- (a) What is Bank Reconciliation Statement? Explain the causes of disagreement in the balances shown by cash Book and Pass Book.
(b) Why do you maintain bill book separately? State the transactions recorded in Bill Receivable and Bills Payable journals.
- (a) What is suspense Account? Why is it opened and how is it closed? Explain.
(b) Why is provision for doubtful debts created? How is it shown in the Balance sheet? Explain
- How would a not-for-profit organization deal with the following items.
(a) Outstanding Subscriptions, (b) Donation, (c) Tournament Fund, (d) Legacy,
(e) Life Membership Fees
- (a) What is joint venture ? Explain various methods of recording the joint venture transaction. Give entries in each case.
(b) Differentiate between :
(i) General Commission and Del Creder Commission
(ii) Normal Loss and Abnormal Loss
- “Incomplete records system is unscientific, incomplete, inaccurate and unsystematic”. Explain