Teachers recommend solving Kerala Syllabus Plus One Accountancy Previous Year Question Papers and Answers Pdf Board Model Paper 2023 to improve time management during exams.
Kerala Plus One Accountancy Board Model Paper 2023 with Answers
Time: 2 Hours
Maximum Score: 60
I. Answer any eight questions from 1 to 9. Each carries 1 Score. (8 × 1 = 8)
Question 1.
_______________ means a reality that has a definite individual existence.
(a) Events
(b) Entity
(c) Transaction
(d) Asset
Answer:
(b) Entity
Question 2.
Debit note is a source document used for _______________ book.
(a) Purchase
(b) Purchase return
(c) Sales
(d) Sales return
Answer:
(b) Purchase return
Question 3.
Purchase of vehicle for cash should be debited to _______________
(a) Purchase A/c
(b) Cash A/c
(c) Bank A/c
(d) Vehicle A/c
Answer:
(d) Vehicle A/c
Question 4.
Which of the following is not correct?
(a) Capital = Assets – Liabilities
(b) Liabilities = Assets – Capital
(c) Assets = Capital + Liabilities
(d) Capital = Assets + Liabilities
Answer:
(d) Capital = Assets + Liabilities
Question 5.
Favorable bank balance means _______________
(a) Credit balance in cash book
(b) Credit balance in passbook
(c) Debit balance in passbook
(d) Overdraft balance
Answer:
(b) Credit balance in passbook
Question 6.
Errors which are committed due to wrong posting is _______________
(а) Error of principle
(b) Error of commission
(c) Error of omission
(d) Compensating error
Answer:
(b) Error of commission
Question 7.
Provisions are created by _______________
(a) Debiting the Profit and Loss A/c
(b) Crediting the Profit and Loss A/c
(c) Crediting the Trading A/c
(d) Debiting the Trading A/c
Answer:
(a) Debiting the Profit and Loss A/c
Question 8.
_______________ refers to remuneration paid to workers directly engaged in the factory for the loading and production of goods.
(a) Carriage
(b) Freight
(c) Salary
(d) Wages
Answer:
(d) Wages
Question 9.
Expenses of an accounting period remain unpaid at the end of an accounting period is called _______________
(a) Prepaid expense
(b) Outstanding expense
(c) Expense paid in advance
(d) Bad debt
Answer:
(b) Outstanding expense
II. Answer all questions from 10 to 14, each carries a 2 Score. (5 × 2 = 10)
Question 10.
What are the qualitative characteristics of accounting information?
Answer:
Qualitative Characteristics of Accounting Information:
- Reliability: Accounting information must be reliable. Reliable information should be free from error and bias and verifiable.
- Relevance: Information should be relevant and must be available in time.
- Understandability: Relevant Accounting information must be capable of being understood by all its users.
- Comparability: Comparability means that the users should be able to compare the accounting information of an enterprise of the period either with that of other periods (Intra-firm comparison) or with the accounting information of other enterprises (Inter-firm comparison).
- Timeliness: Information must be available timely. If not, it loses its ability to influence decisions.
Question 11.
Answer with the use of hints given:
| Assets | Increases | Debit |
| a. Liabilities | Decreases | ? |
| b. Expense | Increases | ? |
| c. Income | ? | Credit |
| d. Capital | ? | Debit |
Answer:
| Assets | Increases | Debit |
| a. Liabilities | Decreases | Debit |
| b. Expense | Increases | Debit |
| c. Income | Increases | Credit |
| d. Capital | Decreases | Debit |
Question 12.
Define bank reconciliation statement.
Answer:
Bank Reconciliation Statement (BRS): BRS is a statement prepared to reconcile the bank balance as per the cash book with the balance as per the passbook or bank statement. This statement will show the reasons for the disagreement between the cash book and the passbook. It is prepared by the account holder debtor or businessman of a bank.
Question 13.
What do you mean by?
(a) Depletion
(b) Amortization
Answer:
(a) A decline in the value of natural resources like mines, quarries, etc. is termed depletion.
(b) Amortisation refers to a decrease in the value of intangible assets like patents, copyright, trademarks, etc..
Question 14.
Give adjusting journal entries for recording the following:
(a) Rent outstanding
(b) Rent received in advance
Answer:
(a) Rent A/c Dr.
Outstanding Rent A/c.
(b) Rent A/c Dr.
Rent Received in advance A/c.
III. Answer all questions from 15 to 18, each carries 3 Scores. (4 × 3 = 12)
Question 15.
Explain the following in one or two sentences:
(a) Drawings
(b) Debtors
(c) Creditors
Answer:
(a) Withdrawal of money or goods by the owner from the business for personal use is known as drawings.
(b) The person who owes money to the business is called a debtor.
(c) The person to whom the business owes money is called a creditor.
Question 16.
Enter the following transactions in the proper day book of Harry Traders, a furniture dealer.
02.06.2020: Purchased 4 benches @ Rs. 300 each from Akbar Mart.
05.06.2020: Purchased 10 chairs @ Rs. 400 each and 12 tables @ Rs. 600 each from Babu Stores. Trade discount @ 10%.
10.06.2020: Purchased 7 Almirahs @ Rs. 1,000 each from Choice Traders. Trade discount @ 5%.
Answer:
Purchase Book
Question 17.
Write the rectifying entries for the following:
(a) Purchase of furniture recorded in Purchase A/c Rs. 30,000
(b) Wages paid Rs. 5,000 recorded in Salary Account
(c) Wages paid for installation of machinery edited in Wages Account Rs. 10,000
Answer:
Question 18.
Explain the following concept in one or two sentences.
(a) Money measurement
(b) Matching concept
Answer:
(a) Money Measurement Concept: According to this concept, only those transactions that can be measured in terms of money only are recorded in the books of accounts. The qualitative aspects of the business like efficiency of management, favorable location etc. are important for the business, but they cannot be recorded in the books of accounts because they cannot be evaluated in terms of money.
(b) Matching Concept: Under this concept, all the expense of an accounting year should be matched with the revenue of the appropriate accounting period to determine true profit/loss for the accounting period. It follows from this that the revenue and expenses incurred to earn these revenue must belong to the same accounting period.
IV. Answer any three questions from 19 to 22, each carries 4 Scores. (3 × 4 = 12)
Question 19.
Give necessary journal entries for the transaction of Anand Rice Stores, at Coimbatore. (Assuming SGST @ 6%, CGST @ 6%)
05.04.2019: Cash purchase of Furniture Rs. 40,000 from Chennai.
09.04.2019: Sold goods to Arathi stores Kochin Rs. 60,000.
Answer:
Input SGST – 40000 × 6%
Input CGST – 40000 × 6%
Output IGST – 60000 × 12%
Question 20.
On 01.01.2016, Sigma Ltd. purchased machinery costing Rs. 50,000. Installation charges amounted Rs. 12,000. Expected life is 10 years adn salvage value Rs. 2,000. Calculate depreciation and prepare Machinery Acount for three years, assume that books of account are closed on 31st December every year.
Hint: Straight Line Method.
Answer:
Question 21.
Matching the following:
| A | B |
| (i) Business has a separate existence from the owner | (a) Going Concern |
| (ii) Business has an indefinite life | (b) Dual Aspect |
| (iii) Playing Safe | (c) Business Entity |
| (iv) Assets = Capital + Liabilities | (d) Conservation |
Answer:
| A | B |
| (i) Business has a separate existence from the owner | (c) Business entity |
| (ii) Business has an indefinite life | (a) Going concern |
| (iii) Playing safe | (d) Conservatism |
| (iv) Assets = Capital + Liabilities | (b) Dual Aspect |
Question 22.
The following are the items taken from a trial balance:
Debtors: Rs. 40,000
Bad debt: Rs. 6,000
Provision for bad and doubtful debts: Rs. 3,000
Additional information:
Write off further bad debt Rs. 2,000
Create provision for bad and doubtful debt @ 5%
Calculate the amount of provision for doubtful debt and debtors appearing in final accounts.
Answer:
Profit and Loss Account
Balance Sheet as on _______________
V. Answer any two questions from 23 to 25, each carries a 5 Score. (2 × 5 = 10)
Question 23.
Prepare Bank Reconciliation statement.
Balance as per cash book – Rs. 12,500
The cheque deposited into the bank but not credited – Rs. 5,000
Cheque issued but not yet presented for payment – Rs. 3,000
Rent paid by bank for the depositor – Rs. 3,500
Direct deposit by a customer into the bank – Rs. 6,000
Answer:
Bank Reconciliation Statement as on _______________
Question 24.
Prepare Trial Balance.
Capital – Rs. 1,00,000
Sales – Rs. 60,000
Purchase – Rs. 40,000
Sales return – Rs. 4,000
Purchase return – Rs. 3,000
Cash – Rs. 50,000
Debtors – Rs. 21,000
Furniture – Rs. 35,000
Vehicle – Rs. 25,000
Bank overdraft – Rs. 12,000
Answer:
Trial Balance as on _______________
Question 25.
Calculate operating profit.
Opening stock – Rs. 40,000
Net sales – Rs. 2,90,000
Net purchases – Rs. 1,60,000
Wages – Rs. 18,000
Carriage inwards – Rs. 7,000
Salary – Rs. 25,000
Selling and Distribution expenses – Rs. 35,000
Loss due to fire – Rs. 10,000
Commission received – Rs. 10,000
Closing stock – Rs. 50,000
Answer:
Calculation of Operating Profits (Trading & Profit and Loss A/c)
*Loss due to fire not included.
VI. Answer any questions from 26 to 27, which carries an 8 score. (1 × 8 = 8)
Question 26.
Prepare a double-column cash book.
Answer:
Question 27.
Prepare Trading and Profit and Loss A/c and Balance Sheet of Mega Ltd. as of 31.03.2018. The trial balance is as follows:
Trial Balance as of 31.03.2018
Additional information:
1. Closing stock: Rs. 37,000
2. Wages outstanding: Rs. 2,000
3. Prepaid rent: Rs. 2,000
4. Interest accrued: Rs. 3,000
5. Further bad debt write-off: Rs. 1,500
6. Depreciate machinery at 10%.
Answer:
Trading & Profit and Loss Account for the year ended 31.03.2018
Balance Sheet as of 31.3.2018
