BLOSSEMS CONVENT SCHOOL

CLASS: 11th COMMERCE GROUP

SUBJECT: ACCOUTANCY
HOLIDAYS ASSIGNMENT
DAY-1,2
1. Name any two types of commonly used negotiable instruments. 1
2. What is meant by maturity of a bill of exchange? 1
3. What is meant by dishonour of a bill of exchange? 1
4. Give the Performa of a Bill of Exchange. 3
5. Vishal sold goods for Rs.7,000 to Manju on Jan 05, 2020 and drew upon her a bill of 3
exchange payable after 2 months. Manju accepted Vishal’s draft and handed over the same
to Vishal after acceptance. Vishal
Immediately discounted the bill with his bank@12% p.a. On the due date Manju met her
acceptance.
6. Ravinder drew upon Narayanan a bill of exchange for the same amount payable after 30 4
days. On the due date Narayanan dishonoured his acceptance. Record the necessary journal
entries in the books of Ravinder and Narayanan in following cases:
1. When the bill was retained by Ravinder with him till the date of its maturity.
2. When the bill was discounted by Ravinder immediately with his bank @ 6% p.a.
3. When the bill was endorsed to his creditor Ganeshan.
4. When the bill was sent by Ravinder to his bank for collection a few days before it
maturity

7. Following information is given below prepare the statement of profit or loss: 3

Capital at the end of the year Rs. 5,00,000
Capital in the beginning of the year Rs.7,50,000
Drawings made during the period Rs. 3,75,000
Additional Capital introduced Rs. 50,000
8. Krishna Kulkarni has not kept proper books of accounts prepare the statement of profit or 4
loss for the year ending March 31, 2021 from the following information:
April 01,2020 March 31,2021
Cash in hand Rs.10,000 Rs.36,000
Debtors Rs.20,000 Rs,80,000
Creditors Rs.10,000 Rs.46,000
Bills receivable Rs.20,000 Rs.24,000
Bills payable Rs.4,000 Rs.42,000
Car ...... Rs.80,000
Stock Rs.40,000 Rs.30,000
Furniture Rs.8,000 Rs.48,000
Investment Rs.40,000 Rs.50,000
Bank balance Rs.1,00,000 Rs,90,000
The following adjustments were made :
(a) Krishna withdrew cash Rs.5, 000 per month for private use.
(b) Depreciation @ 5% on car and furniture @10% .
DAY-3,4
1. What is meant by acceptance of a bill of exchange? 1
2. What is Noting of a bill of exchange? 1
3. From the information given below ascertain the profit for the year : 3
Capital at the beginning of the year Rs.70,000
Additional capital introduced during the year Rs.17,500
Stock Rs.59,500
Sundry debtors RS.25,900
Business premises Rs. 8,600
Machinery Rs. 2,100
Sundry creditors Rs.33,400
Drawings made during the year Rs.26,400
4. Mr. Muneesh maintains his books of accounts from incomplete records. His books provide 4
 the information :
April 01, 2020 March 31, 2021
Cash 1,200 1,600
Bills receivable — 2,400
Debtors 16,800 27,200
Stock 22,400 24,400
Investment — 8,000
Furniture 7,500 8,000
Creditors 14,000 15,200
He withdrew Rs.300 per month for personal expenses. He sold his investment of Rs.
16,000 at 2% premium and introduced that amount into business

5. State the limitations of trial balance? 3

6. Amit sold goods for Rs.20,000 to Sumit on credit on Jan 01, 2020. Amit drew a bill 8
ofExchange upon Sumit for the same amount for three months. Sumit accepted the bill and
Returned it to Amit. Sumit met his acceptance on maturity. Record the necessary journal
entries under the following circumstances:
(i) Amit retained the bill till the date of its maturity and collected directly
(ii) Amit discounted the bill @ 12% p.a from his bank
(iii) Amit endorsed the bill to his creditor Ankit.
(iv) Amit retained the bill and on March 31, 2020. Amit sent the bill for collection to its
bank. On April 05, 2020 bank advice was received.
DAY-5,6
1. State the meaning of a trial balance? 1
2. Give two examples of errors of principle? 1
3. Write two points of distinction between bills of exchange and promissory note? 1
4. From the following information, Calculate Capital at the beginning : 3
Capital at the end of the year Rs.4,00,000
Drawings made during the year Rs.60,000
Fresh Capital introduce during the years Rs. 1,00,000
Profit of the current year RS.80,000
5. Gopal does not keep proper books of account. Following information is given below: 4
April 01, 2019 (Rs.) March 31, 2020(Rs.)
Cash in hand 18,000 12,000
Stock in trade 80,000 90,000
Sundry debtors 36,000 60,000
Sundry creditors 60,000 40,000
Loan 10,000 8,000
Office equipments 25,000 30,000
Land and Buildings 30,000 20,000
Furniture 10,000 10,000

During the year he introduced Rs.20,000 and withdrew Rs.12,000 from the business.
Prepare the statement of profit or loss on the basis of given information
6. On Feb 01, 2021, John purchased goods for Rs.15, 000 from Jimmi. He immediately made a 4
payment of Rs.5, 000 by cheque and for the balance accepted the bill of exchange drawn
upon him by Jimmi. The bill of
Exchange was payable after 40 days. Five days before the maturity of the bill, Jimmi sent
the same to his bank for collection. The bank duly presented the bill to John on the due date
who met the bill. The bank
Informed the same to Jimmi. Prepare John’s account in the books of Jimmi and Jimmi
account in
The books of John.
7. a. On Feb. 6, 2020 A sold goods for ₹ 1,00,000 to B. B paid 40% immediately on 8
which A allowed a cash discount of ₹ 500. For the balance A drew a bill on B payable after
30 days. Due date of bill was a public holiday and the bill was met as per the provisions of
Negotiable Instrument Act. Journalize the above transactions in the books of A and B.
b. X draws on Y a bill for ₹ 4,000 which was duly accepted by Y. Y meets the bill on its due
date. Show what entries would be passed in the books of X and Y under each of the
following circumstances:
(i) If X retains the bill till due date.
(ii) If X discounts the same with his banker paying ₹ 100 for discount.
(iii) If X endorses the same to his creditor Z, in full settlement of his debt of ₹ 4,080.
(iv) If X sends the bill to his banker for collection.
 DAY-7,8
1. Name the parties to a promissory note. 1
2. What do you mean by Discounting the bill? 1
3. On 17th April, 2021, X sold goods to Y for ₹ 80,000 and draws a bill for 2 months 4
upon Y for the amount due. Y accepted the bill and returned it to X. On due date the bill
became dishonored and X paid ₹ 400 as Noting Charges. Fifteen days later Y pays the
amount due to X. Pass Journal entries in the books of both the parties.
4. Mrs.Anu started firm with a capital of Rs.4,00,000 on 1st October. 2019. She borrowed 4
from her friends a sum of Rs.1,00,000 @ 10% per annum (interest paid) for business and
brought a further amount to capital Rs.75,000 on March 31, 2020, her position was :
Cash Rs. 30,000
Stock Rs.4,70,000
Debtors Rs. 3,50,000
Creditors Rs. 3,00,000
He withdrew Rs. 8,000 per month for the year.
Calculate profit or loss for the year and show your working clearly.
5. X draws upon Y a bill of ₹ 10,000 for three months on 1st July, 2019. The bill was duly 8
accepted and returned by Y. On due date bill became dishonored and noting charges paid
under each of the following circumstances ₹ 75. Pass entries in the following cases:
(i) If drawer retains the bill with him till due date.
(ii) If drawer discounts the same with his Banker and noting charges paid by the Banker.
(iii) If drawer endorses the same to his creditor Z and noting charges paid by Z.
(iv) If drawer sends the bill for collection to his Banker and noting charges paid by the
Banker.