TUTOR MARKED ASSIGNMENT

Course Code : ECO - 02

Course Title : Accountancy – I

Assignment Code : ECO – 02/TMA/2016-17

Coverage : All Blocks Maximum Marks: 100

Attempt all the questions.

1. Define Accounting. Explain the accounting concepts which guide the accountant at the recording stage.

 2. (a) Name items which are recorded at the invoice price in the Consignment Account. Give reasons for consigning the goods at the invoice price.

(b) Explain the separate set of books method for maintaining joint venture accounts.

 3. What is meant by single entry system? Distinguish it from Double Entry System. Explain the two methods of ascertaining profit when accounting records are incomplete.

 4. Distinguish between the following:

a) Income and Expenditure Account & Receipts and Payments Account.

b) Straight line method and diminishing balance method of depreciation.  

5. From the following Trial Balance prepare Trading and Profit & Loss Account for the year ended 31st Dec., 2014 and Balance Sheet as on that date:

Adjustments:

a) Stock at 31st December, 2014 is Rs. 70,000.

b) Write off 5% Depreciation on freehold premises and 20% on office furniture.

c) Commission earned but not received Rs. 500.

d) Interest earned Rs. 600.

e) Rs. 200 for rent has been received in advance. f) Charge interest on Capital @ 6% and Rs. 500 on Drawings.