Question

1. What do you mean by Cash Discount?
2. Give the meaning of Trade Discount.
3. Explain any three limitations of Accounting.
4. Explain any three importance of Accounting.
5. Explain the rules of debit and credit according to traditional approach.
6. Explain the following terms:
A. Deferred Revenue Expenditure
B. Goodwill
C. Capital
7. Explain the following terms with examples:
A. Current Assets
B. Current Liabilities
C. Fictitious Assets
8. Explain Cash Basis and Accrual Basis of Accounting .
9. Explain Debit note and Credit note in your own words.
10. Pass Journal entries for the following transactions:
​a. Interest due but not received Rs. 4,000.
​b. Salaries due to staff Rs. 25,000.
​c. Out of the rent paid this year, Rs. 2,000 relates to the next year.
​d. Provide 10% depreciation on furniture costing Rs. 5,000.
​e. Goods used in making furniture ( Sales Price Rs. 2,000; Cost Rs. 1,500)
f. Received commission of Rs. 10,000 by cheque, half of which is in advance.

Answer 1

Answer:

A cash dedution allowed by some sellersof goods or by some providers or service in order to motivate customer to pay within a specified time