INTERNATIONAL INDIAN SCHOOL DAMMAM

HOLIDAY ASSIGNMENT CLASS 11 GSSS 2024-25

1.Assets used in the business for the purpose of re-sale are called:
a) current asset
b) fixed asset
c) liquid asset
d) fictitious asset.
2. Creditors and banks are the example of users of accounting and there known as users.
a) external users
b) internal users
c) internal and external users
d) none of the above
3. Discount given to encourage prompt payment and which reduces bad debts is called:
A) trade discount
b) cash discount.
C) no discount
D) both cash and trade discount
4. Double entry system of accounting involves two aspects----------and-----------------.
A) debit and credit
B) debit
C) credit
D) none of the above

5.The excess of expenses of a period over its related revenues is termed as:
A) Profit
B) Loss
C)Gain
D)Expenses
6.The documentary evidence in support of a transaction is known as:
A) Debit note B) Credit note C) Voucher D) Invoice
7. The goods unsold at the end of the accounting year are called:
A) Opening stock B ) Goods C) Closing stock D) All of these

8. Which one is a capital transaction?

(a) Purchase of goods ( b) Payment of wages
(c) Sales of goods (d) Purchase of machinery

9. The concept that states that the reasonable material facts that disclose through the
financial statement and the informing notes is:
a) Materiality b) Full Disclosure c) Consistency d) Prudence

10. Purchase of Goods for cash is:-

(a) Increase in stock and increase in cash(b) Decrease in stock and decrease in
cash (c)Increase in cash and decrease in stock (d) Increase in stock and decrease in
cash

11. Cash received from debtor is-

(a) Increase in stock and increase in capital (b) Decrease in stock and decrease in capital
(c) Decrease in debtor and increase in cash (d) Increase in stock and decrease in cash

TRUE OR FALSE
1. Due to the Materiality Concept the cost of small calculator is accounted as an
expense and not shown as on Assets in a financial statement.
2. According to Accrual Concept, raw material consumed is matched against cost of
goods sold.
3. Can a business firm record 10 chairs, 10 tables, a building having 10 rooms?
4. Cash basis of accounting is incompatible with matching principle.
5. A firm recorded the market value of asset in the financial statement has
violated one of the principles of accounting.
6. Due to Dual Aspect Principle, the contingent Liabilities are shown as a
foot note in the Balance Sheet.
7. The market value of stock is increased but the firm did not record its market
value as the stock is not yet sold due to the adherence of Conservatism Concept.
8.The market value may vary from person to person and from place to place, thus
objectivity cannot be maintained if such value is adopted for accounting purpose.
 ASSERTION AND REASONING
1. The main function of Accounting standards Board is
i) To identify areas in which uniformity in standards is requested
ii) Develop draft standards after wide discussion with representative, the
public sector undertakings etc.
a) Option (i) is the correct Statement
b) Option (ii) is the correct Statement
c) Both Option (i) and (ii) are the correct Statement
d) None of the Option is the correct Statement

2. i) The money measurement concept states that only the money related
transactions can be recorded in the books of accounts.
iii) The creativity of the employee that contributes to the profit in the Research
Department can be recorded under the money measurement Concept.
a) Option (i) is the correct Statement
b) Option (ii) is the correct Statement
c) Both Option (i) and (ii) are the correct Statement
d) None of the Option is the correct Statement

3. i) Double entry system can minimise the possibilities of frauds and mis-
appropriations.
ii) Every debit must have its corresponding credit
iii) single entry system is the complete system of maintaining records of
the financial transaction
iv)The arithmetic accuracies can be checked by preparing the trial balance in
the single entry system
a) Option (i) and option (ii) are the correct statement.
b) Option (ii) and option (iii) are the correct statement
c) Option (i) and option (iii) are the correct statement
d) Option (iv) and option (ii) are the correct statement

ACCOUNTING EQUATION
 Q 1 Show the Accounting Equation on the basis of the following transactions.

(i) Raj commenced business with cash 70,000

(ii) Purchased goods on credit 14,000

(iii) Withdrew for Private use 1,700

(iv) Goods purchased for cash 10,000

(v) Paid wages 300

(vi) Paid to creditors 10,000

(vii) Sold goods on credit for 15,000
(viii) Sold goods for cash 4,000
(ix) Purchased furniture for 500

Q2. Prepare Accounting Equation from the following:-

(₹)
1. Sandeep started business with Cash 1,00,000
2. Purchased furniture for cash 5,000
3. Purchased goods for cash 20,000
4. Purchased goods on credit 36,000
5. Paid for rent 700
6. Goods costing ₹ 40,000 sold for Rs 48,000

Q3. Prove that the Accounting Equation is satisfied in all the following transactions .
1. Started business with Cash ₹ 1,20,000.
2. Purchased a typewriter for Cash for ₹ 8,000 for office use.
3. Purchased goods for ₹ 50,000 for cash.
4. Purchased goods for ₹ 40,000 on credit.
5. Goods costing ₹ 60,000 sold for ₹ 80,000 on credit.
6. Paid for Rent ₹ 1,500 and for salaries ₹ 2,000.
7. Received ₹ 800 for Commission.
8. Withdrew for private use ₹ 5,000 in cash.

JOURNAL ENTRIES
1. Pass the necessary journal entries in the book of Raghav from the following transactions:
1. On 1 April 2023, Opened a Bank Account by depositing Rs 50,000.
2. On 7 April 2023, Goods were brought for Rs10,000, and payment was made by cheque
@12% IGST..
3. On 15 April 2023, cash withdrawn Rs 5,000 for personal use.
4. On 26 April 2023,salary paid Rs 2000.
5. On 29 April 2023, the Bank charged interest for Rs 500.

2. JOURNALISE
1.Purchased goods worth Rs 50,00. CGST @10% and IGST@12%.
2.Sold goods worth Rs 5,000 CGST @6% .
3 Sold goods worth RS 10,000CGST 6% and IGST 8%.

CASH BOOK
Prepare cash book with bank column from the following transactions

DATE PARTICULARS
2022
Jan1 Commenced business with cash Rs. 1,00,000
Jan 2 Deposited into bank Rs. 50,000
Jan3 Bought goods by cheque Rs. 35,000
Jan 5 Sold goods for cheque Rs.20,000 and deposited into bank the same day .
Jan 5 Paid to Arjun by cheque Rs.2,000
Jan 6 Drew from bank for office use Rs.1,000
Jan 7 Paid rent for proprietor’s residence Rs. 5,000
Jan 8 Sold goods to Manohar for Rs. 3,000 on credit
Jan 11 Cheque from Manohar received and was banked on the same date

LEDGER AND TRAIL BALANCE

Post into ledger account and prepare trial balance

1.12.22 Started business with cash Rs. 2,00,000

2.12.22 Bought office furniture for Rs. 30,000
5.12.22 Paid into bank to open a current account Rs. 50,000
19.12.22 Sold goods to Tarun for Rs. 2,000
22.12.22 Paid cartage Rs. 1000
27.12.22 Cash received from Tarun Rs. 2,000