CBSE Class 11 Accountancy Sample Paper Term 1

Question 1- If Capital of a business is Rs. 40000, Creditors Rs. 25000 and Revenue/ Expense Rs. 40000 and Rs. 50,000 respectively, then value of assets will be Rs. _______________
a) 65000
b) 75000
c) 55000
d) NIL
Answer- c) 55000

Question 2- Patents is a/an __________
a) Expense
b) Revenue
c) Assets
d) Intangible Assets
Answer- d) Intangible Assets

Question 3- If list price of goods is Rs. 1000. Then amt. of trade discount @ 10% will be Rs. _____________ and cash discount @ 5% will be Rs. ______________
a) 100 – 45
b) 100 – 5
c) 1000 – 50
d) 900 – 45
Answer- a) 100 – 45

Question 4- Bank Rec. Statement prepared by ___________________
a) Bank only
b) Customer of Bank
c) Auditor
d) All above
Answer- b) Customer of Bank

Question 5- Trial Balance is prepared according to ___________ method.
a) Balancing
b) Total
c) Both option a and b
d) other then a, b and c
Answer- a) Balancing

Question 6- Select odd one out of following:
a) carriage inward
b) carriage outward
c) commission
d) commission received
Answer- d) commission received

Question 7- Mark odd one out of following:
a) Rent a/c Dr
   To Cash a/c
b) Drawing a/c Dr
   To Cash a/c
c) Purchase a/c Dr
   To Cash a/c 
d) Stationery a/c Dr 
    To Cash a/c
Answer- b) Drawing a/c Dr
                  To Cash a/c

Question 8- Pick odd one out of following:
a) Cash received from Debtor
b) Machinery purchase from M/s Cash
c) Interest Received
d) Salary paid to Ramesh
Answer- b) Machinery purchase from M/s Cash

Question 9- Match the followings and choose the correct option:

A) Personal Nature      1) Loss, Sales, Salary
B) Real Nature             2) Ram (customer), outstanding salary
C) Nominal Nature       3) Old Machinery, Copy right 
a) A-2, B-1, C-3
b) C-1, A-2, B-3
c) B-2, C-3, A-1
d) None above
Answer- b) C-1, A-2, B-3

Question 10- Match the following and choose the correct sequence:

1) Purchase and Sale of fixed assets       A) Journal Proper
2) Bad Debt.                                              B) Cash Book
3) Goods Purchase on Credit                    C) Purchase Book
4) Machinery Sold                                     D) Sales Book
a) 1-B, 2-A, 3-C, 4-B
b)1-C, 2-A, 3-C, 4-D
c) 1-B, 2-B, 3-C, 4-B
d) No proper match found
Answer- a) 1-B, 2-A, 3-C, 4-B

Question 11- Match the following and select correct sequence

1) Depreciation        a) Oil Well, Rivers
2) Depletion             b) Trade Marks, Copyrights
3) Amortisation       c) Car, Laptop, Almira
a) 1-B, 2-A, 3-C
b) 1-C, 2-B, 3-A
c) 1-A, 2-B, 3-C
d) 1-C, 2-A, 3-B
Answer- d) 1-C, 2-A, 3-B

Question 12- Which out of following statement is/are false
1) Depreciation always debited
2) Dep., Depletion and Amortisation have same meaning
3) Dep is a non cash transaction 
a) Only 1
b) Only 2
c) Only 3
d) All options
Answer- b) Only 2

Question 13- Assertion (A) : Window Dressing is a limitation of accounting.
Reason (R) : Window Dressing disclosed all Vital facts because of full disclosure principle.
Select the following options as per above assertion (A) and reason (R)
a) Both A and R correct
b) Both A and R Incorrect
c) A is correct but R is not correct
d) A is incorrect but R is correct
Answer- c) A is correct but R is not correct

Question 14- Assertion (A): Cash basis accounting is more reliable because it’s easy to maintain.
Reason (R): Cash basis accounting follow accounting principle, hence reliable.
Select the following options as per above assertion (A) and reason (R)
a) Both A and R correct
b) Both A and R Incorrect
c) A is correct but R is not a perfect explanation of A
d) A is incorrect but R is correct
Answer- b) Both A and R Incorrect

Question 15- Assertion (A): Both expense and expenditure are different terms.
Reason (R): Expense gives benefit to firm during a accounting year whereas Expenditure might gives benefit in both a accounting year in form of revenue expenditure and more then one accounting year in form of fixed assets
Select the following options as per above assertion (A) and reason (R)
a) Both A and R correct
b) Both A and R Incorrect
c) Both A and R correct and R is a perfect explanation of A
d) A is incorrect but R is correct
Answer- c) Both A and R correct and R is a perfect explanation of A

Question 16- Assertion (A): Cash Memo is prepared when goods sold for cash.
Reason (R): Cash Memo is a source voucher and before recording into journal we prepared accounting voucher.
Select the following options as per above assertion (A) and reason (R)
a) Both A and R correct
b) Both A and R Incorrect
c) A is correct but R is not a perfect explanation of A
d) A is incorrect but R is correct
Answer- a) Both A and R correct

Question 17- Assertion (A): A Bank Reconciliation Statement is not a part of double entry book keeping system.
Reason (R): Bank Reconciliation Statement is prepared only to match our cash book bank column balance with Bank pass book balance.
Select the following options as per above assertion (A) and reason (R) 
a) Both A and R correct
b) Both A and R Incorrect
c) A is correct but R is incorrect
d) A is incorrect but R is correct
Answer- a) Both A and R correct

Question 18- Out of following transactions which are business transactions, select the correct sequence:
a) Paid Wages
b) Received advance against sale of goods
c) Received order for sale of goods
d) Machinery purchase without paying cash/cheque
e) Expected loss due to insolvency
f) Amount withdrawn by owner from his saving bank account.
a) B,C,E,F
b) A,C,D,F
c) A,B,D,E
d) C,D,E,F
Answer- c) A,B,D,E

Question 19- Return outward means:
a) Sales Return
b) Cash Purchase Return
c) Cash Sales Return
d) Credit Purchase Return
Answer- d) Credit Purchase Return

Question 20- At time of sales return which source voucher will be prepared:
a) Transfer Voucher
b) Debit Note
c) Credit Cash voucher
d) Credit Note
Answer- d) Credit Note

Question 21- Bank Statement show a Debit balance of Rs. 8500. It’s found that a deposit of Rs.1500 uncredited and unpresented cheque of Rs. 2000 not in pass book. Find the balance as per cash book.
a) Overdraft Rs.8000
b) Debit Rs.9000
c) Credit Rs.9000
d) Overdraft Rs.12000
Answer- c) Credit Rs.9000

Question 22- While prepare ledger, if both Debit and Credit side total not equal then what will we do.
a) Checking
b) Balancing
c) Posting
d) Transfer
Answer- b) Balancing

Question 23- Following transactions given below. Find the capital at end.
1) Start Business with Rs.40000
2) Commission paid in advance Rs.1000
3) Accrued Commission Rs.2800
4) Commission due but not paid Rs. 800
a) 38200
b) 39000
c) 42800
d) 42000
Answer- d) 42000

Question 24- Nature of goodwill account is:
a) Personal
b) Nominal
c) Real
d) Artificial
Answer- c) Real

Question 25- Life insurance paid by firm is debited to:
a) Drawing
b) Capital
c) Life insurance
d) Sundry Expense
Answer- a) Drawing

Question 26- Sold goods to Prem costing Rs.50000 at a profit of 20% on cost at a trade discount @10% and cash discount @5%. Prem give 1/3 payment at time of sales. Which journal entry is correct:
Cash a/c Dr 17100        2) Cash a/c Dr 17100         3) Cash a/c Dr 19000
Disc. Allowed Dr 900         Trade Disc Dr 6000             Disc allow Dr 1000
Prem Dr 36000 Disc.          Allow Dr 900                    Prem a/c Dr 40000
To Sales a/c 54000            Prem Dr 36000                  To Sales a/c 60000  
                                           To Sales60000
a)only 1
b) only 2
c) only 3
d) all wrong
Answer- a)only 1

Question 27- Goods sold for Rs.24000 at a trade discount of 10% and cash discount of 10%. If half payment received at time of sales, then what is the correct option for GST calculation if its @ 12%.
a) Output IGST Rs.2462
b) Input CGST & SGST Rs.1231 each
c)Output CGST & SGST Rs. 1296 each
d) Output CGST & SGST Rs. 1231 each
Answer- d) Output CGST & SGST Rs. 1231 each

Question 28- Under which principal man power will be recorded into books of accounts.
a) Matching
b) Materiality
c) Money Mesurement
d) None above
Answer- d) None above

Question 29- Trial Balance is Prepared for
a) To check arithmetical accuracy books of accounts
b) To preparation of final accounts
c) Both option A and B
d) Only option B
Answer- c) Both option A and B

Question 30- Cost of asset is Rs.126000 and scrap value Rs.6000. if useful life of asset is 6 year’s then rate of Depreciation will be
a)14%
b) 15.56%
c) 15.87%
d) 15.80%
Answer- c) 15.87%

Question 31- Find out balance as per cash book from following particulars
1) Overdraft as per pass book Rs. 10000
2) Cheque deposited but not credited Rs 4000
a) overdraft Rs. 14000
b) overdraft Rs. 8000
c) overdraft Rs. 6000
d) favourable Rs.6000
Answer- c) overdraft Rs. 6000

Question 32- Choose the correct treatment of this example: Rent due but to be received later.
a) Add in Asset in form of cash and Add in Capital due to addition of capital
b) Add in Asset in form of Accrued Rent and Less in Capital due to expense
c) Add in Liability in form of O/S Rent and Add in Capital due to Income
d) Add in Assets in form of Accrued Rent and Add in Capital due to Income
Answer- d) Add in Assets in form of Accrued Rent and Add in Capital due to Income

Question 33- Reserve is created
a) To meet unforeseen losses
b) To give strengthen to financial position of business
c) Either A or B
d) Neither A nor B
Answer- c) Either A or B

Question 34- Baba Enterprises purchase an old machinery on 1^st April 2016 for 37,000 and spent Rs.2000 On its repair and Rs.1000 on its erection. On 1^st October 2017 it purchased another machine for Rs.10000 and on 1^st October 2018 sold off the 1^st machinery for Rs.28000. On the same day it Purchase another machine for Rs.25000. On 30^th September 2019 the 2^nd machinery was sold for Rs.2000.
Depreciation was provided @10% p.a on machinery. Give answer of following as per above case:

1) How much gain/loss on sale of M-1
a) Profit Rs.2000
b) Loss Rs. 4000
c) Loss Rs.2000
d) No profit/loss 
Answer- c) Loss Rs.2000

2) Total Depreciation of M-2 till date of sale
a) Rs.2000
b) Rs. 2305
c) Rs.3000
d) Rs.1878
Answer- a) Rs.2000

3) Which accounting principal / assumption following by Baba Enterprises
a) Accrual assumption
b) Going Concern
c) Consistency Assumption
d) All A, B and C
Answer- d) All A, B and C

Question 35- On 1^st April cash book have an overdraft balance of Rs.5000 in his bank column. Cheques deposited amounted Rs.20000 and cheque issued for Insurance Rs.7000 A interest of Rs.700 also allowed by bank and Owner withdrawn from bank Rs. 750 for his personal use. During April firm purchase a Machinery amounting Rs 10000 from Ram and paid him Rs. 2000 through cheque. A bill Rs.5000 with a maturity of 6 months, discounted @6% p.a.

Required: Give answer following question and select appropriate option. 

1) What amount will be recorded for Bill discounted in Cash book
a) Debit Bank Rs. 4700
b) Credit Bank Rs. 4850
c) Debit cash and Credit Bank by Rs. 4850
d) Debit Bank Rs. 4850 
Answer- d) Debit Bank Rs. 4850

2) Where will we record machinery amount
a) Rs.2000 in cash book and Rs.8000 in purchase book
b) Rs.10000 in cash book
c) Rs.8000 in Journal Proper and Rs.2000 in Cash book
d) Rs.2000 in Journal Proper and 
Answer- c) Rs.8000 in Journal Proper and Rs.2000 in Cash book

3) Where we record interest allowed by bank
a) Debit side Bank column
b) Credit side cash column
c) Journal Proper
d) Both a and b 
Answer- a) Debit side Bank column

4) What is the closing balance of cash book bank column
a) Credit 25550
b) Debit 17800
c) Credit 22800
d) Debit 10800
Answer- d) Debit 10800