Vidaara.orgClass 11 · Mathematics
CodeVID-M11-WS
Recording of Transactions — Source Documents and the Accounting Equation — Practice Worksheet
Name: ____________________
Roll No.: __________
Date: ____________
General Instructions
- All questions are compulsory.
- Choose the correct option (A, B, C or D) for each question.
- The answer key is at the end — try the paper first!
Section A — Multiple Choice (1 mark each)
15 × 1 = 15 marks
1.
An economic event that changes the financial position and is measurable in money is a:
- A.Transaction
- B.Rumour
- C.Plan
- D.Quotation
2.
Goods sold for cash are supported by a:
- A.Cash memo
- B.Invoice
- C.Pay-in slip
- D.Credit note
3.
A document prepared when goods are sold on credit is the:
- A.Cash memo
- B.Invoice/bill
- C.Receipt
- D.Cheque
4.
When a customer returns goods to us, we issue a:
- A.Debit note
- B.Credit note
- C.Cash memo
- D.Pay-in slip
5.
A form used to deposit cash/cheque into a bank is a:
- A.Pay-in slip
- B.Cheque
- C.Voucher
- D.Invoice
6.
A document prepared from a source document showing accounts to debit and credit is a:
- A.Voucher
- B.Ledger
- C.Trial balance
- D.Bill
7.
The accounting equation is:
- A.Assets = Liabilities + Capital
- B.Assets = Capital − Liabilities
- C.Capital = Assets + Liabilities
- D.Liabilities = Capital − Assets
8.
Capital equals:
- A.Assets + Liabilities
- B.Assets − Liabilities
- C.Liabilities − Assets
- D.Assets × Liabilities
9.
Debtors are an example of:
- A.A liability
- B.An asset
- C.Capital
- D.An expense
10.
Buying furniture for cash:
- A.Increases total assets
- B.Decreases total assets
- C.Keeps total assets unchanged
- D.Increases capital
11.
Taking a bank loan of Rs 50,000:
- A.Increases an asset and a liability by 50,000
- B.Reduces capital
- C.Reduces an asset
- D.Has no effect
12.
If assets are Rs 9,00,000 and liabilities Rs 4,00,000, capital is:
- A.Rs 13,00,000
- B.Rs 5,00,000
- C.Rs 4,00,000
- D.Rs 9,00,000
13.
Selling goods costing Rs 20,000 for Rs 26,000 cash changes capital by:
- A.+26,000
- B.+6,000 (profit)
- C.−20,000
- D.0
14.
Paying rent of Rs 3,000:
- A.Increases capital
- B.Decreases capital by 3,000
- C.Increases a liability
- D.Has no effect on capital
15.
Owner withdrawing cash for personal use is recorded as:
- A.An expense
- B.Drawings (reduces capital)
- C.A liability
- D.Revenue
Section B — Challenge / Olympiad (2 marks each)
10 × 2 = 20 marks
16.
A trader merely receives a price quotation from a supplier but places no order. Why is this NOT recorded?
- A.It does not change the firm's financial position
- B.Quotations are illegal
- C.It is too small
- D.There is no supplier
17.
We return defective goods to our supplier. The document we send and its effect on his account are:
- A.Debit note; we debit (reduce) his account
- B.Credit note; we credit his account
- C.Invoice; we increase his account
- D.Receipt; no effect
18.
Started business with cash 80,000; bought goods on credit 25,000. After these, total assets and the equation are:
- A.Assets 1,05,000 = Creditors 25,000 + Capital 80,000
- B.Assets 80,000 = Capital 80,000
- C.Assets 1,05,000 = Capital 1,05,000
- D.Assets 55,000 = Capital 55,000
19.
Goods costing 40,000 are sold for 34,000 cash (a loss). The effect on capital is:
- A.Capital falls by 6,000
- B.Capital rises by 34,000
- C.Capital rises by 6,000
- D.No effect
20.
Which pair of transactions both keep TOTAL assets unchanged?
- A.Buy furniture for cash; collect cash from a debtor
- B.Introduce capital; take a loan
- C.Pay rent; earn commission
- D.Buy goods on credit; sell goods at a profit
21.
A firm pays a creditor Rs 10,000 by cheque. The equation effect is:
- A.Bank (asset) −10,000 and creditors (liability) −10,000
- B.Capital −10,000
- C.Cash +10,000
- D.No change
22.
After all transactions, a student finds Assets 1,50,000 but Liabilities + Capital 1,40,000. This means:
- A.An error has been made; the equation must balance
- B.The business made 10,000 profit
- C.It is normal
- D.Capital is 1,50,000
23.
Interest of Rs 2,000 received in cash affects the equation as:
- A.Cash +2,000 and capital +2,000 (income)
- B.Cash +2,000 and capital −2,000
- C.A liability +2,000
- D.No effect on capital
24.
Which is the correct chain from event to books?
- A.Transaction → source document → voucher → books of account
- B.Voucher → transaction → books → source document
- C.Books → voucher → transaction
- D.Source document → books → transaction
25.
The owner brings in an additional Rs 20,000 cash and the firm repays a loan of Rs 15,000 cash the same day. Net effect on capital and liabilities:
- A.Capital +20,000; liabilities −15,000
- B.Capital +5,000 only
- C.Capital −15,000
- D.No change anywhere
Answer Key
Section A — Multiple Choice (1 mark each)
- (A) Transaction
- (A) Cash memo
- (B) Invoice/bill
- (B) Credit note
- (A) Pay-in slip
- (A) Voucher
- (A) Assets = Liabilities + Capital
- (B) Assets − Liabilities
- (B) An asset
- (C) Keeps total assets unchanged
- (A) Increases an asset and a liability by 50,000
- (B) Rs 5,00,000
- (B) +6,000 (profit)
- (B) Decreases capital by 3,000
- (B) Drawings (reduces capital)
Section B — Challenge / Olympiad (2 marks each)
- (A) It does not change the firm's financial position
- (A) Debit note; we debit (reduce) his account
- (A) Assets 1,05,000 = Creditors 25,000 + Capital 80,000
- (A) Capital falls by 6,000
- (A) Buy furniture for cash; collect cash from a debtor
- (A) Bank (asset) −10,000 and creditors (liability) −10,000
- (A) An error has been made; the equation must balance
- (A) Cash +2,000 and capital +2,000 (income)
- (A) Transaction → source document → voucher → books of account
- (A) Capital +20,000; liabilities −15,000
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