NEB Class 11 · Past paper
The complete NEB Class 11 2070 exam paper for Accountancy, all 22 questions with solved model answers.
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Mention any three importance of Double Entry System of Bookkeeping.
The double entry system records the two-fold aspect (debit and credit) of every transaction. Three of its main advantages are: 1. Complete and scientific record. Both the receiving and the giving aspect of each transaction is recorded, s...
Following transactions are given: Falgun 1: Credit purchased from Shrestha, 50 meter carpet @ Rs. 150 per meter and 25 pound raw wool @ Rs. 50 per pound. Falgun 10: Credit purchased from Malla, 80 meter jute carpet @ Rs. 100 per meter and 200 pound raw jute @ Rs. 30 per pound. Falgun 15: 100 pound fine jute purchased from Oli for cash @ Rs. 50 per pound. Required: Purchase Book.
Only credit purchases of goods are recorded in the Purchase Book. The cash purchase of Falgun 15 (from Oli) is excluded (it goes to the cash book). Purchase Book Date Particulars Details (Rs.) Amount (Rs.) ------------ Falgun 1 Shrestha ...
Following cash and banking transactions are given: Chaitra 1: Cash in hand Rs. 50,000, Cash at bank Rs. 30,000. Chaitra 6: Goods sold for cash Rs. 10,000. Chaitra 12: Cash deposited into bank Rs. 5,000. Chaitra 15: Paid telephone charge of Rs. 6,000 through cheque. Chaitra 16: Amount withdrawn from bank for office use Rs. 3,000. Chaitra 20: Purchased goods worth Rs. 12,000 and paid Rs. 6,000 in cash and balance by cheque. Required: Cash Book with cash and Bank Columns.
Two Column Cash Book (Cash and Bank) - C = contra entry. Date Receipts Cash Bank Date Payments Cash Bank ------------------------ Chaitra 1 To Balance b/d 50,000 30,000 Chaitra 12 By Bank (C) 5,000 - Chaitra 6 To Sales 10,000 - Chaitra 1...
Following particulars are given: (a) On Magh 30, balance of bank account as shown in pass book was Rs. 60,000. (b) Various cheques of Rs. 15,000 were issued for payment but cheque of Rs. 10,000 only was presented for payment. (c) Different cheques of Rs. 20,000 were paid into bank but cheque of Rs. 15,000 only was credited by bank. (d) Bank commission of Rs. 200 charged by bank recorded in pass book but not in cash book. (e) Amount deposited by customer directly into bank Rs. 5,000 recorded in pass book but not in cash book. (f) House rent received Rs. 1,200 recorded in pass book but not in cash book. Required: Bank Reconciliation Statement.
Bank Reconciliation Statement as on Magh 30 (starting from Pass Book balance): Particulars Plus (Rs.) Minus (Rs.) --------- Balance as per Pass Book 60,000 (b) Cheques issued but not yet presented (15,000 - 10,000) 5,000 (c) Cheques depo...
Following errors were located before preparing the Trial Balance: (a) Goods purchased from Dhakal of Rs. 3,000 has been wrongly entered in sales account. (b) Amount received from Surendra of Rs. 5,000 has been wrongly debited in his account. (c) Purchase of machinery of Rs. 50,000 from Hari has been wrongly recorded in purchase account. Required: Journal Entries for Rectification.
Rectifying Entries (a) The credit purchase from Dhakal was wrongly recorded as a sale (Dhakal debited, Sales credited). It should be Purchases Dr., Dhakal Cr. Particulars Debit (Rs.) Credit (Rs.) --------- Purchases A/c ..... Dr. 3,000 S...
An unadjusted Trial Balance of a company is given: Capital 2,00,000 (Cr); Debtors 60,000 (Dr); Purchases 1,00,000 (Dr); Creditors 50,000 (Cr); Furniture 40,000 (Dr); General expenses 10,000 (Dr); Sales 1,20,000 (Cr); Machinery 1,30,000 (Dr); Cash in hand 30,000 (Dr); Total 3,70,000. Additional information: (i) Depreciation 10% on machinery. (ii) Provision for doubtful debt 2.5%. (iii) Prepaid general expenses Rs. 1,000. Required: Adjusted Trial Balance.
Adjustments: Depreciation: $$ \begin{aligned} \text{Depreciation} &= 10% \times 1{,}30{,}000 \ &= 13{,}000 \end{aligned} $$ Provision for doubtful debts: $$ \begin{aligned} \text{Provision for doubtful debts} &= 2.5% \times 60{,}000 ...
Given the Trial Balance of a trader (last year): Capital 4,00,000; Sales 3,00,000; Creditors 40,000; Purchase Return 10,000; Commission 5,000; 15% Bank Loan 1,20,000 (all Cr). Opening stock 50,000; Purchases 2,50,000; Wages 1,10,000; Carriage 5,000; Sales return 20,000; Salary 40,000; Machinery 1,50,000; Furniture 40,000; General expenses 30,000; Selling expenses 25,000; Discount 10,000; House Rent 15,000; Advertisement 20,000; Interest on Loan 9,000; Cash in Hand 1,01,000 (all Dr); Total 8,75,000. Additional: (i) Closing stock 1,50,000. (ii) Outstanding salary 5,000. (iii) Prepaid advertisement 3,000. (iv) Depreciate machinery by 15%. (v) Provision for doubtful debt @5% on debtors. Required: Trading A/c, Profit & Loss A/c and Balance Sheet.
Depreciation on machinery: $$ \begin{aligned} \text{Depreciation on machinery} &= 15% \times 1{,}50{,}000 \ &= 22{,}500 \end{aligned} $$ Interest on 15% bank loan: $$ \begin{aligned} \text{Interest on 15% bank loan} &= 15% \times 1{,...
Transactions relating to Machinery: Baishakh 1, 2066: Machinery 'Ka' and 'Kha' purchased @ Rs. 1,50,000 each. Magh 1, 2066: Machinery 'Ga' purchased for Rs. 1,00,000. Kartik 1, 2067: Machinery 'Ka' sold for Rs. 1,27,500. Shrawan 1, 2068: Machinery 'Kha' sold for Rs. 1,00,000. Depreciation charged @10% on fixed installment method. Accounts closed on 31st Chaitra each year. Required: Machinery account for three years.
Depreciation is on fixed installment (straight line) method @10% on cost. Ka and Kha cost Rs. 1,50,000 each; Ga costs Rs. 1,00,000. Ga is bought Magh 1, 2066 (3 months to Chaitra). Ka is sold Kartik 1, 2067 (used 6 months in year 2). Kha...
Following are given: (a) Bad debts Rs. 5,000. (b) Opening balance of provision for bad debts Rs. 6,000. (c) Closing debtors Rs. 1,20,000. (d) Provision for bad debts to be maintained @ 5%. Required: Provision for bad debts account.
New provision required: $$ \begin{aligned} \text{New provision required} &= 5% \times 1{,}20{,}000 \ &= 6{,}000 \end{aligned} $$ Provision for Bad Debts Account Dr. Rs. Cr. Rs. ------------ To Bad debts A/c 5,000 By Balance b/d (openin...
A club's Balance Sheet as on 31 Chaitra 2067: Liabilities - Capital fund 1,20,000; Outstanding rent 10,000; Advance subscription 20,000 (Total 1,50,000). Assets - Land & Building 1,00,000; Furniture 30,000; Subscription due 5,000; Cash 15,000 (Total 1,50,000). Receipts and Payments A/c for year ended 31 Chaitra 2068: Receipts - Balance b/d 15,000; Subscription 60,000; Donation (50% capitalized) 20,000; Entrance fees 5,000 (Total 1,00,000). Payments - Rent 30,000; Salaries 10,000; Furniture 40,000; Stationery 5,000; Balance c/d 15,000 (Total 1,00,000). Additional: (a) Outstanding subscription 5,000. (b) Outstanding rent 2,000. (c) Depreciate furniture by 10% p.a. Required: (i) Income and Expenditure Account (ii) Balance sheet as on 31 Chaitra 2068.
Subscription income: $$ \begin{aligned} \text{Subscription income} &= 60{,}000 + 5{,}000\ (\text{closing due}) - 5{,}000\ (\text{opening due}) + 20{,}000\ (\text{opening advance}) \ &= 80{,}000 \end{aligned} $$ Donation: 50% capitalized...
On January 1, 2012 a trader started business with cash Rs. 2,50,000 and Machinery Rs. 1,50,000. At year end his position is: Machinery Rs. 1,50,000; Creditors Rs. 20,000; Cash & Bank Rs. 40,000; Wages due Rs. 5,000; Loan Rs. 25,000; Debtors Rs. 75,000; Stock Rs. 2,15,000. Additional: (a) Depreciate machinery by 10%. (b) Drawings for domestic use Rs. 12,000. Required: (i) Closing statement of affairs (ii) Statement of profit and loss.
Opening capital: $$ \begin{aligned} \text{Opening capital} &= 2{,}50{,}000 + 1{,}50{,}000 \ &= 4{,}00{,}000 \end{aligned} $$ Machinery after depreciation: $$ \begin{aligned} \text{Machinery after depreciation} &= 1{,}50{,}000 - 15{,}000...
Write in brief about accounting cycle.
The accounting cycle is the complete sequence of accounting steps that is repeated in every accounting period, from recording a transaction to preparing the final accounts. The usual steps are: $$\text{Transaction} \rightarrow \text{Jour...
Following transactions of a government office are given: (a) Issued cheque Rs. 40,000 to purchase furniture. (b) Office materials advance of Rajan Rs. 15,000 is cleared against the purchase bill of Rs. 18,000 by issuing a cheque for the balance amount. (c) Out of total salary Rs. 2,20,000 distributed after deducting P.F. Rs. 40,000 and Rs. 2,000 for income tax. Required: Journal Vouchers.
(a) Furniture purchased by cheque: Particulars Debit (Rs.) Credit (Rs.) --------- Furniture A/c ..... Dr. 40,000 To Bank A/c 40,000 (b) Office materials bill Rs. 18,000; advance Rs. 15,000 adjusted, balance Rs. 3,000 paid by cheque: Part...
Following transactions are given: Magh 1: Balance at Bank Rs. 80,000. Magh 2: Received Bank order Rs. 3,20,000 and Budget released order Rs. 4,00,000. Magh 7: Issued a cheque Rs. 35,000 to purchase office supplies. Magh 15: Ram submitted furniture purchased bill of Rs. 60,000; his advance is cleared by issuing a cheque of Rs. 10,000. Magh 27: Issued cheque for salary Rs. 72,000 and for allowance Rs. 10,000 after deducting P. Fund Rs. 16,000. Required: Bank cash book.
The budget release order Rs. 4,00,000 is recorded in the budget column (memorandum); the Bank order Rs. 3,20,000 is the fund actually made available at bank. Ram's advance was Rs. 50,000 (bill 60,000 less cheque 10,000). Salary + allowan...
Following particulars are given (Budget Head: Annual Budget; Expenditure up to Poush; Expenditure of Magh): Salary 10,00,000 / 4,50,000 / 50,000; Allowance 1,00,000 / 45,000 / 5,000; Office supplies 50,000 / 25,000 / 3,000; Rent 60,000 / 30,000 / 6,000; Furniture 1,20,000 / 1,00,000 / -. Additional: (a) Total revolving fund received Rs. 8,50,000. (b) Petty cash fund balance Rs. 2,500. Required: Statement of Expenditure showing balance at Bank.
Statement of Expenditure (up to Magh) showing Bank balance Budget Head Annual Budget Up to Poush Magh Total Expenditure Budget Balance ------------------ Salary 10,00,000 4,50,000 50,000 5,00,000 5,00,000 Allowance 1,00,000 45,000 5,000 ...
State the meaning of Errors of Duplication with suitable example.
Error of duplication occurs when the same transaction is recorded twice in the books of account, once correctly and once again by mistake. Because both entries are made with correct debit and credit, the Trial Balance still agrees, so it is an error that does not affect the agreement of the Trial Balance.
Example: Goods sold to Ram for Rs. 5,000 are recorded in the Sales Book on one date and, by oversight, the same invoice is entered again in the Sales Book on another date. The sale of Rs. 5,000 is thus recorded twice, overstating both sales and Ram's account by Rs. 5,000.
Write the meaning of journal proper with suitable example.
Journal proper (also called the general journal) is the book of original entry used to record those transactions that cannot be recorded in any of the special subsidiary books (cash book, purchase book, sales book, returns books, bills b...
Give two reasons why secret reserve is created.
A secret reserve is a reserve that is not disclosed in the Balance Sheet; its existence makes the real financial position of the business stronger than what the accounts show. Two reasons for creating it are:
State three importance of Government Accounting.
Three points of importance of government accounting are: 1. Control over public funds. It records receipts and expenditure of public money and ensures that expenditure is made only within the sanctioned budget and for authorised purposes...
Write the meaning of 'budget transfer'. Give a specimen journal voucher when amount is transferred from Miscellaneous Head to Salary Head.
Budget transfer means shifting a sanctioned budget amount from one budget head (expenditure title) to another within the approved total budget, with proper authority, when the fund of one head is surplus and another head is short. Specim...
Following transactions are given: (i) Started business with cash Rs. 1,00,000, Bank Rs. 3,00,000 and Furniture Rs. 50,000. (ii) Purchased goods worth Rs. 1,00,000 from A & B suppliers. (iii) Sold goods worth Rs. 50,000 in cash. (iv) Paid wages Rs. 12,000, Rs. 10,000 by cheque and Rs. 2,000 by cash. Required: Accounting Equation.
The accounting equation is Assets = Liabilities + Capital. Effect of each transaction: Transaction Cash Bank Furniture Stock = Creditors Capital ------------------------ (i) Started business 1,00,000 3,00,000 50,000 - = - 4,50,000 (ii) G...
Following transactions are given: Sharvan 3: Purchased goods worth Rs. 2,00,000 from Sohan & Co. Sharvan 4: Returned goods worth Rs. 30,000 to Sohan & Co. Sharvan 18: Purchased goods worth Rs. 50,000 from Sohan & Co. Sharvan 25: Paid Rs. 1,65,000 to Sohan & Co. for full settlement of Rs. 1,70,000. Required: (i) Journal Entry (ii) Sohan & Co. Account.
(i) Journal Entries Date Particulars Debit (Rs.) Credit (Rs.) ------------ Shrawan 3 Purchases A/c ..... Dr. To Sohan & Co. 2,00,000 2,00,000 Shrawan 4 Sohan & Co. ..... Dr. To Purchase Return A/c 30,000 30,000 Shrawan 18 Purchases A/c ....
Adjustments: Depreciation: Provision for doubtful debts: $$ \begin{aligned} \text{Provision for doubtful debts} &= 2.5% \times 60{,}000 ...
Depreciation on machinery: Interest on 15% bank loan: $$ \begin{aligned} \text{Interest on 15% bank loan} &= 15% \times 1{,...
New provision required: Provision for Bad Debts Account Dr. Rs. Cr. Rs. ------------ To Bad debts A/c 5,000 By Balance b/d (openin...
Subscription income: Donation: 50% capitalized...
Opening capital: Machinery after depreciation: $$ \begin{aligned} \text{Machinery after depreciation} &= 1{,}50{,}000 - 15{,}000...