ROYAL INSTITUTE OF COMERCE ,ARSIKERE
1ST BBA PREPARATARY EXAMINATION FEB-22-23
SUB- FUNDAMENTALS OF BUSINESS ACCOUNTING
TIME- 2HOURS MARKS -60
PART-A
Answer any five of the following questions [5*2=10]
[Link] a note on ‘’CREDIT NOTE’’.
[Link] is purchase Book.
[Link] the types of Accounting Software.
[Link] any four uses of Accounting information.
[Link] the Golden Rules of Accounts.
[Link] is Contra Entry? Give Example.
[Link] the following accounts into personal .Real and Nominal Accounts.
(a) Goodwill A/C (c) Repairs A/C
(b) Bad debts (d) Creditors A/C
PART-B
Answer any two of the following questions [2*10=20]
[Link] do you mean by Accounting? Explain the Accounting concept.
[Link] the list of Indian Accounting Standard.
[Link] a Trail Balance from the following ledger balance of Mr Arjun as on 31/12/2022
Name Balance in rupees
Capital 40,000
Drawing 2,000
Land and building 20,000
Stock[1st January 2022] 12,500
Machinery 5,000
Tools 1,000
Furniture 1,200
Rent 1,800
Salary 1,100
Debtors 2,200
Creditors 1,000
Purchases 20,800
Sales 38,400
Discount received 1,750
Office expenses 2,00
Wages 2,400
Carriage inwards 2,00
Bills receivable 2,700
Sundry expenses 8,00
Income tax paid 2,00
Cash on hand 1,000
Cash at bank 6,050
PART-C
Answer any two of the following questions , each questions carries 15 marks
2X15=30
12. define accounting briefly explain Accounting cycle and and accounting conventions
13. enter the following transaction in cash book with cash, bank & discount column
1-1-22 commenced business with rs20,000
2-1-22 paid to bank rs 1000
4-1-22 purchase goods for cash rs2000
7-1-22 sold goods for cash rs5000
9-1-2022 received from ravi rs9800 and allowed discount rs 200
12-1-22 cash paid to mr ram is rs 7900received discount rs 100
16-1-22 sold goods to mr nandan rs 500
22-1-22 cash withdraw for office use rs 750
31-1-22 rent paid landlord rs 400
14) from the following trail balance extracted from the books of sri narayan you are required to
prepare final A/C for the year ended 31/3/2022
Particulars DEBIT CREDIT
Drawing and capital 20,000 2,10,000
Purchase and sales 2,10,000 3,60,000
Freight 20,000
Salaries 50,00 0
Rent 6,000
Debtors and Creditors 2,20,000 1,70,000
Bad debts 3,000
Sundry expenses 2,500
Returns 12,000 9,000
Interest on investment 5,000
Discount 4,500 4,000
Provision for bad debts 4,000
Land and building 1,00,000
Investment 80,000
Furniture 20,000
Bills payable 24,000
Wages 25,000
Postage and telegram 3,000
Carriage 7,000
Commission 3,000
TOTAL 7,86,000 7,86,000
Adjustments
1. Closing stock value at R.s 80,000 AS ON 31.3.2022
2. The reserve for bad debts at 5% on debtors
3. Interest on capital at 6%
4. Depreciate Land & Building at 10% and Furniture at 15%
5. Outstanding wages RS.5,000 and salaries prepaid RS 10,000
6. Goods costing RS 10,000 were destroyed by fire and insurance company agreed to pay
insurance claim for RS 7,000
15. Journalise the following transactions in the books of Mr Prakash and also prepare cash
account
1.3.2022. Ram commenced business with cash RS 5,000
4.3.2022. paid into bank RS 1,000
5.3.2022. Bought goods for cash RS 6,00
6.1.2022. Bought office Furniture for cash Rs500
7.1.2022 sold goods to Raghav on credit RS 400
8/1/2022 Paid carriage RS 50
15/1/2022 Withdraw cash from office for personal use RS 200
18/1/2022 Cash purchase RS700
21/1/2022 Purchase goods from chiranth RS4000
22/1/2022 Returned goods to chiranth RS300
PART- B
11. Enter the following transaction in an analytical petty cash book under the imprest system
and Balance it.
1/1/22 Received RS 700 for Petty Cash
3/1/22 Spent for Postage RS 45
6/1/22 Taxi for Worker RS 50
8/1/22 Paid X & Company RS 55
10/1/22 Ink & Stationary RS 45
11/1/22 Sent a telegram RS 20
15/1/22 Entertainment Expenses for visitors RS 50
20/1/22 Paid for carriage RS 45
30/1/22 Paid telephone Bill RS 300
31/1/22 Paid Y & Company RS 50