Comprehension

From the trial balance and other information provided by school for the year ended 31st March 2017.Answer the question.
Debit BalanceAmount (₹)Credit BalanceAmount (₹)
Building6,25,000Admissions fees12,500
Furniture1,00,000 Tuition fees received5,00,000
Library Books1,50,000 Creditors for supplies15,000
Investment @12%5,00,000Rent for the school hall10,000 
Salaries5,00,000Miscellaneous receipts30,000 
Stationery 40,000Government grant3,50,000  
General expenses18,000 General fund10,00,000 
Sports expenses15,000Donation for library books62,500
Cash at bank50,000 Sale of old furniture20,000
Cash in hand 2,000  
 20,00,000  20,00,000
Additional Information:
i. Tuition fee yet to be received for the year are ₹25,000.
ii. Salaries yet to be paid amount to ₹30,000.
iii. Furniture costing 40,000 was purchased on October 1,2016.
iv. The book value of the furniture sold was ₹50,000 on April 1, 2016
v. Depreciation is to be charged @ 10%p.a. on furniture, 15% p.a. on Library books, and 5% p.a. on building.

Question: 1

Loss on sale of furniture is

Updated On: Apr 19, 2024
  • ₹20,000
  • ₹30,000
  • ₹25,000
  • ₹28,000
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The Correct Option is B

Solution and Explanation

The correct option is (B): ₹30,000
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Question: 2

Depreciation on furniture is:

Updated On: Apr 19, 2024
  • ₹10,000
  • ₹3,500
  • ₹5,000
  • ₹3,000
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The Correct Option is D

Solution and Explanation

The correct option is (D):₹3,000
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Question: 3

The closing value of Building as on 31.3.2017 was:

Updated On: Apr 19, 2024
  • ₹5,93,750
  • ₹5,39,750
  • ₹5,40,000
  • ₹5,37,950
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The Correct Option is A

Solution and Explanation

The correct option is (A): ₹5,93,750
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Question: 4

The total expenses on account of salary to be debited to Income and Expenditure A/c for the year 2016-17 was:

Updated On: Apr 19, 2024
  • ₹5,80,000
  • ₹5,30,000
  • ₹4,70,000
  • ₹4,80,000
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The Correct Option is B

Solution and Explanation

The correct option is (B): ₹5,30,000
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Question: 5

Tuition fee to be credited to Income and Expenditure account is:

Updated On: Apr 19, 2024
  • ₹5,25,000
  • ₹5,00,000
  • ₹5,15,000
  • ₹4,75,000
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The Correct Option is A

Solution and Explanation

The correct option is (A):₹5,25,000
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