Mr. Sunrise started a business for buying and selling of stationery with ₹5,00,000 as an initial investment. Of which he paid ₹1,00,000 for furniture, ₹2,00,000 for buying stationery items. He employed a sales person and clerk. At the end of the month he paid ₹5,000 as their salaries. Out of the stationery bought he sold some stationery for ₹1,50,000 for cash and some other stationery for ₹1,00,000 on credit basis to Mr. Ravi. Subsequently, he bought stationery items of ₹1,50,000 from Mr. Peace. In the first week of next month there was a fire accident and he lost ₹30,000 worth of stationery. A part of the machinery , which cost ₹40,000 was sold for ₹45,000.
From the above, Answer the following :
1. What is the amount of capital with which Mr. Sunrise started business
2. what are the fixed assets he bought ?
3. what is the value of the goods purchased ?
4. who is the creditor and state the amount payable to him ?
5. what are the expenses ?
6. what is the gain he earned ?
7. what is the loss he incurred ?
8. who is the debtor ? what is the amount receivable from him ?
9. what is the total amount of expenses and losses incurred ?
10. Determine if the following are assets, liabilities , revenues , expenses or none of the these : sales , debtors , creditors , salary to manager, discount to debtors , drawings by the owner
CLASS 11
CBSE
ACCOUNTANCY
CHAPTER 1
INTRODUCTION TO ACCOUNTING
( PLEASE ANSWER CORRECTLY IF U SPAM DON'T MAKE ME ANGRY OR SHOUT AT U )
Answers
Answer:
1) Rs.5,00,000 is the amount of capital with which Mr. Sunrise started business.
2) Furniture are the fixed assets he bought.
3) Rs. 2,00,000 is the value of the goods purchased.
4) Mr. Peace is the creditor and Rs. 1,50,000 is the amount payable to him.
5) Rs. 5,000 paid to sales man and clerk as salary are the expenses.
6) Gain = 45,000 - 40,000 = 5,000
Rs. 5,000 is the gain he earned.
7) Rs. 30,000 is the loss he incurred when the fire accident happen to his shop.
8) Mr. Ravi is the debtor. Rs. 1,00,000 is the amount receivable from him.
9) Rs. 35,000 is the total amount of expenses and losses incurred.
10) Assets = Debtors
Liabilities = Creditors,drawing
Revenue = Sales
Expenses = Discount,salary
1. 5,00,000
2. 1,00,000
3. 2,00,000
4. Mr. Reace, 1,50,000
5. 5,000
6. 5,000
7. 30,000
8. Mr. Ravi, 1,00,000
9. 35,000
10. Assets : debtors; Liabilities : creditors; drawings; Revenues : sales expenses, discount, salary.