BOARD OF INTERMEDIATE EDUCATION, A.P, HYDERABAD MODEL PAPER (w.e.f.

2008-09) PART-I (50 Marks) SECTION-A Answer any two of the following questions in not exceeding 40 lines each. 1. State the advantages and disadvantages of a sole proprietor business. 2. Differentiate between private and public company. 3. Explain features of equity shares. SECTION-B Answer any four of the following questions in not exceeding 20 lines each. 4. Mention the social responsibility of a business. 5. Explain any five merits of partnership firm. 6. Write any five types of debentures. 7. Explain various types of business finance. 8. State the merits of public sector undertakings. 9. Explain the merits of MNCs to home country. SECTION-C Answer any five of the following questions in not exceeding 5 lines each. 10. Innovation 11. Genetic Industry. 12. Minor partner. 13. Government Company. 14. Define prospectus. 15. Operating cycle. 16. Define Karta. 17. Promoter. 5x2=10 M 4x5=20 M 2x10=20 M

Sub: COMMERCE

I year

PART-II (50 MARKS) SECTION-D 18. Answer the following Question.

1X20=20 M

From the following Trial Balance of Mr. Kiran, prepare Trading, Profit and Loss Accounts and Balance Sheet as on 31-12-2010. Particulars Stock(1-1-2010) Purchases Machinery Furniture Advertising expenses Audit fees Stationary & peinting Returns Sales Wages Cash-in-hand Cash at Bank Bank overdraft Bills payable Debtors Creditors Capital Rent received Land and Buildings Factory rent Insurance Bad debits Debit Rs. 6,000 42,000 38,000 6,000 1,400 800 3,200 1,500 6,200 5,000 7,000 8,000 12,000 24,000 10,000 80,000 750 32,650 1,200 900 700 1,76,550 Adjustments: 1. Closing stock Rs. 20,000/2. Outstanding wages Rs.2,500/3. Depreciate 5% on machinery and furniture 4. Prepaid Insurance Rs. 200/5. Provide 5% Bad debts reserve on debtors. 1,76,550 Credit Rs.

800 65,000

SECTION-E Answer any one of the following question: 19. Prepare Three Column Cash Book from the following. 2010 August 1 August 5 August 9 August 15 August 21 Cash in hand Cash at Bank Cash Sales Deposited Cash into Bank Paid to Ravi And discount received Received from Sasi a Cheque And discount (Cheque sent to bank same day) Cash withdrawn from bank For office use Paid salaries by Cheque OR 20. From the following particulars, prepare a Bank Reconciliation statement: a. Bank over draft as per Cash Book-Rs. 11,000/b. Interest collected directly by bank-Rs. 4,000/c. A Cheque deposited but not recorded in cash book-Rs. 900/d. Interest credited in the pass book only-Rs. 800/e. Cheques issued but not presented for payment Rs.3,000/f. Bank charges debited in passbook only-Rs.200/SECTION-F Answer any two of the following questions: 21. Write the principles of debit and credit of different Accounts with examples. 22. Prepare Rajus Account from the following transactions: 2010 June 1 June 5 June 12 June 15 June 25 June 30 Amount due from Raju Sold goods to Raju Cash received from Raju Raju returned goods Received a cheque from raju Raju issued a cheque for settlement of his account. 12,500/12,000/5,000/2,000/12,500/2x5=10 M 1X10=10 M

1,620 10,000 3,000 4,000 1,460 40 980 20 1,000 1,600

August 25 August 30

23. Record the following transactions in purchase and sales books: 2010 July 1 July 5 July 10 July 20 July 30 Goods purchased from Rao Sold goods to Vinnu Goods purchased from Mahesh Sold goods to Shyam Goods Purchased from Sasi 1,500/1,000/2,000/1,200 1,000/-

24. Explain various kinds of errors. SECTION-G Answer any five of the following: 25. Define Accounting 26. What is Capital? 27. Explain Debit Note. 28. Business Entry Concept. 29. Deferred Revenue Expenditure. 30. Journalise the following transactions in Journal: 2010 January 1 Commenced business with cash January 15 Sold goods to Sita January 20 Purchased furniture January 31 Wages paid 31. Record the opening Journal Entry from the following particulars: Cash in hand 6,000/Sundry debtors 8,000/Sundry creditors 12,000/Machinery 10,000/Bills payable 5,000/Bills receivable 4,000/Buildings 15,000/Prepare a Trail Balance from the following balances as on 31-12-2010 Cash in hand 4,000/Debtors 12,000/Opening stock 8,000/Purchases 15,000/Buildings 36,000/Sales 23,000/Capital 45,000/Bills Payable 7,000/5x2=10 M

4,000/1,200/2,000/1,000/-

32.

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