trading and Profit and Loss Account for the year ended 31st march 2020 and balance sheet as on that date.

Trial Balance as on 31st March, 2020
Debit Balance Amount (₹) Credit Balance Amount (₹)
Stock (1/4/2019) 65,000 General Reserve 14,500
Bills Receivable 28,000 Capital:  
Wages and Salaries 9,000 Sun 1,60,000
 Sundry Debtors 1,32,500 Moon  1,20,000
Bad-debts  1,000 Creditors 98,000
Purchases   1,48,000 R.D.D. 1,800
Motor car  68,000 Sales  2,85,500
Machinery  1,14,800 Outstanding Wages 700
Audit Fees   1,200 Purchases Returns 4,000
Sales Return 2,000 Discount 1,800
Discount  2,300    
Building 75,000    
Cash at Bank  12,000    
10% Investment  20,000    
Advertisement (Paid for 9 months) 4,500    
Royalties 3,000    
  6,86,300   6,86,300

Adjustment and Additional Information:

  1. Closing Stock ₹ 40,000.
  2. Depreciate Building and Machinery @ 5% and 3% respectively.
  3. Bills Receivable included dishonoured bill of ₹ 3000.
  4. Goods worth ₹ 1000 taken by sun for personal use was not entered in the books of accounts.
  5. Write off ₹ 1800 as Bad debts and maintain R.D.D. at 5% on Sundry Debtors.
  6. Goods of ₹ 6000 were sold but no entry was made in the books of accounts.

To find out the Net Profit or Net Loss of the business ______ account is prepared.


A ______ is an Intangible Asset.


Find odd one


Find odd one


Find odd one.


Registration of Partnership is ______ in India.


Complete the following Table:

Creditors Bills Payable Third-Party Liabilities
16,000 12,000 ?

Find odd one.


Find the odd one:


Find the odd one:

Building, capital, reserve fund, bank loan


Undervaluation of closing stock by 10%, closing stock was of ₹ 54,000. Find out the value of closing stock.


Do you agree or disagree with the following statements:

Bills receivable is a current asset.


From the following Trial Balance and Adjustments given below of Rutul and Atul, you are required to prepare Trading and Profit and Loss Account for the year ended 31st March, 2023 and Balance Sheet as on that date.

Trial Balance as on 31st March, 2023
Debit Balances Amount (₹) Credit Balances Amount (₹)
Purchases 71,000 Sales 1,16,400
Sundry Debtors 80,000 Sundry Creditors 51,400
Sales Returns 2,000 Purchase Returns 1,000
Opening Stock 36,200 R.D.D. 1,600
Bad Debts 1,000 Discount 100
Land & Building 50,000 Commission 500
Furniture 40,000  Capital A/cs:  
Discount 2,000 Rutul 1,00,000
Royalties 1,400 Atul 60,000
Rent 3,800    
Salaries 6,000    
Wages 1,600    
Insurance 3,000    
Drawing:      
Rutul 4,000    
Atul 2,000    
Cash at Bank 23,000    
Cash in Hand 4,000    
  3,31,000   3,31,000

Adjustments:

(1) Closing stock valued at ₹ 44,000.

(2) Write off ₹ 1,800 for bad and doubtful debts and create a provision for reserve for doubtful debts ₹ 2,000.

(3) Create a provision for discount on debtors @ 3% and on creditors @ 5%.

(4) Outstanding expenses: Wages ₹ 1,400 and Salaries ₹ 1,600.

(5) Insurance is paid for 15 months, w.e.f. 1st April, 2022.

(6) Depreciate Land and Building @ 5%.

(7) Rutul and Atul are sharing Profits and Losses in their Capital Ratio.


Find an odd one.


Mama and Kaka are partners in partnership firm sharing profits and losses equally. You are required to prepare Profit and Loss Account for the year ended 31st March, 2019 and Balance Sheet as on that date:

Trial Balance as on 31st March, 2019
Debit Balances Amount (₹) Cebit Balances Amount (₹)
Insurance 30,000 Capital Accounts:  
Land and Building ((Addition of ₹ 40,000 wef. 1st July, 2018)) 1,00,000 Mama 1,00,000
Salaries 10,000 Kaka 1,00,000
Export duty 5,000 10% Bank Loan (taken on1st Oct. 2018) 60,000
Interest 2,000 Interest 3,000
Furniture 80,000 Bills payable 16,000
Debtors 52,000   -
  2,79,000   2,79,000

Adjustment:

  1. Gross profit amounted to ₹ 69,000.
  2. Prepaid insurance ₹ 7,500.
  3. Depreciate Land and Building at 10% p.a. and Furniture 5% p.a.
  4. Write ₹ 2,000 for bad debts and maintain R.D.D. at 5% on sundry debtors.
  5. Closing stock is valued at ₹ 69,000.

Find odd one.


Find odd one.


Find odd one.


Find odd one.


Find odd one.


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