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CBSE · Class 11 · Accountancy

Recording of Transactions – I

Standard difficulty · 20 questions · 40 marks · Time: 45 minutes

Name: Date: Score: ____ / 40

Show your working for Sections B and C. Answers are on the last page — try every question first!

Section A — Choose the correct answer8 × 1 = 8 marks
1.
An increase in an asset is recorded on the:
  1. either side
  2. neither side
  3. credit side
  4. debit side
2.
Paid salaries in cash ₹23,000. Which journal entry records this transaction?
  1. Salaries A/c Dr.; To Cash A/c
  2. Cash A/c Dr.; To Salaries A/c
  3. Salaries A/c Dr.; To Capital A/c
  4. Drawings A/c Dr.; To Cash A/c
3.
Received commission in cash ₹5,500. What is its effect on the accounting equation?
  1. Assets −₹5,500, Liabilities no change, Capital −₹5,500
  2. Assets +₹5,500, Liabilities +₹5,500, Capital no change
  3. Assets no change, Liabilities no change, Capital no change
  4. Assets +₹5,500, Liabilities no change, Capital +₹5,500
4.
Interest Received A/c is an account of the type:
  1. revenue
  2. asset
  3. liability
  4. expense
5.
When a liability decreases, the account is:
  1. balanced
  2. debited
  3. closed
  4. not recorded
6.
A business has these transactions: Started business with cash ₹2,70,000. The owner took goods for personal use costing ₹2,500. Received commission in cash ₹6,000. Bought goods on credit from Pooja ₹35,000. What are its total assets now?
  1. ₹3,08,500
  2. ₹3,43,500
  3. ₹3,07,500
  4. ₹3,44,500
7.
These cash transactions are posted to the cash account: Started business with cash ₹2,20,000. Deposited cash into the bank ₹30,000. Withdrew cash for personal use ₹5,000. Paid salaries in cash ₹13,500. What is the balance of the cash account?
  1. ₹2,20,000
  2. ₹2,31,500
  3. ₹1,70,500
  4. ₹1,71,500
8.
The source document for goods returned to a supplier is a:
  1. pay-in-slip
  2. debit note
  3. cheque
  4. receipt
Section B — Short answer8 × 2 = 16 marks
9.
What is a source document? Give two examples.
10.
Write the journal entry with narration: Received commission in cash ₹4,500.
11.
Journalise: The owner took goods for personal use costing ₹4,000.
12.
Show the accounting equation after these transactions. Find (a) assets (b) liabilities (c) capital. (1) Started business with cash ₹2,80,000. (2) The owner took goods for personal use costing ₹1,000. (3) Bought goods on credit from Asha ₹5,000.
13.
Is each an asset, liability, capital, expense or revenue account? (a) Rent A/c (b) Salaries A/c
14.
Is the account debited or credited? (a) when drawings increase (b) when an asset decreases
15.
Goods were sold on credit to Tara for ₹17,500 and ₹8,500; Tara paid ₹6,000 in cash. (a) What is the balance of Tara’s account? (b) Is it a debit or a credit balance?
16.
A business starts with cash ₹1,30,000, takes a bank loan of ₹35,000 (into the bank account) and buys goods on credit for ₹9,000. Find (a) assets (b) liabilities (c) capital.
Section C — Word problems4 × 4 = 16 marks
17.
Explain the rules of debit and credit for all five kinds of accounts.
18.
Journalise these transactions of a new business: (1) Started business with cash ₹2,10,000. (2) The owner took goods for personal use costing ₹4,000. (3) Paid salaries in cash ₹8,000. (4) Took a loan from the bank, credited to the bank account, ₹30,000. (5) Bought goods on credit from Kabir ₹27,000.
19.
Show the accounting equation after each transaction: (1) Started business with cash ₹2,90,000. (2) Deposited cash into the bank ₹24,000. (3) Withdrew cash from the bank for office use ₹7,000. (4) Withdrew cash for personal use ₹9,500. (5) Received commission in cash ₹5,500.
20.
Post these transactions to the cash account and balance it: (1) Started business with cash ₹2,50,000. (2) Paid rent in cash ₹9,000. (3) Sold goods for cash ₹20,000. (4) Withdrew cash for personal use ₹4,000. (5) Paid salaries in cash ₹21,500.
AmbifulWorksheets
Practice that never repeats
CBSE · Class 11 · Accountancy

Answer key

Recording of Transactions – I · AW-11AC-RT1-2026-V1 · For parents — fold back or tear off before handing the sheet to your child.

QAnswerWorking
1(d) debit side—
2(a) Salaries A/c Dr.; To Cash A/cSalaries A/c Dr. ₹23,000 To Cash A/c ₹23,000 (Being salaries paid)
3(d) Assets +₹5,500, Liabilities no change, Capital +₹5,500A = L + C after the change
4(a) revenue—
5(b) debited—
6(a) ₹3,08,500Capital ₹2,73,500 + liabilities ₹35,000 = ₹3,08,500
7(d) ₹1,71,500Cash A/c Dr. side: To Capital A/c ₹2,20,000 Cr. side: By Bank A/c ₹30,000; By Drawings A/c ₹5,000; By Salaries A/c ₹13,500; By Balance c/d ₹1,71,500 Totals: ₹2,20,000 on each side. Balance: ₹1,71,500 debit, brought down as “To Balance b/d”.
8(b) debit note—
9A written document that gives evidence of a transaction: cash memo, invoice, receipt, pay-in-slip or cheque.—
10Cash A/c Dr. ₹4,500
To Commission Received A/c ₹4,500
(Being commission received)		Debit the account that receives or increases in assets/expenses; credit the giver or the source
11Drawings A/c Dr. ₹4,000
To Purchases A/c ₹4,000
(Being goods taken for personal use)		—
12(a) ₹2,84,000; (b) ₹5,000; (c) ₹2,79,000A ₹2,84,000 = L ₹5,000 + C ₹2,79,000
13(a) expense (b) expense—
14(a) debited (b) credited—
15(a) ₹20,000; (b) debitTara A/c Dr. side: To Sales A/c ₹17,500; To Sales A/c ₹8,500 Cr. side: By Cash A/c ₹6,000; By Balance c/d ₹20,000 Totals: ₹26,000 on each side. Balance: ₹20,000 debit, brought down as “To Balance b/d”.
16(a) ₹1,74,000; (b) ₹44,000; (c) ₹1,30,000A ₹1,74,000 = L ₹44,000 + C ₹1,30,000
17Assets and expenses increase with a debit and decrease with a credit; liabilities, capital and revenues increase with a credit and decrease with a debit.—
18(i) Cash A/c Dr. ₹2,10,000
To Capital A/c ₹2,10,000
(Being business started with cash)
(ii) Drawings A/c Dr. ₹4,000
To Purchases A/c ₹4,000
(Being goods taken for personal use)
(iii) Salaries A/c Dr. ₹8,000
To Cash A/c ₹8,000
(Being salaries paid)
(iv) Bank A/c Dr. ₹30,000
To Bank Loan A/c ₹30,000
(Being loan taken from the bank)
(v) Purchases A/c Dr. ₹27,000
To Kabir A/c ₹27,000
(Being goods bought on credit from Kabir)
Total of the journal: Dr. ₹2,79,000 = Cr. ₹2,79,000		—
19(1) A ₹2,90,000 = L ₹0 + C ₹2,90,000
(2) A ₹2,90,000 = L ₹0 + C ₹2,90,000
(3) A ₹2,90,000 = L ₹0 + C ₹2,90,000
(4) A ₹2,80,500 = L ₹0 + C ₹2,80,500
(5) A ₹2,86,000 = L ₹0 + C ₹2,86,000		Each line still balances: A = L + C
20Cash A/c
Dr. side: To Capital A/c ₹2,50,000; To Sales A/c ₹20,000
Cr. side: By Rent A/c ₹9,000; By Drawings A/c ₹4,000; By Salaries A/c ₹21,500; By Balance c/d ₹2,35,500
Totals: ₹2,70,000 on each side. Balance: ₹2,35,500 debit, brought down as “To Balance b/d”.		Receipts ₹2,70,000 − payments ₹34,500