Accounts Project For Class 11th Cbse
Accountancy for Class XI.1.©.SmartPrep Education Pvt Ltd. Page 1CBSE Class-XI Part-1XI AccountancyChapter 1: Introduction to AccountingQuestions based on High Order Thinking Skills1. How does the American Institute of Certified Public Accountants (AICPA) define Accounting?Ans: “Accounting is the art of recording, classifying and summarising in a significant manner and in terms ofmoney; transactions and events which are, in part at least, of a financial character, and interpreting theresults thereof.”2. Does Accounting record transactions, explain with reason, like:(a) Quality of medical staff in a hospital(b). Profit of `50,000 on sale of plant and machineryAns: (a) No, it is not in the form of money; (b) Yes, it is in the form of money3. Which branch of Accounting is required to keep a record of all financial transactions?Ans: Financial Accounting4.
Which branch of accounting is required to ascertain the cost of various products manufactured by firm?Ans: Cost Accounting5. Which branch of accounting is required to ascertain the cost of various products manufactured by firm aswell as financial results?Ans: Management Accounting6. ‘Accounting has some limitations.’ Do you agree with this statement? Give reasons.7. Resignation by a Finance Manager is not recorded in books of accounts.
Give reasons.Hint: It cannot be termed in terms of money.8. Accounting records transactions that are monetary in nature. Is this a limitation of accounting? Givereason.Hint: It is not a limitation but a feature.9. Explain the main qualitative characteristics of AccountingHint:(a) Reliability; (b) Relevance; (c) Understandability (d) Comparability10. Book keeping is not a part of accounting.
Do you agree with this statement? Discuss.Hint: No. Because Accounting is broader term than Book keeping as it starts after work of bookkeeping endsChapter 2: Basic Accounting TermsQuestions based on High Order Thinking SkillsMr. A started a business of buying and selling of stationery with `5,00,000 as an initial investment.
Of which hepaid `1,00,000 for furniture, `2,00,000 for buying stationery items. He employed a sales person and a clerk.
Atthe end of the month he paid `5,000 as their salaries. Out of 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. He bought stationery itemsof `1,50,000 from Mr. A fire occurred in the first week of next month and he lost `30,000 worth of stationery.A part of machinery, which costed `40,000 was sold for `45,000.From the above, answer the following:1. What was the amount of capital with which Mr.
A started his business?2. What is the value of goods purchased by him?.©.SmartPrep Education Pvt Ltd. Page 2Accountancy Practice Book3. What are the fixed assets bought by him?4.
Who is the creditor in the above question and state the amount payable to him?5. What are the expenses?6. What are the gains earned?7. What are the losses incurred?8. Who is the debtor in the above question? What is the amount receivable from him?9. What is the total amount of expenses and losses incurred?10.
Accounts Project For Class 11th Cbse Class
Determine if the following are: Assets, Liabilities, revenues, expenses or loss of these:(a) Sales (b) Debtors (c) Creditors(d) Salary to manager (e) Discount to debtors (f) Drawings by the ownerAns: 1. ` 5,00,000; 2.
` 2,00,000; 3. ` 1,00,000; 4.
Y, ` 1,50,000; 5. X, ` 1,00,000; 9. (a) Revenue; (b) Asset; (c) Liability; (d) Expense; (e) Loss; (f) AssetChapter 3: Theory Base of AccountingINTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS)Need for International Accounting Standards: Globalization integrates the national economies into theinternational economy through the trade, foreign direct investments, capital flow etc. In this age of globalizationand technology, enterprises are carrying on business worldwide.
Business enterprises around the world shouldnot be speaking different accounting languages while sharing financial information. Therefore there is a need ofsingle set of accounting standards that can unify the accounting practices worldwide.It is difficult to understand and compare worldwide financial information without a common set of accounting andfinancial reporting standards.
The use of a single set of high quality accounting standards world facilitateinvestment and other economic decisions across the borders, increase market efficiency and then reduce thecost of capital.