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The following selected transactions were given by the Adams Company:
Sept.16: Sold merchandise on account to the Foster Company, sales invoice no. 1032, Rs 3,742.
Sep 20: Sold merchandise on account to the King Company, sales invoice no. 1033, Rs 8,950.
Sep 25: Sold merchandise on account to Zimmer Company, sales invoice no. 1034, Rs 173.
Sep 27: King Company returned Rs 982 of merchandise relating to sales invoice no. 1033;
What shall be the total of sales book as at 30th Sep?

Retiring a bill under rebate means ?

A company was entered in hire purchase agreement and had to pay Rs 1,000 per month. Three payments were made via bank account but no entry was found in cash book. Identify the correct adjustment in cash book.

Does prepaid expenses effects the total of accounting equation? If yes, which accounts.

If a sale of Rs 500 to Ram is debited as only of Rs 50 to his account, while a sale of Rs 50 to Shyam is debited as of Rs 500 to his account, then which type of error is this?

Which of the following errors is an error of omission?

At the start of the year, the balance sheet contained a balance for rent received in advance of Rs. 1,000. Rs. 15,000 was received throughout the year and at the year end, it was clear that Rs. 2,000 was still receivable for the year. Which of the following is the correct entry in the profit and loss account?

Suppose a consumer can afford to buy 6 units of good 1 and 8 units of good 2 if she spends her entire income. The prices of the two goods are Rs. 6 and Rs. 8 respectively. How much is the consumer's income?

Which of the following is not an example of Timing Difference?

Under which method, the depreciation in later years will be less than the earlier years?

Which of the following is a non operating activity ?

On January 15, 2011, Raghu sold goods worth Rs. 35,000 to devendtra and dreq upto the latter three bills of exchanges. The first bill was for Rs. 5,000 payable after one month the second bill was For Rs. 20,000 Payable after three months and third bill for balance amount for 4 months. Raghu endrosed the first bill in favour of his creditor, Dewan in full settlement of a debt of Rs. 5,200. The second bill was discounted by Raghu at the rate of 6% per annum and the dishonoured the bill on maturity and the bank paid Rs. 30 as noting charges. Four days before the maturiey of hte third bill Raghu, sent the same for collection to his bank. The third bill was also dishonoured by Devendra and the bank paid Rs. 200 as noting charges. Five days after the dishonour of the bill. Devendra paid the entire amount due to RAghu along with interest Rs. 1,000 for this purpose Devendra obtained a short term loan from his bank.
You are requested to record the necessary Journal entries in the Books of Raghu, Devendra and Dewan and also prepare Devendra's account in Raghu's Book and Raghu's account in Devendra's Book.

Rectify the following errors.

(i) A credit purchases of Rs. 3,120 from Vihan was passed in the books as Rs. 4,200.

(ii) Goods (cost Rs. 2,500 sales price Rs. 3,000) distributed as free samples among prospective customers were not recorded.

(iii) Wages paid to the firm's workmen for making additions to machinery to Rs. 1,050 were debited to the wages account.

Accrued Revenues are:

State briefly the need for providing depreciation.

Which of the following is incorrect with regard to expenses?

Briefly explain three causes of difference in the Cash Book and Pass Book balances.

Is provision for discount on debtors made before making provision for doubtful debts?

Distinguish between cash account and cash book.

On 1st January, 2016 A sold goods for Rs. 60,000 to S. $50\%$ of the payment was made immediately by S on which A allowed a cash discount of $2\%$. For the balance, S drew a promissory note in favour of A payable after 20 days. Since, the date of maturity of bill was a public holiday, A presented the bill on a day, as per the provisions of Negotiable Instrument Act which was met by S. State the date on which the bill was presented by A for payment and journalise the above transactions in the books of A.

Should a transaction be first recorded in a journal or ledger? Why?

A _____ gives an overview of assets, equity, and liabilities of the company.

Statement A: Rohit has a business and his friend Vijay who asks him why he has to show the entire revenue, rather why not make it lower and reduce tax. But Rohit strictly refuses. What is the concept Rohit is adhering to?

Statement B: Revenues need to be recorded in books of account to avoid any sort of confusion. This is in accordance to which concept?

A motor van was bought for Rs. 20,000 on 1st September 2005 with a residual value of Rs. 2,000.
Depreciation was charged at 20% by the reducing balance method on yearly basis.
It was sold for Rs. 18,000 after three years of use on 30th September 2008.
Compute the profit on sale of asset.

Despite a number of advantages, a journal also suffers from various limitations. Give any three such limitations.

The Company writes a cheque to pay for Rs 10,000 for electricity bill. Which of the following is correct in this regards?

The bank has collected an interest of Rs 600 & has credited the same in the pass book. What shall be the adjustment in the balance as per cash book?

How does failure to record accrued revenue distort the financial statements?

Distinguish between trade discount and cash discount.

A boiler was purchased from abroad for Rs. 10000. Shipping and forward charges Rs. 2000 and expenses of installation amounts to Rs. 8000. Find the balance after three years 10% on diminishing balance method.

Cash sales to Ram amounting Rs 1000 was recorded as a sale of Rs 100 by mistake. Which of the following is correct with regards to rectification of this mistake?

Complete the sentence.
Direct
Raju: The key lies in one of these boxes.
Ajay: Is it this one?
Indirect
Raju told Ajay (a)_____________. Ajay asked Raju (b)_________.

How many cookie boxes are sold in all?

Analyse the following situation & compute the value of debtors to be recorded in the books.
1 Amounts receivable until last day of the year Rs 2,00,000
2 Credit sales on the last day of the year Rs 10,000
3 Cash sales on the last day of the year Rs 50,000

Define the purpose of maintaining the subsidiary journal.

Briefly explain the purpose and benefits of retiring a bill of exchange to the debtor and the creditor.

Goods distributed as free samples are recorded at which value and why?

An Almirah is sold at Rs. $5225$ after allowing a discount of $5\%$. Find its marked price.

Enumerate the main objectives of accounting.

Differentiate between expense and expenditure.

Write any three limitations of accounting.

When a bill is sent for collection, which account is debited in the books of drawer?

The John Marketing Company provides advertising services to an investment company in year A but receives advertising fee in year B. The John Marketing Company recognizes this revenue in year A. This action of John Marketing Company is justified by:

A firm is expected not to curtail its present scale and continue at least at the existing level under which of the following concept

Increase in expenses will ________ the capital.

Ram has purchased a furniture for resale as he has a furniture shop. Where the same shall be shown?

At which stage in the formation of a company does it interact with SEBI.

Mr. Farhan, a manager in Not-For-Profit Organisation received a sum off 5,00,000 as donation for construction of building. Mr. Farhan however, used this amount for his personal use.

(i) Identify the value missing in the above case.

(ii) Give the accounting treatment of donation in the financial statements.