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MP Board Class 11th Accountancy Important Questions Chapter 16 Preparation of Final Accounts of Sole Trade

Preparation of Final Accounts of Sole Trade Important Questions

Preparation of Final Accounts of Sole Trade Long Answer Type Questions

Question 1.
What adjustment are done in trading A/c? Prepare a format of trading A/c and show.
Answer:

Question 2.
Show the format of a Balance Sheet with adjustments.
Answer:
Pro forma of Balance Sheet as on ……………………

MP Board Class 12th Chemistry Solutions Chapter 11 Alcohols, Phenols and Ethers

Alcohols, Phenols and Ethers NCERT Intext Exercises

Question 1.
Classify the following as primary, secondary and tertiary alcohols :

Answer:
(i) 1°, (ii) 1°, (iii) 1°, (iv) 2°, (v) 2°, (vi) 3°.

Question 2.
Identify allylic alcohols in the above examples.
Answer:
Allylic alcohols are (ii) and (vi).

Question 3.
Name the following compounds according to IUPAC system :

Answer:
(i) 3-chloromethyl-2-isopropyl pentan-1-ol.
(ii) 2,5-Dimethyl hexane-1,3-diol.
(iii) 3-Bromocyclohexan-l-ol.
(iv) Hex-l-en-3-ol.
(v) 2-Bromo-3 -methyl but-2-en- l-ol.

Question 4.
Show how are the following alcohols prepared by the reaction of a suitable Grignard reagent on methanal ?

Answer:

Question 5.
Write structures of the products of the following reactions:

Answer:

(ii) NaBH₄ is weak reducing agent, it reduces aldehyde/ketones and not the esters.
Thus,

Question 6.
Give structures of the products you would expect when each of the following alcohol reacts with (a) HCl -ZnCl₂, (b) HBr and (c) SOCl₂ : (i) Butan-l-ol , (ii) 2-Methylbutan-2-ol.
Answer:
(a) With ZnCl₂-HCl (Lucas reagent) : Butan-l-ol (1° alcohol) does not react with Lucas reagent at room temperature. However, turbidity appears only after heating but- 2-methyl butan-2-ol (3° alcohol) reacts with Lucas reagent at room temperature immediately gives turbidity

(b) With HBr : Both the alcohols react with HBr to give corresponding alkyl bromides.

(c) With SOCl₂ : Both the alcohols react with SOCl₂ to give corresponding alkyl chlorides.

Question 7.
Predict the major product of acid catalysed dehydration of:
(i) 1-methylcyclohexanol and (ii) butan-l-ol.
Answer:

According to Saytzeff rule, the highly substituted product is the major product.

Question 8.
ortho and para nitrophenols are more acidic than phenol. Draw the resonance structures of the corresponding phenoxide ions.
Answer:
(i) Phenoxide ion:


Resonating structures of p-nitro phenoxide ion. In substituted phenols, the presence of electron withdrawing group (-R effect) such as -NO₂ group, increases the acidic strength of phenol, ortho and para nitrophenoxide ions are more stable (because of additional resonance structures show in boxes) than phenoxide ion due to effective delocalisation of negative charge in phenoxide ion. As a result o-and p- nitrophenols are more acidic than phenols.

Question 9.
Write the equations involved in the following reactions :
(i) Reimer – Tiemann reaction
(ii) Kolbe’s reaction.
Answer:
(i) Reimer-Tiemann reaction : When phenol is treated with chloroform in presence of aqueous sodium hydroxide at 60°C, o-Hydroxy benzaldehyde (Salicylaldehyde) and p-Hydroxy benzaldehyde are formed. The ortho-isomer is the major product. This reaction is called Reimer-Tiemann reaction.

If carbon tetrachloride is used in place of chloroform, salicylic acid is obtained as the main product.

(ii) Kolbe- Schmidt reaction : When sodium salt of a phenol is heated with CO₂ at 130°C. (403K) and 4-7 atm pressure, sodium salicylate is formed. This on acidification gives salicylic acid.

Salicylic acid is the starting material for the manufacture of aspirin which is an important analgesic.

Question 10.
Write the reactions of Williamson synthesis of 2-ethoxy-3-methylpentane starting from ethanol and 3-methylpentan-2-oI.
Answer:
Williamson’s synthesis is reaction of alkyl halide (1°) with sodium alkoxide to give ether by S_N2 mechanism. Thus, alkyl halide should be derivde from ethanol and alkoxide ion from 3-methyl pentan-2-ol. The complete reaction is as follows :

Question 11.
Which of the following is an appropriate set of reactants for the preparation of l-methoxy-4-nitrobenzene and why ?

Answer:
Chemically both sets are equally probable. In set (A) the Br group is activated by the electron withdrawing effect of —NO₂ group. Therefore, nucleophilic attack of CH₃ONa followed by elimination of NaBr gives the desired ether.

In set (B) nucleophilic attack of 4-nitrophenoxide ion on methylbromide gives the desired product.

Question 12.
Predict the products of the following reactions:

Answer:

When one of the groups in unsymmetrical ether is tertiary, then the halide formed is tertiary halide.

Alcohols, Phenols and Ethers NCERT Textbook Exercises

Question 1.
Write IUPAC names of the following compounds :


Answer:
(i) 2,2,4-Trimethyl pentan-3-ol
(ii) 5-Ethylheptane-2,4-diol
(iii) Butan-2,3-diol
(iv) Propane-1,2,3-triol
(v) 2-Methylphenol
(vi) 4-Methylphenol
(vii) 2,5-Dimethylphenol
(viii) 2,6-Dimethylphenol
(ix) l-Methoxy-2-methylpropane
(x) Ethoxybenzene
(xi) 1-Phenoxyheptane
(xii) 2-Ethoxybutane.

Question 2.
Write structures of the compounds whose IUPAC names are as follows :
(i) 2-Methylbutan-2-ol
(ii) l-Phenylpropan-2-ol
(iii) 3,5-Dimethylhexane -1, 3, 5-triol
(iv) 2,3 – Diethylphenol
(v) 1 – Ethoxypropane
(vi) 2-Ethoxy-3-methylpentane
(vii) Cyclohexylmethanol
(viii) 3-CycIohexylpentan-3-ol
(ix) Cyclopent-3-en-l-
(x) 4-Chloro-3-ethylbutan-l-ol.
Answer:

Question 3.
(i) Draw the structures of all isomeric alcohols of molecular formula C5H12O and give their IUPAC names.
(ii) Classify the isomers of alcohols in question (i) as primary, secondary and tertiary alcohols.
Answer:

Isomers (ii), (vii) and (viii) contain chiral centres can exhibit enantiomerism.

Question 4.
Explain, why propanol has higher boiling point than that of the hydrocarbon, butane ?
Answer:
The molecules of butane are held together by weak van der Waals’ force of attraction while those of propanol are held together by stronger intermolecular hydrogen bonding.

Therefore, the b.p. of propanol is much higher than that of butane.

Question 5.
Alcohols are comparatively more soluble in water than hydrocarbons of comparable molecular masses. Explain this fact.
Answer:
Alcohols can form hydrogen bonds with water and break the H—bond exist between water molecules. Hence, they are soluble in water.
On the other hand, hydrocarbons cannot form hydrogen bonds with water molecules and hence are insoluble in water.

Question 6.
What is meant by hydroboration-oxidation reaction ? Illustrate it with an example.
Answer:
The addition of diborane to alkene to form trialkyl boranes followed by their oxidation with alkaline hydrogen peroxide to form alcohol is called hydroboration-oxidation. For example:

The alcohols obtained by this process appear to have been formed by direct addition of water to the alkene against MarkownikofFs rule.

Question 7.
Give the structures and IUPAC names of monohydric phenols of molecular formula, C₇H₈O.
Answer:
Three isomers are :

Question 8.
While separating a mixture of ortho and para nitrophenois by steam distillation, name the isomer which will be steam volatile. Give reason.
Answer:
Orthonitrophenol is steam volatile while para-nitrophenol is not. This is on ac¬count of chelation (intramolecular H—bonding) in the molecule of o-nitrophenol. As a result its boiling point is less than that of p-nitrophenol, which is not steam volatile and its molecules are linked by intermolecular H—bonding.

Question 9.
Give the equations of reactions for the preparation of phenol from cumene.
Answer:

Question 10.
Write chemical reaction for the preparation of phenol from chloroben zene.
Answer:

Question 11.
Write the mechanism of hydration of ethene to yield ethanol.
Answer:
Direct addition of water to ethene in presence of an acid does not occur. Indirectly, ethene is first passed through cone. H₂SO₄ at room temperature to form ethylhydrogen- sulphate, which is decomposed by water on heating to form alcohol.

Mechanism : H₂SO₄ → H⁺ + O^Θ SO₂OH

Step-I: Protonation of alkene to form carbo-cation by electrophilic attack of hydronium ion (H₃O⁺).

Step-II: Nucleophilic attack by water on carbo-cation to yield protonated alcohol.

Step-III: Deprotonation (loss of proton) to form an alcohol:

Question 12.
You are given benzene, cone. H₂SO₄ and NaOH. Write the equations for the preparation of phenol using these reagents.
Answer:

Question 13.
Show how will you synthesis :
(i) 1-Phenylethanol from a suitable alkene ?
(ii) Cyclohexylmethanol using an alkyl halide by an S_N2 reaction ?
(iii) Pentan-l-ol using a suitable alkyl halide ?
Answer:

Question 14.
Give two reactions that show the acidic nature of phenol. Compare acidity of phenol with that of ethanol.
Answer:
The reactions showing acidic character of phenols are :
(i) Reaction with sodium : Phenol reacts with Na to give H₂ gas.

(ii) Reaction with NaOH : Phenol dissolves in NaOH to give sodium phenoxide and OH

Phenol is more acidic than ethanol. This is due to the reason that phenoxide ion left after the loss of a proton from phenol is stabilized by resonance (for structure refer text acidic nature of phenol) while ethoxide ion (left after loss of a proton from ethanol) is not.

Question 15.
Explain, why ortho nitrophenol is more acidic than ortho methoxyphenol ?
Answer:
Due to strong -R and -I effect of -NO₂ group, electron density in O-H bond decreases and hence the loss of proton becomes easy.

-R effect results in +ve charge on O-atom and hence facilitates the release of proton. Moreover, o-nitrophenoxide formed after the loss of a proton is stabilized by resonance.

o-nitrophenoxide ion is stabilized by resonance and hence o-nitrophenol is a stronger acid. On the other hand, due to +R effect of the —OCH₃ group,the electron density in the O—H bond increases and this makes the loss of proton difficult.

Further more after the loss of proton o-methoxy- phenoxide ion left is destabilized by resonance.

The two -ve charge repel each other and therefore destabilize the o-methoxyphenoxide ion. Thus, it is less acidic than o-nitrophenol.

Question 16.
Explain, how does the -OH group attached to a carbon of benzene ring activate it towards electrophilic substitution ?
Answer:
The -OH group exerts +R effect on the benzene ring under the effect of attacking electrophile. As a result, there is an increase in the electron density in the ring particularly at ortho and para positions, therefore electorphilic substitution occurs mainly at o-and p-positions. (For resonance hybrid structures of phenol refer to NCERT text-book.)

Question 17.
Give equations of the following reactions:
(i) Oxidation of propan-l-ol with alkaline KMnO₄ solution.
(ii) Bromine in CS₂ with phenol.
(iii) Dilute HNO₃ with phenol.
(iv) Treating phenol with chloroform in presence of aqueous NaOH.
Answer:

Question 18.
Explain the following with an example :
(i) Reimer-Tiemann reaction
(ii) Kolbe’s reaction
(iii) Williamson-ether synthesis
(iv) Unsymmetrical ether.
Answer:
(i) Reimer-Tiemann reaction : When phenol is treated with chloroform in presence of aqueous sodium hydroxide at 60°C, o-Hydroxy benzaldehyde (Salicylaldehyde) and p-Hydroxy benzaldehyde are formed. The ortho-isomer is the major product. This reaction is called Reimer-Tiemann reaction.

If carbon tetrachloride is used in place of chloroform, salicylic acid is obtained as the main product.

(ii) Kolbe- Schmidt reaction : When sodium salt of a phenol is heated with CO₂ at 130°C. (403K) and 4-7 atm pressure, sodium salicylate is formed. This on acidification gives salicylic acid.

Salicylic acid is the starting material for the manufacture of aspirin which is an important analgesic.

(iii) Williamson-1 ether synthesis : This is the best method for preparation of ethers because both symmetrical and unsymmetrical (Aliphatic as well as aromatic) ethers can be prepared. When haloalkane is treated with sodium alkoxide then ether is formed. It is an example of nucleophilic substitution reaction in which halide ion (X-^–) of haloalkane is replaced by alkoxy or aroxy group.

Example : Reaction of ethyl bromide with sodium ethoxide gives diethyl ether
C₂H₅Br + C₂H₅ONa → C₂H₅OC₂H₅ + NaBr
(iv) Unsymmetrical ether : An unsymmetrical ether is an ether where two groups on the two sides of an oxygen atom differ (i.e., have and unequal number of carbon atoms.
For example; ethyl methyl ether (CH₃—O—CH₂CH₃)

Question 19.
Write the mechanism of acid dehydration of ethanol to yield ethene.
Answer:
The mechanism of acid dehydration of ethanol to yeild ethene involes the following three steps:

Step 1 : Protonation of ethanol to form ethyl oxonium ion :

Step 2 : Formation of carbocation (rate determinning step):

Step 3 : Elimination of a proton to form ethene:

The acid consumed in step I is released in Step 3. After the formation of ethene, it is removed to shift the equilibrium in a forward direction.

Question 20.
How are the following conversions carried out:
(i) Propene → Propan-2-ol.
(ii) Benzyl chloride → Benzyl alcohol.
(iii) Ethyl magnesium chloride → Propan-1-ol.
(iv) Methyl magnesium bromide → 2-Methylpropan-2-ol.
Answer:

Question 21.
Name the reagents used in the following reactions:

1. Oxidation of a primary alcohol to carboxylic acid.
2. Oxidation of a primary alcohol to aldehyde.
3. Bromination of phenol to 2,4,6-tribromo-phenol.
4. Benzyl alcohol to benzoic acid.
5. Dehydration of propan-2-ol to propene.
6. Butan-2-one to butan-2-ol.

Answer:

1. Acidified K₂Cr₂O₇ or neutral acidic or alkaline KMnO₄.
2. Pyridinium chlorochromate (pec) in CH₂Cl₂ or Cu at 573 K.
3. Bromine water (Br₂/H₂O)
4. Acidified or alkaline KMnO₄
5. Cone. H₂SO₄ at 443K or 85% phosphoric acid at 443K.
6. Ni/H₂ or NaBH₄ or LiAlH₄.

Question 22.
Give reason for the higher boiling point of ethanol in comparison to methoxymethane.
Answer:
The boiling point of ethanol is higher than methoxymethane because of the presence of strong intermolecular hydrogen bonding between ethanol molecule. As a result ethanol exist as associates molecules.

However no such H-bonding is present in methoxy methane.

Question 23.
Give IUPAC names of the following ethers:

Answer:
(i) 1-Ethoxy-2-methylpropane
(ii) 2-Chloro-1-methoxyethane
(iii) 4-Nitro anisole
(iv) 1-Methoxypropane
(v) 1 -Ethoxy-4,4-dimethylcyclohexane
(vi) Ethoxybenzene.

Question 24.
Write the names of reagents and equations for the preparation of the following ethers by Williamson’s synthesis:
(i) 1-Propoxypropane
(ii) Ethoxybenzene
(iii) 2-Methoxy-2-methylpropane
(iv) 1-Methoxyethane
Answer:

Question 25.
Illustrate with examples the limitations of Williamson synthesis for the preparation of certain types of ethers.
Answer:
Limitations of Williamson synthesis : (i) Better results are obtained, if the alkyl halide is primary. In case of secondary and tertiary alkyl halides, elimination completes over substitution. If a tertiary alkyl halide is used, an alkene is the only reaction product and no ether is formed. For example, the reaction of CH₃ONa with (CH₃)₃C—Br gives exclusively 2-methylpropene.

It is because alkoxides are not only nucleophile but strong bases as well. They react with alkyl halide leading to elimination reaction. Thus, in order to prepare methyl tertiary butyl ether, we must use methyl halide (primary) and sodium tertiary butoxide.

(ii) Aryl halides and vinyl halides cannot be used as substrate for the preparation of aromatic aliphatic ether because aryl halide and vinyl halides are less reactive towards nucleophilic substitution reaction.

Question 26.
How is 1-propoxypropane synthesized from propan-l-ol ? Write mechanism of this reaction.
Answer:
(a) It can be prepared by Williamson’s synthesis.

(b) It can also be prepared by dehydration of propan-l-ol

Question 27.
Preparation of ethers by acid dehydration of secondary or tertiary alcohol is not a suitable method. Give reason.
Answer:
The 1° alcohol gets protonated. Now it is attacked by another alcohol molecule. The mechanism is S_N2 (Nucleophilic attack)

The 2° and 3° alcohols also get protonated. But another molecule of alcohol cannot attack it due to steric hindrance. The protonated alcohol loses a molecule of H₂O to form a stable 2° or 3° carbo-cation. The carbocation prefers to lose a proton to form alkene.

Similarly, the 3° alcohol (CH₃)₃COH forms isobutane.

Question 28.
Write the equation of the reaction with hydrogen iodide :
(i) 1-Propoxypropane
(ii) Methoxybenzene and
(iii) Benzyiethylether.
Answer:

Question 29.
Explain the fact that in aryl alkyl ethers :
(i) The aikoxy group activates the benzene ring towards electrophilic substitution and
(ii) It directs the incoming substituents to ortho and para positions in benzene ring.
Answer:

In aryl alkyl ethers, due to the +R effect of the aikoxy group, the electron density in the benzene ring increases as shown in the following resonance structure.

Thus, benzene is activated towards electrophilic substitution by the aikoxy group.

(ii) It can also be observed from the resonance structure that the electron density increases more at the ortho para positions than at the meta position. As a result, the incoming substituents are directed to the ortho and para positions in the benzene ring.

Question 30.
Write the mechanism of the reaction of HI with methoxymethane.
Answer:

Protonated ether undergoes S_N2 attack by 1- ion and gives a mixture of methyl iodide and methyl alcohol. However, if HI is taken in excess, the methyl’alcohol formed in (ii) is also converted into methyliodide by the following mechanism.

Question 31.
Write equations of the following reactions:
(i) Friedel-Craft’s reaction – alkylation of anisole.
(ii) Nitration of anisole.
(iii) Bromination of anisole in ethanoic acid medium.
(iv) Friedel-Craft’s acetylation of anisole.
Answer:
(i) Friedel-Crafts reaction – alkylation of anisole : Anisole undergoes Friedel- Crafts reaction i.e., the alkyl and aryl group is introduced at ortho and para-positions by reaction with alkyl halide and aryl halide in the presence of anhydrous aluminium chloride (Lewis acid) as catalyst.

(ii) Nitration of anisole : Anisole reacts a mixture of concentrated sulphuric and nitric acids to yield a mixture of ortho and para nitroanisole.

(iii) Bromination of anisole in ethanoic acid medium : Phenetole or anisole undergoes bromination with bromine in ethanoic acid even in absence of iron (III) bromide catalyst. It is due to the activation of benzene ring by the ethoxy group, para-isomer is obtained in 90% yield.

(iv) Friedel-Craft’s acetylation of anisole :

Question 32.
Show how would you synthesize the following alcohols from appropriate alkenes ?

Answer:
(i) Alcohols on dehydration give alkene. Dehydrate the given alcohol. The alkene formed will give the desired alcohol on adding a molecule of H₂O. The addition of H₂O molecule takes place according to MarkownikofFs rule. In case dehydration of the given alcohol gives two alkenes, then see which alkene will give the desired alcohol.

Both the alkene give the desired alcohol on adding a molecule of H₂O.

(ii) Two alkenes are formed. They will give the desired alcohol on adding a H₂O molecule.

Addition of H₂O molecule to pent-1-ene gives the desired alcohol. Remember that -OH group comes to that carbon atom of the double bond which contains less number of H-atoms. In case of pent-2-one, both the carbon atoms of double bond have one H-atom. Therefore, -OH group may come to either of the carbon atom. This alkene will give pentan-2-ol as well as pentan-3-ol.

Addition of H₂O molecule to 2-methylcy-clohexyl but-2-ene will give the desired alcohol -OH group comes to that carbon atom of double bond which contains less number of H- atom.

Question 33.
When 3-methylbutan-2-ol is treated with HBr, the following reaction takes place:

Give a mechanism for this reaction.
(Hint : The secondary carbocation formed in step-II rearranges to a more stable tertiary carbocation by a hydride ion shift from 3rd carbon atom.)
Answer:
Alcohol gets protonated and then a H2O molecule is given out to give a carbocation.

Now, the 2° carbocation rearrange to form more stable 3° carbocation, one H—atom migrates from the adjacent carbon atom to C+. It is called 1,2-shift. Then addition of Br^– takes place.

Alcohols, Phenols and Ethers Other Important Questions and Answers

Alcohols, Phenols and Ethers Objective Type Questions

Question 1.
Choose the correct answer :

Question 1.
Sodium dissolves easily in alcohol because :
(a) Alcohol has higher density than water
(b) Alcohol is lighter than water
(c) Alcohol is neutral
(d) Alcohol is amphoteric.
Answer:
(d) Alcohol is amphoteric.

Question 2.
Most acidic among the four compound is :
(a) Phenol
(b) o-nitrophenol
(c) m – nitrophenol
(d) p – nitrophenol.
Answer:
(c) m – nitrophenol

Question 3.
Reaction for the formation of salicylaldehyde from phenol is :
(a) Rosenmund reaction
(b) Friedel Crafts reaction
(c) Reimer-Tiemann reaction
(d) Wurtz’s reaction.
Answer:
(c) Reimer-Tiemann reaction

Question 4.
Most effective reagent which converts propanol-2 to propanone :
(a) LiAlH₄
(b) Cu/300°C
(c) CO₂
(d) K₂Cr₂O₇.
Answer:
(b) Cu/300°C

Question 5.
Carbolic acid is :
(a) Phenol
(b) Phenyl benzoate
(c) Phenyl acetate
(d) Methyl salicylate.
Answer:
(a) Phenol

Question 6.
Which compound is known as oil of winter green :
(a) Phenyl benzoate
(b) Phenyl salicylate
(c) Phenyl acetate
(d) Salol.
Answer:
(d) Salol.

Question 7.
Reaction of Lucas reagent is fastest with :
(a) (CH₃)₃ C-OH
(b) (CH₃)₂ CHOH
(c) CH₃-(CH₂)₂ OH
(d) CH₃CH₂OH.
Answer:
(a) (CH₃)₃ C-OH

Question 8.
At low temperature phenol reacts with Br₂ in CS₂ to give

Answer:

Question 9.
Which compound is obtained on passing vapours of ethanol on hot Al₂O₃:
(a) Ethyl ether
(b) Acetone
(c) Acetaldehyde
(d) Ethane.
Answer:
(a) Ethyl ether

Question 10.
Which of the compound is Aspirin :
(a) Acetyl salicylic acid
(b) Salicylic acid
(c) Acetamide
(d) Salicyl amide.
Answer:
(a) Acetyl salicylic acid

Question 11.
The following compound reacts with phthalic acid to give acid-base indicator :
(a) Chlorobenzene
(b) Phenol
(c) Alcohol
(d) Ether.
Answer:
(b) Phenol

Question 12.
Bakelite is formed when phenol is condensed with :
(a) HCHO
(b) CH₃CHO
(c) C₆H₅CHO
(d) CH₃COCH₃.
Answer:
(a) HCHO

Question 13.
Used as an anaesthetic :
(a) CH₃OH
(b) C₂H₅OH
(c) CH₃—CHO
(d) (C₂H₅)₂ O.
Answer:
(d) (C₂H₅)₂ O.

Question 14.
Lucas reagent is :
(a) Cone. HCl
(b) Cone. H₂SO₄
(c) Anhydrous ZnCl₂
(d) Cone. HCl and anhydrous ZnCl₂.
Answer:
(d) Cone. HCl and anhydrous ZnCl₂.

Question 15.
Ether and alcohol can be distinguished by the following :
(a) Reaction with Na
(b) Reaction with PCl₅
(c) Reaction with 2,4 dinitrophenyl hydrazine
(d) None of these.
Answer:
(a) Reaction with Na

Question 16.
Which is used for poisoning the alcohol:
(a) Methyl alcohol
(b) Ethyl alcohol
(c) Glycerine
(d) All the above.
Answer:
(a) Methyl alcohol

Question 17.
Gives Libermann’s nitroso test:
(a) C₆H₅OH
(b) CH₃-OH
(c) C₂H₅—OH
(d) CH₃-O-CH₃
Answer:
(a) C₆H₅OH

Question 18.
Which is identified by Lucas reagent:
(a) Phenol
(b) Ether
(c) Aldehyde
(d) Alcohol.
Answer:
(d) Alcohol.

Question 19.
Alcohols are soluble in water. Its main reason is :
(a) O—H bond
(b) Hydrogen bond
(c) Covalent bond
(d) Electrovalent bond.
Answer:
(b) Hydrogen bond

Question 20.
Which is formed on heating ethyl alcohol with bleaching powder :
(a) Diethyl ether
(b) Phenol
(c) Chlorobenzene
(d) Chloroform.
Answer:
(d) Chloroform.

Question 2.
Fill in the blanks :

1. General formula of ether is ……………….
2. Main product of Kolbe-Schmidt reaction of phenol is ……………….
3. By the hydrogenation of phenol ………………. is formed.
4. Alcohol reacts with I₂ and a base to give a yellow precipitate of ……………….
5. Phenol on being heated with Zn powder forms ……………….
6. On heating formaldehyde with ………………. bakelite is formed.
7. Diethyl ether is used as an ……………….
8. On heating RX with NaOR, ROR is formed. Name of this reaction is ……………….
9. Alcohol is ………………. whereas phenol is of ………………. nature.
10. On heating alcohol with cone. H₂SO₄ for 160 – 170°C ………………. is formed.
11. By the dehydration of ethyl alcohol ………………. and ………………. are obtained.
12. Rectified spirit is a mixture of ………………. % alcohol and ………………. water.

Answer:

1. C_nH_2n+1OC_nH_2n+1
2. Salicylic acid
3. Cyclohexanol
4. Iodoform (CHI₃),
5. Benzene
6. Phenol
7. Anaesthetic
8. Williamson synthesis
9. Neutral, acidic
10. Alkene
11. Ethylene, diethyl ether
12. 95-5%, 4-5%.

Question 3.
Match the following :

Answer:

1. (f)
2. (d)
3. (e)
4. (g)
5. (b)
6. (a)
7. (j)
8. (c)
9. (h)
10. (i).

Question 4.
Answer in one word/sentence :

1. Diethyl ether does not reacts with Na. Why ?
2. Fire caused due to ether cannot be extinguished by water. Why ?
3. Which is formed on burning ether ?
4. Write name of the enzyme which converts maltose to glucose.
5. Sulphuric ether is known as.
6. Reaction of ether with HI is used for the detection of what ?
7. Phenol reacts with Br₂ in presence of CS₂ to form.
8. In Victor Meyer method, 1° alcohol gives which colour with base.
9. Phenol reacts with phthalic anhydride in presence of H₂SO₄ to form.
10. Which gas is obtained during fermentation ?
11. Name the primary alcohol which gives iodoform test.
12. Name the reaction in which phenol reacts with chloroform and sodium hydroxide to form salicylaldehyde.

Answer:

1. Absence of acidic H-atom
2. Lighter than water and insoluble
3. CO₂ and H₂O
4. Maltase
5. Diethyl ether
6. Alkoxy (Ziesel)
7. o-and p-bromophenol,
8. Red
9. Phenolphthalein
10. CO₂
11. C₂H₅—OH
12. Reimer-Tiemann reaction.

Alcohols, Phenols and Ethers Short Answer Type Questions

Question 1.
Why ether is less soluble in saturated solution of NaCl ? Explained.
Answer:
Ether is a weak polar compound and saturated solution of NaCl decrease the polarity ofthe ether. Na⁺ and Cl^– ions attract H₂O molecules more strongly than ether molecules, thus the solubility of ether decreases in saturated solution of NaCl.

Question 2.
What is absolute alcohol ? How is it prepared ?
Answer:
100% ethanol is known as Absolute alcohol. Benzene is mixed in absolute spirit and fractionally distilled. Azeotropic mixture of 74% water, 18 5% alcohol and 74% ben¬zene is distilled on 64-8% alcohol. After the removal of water at 68-2°C binary mixture of alcohol (32-4%) and benzene (67-6%) is distilled. When entire benzene is removed then at 78-l°C impure alcohol is distilled. It contains 100% alcohol.

Question 3.
Give equations for the preparation of ethyl alcohol by starch and write name of enzymes.
Answer:

Enzymes : (1) Diastase, (2) Maltase, (3) Zymase.

Question 4.
What is Lucas reagent ? How are primary, secondary and tertiary alcohol identified by it ? Explain.
Answer:
Mixture of anhydrous ZnCl₂ and cone. HCl is known as Lucas reagent.

1. Tertiary Alcohol : On adding Lucas reagent in alcohol at normal temperature, immediately white oily precipitate of Alkyl chlorides is formed, then it is tertiary alcohol.
2. Secondary Alcohol: If on adding Lucas reagent in alcohol, at normal temperature, a white oily precipitate of alkyl chloride is obtained after 5 minutes, then it is secondary alcohol.
3. Primary Alcohol: Primary alcohol does not show any reaction with Lucas reagent at normal temperature.

Question 5.
Why the b.p. of alcohol are higher than ethers and alkene ?
Or,
C₂H₅OH and CH₃OCH₃ both have same molecular formula (C₂H₆O) but the b.p. of alcohol is 78.4°C and b.p. of ether is -240°C. Explain the reason.
Answer:
In case of C₂H₅OH there is strong intermolecular hydrogen bonding between the molecules of alcohol. So alcohols (C₂H₅OH) required much energy to evaporate than ether molecules. In other words, we can say that the C₂H₅OH molecules are in associated form due to H-bonding so the b.p. of C₂H₅OH is very higher than ether and alkene.

Question 6.
What do you understand by Methylated spirit or denaturing alcohol ?
Answer:
Methylated Spirit : Ordinary rectified spirit is known as industrial alcohol.

Methylated spirit is 90% ethanol to which nauseating materials like methyl alcohol, pyridine or mineral naphtha have been added. These materials are added so that the ethanol will not be used for beverage purposes. This process is called denaturing. It is of two types :

It is used for the preparation of spirit, varnish etc. By it misuse of ethanol as a beverage is controlled.

Question 7.
Explain the manufacture of CH₃OH by water gas.
Answer:
From water gas : Steam is passed over red hot coke when water gas is formed.

Water gas is mixed with half its volume of hydrogen, compressed to about 200 atm and passed over a catalyst which is a mixture of oxides of copper, zinc and chromium at 300°C.

Question 8.
Give chemical equation of the following conversion :
(i) Diethyl ether from ethanol
(ii) Ethanol from diethyl ether
(iii) Ethyl acetate from ethanol
(iv) Ethanol from glucose.
Answer:
(i) Diethyl ether from Ethanol:

(ii) Ethanol from Diethyl ether :

(iii) Ethyl acetate from Ethanol :

(iv) Ethanol from Glucose :

Question 9.
Differentiate between Phenol and Alcohol and write Libermann’s reaction related to phenol.
Answer:
Differences between Phenol and Alcohol:

Phenol:

1. Physical properties : Characteristic phenolic odour, sparingly soluble in water.
2. It is acidic and dissolve in bases to form salt.
3. On oxidation, hybrid coloured product is formed.
4. Produce characteristic colour with Ferric chloride.
5. It does not react with halogen acid.
6. With PCl₅, mainly form triaryl phosphate.

Alcohol:

1. Pleasant odour, fairly soluble in water.
2. It is neutral and do not reacts with bases.
3. It can easily oxidize to Aldehydes and ketones.
4. It does not reacts with ferric chloride.
5. Forms Alkyl halide.
6. Alkyl chloride are formed.

Libermann’s Reaction : On adding few drops of concentrated sulphuric acid and little sodium nitrite in phenol first dark blue colour is produced on adding water colour becomes red and on adding an alkali red colour again changes to blue colour.

Question 10.
Pure phenol is a colourless solid but why it is converted into pink after some time ?
Or,
What change in colour is observed in phenol in presence of oxygen ? Explain with reaction.
Answer:
In the presence of air pure phenol oxidises into quinone.

This quinone again combines with two molecules of phenol by H-bond and gives pink phenoquinone.

Question 11.
Write reaction of phenol with ferric chloride.
Answer:
Phenol reacts with FeCl₃ to form water soluble coloured complex. The colour varies from violet to red including green and blue.
6C₆H₅OH + FeCl₃ → (C₆H₅O)₆ Fe + 3HCl + 3H⁺

Question 12.
Boiling point of higher than corresponding alkane. Why ?
Answer:
Boiling point of alcohols is much higher than hydrocarbons of nearly similar molecular mass due to inter molecular hydrogen bond. Alcohols molecules associate kilo calories mole^-1. Thus, extra energy is required for the separation of these molecules, which lead to increase in boiling point. Hydrocarbons do not form hydrogen bond, thus their boiling point is comparatively less.

Question 13.
Ethyl alcohol and phenol both contain — OH group. What is the reason that phenol is acidic and alcohol has alkaline effect ?
Or,
Ethyl alcohol and phenol both contain — OH group. What is the reason that phenol is acidic and alcohol is neutral in nature ?
Answer:
Explanation of acidic nature of phenol: One possible explanation why phenols are stronger acids as compared to alcohols is that phenols exist as a resonance hybrid.

Due to resonance, the oxygen atom gets a positive charge and attracts the electron pair of the O—H bond and thus facilitates the release of a proton. The phenoxide ion formed after the release of a proton is also stabilized by resonance.

In alcohols, no resonance is possible hence the hydrogen atom is more firmly linked to the oxygen.

Question 14.
Write Victor Meyer method to distinguish primary, secondary and tertiary alcohol.
Answer:
Victor Meyer’s method : (i) The given alcohol is converted into an iodide by concentrated HI or red phosphorus and iodine.
(ii) The iodide is treated with silver nitrite to form nitroalkane.
(iii) Nitroalkane is finally treated with nitrous acid (NaNO₂ + H₂SO₄) and made alkaline with KOH.
If a blood red colour is obtained, the original alcohol is primary.
If a blue colour is obtained, the alcohol is secondary.
If no colour is produced, the alcohol is tertiary.

Question 15.
What is Williamson continuous etherification process ? Is it a continuous process ? Explain. Give labelled diagram.
Or,
Describe the laboratory method of preparation of diethyl ether. How ether thus obtained is purified ?
Answer:
Laboratory Method for the Preparation of Diethyl Ether (Sulphuric Ether):
Diethyl ether is prepared in the laboratory and industry by the Williamson continuous etherification process, i.e., by heating ethanol (in excess) with concentrated sulphuric acid.

Sulphuric acid is regenerated in the reaction hence, it appears as if only a small amount of acid may convert an excess of alcohol into ether. So, this method is called Williamson continuous etherification process but actually we cannot get ether continuously.

This is due to the following two reasons :

1. Water formed in the reaction dilutes the acid and its reactivity decreases.
2. A part of sulphuric acid is reduced by alcohol into sulphur dioxide.

Method : Ethanol and H₂SO₄ (2:1) are taken in a flask and heated on sand bath at ‘ 140°C. Ethanol is added at the same rate at which ether distilled over and is collected in a receiver cooled in ice-cold water.

Purification: Ether contain ethanol, water and sulphuric acid as impurities. It is washed with NaOH to remove sulphuric acid and then agitated with 50% solution of calcium chloride to remove alcohol. It is then washed with water, dried over anhydrous calcium chloride and redistilled.

Question 16.
Write a notes on fermentation.
Answer:
Fermentation : In this method, molasses or starch are used as raw materials. This is the old method and is used at present also. Fermentation (Latin-fermentare means to boil) proceeds with fast evolution of CO₂ producing much foam giving appearance as if the solution is boiling. “It is a process of decomposition of complex large molecules into simple and small molecules slowly and by enzyme.” Enzymes are of many kinds and are present in yeast which is a living and complex substance containing several types of bacteria which are called enzymes. It is a good ferment. The enzymes present in yeast are zymase, mal- tase, invertase, etc.

When yeast is mixed in glucose solution and kept at proper conditions, ethyl alcohol is formed as a result of fermentation.

Favourable conditions for Fermentation:

1. Favourable temperature: It is between 25-35°C.
2. Other substances : Some inorganic salts like ammonium sulphate or ammonium nitrate function as food for fermentation.
3. Concentration : Solution should be dilute (Concentration 8-10%).
4. Air : The process occur in presence of air.

Question 17.
(i) How can we obtain phenol from benzene diazonium chloride ?
(ii) What is the reaction of diethyl ether with HI acid ?
Answer:
(i) Phenols are prepared by hydrolysis of diazonium salts by water, dil. acids etc.

(ii) The reaction of diethyl ether with cone. HI acid, on heating gives one molecule of ethyl iodide and one molecule of ethyl alcohol.

Question 18.
Give two reactions that show the acidic nature of phenol.
Answer:
(a) The reactions showing acidic character of phenol are:
(i) Reaction with sodium : Phenol reacts with sodium to give H₂ gas.

(ii) Reaction with NaOH: Phenol dissolve in NaOH to give sodium phenoxide.

(b) Comparison of Acidity of Phenol with alcohol.
C₂H₅OH + NaOH → No reaction
But phenol reacts with NaOH and exhibits its strong acidic nature.
Ionization of Ethanol and Phenol is as follows :
On the other hand ethoxide ion and ethanol do not represent resonance thus negative charge is on oxygen of ethoxide ion whereas charge displacement occur in phenoxide ion.
pK_a value of ethanol is 15.9 where of phenol is 10.0. Thus, phenol is many more times’ more acidic than ethanol.

Alcohols, Phenols and Ethers Long Answer Type Questions

Question 1.
Explain the mechanism of dehydration of alcohol.
Answer:
Dehydration of alcohol:
(i) When ethyl alcohol is heated in excess of cone. H₂SO₄ molecule of water is eliminated and alkene is formed.

Mechanism : (i) Protonation of alcohol by H₂SO₄

(ii) Removal of water

(iii) Elimination of β-hydrogen in the form of proton by base (bisulphate ion)

Stability of the carbocation (I) determines the case of dehydration and order of stability of carbocation is :
CH₃ < C₂H₅ < Isopropyl < Tertiary butyl

Question 2.
How is ethyl alcohol obtained by molasses ? Explain in brief.
Or,
What are molasses ? How is alcohol obtained by fermentation ? Explain. Tell favourable conditions of fermentation. Draw labelled diagram of coffee still.
Answer:
From molasses : Molasses is the syrupy solution of sugar left after the separa¬tion of cane sugar or beet sugar crystals from the concentrated juice.

The different steps of the manufacture processes are :

(a) Dilution : The molasses is diluted with water so that a concentration of 8-10 percent sugar is obtained in solution. This is acidified with dilute sulphuric acid to retard other bacterial growth. A solution of ammonium salts is also added which acts as food for the ferment.

(b) Alcoholic fermentation : The dilute solution obtained above [From step (a)] is taken in big fermentation tanks and some yeast is added. The mixture is kept for a few days and the temperature is maintained at about 30°C. The fermentation reaction starts and the enzyme Invertase (From Yeast) converts sucrose into glucose and fructose which are then converted into ethanol by Zymase (From Yeast).

The fermentation is completed in about 3 days. The carbon dioxide is collected as a by product.

(c) Distillation : The fermented liquor is technically called wash or wort which contains about 9-10 percent ethanol. It is then distilled in a continuous still called Coffey’s still. It consists of two tall fractionating columns which are called analyser and the rectifier. It works on the counter current principle and the steam and wash travel in opposite directions through the still.

The steam goes upwards in the analyser and takes away the alcohol vapours from the down coming dilute alcohol. The mixture leaves the analyser from the top and enters the rectifier at the base. Here it heats the wash flowing through the pipes on its way to the analyser. Most of the steam condenses and the alcohol vapours condenses in the condenser. The distillate contain 90% alcohol.

(d) Rectification : Wash is rectified by fractional distillation.

Question 3.
How can you change the following : (i) Methanol to ethanol, (ii) Ethanol to methanol.
Answer:
(i) Methanol to ethanol:

(ii) Ethanol to methanol:

Question 4.
Differentiate primary, secondary and tertiary alcohol by oxidation and dehydrogenations method.
Answer:
1. Oxidation : The oxidizing agents generally used for oxidation of alcohols are acid dichromate, acid or alkaline KMnO₄ and dilute HNO₃.

(i) A primary alcohol is easily oxidized to an aldehyde and then to an acid both containing the same number of carbon atoms as the original alcohol.

(ii) A secondary alcohol on oxidation gives a ketone with the same number of carbon atoms as the original alcohol, ketones are oxidized with difficulty but prolonged action of oxidizing agents produce carboxylic acids containing fewer number of carbon atoms than the original alcohol.

(iii) A tertiary alcohol is resistant to oxidation in neutral or alkaline solutions but is readily oxidized by an acid oxidizing agent giving a mixture of ketone and acid each having lesser number of carbon atoms than the original alcohol.

2. Dehydrogenation (Action of hot reduced copper at 300°C): Different types of alcohols give different products when their vapours are passed over Cu gauze at 300°C.
Primary alcohols lose hydrogen and yield an aldehyde.

Secondary alcohols lose hydrogen and yield a ketone.

Tertiary alcohols are not dehydrogenated but lose a water molecule to give alkenes.

Question 5.
How can you obtained following compounds from phenol :
(i) 2, 4, 6-Tribromophenol
(ii) Picric acid
(iii) Aniline
(iv) Benzene
(v) Phenolp- hthalene
(vi) p-cresol, o-cresol.
Answer:
(i) Phenol to Tribromophenol : Phenols readily react with halogens to give polyhalogen substituted compounds. Phenol gives white precipitate of 2, 4, 6-tribromo- phenol with bromine water.

(ii) Phenol to Picric acid : Nitration : On nitration, phenols give a variety of products depending upon the conditions.

Nitration of phenol with conc. HNO₃ in presence of conc. H₂SO₄ gives, 2,4,6-Trinitro-phenol (Picric acid).

(iii) Phenol to Aniline:

(iv) Phenol to Benzene:

(v) Phenol to Phenolphthalene : Phenol condenses with phthalic anhydride in pres¬ence of cone. H2SO4 to give phenolphthalein which is an indicator for acid-base titrations and is used as a laxative in medicine.

(vi) Phenol to ortho and para cresol:

Question 6.
Give chemical equation of the following conversion:
(i) Diethyl ether from ethanol
(ii) Ethanol from diethyl ether
(iii) Ethyl acetate from ethanol
(iv) Ethanol from glucose.
Answer:
(i) Diethyl ether from Ethanol:

(ii) Ethanol from Diethyl ether:

(iii) Ethyl acetate from Ethanol:

(iv) Ethanol from Glucose :

Question 7.
Describe the manufacture method of methanol by the destructive distillation of wood.
Answer:
Manufacture of methanol: By the destructive distillation of wood: Dried wood is heated (350°C) in closed retorts for about 3 hours. Different products obtained are given ahead:

Recovery of methyl alcohol from pyroligneous acid : Pyroligneous acid contains methyl alcohol (2-4%), acetone (0-5 to 1%), acetic acid (about 10%) and water.

The pyroligneous acid is taken in a copper vessel and distilled. The vapours are passed through hot milk of lime which retains acetic acid as non-volatile calcium acetate. Methyl alcohol and acetone vapours pass over and are condensed. This mixture is subjected to fractional distillation to separate methyl alcohol (b.p. 65°C) and acetone (b.p. 56°C). Methyl alcohol obtained by fractional distillation is about 95% pure. To purify further methyl alcohol is treated with anhydrous calcium chloride when it forms solid derivative CaCl₂.4CH₃OH. This solid derivative is separated and methyl alcohol is recovered by distillation.

Question 8.
Give equations for three methods of preparation of phenol.
Answer:
Methods of preparation of phenol:
(i) By the hydrolysis of Benzene diazonium salts: Benzene diazonium salt is formed by aromatic primary amine (aniline) with nitrous acid at 0-5°C. On boiling aqueous solution of this salt phenol is formed.

(ii) By alkaline fusion of sodium benzene sulphonate : On fusing sodium benzene sulphonate with NaOH, sodium phenoxide is formed which on acidification forms phenol.

(iii) Rasching method : On heating benzene with mixture of HCl and air to 230°C in the presence of Cu catalyst chlorobenzene is formed which on hydrolysis form phenol.

MP Board Class 12th Chemistry Solutions

MP Board Class 11th Accountancy Important Questions Chapter 15 Adjustments

Adjustments Important Questions

Adjustments Objective Type Questions

Question 1.
Choose the correct answer:

Question 1.
Outstanding Expenses are related to –
(a) Current year
(b) Next year
(c) Last year
(d) None of these.
Answer:
(a) Current year

Question 2.
Prepaid expenses are shown in –
(a) Liability side
(b) Asset side
(c) Assets or Liability side
(d) None of these.
Answer:
(b) Asset side

Question 3.
Charity of goods is –
(a) Expenses
(b) Loss
(c) Profit
(d) None of these.
Answer:
(b) Loss

Question 4.
If a person fails to pay his debt, such amount is considered as –
(a) Bad debts
(b) Bad debts recovered
(c) Provision for Bad debt
(d) None of these.
Answer:
(a) Bad debts

Question 5.
The object of non – trading concerns –
(a) Social service
(b) Profit earning
(c) Both of these
(d) None of the above.
Answer:
(a) Social service

Question 2.
Fill in the blanks:

1. Goods given in charity is credited in …………… Account.
2. Such Expenses which are paid in current year but are related to next year are called ……………. expenses.
3. Accrued income is ……………. Account.
4. There is ……………. fall in the value of Asset due to depreciation.
5. Interest on capital is always shown in …………….. side of profit & loss A/c.
6. Unearned income is shown on the ……………….. side of balance sheet.

Answer:

1. Purchase
2. Prepaid expenses
3. Personal account
4. Constant/ gradual
5. Debit
6. Liability.

Question 3.
Match the following:

Answer:

1. (c)
2. (d)
3. (b)
4. (a).

Question 4.
Answer in one word/sentence:

1. Such Expenses for which services have been received but amount is yet to be paid are called.
2. Recording of relevant transactions and eliminating non – related transactions is called.
3. Such income which is earned but not yet received is called.
4. Unearned income is recorded in which side of the balance sheet?

Answer:

1. Outstanding Expenses
2. Adjustment
3. Accrued or Earned Income
4. Liability side.

Question 5.
State True or False:

1. Depreciation is charged only in case of profits.
2. Unearned Income is recorded in Asset side.
3. Interest on Capital is income for the business.
4. Drawing of goods is deducted from purchases.

Answer:

1. False
2. False
3. False
4. True.

Adjustments Short Answer Type Questions

Question 1.
What do you mean by adjustments? What are its object?
Answer:
Sometimes certain transactions may be partially or fully omitted by mistake or wrongly entered. Besides this, there are some incomes or expenses which are related to the next year or of the last year, which are received or paid during the current year, if they are including in the current years. Final accounts, it will not show a correct net profit or net loss. So, they must be adjusted. It is called adjustments.

1. To record the related expenses and Income, of the year – It is essential to record all expenses and incomes of the related year while preparing the Final Accounts. Otherwise, it will not produce a true picture of net profit or net loss and financial position of the business.

2. To separate unrelated expenses and incomes of the business – Sometimes there are chances of unpaid amount or incomes received in advance. These items must be excluded. For this purpose, adjustments are necessary.

3. To make provision for future loss – Possibility of loss in future is always exist in the business. In order to overcome these loss like bad debt etc. a provision is required to be maintained in the business.

4. To provide depreciation – Various assets are continuously used in the business. Due to its constant use, their value decreases which is termed as depreciation. Thus, it is essential to make record of it as a business expense.

5. To rectify errors – To make rectification of errors made while recording, posting or balancing of accounts, adjustment entries are needed.

6. To make complete record – To make record of one individual items of the trading year related with interest on capital, interest on drawings, interest on loan etc. in the final accounts, adjustments are necessary.

Question 2.
Write adjustment entries of depreciation.
Answer:
1. Depreciation    A/c      Dr.
To Assets             A/c
(Being depreciation charged on asset)

2. Profit & Loss    A/c      Dr.
To Depreciation   A/c
(Being depreciation transferred)
To P&L      A/c

Question 3.
Differentiate between outstanding expenses and prepaid expenses.
Answer:
The following are some of the differences between outstanding expenses and prepaid expenses:

Question 4.
Differentiate between accrued income and unaccrued income.
Answer:
The ahead are some of the differences between accrued and unaccrued income:

Question 5.
How the debtors can be classified? Explain.
Answer:
Debtors are those persons who debted to the business or liable to pay the amount to the business. On the basis of recoverability of amount, debtors can be classified into three ways. They are:

1. Good debtors – Good debtors are those debtors who are expected to make their payment in time, i.e., Full amount is expected to recover from them.
2. Doubtful debtors – Doubtful debtors are those debtors from whom doubt is arising regarding their payment, i.e., Their payment is in doubtful condition.
3. Irrecoverable or bad debt – From these debtors no amount is expected to receive. It arises when debtor dies, becomes lunatic, mad or the court declares insolvent. It is a business loss.

Question 6.
Why a provision for discount on debtors and creditors are maintained in the business?
Answer:
Discount provision on sundry debtors:
When the sundry debtors make their payment before the prescribed time, they are allowed some concession. This concession is called cash discount. It is a loss to the business. In certain condition, the trader keeps a reserve to allow discount on debtors for future, in anticipation. This reserve or provision is known as discount provision on sundry debtors. It is calculated after the deduction of further bad debt and new reserve from debtors at a percentage. This amount is shown in the debit side of profit and loss account and is also deducted from debtors in the balance sheet.

Discount provision on sundry creditors:
When the trader makes the payment before the stipulated time, he is allowed some discount. It is an income of the business. In certain condition, the trader keeps a reserve in anticipation that some discount may receive in future. This reserve on provision is called, ‘Discount provision on sundry creditors’. It is shown in the credit side of P&L A/c and is deducted from the sundry creditors in the balance sheet.

Question 7.
Show adjustment entry for adjustment of interest on capital and interest on drawings.
Answer:
Interest on Capital
Interest on Capital    A/c   Dr. –
To Capital     A/c   –
(Being interest on capital adjusted)

Interest on Drawings
Drawing      A/c   Dr. –
To Interest on Drawings      A/c
(Being adjustment of intertest on drawing)

Question 8.
Explain Accrued income and unaccrued income.
Answer:
Accrued income:
Accrued income is such type of an income which is due but not received. It is an outstanding amount to receive. Here, the journal entry is:

Accrued Income A/c     Dr.
To Income A/c (Being income accrued)

Unaccrued Income:
Unearned income is such type of an income, where an income received in advance, but the service is not offered or the income received is applicable to the coming period. Here, the journal entry is:
Income     A/c                  Dr.
To Unearned Income     A/c  –
(Being income unearned)

Question 9.
Explain how the following adjustments are done in final accounts.

1. Outstanding wages
2. Outstanding salary
3. Accrued rent
4. Unearned commission.

Answer:

1. Outstanding wages – In trading accounts the amount of outstanding wages is added to the respective item and such outstanding amount is shown in the liability side of balance sheet.
2. Outstanding salary – The amount of outstanding salary is added to the respective item in profit and loss account and such outstanding amount is shown in the liability side of balance sheet.
3. Accrued rent – The amount of accrued rent is added to the respective item in profit and loss account and the accrued amount is shown in the asset side of balance sheet.
4. Unearned commission – The amount of unearned commission is deducted from the respective item in profit and loss account and is shown in the liability side of balance sheet.

Question 10.
How is manager’s commission calculated on net profit? Where and how is the adjustment done?

Mannager’s commission on net profit:
Shown in the debit side of profit and loss account and shown separately in the liability side of the balance sheet after the calculation.

MP Board Class 11 Accountancy Important Questions

MP Board Class 12th Business Studies Important Questions Chapter 3 Management and Business Environment

Management and Business Environment Important Questions

Management and Business Environment Objective Type Questions

Question 1.
Choose the correct answer:

Question 1.
Out of the following which is not a part of business environment:
(a) Urbanization
(b) Employee
(c) Comparative
(d) Mandatory.
Answer:
(b) Employee

Question 2.
Out of the following which is a component of business environment:
(a) Identification
(b) Improvement in performance
(c) Coping with rapid changes
(d) All the above.
Answer:
(d) All the above.

Question 3.
Which is an example of social environment:
(a) Supply of money in the economy
(b) Consumer protection ACT
(c) Structure of country
(d) Formation of family.
Answer:
(d) Formation of family.

Question 4.
Liberalization means:
(a) Integration among economies
(b) Reduced government control and restriction
(c) Policy of planned disinvestment
(d) None of these.
Answer:
(b) Reduced government control and restriction

Question 5.
Shape and distribution of population is taken as :
(a) Part of technological environment
(b) Part of legal environment
(c) Part of political environment
(d) Part of social environment.
Answer:
(d) Part of social environment.

Question 2.
Fill in the blanks :

1. The …………….. components of business are controllable.
2. The internal components of business …………….. affects the business.
3. Legal regulatory is the …………….. component of business.
4. The objectives and outlook of business is included …………….. in components or factor.
5. India formulated the policy of new economic reforms in ……………..

Answer:

1. Internal
2. Directly
3. External
4. Internal
5. 1991.

Question 3.
Write the answer in one word/sentence :

1. What do you mean by Globalization ?
2. What is the policy made for providing employment to people known as ?
3. Foreign policy is the component of which business environment ?
4. What does EPCG stands for ?
5. Name the business zone established to encourage exports.

Answer:

1. Integration of world trade economies
2. Employment policy
3. Political
4. Export promotion goods plans
5. Export promotion policy.

Question 4.
Write true or false :

1. Liberalization in India is failure in affecting industry and business.
2. Economic, Social and political situations creates business environment.
3. Globalization has affected industries and business in India.
4. External factors do not affect the business environment.
5. Changes in government policies do not affect industries and business.

Answer:

1. False
2. True
3. True
4. False
5. False.

Question 5.
Match the columns :

Answer:

1. (e)
2. (a)
3. (b)
4. (c)
5. (d)

Management and Business Environment Very Short Answer Type Questions

Question 1.
Advanced techniques lay emphasis on what factors ?
Answer:
Advanced techniques lay emphasis on the following :

1. Scientific research
2. Innovation
3. Invention
4. Improvement
5. Spreading innovation.

Question 2.
Name the change in economic surrounding of India after 1991.
Answer:
The changes in economic surroundings of India after 1991 :

1. Modernization
2. Privatization
3. Globalization,
4. Liberalization.

Question 3.
what are the reasons behind adoption of new economic policy in India ?
Answer:
The following are the reasons behind adoption of new economic policy in India:

1. Decrease in foreign exchange
2. Heavy government loss
3. Increase in cost
4. Increase in internal loan
5. Decrease in foreign business.

Question 4.
Under 1956 industrial policy how are the industries classified ?
Answer:

1. First category: Those industries whose development is completely based on its state.
2. Second category: Those industries which are run by the state and new industries in future will also be stated by them.
3. Third category: Rest all industries belong to this. Industries in this category are mainly consumer products based.

Question 5.
Write names of four economic policies :
Answer:
Four economic policies :

1. Export import policy
2. Employment policy
3. Agricultural policy
4. Industrial policy
5. Foreign investment policy
6. Tax policy.

Question 6.
Which industries according to the new economic policy compulsorily need to take licence.
Answer :
The six industries according to the new economic policy compulsorily need to take licence are :

1. Harmful/Dangerous chemical
2. Drugs and pharmaceuticals
3. Alcohol peva
4. Defense equipment
5. Industrial explosive.

Question 7.
After 1991, what were the changes in the Indian economic environment ?
Answer :
These were the important parts of new economic policy which has been modified so that objectives of liberalization, globalization and privatization can be achieved.

1. Declaration of new industrial policy : At the time, 1991 industrial policy was announced, 18 items were subject to industrial licensing but gradually their number has been reduced to 5 namely.

1. Cigars and cigarettes
2. Electronic aerospace and defence equipment
3. Indus-trial explosives
4. Hazardous chemicals
5. Certified specified drugs.

2. New trade policy :

1. Minimum restriction on trade. To increase foreign trade, import duty and tariff were slowly reduced.
2. To bring expansion in economy foreign investment and new technology was encouraged.
3. Liberal financial facilities to exporters were given.

3. Reform in capital market: SEBI was established.

4. Reforms in fiscal policy : Control on public expenditure and introduction of VAT in states.

Question 8.
Throw light on new monetary policy.
Answer:
To encourage liberalization and to enhance foreign business government decided to amend monetary policy for which Narshimham Committee was formed. The recommendations are as follows:

1. Bank should independently control the interest rates and RBI should not interfere in it.
2. To redesign the banking system.
3. To give more independence to banks.
4. To improve the accounting system of banks.
5. National banks should be given freedom to accumulate money from the market.
6. Private sector should be permitted to establish bank.
7. There should be reorientation of banks. Two or three banks should have international orientation which means that they alone should operate overseas.
8. Necessary changes should be made in accounting systems of banks.
9. There should be 8 to 10 national banks who should operate throughout the country.

Question 9.
What do you understand by business environment ?
Answer:
business environment is made of two words ‘Business’ and ‘Environment’. Business simply mean busy with an aim of profit earning. Environment means the surrounding extend agents influences or circumstances under which someone or something exits. Business environment consists of all external and internal factors that influence the complex interaction in the market production and finance.

Question 10.
Write the various components of internal environment.
Answer:
Various components of internal environment are as follows :

1. Policies, rules and plans of business.
2. Aims and objectives of business.
3. Production pattern of business. .
4. Organization of business.
5. Sources and resources of business.
6. Labour policy of business.

Question 11.
Explain India vision 2020.
Answer:
On 23rd January, 2003, the planning commission for the evaluation of economic development of next two decades issued a document or deed called “lndia Vision 2020” Through this document, planning commission has made an effort to improve the business environment.
The main features of India Vision 2020 are as follows :

1. To pay attention towards the multiplying of employment opportunities.
2. Per capital income to be increased by 4 times.
3. To lay stress on balanced environment protection.
4. To increase economic development at the rate of 9% p.a.
5. To increase the share of direct foreign investment in the total capital formation.
6. To increase the gross domestic product etc.

Management and Business Environment Short Answer Type Questions

Question 1.
What does LPG stands for in business environment ?
Answer:

• L : Liberalization
• P : Privatization
• G : Globalization.

Question 2.
Write full forms of FERA and FEMA under the new policy of India which rule has been eliminated to implement FEMA ?
Answer:
FERA: Foreign exchange regulation Act
FEMA: Foreign exchange management Act.
In India at the time of new economic policy FEMA was implemented in place FERA.

Question 3.
What do you understand by Micro and Macro environment ?
Answer:
Micro environment: It means that environment in which the included components have close relationship with business.

Question 5.
What were reasons which compelled Indian government to adopt new economic policy ?
Answer:
Following are the reasons which compelled Indian government to adopt new economic policy:

1. Fiscal threat
2. Increased international loan
3. Appreciation of currency index
4. Fall in foreign exchange accumulation
5. Depreciation in Indian rupee
6. Imbalance and negligence of payments
7. RBI and SBI Mortgaged Gold.

Question 6.
Give three examples of Indian legal environment which has affected the business.
Answer:

1. Restriction on advisement of toxic production.
2. Industries were made free from licencing.
3. Statutory warning was made compulsory on tobacco products.

Question 7.
What do you mean by liberalization ? Under liberalization what measures were taken and what was the impact of it on business and industry ?
Answer
Meaning : Liberalization refuse to removal of entry and growth restrictions on the private companies. It is an economic reform with main objective to minimize licencing requirements, remove restrictions related to scale of operations, give freedom for fixing prices and movement of goods, encourage.import and export.Measures and impact of liberalization on business and industries are as follows :

1. Ending of licensing and registration : The main objective under new economic policy is to have controlled economy. The new economic policy has benefited the private industries by providing free licensing.

2. Relief from proprietorship restrictions: The restrictions of more than 100 crores investment in proprietorship was removed.

3. Increase in investments in small scale industries : Investment limits in small scale industries have been increased to 1 crore and adopted the latest advance in technology.

4. Discount on technological imports: To promote the new economic policy emphasis was laid to promote latest technologies and discounts were given. This policy promoted industries based on computers and electronics.

Question 8.
In today’s scenario of business environment how can a businessman prove his existence ?
Answer:
The ahead points lay emphasis on what a businessman can do in today’s scenario to exist:

1. To produce goods as per customer’s need
2. To keep the employees happy with sufficient remuneration
3. To recruit trained and experienced employees
4. To produce good in such a manner which lays good impression on consumers
5. To make plans and techniques keeping in view the competitors.

Question 9.
Explain the following in short:

1. Liberalization
2. Privatization
3. Globalization.

Answer:
1. Liberalization: Means removing unnecessary trade restriction. Liberalization allows private sectors to run even those industries which are reserved for the public sectors, relaxing the restriction and regulations imposed on it.
Measures of liberalization adopted by India are :

1. Exemption from licensing
2. Concession from MRTP Act (Monopolistic and Restrictive Trade practice)
3. Increase in production capacity
4. Freedom of production,
5. Buying foreign exchange from open market.

2.Privatization: Privatization refers to transfer of ownership management and control of public sector enterprise to the entrepreneurs of private sector. It is a set of economic reforms with the main objective to allow private sector to invest in sectors earlier restricted to public sector to develop healthy competition between public and private sector and dilute government ownership in public sector enterprises. Process by which the participation of state and public sector in economic activities are reduced. The main aim of privatization to allow private sector to run and manage the industries and to minimize the reservation made for public sector.

3.Globalization : Globalization refers to integration of national economy with the world economy by removing with the objective to strengthen relationships between countries and increase imports and exports.

Question 10.
Write any two objectives of globalization.
Answer:
Two objectives of globalization are as follows :

1. Removal of inefficiency: Globalization is intended to remove inefficiency of firms and Industries.

2. Improvement in banking and financial sectors : As result of globalization, entry of foreign banks will be easy. It will improve the efficiency of banking and financial sector.

Question 11.
What do you mean by internal components of business ?
Answer:
Business environment can be classified in two categories. Internal environment and external environment. Internal environment includes those factors of business which can be controlled by business. In internal environment changes take place speedily.
Components of Internal Environment:

1. Policies,rules and plans of business.
2. Aims and objectives of business.
3. Production pattern of business.
4. Sources and resources of business.
5. Organization of business
6. Labour policy of business etc.

These are the internal factors of business which affects the business directly while it is under the control of the owners of business. Hence changes can be made according to our own will but external environment is not under the control of the owner of business.

Question 12.
Explain the social environment of business.
Answer:
Social environment: Social environment is shaped by social factors such as attitudes of people, cultural heritage, beliefs and customs of people, education system, consumers organizations, trade unions and other non-government organizations. In society, there are activities related with caste, religion, sex, family etc. which affects the business.

Question 13.
Throw light on legal regulatory of business.
Answer:
Legal Regulatory: Legal regulatory environment of business is determined by constitutional provisions, economic laws, commercial laws, industrial and labour laws, government regulations under various laws and court decisions. These help the government in the regulation of economic activities of the business enterprises. Since Indian economy is centrally planned and controlled the business enterprises are required to operate within the framework of legal regulatory environment. The important components of the legal regulatory environment include the following:

1. The constitutional framework: Directive principle fundamental rights and division of legislative powers between central and state government.
2. Commercial and economic laws and government policies under the laws relating to licensing, monopolies, foreign investment etc.
3. Government policies related to imports and exports. .
4. Government policies related to small scale industries, sick industries, consumer protection etc.
5. Government policies related to pricing and distribution of essential commodities.
6. decisions for the protection of consumers, environment and ecological balance.

Question 14.
What is meant by External Environment ? What are its dimentions ?
Answer:
External Environment which is an index of opportunities and anticipations Internal
environment inclueds. External environment indued micro environment and macro environment it is called up External Environment.

Dimention:

1. Political environment
2. Social environment
3. Legal environment
4. Demographic environment
5. Technological environment
6. Physical environment
7. International environment

Management and Business Environment Long Answer Type Questions

Question 1.
Write the main characteristics of economic environment.
Answer:
The main characteristics of economic environment are as follows :

1.Related with economic activities: All those activities of human beings are included in the economic environment which is related with the purchase sale, consumption, income- expenditure etc. of man.

2. Related with environment : Economic environment is affected by other environments. Ecological environment like land, air, forest, soil, water, mineral resources etc. also affects the economic environment. Political environment also affects the economic environment.

3. Administration by government : Economic environment is administered and directed by government. The government uses economic policies to effectively influence the economic environment of the business.

4. Related with common people : Economic environment is directly related with common people. Each person is having the will to earn money therefore he is affected by the economic environment. He cannot remain distant from economic environment.

5. Availability of capital: If capital is available in sufficient quantity then the natural and human resources are utilized properly. This leads increase in national income due to this rate Of national development also increases.

Question 2.
What are the elements components of micro environment ?
Answer:
Elements of micro environment:

1. Supplier : A person, firm, agency or organization which supplies raw materials, labour or other required things is known as supplier. More number of suppliers must be there to avoid problems of supply to firms.

2. Consumer market: A businessman can have many areas of consumer market. Consumer market can be National/International which uses the material for self or uses it to produce any other goods.

3. Competitor : The competitive business environment increases the level of productivity.

4. Public: Public has various categories, local public, press, media, etc. The behaviour of these categories effect the business unit.

5. Marketing middlemen: Marketing middlemen are those people who decrease and work as connectors between producers and consumers. The success of an industry also depends upon these marketing middlemen.

Question 3.
Name the characteristics of business environment and explain them.
Answer:
Main features/characteristics of business environment are as below :

1. Sum total of external forces.
2. Inter relatedness.
3. Dynamic Nature.
4. Uncertainly.
5. Complexity.
6. Relativity.

1. Dynamic Nature : Business environment is dynamic in nature in the sense that it keeps on changing whether in terms of technological improvement, shifts in consumer preferences of entry of new competition in the market.

2. Complexity : Environment is a complex phenomenon that is relatively easier to understand in parts but difficult to grasp in it totality.

3. Relativity: It is a relative concept since it differs from country to country and even
region to region. For e.g.,  South India may have fairly high in demand than in North India. .

4. Long-term process: business environment has a long-term effect long-term changes in affect the profitability, productivity and development.

5. Business environment influences the firms differently: It is not compulsory that all firms will be equally affected by change in business environment. Each firm is affected according to its nature.

6. Inter dependency of components of business environment: All the components of business environment are related to each other. So effect of business cannot be found out separately.

Question 4.
Explain the components of business environment.
Answer:
Different components of business environment are.

1. Economic components : It includes economic activities, Economic policies, Demand, supply, Investment, Industrial tendency/behaviour and monetary pressure, Investment flow and level, Import-Export, Fiscal and Taxation policies, Monetary policies, etc.

2.Geographical and ecological components : It includes Resources, Environment, Climate locomotion. Marine, Celestical, Geologic resource, Magnetic and solar energy.

3.Political components : It includes government monetary system and government system, Political point of view, administrative arrangements, constitutional arrangements security, etc.

4.Social and cultural components : It includes cost, beliefs, assumptions, social arrangement, materialism, religion, culture, traditions, etc.

5.Science and technological components : It includes scientific research and level, competitive development, Mechanization thermal power, Satellite transmission system, Celestical research labs, etc.

6.Legal and judical components : It includes justice system, various business, Industrial and labour control forum, administrative system, etc.

7.Others components: Population, educational level, consumer behavior, security, crisis, danger, international powers, industrial power and struggle, etc.

Question 5.
Describe the importance of business environment.
Or
What is the need of business Environment today ? Explain.
Answer:
The importance of business environment is as follows : .

1. Market conditions and situations : A business must know the structure of market and changes taking place in the market. Creation of demand, monopoly, boom periods etc. should be in the knowledge of business. These information, conditions are provided by business environment.

2. Better performance : Proper understanding of the various elements of external environment is necessary to take timely action to deal with the threats and avail opportunities for the purpose of improvement in performance of the firm.

3. Technological up gradation : Development of business also depends upon the new technology and inventions, so if a business has to grow it should be aware of new techniques of production, new products, new designs, scientific development etc., No business will survive if technology is ignored.

4. Optimum utilization of resources : Natural environment divides the nature of business, localization, stability, progress etc. Human resource decide the knowledge, techniques, production, Industrial relations, managerial efficiency etc. Management of these resources play an important role in success of business.

5. Survival and growth : A detailed study of business environment is essential for the survival and growth of business enterprise. Business has limited capacity to influence the environment. Therefore adjustment of business, policies and strategies to be changed environment is essential for business survival.

6. Reputation of the company: The management of a company is interested not only in building up its business but also to build an image and reputation of the company in the public mind. Therefore study of environment will help the company to be friendly and avoid such policies which will affect the public.

Question 6.
Explain the political factors affecting business environment.
Answer:
The political conditions and situations of any country affects the business environment. The main factors of political environment are as follows :

1. Ideology of government: The three forms of government are capitalism, socialism and mixed economy. These governments have different ideologies and thinking. These political ideologies and thinking affects the economic and business environment.

2. Policies of government: The policies of government are related with their ideology and thinking. Their policies directly affects the business, trade and industries.

3. Political stability : Stability of government is also an important factor whenever there is political instability in the country, business is affected adversely. The stable government and peaceful atmosphere of the society encourages economic growth.

4. Foreign policy: The foreign policy of any country affects its business environment. The foreign policies helps in maintaining peaceful atmosphere which develops the international business.

5. National security : The business of any country is also affected due to its national
security. Terrorist activities, civil wars disrupt. The business activities while in peaceful atmosphere of the country economic growth takes place.

6. Constitution : The laws and provisions made in constitution is not changeable for a long-term if political situation is stable and changes are not made in constitution then it is not getting to affect the business.

Question 7.
Explain the impact of government policy changes on business and industry.
Answer:
Following are the impacts on business and Industry due to changes in government policies:

1. Increase in competition: Due to government polices of liberalization, privatization and globalization has increase the competition in day to day world. Increasing competition has adver self affected many industries.

2. Increase in demands: Due to economic reforms.speedy industrialization has taken place and various high quality products are available for customers. The customers are demanding these products for improvement in standard of living.

3. Technological environment: Due to rapid changes in technological environment competition is increasing. Only those companies will survive who are going to follow the changes in technology. For smaller firms it is becoming difficult to face the competition.

4. Need of efficient human resource : To achieve success it is necessary to have efficient human resource and it should be properly utilized. That’s why in all industries the demand for efficient human resources and their salary have also increased.

5. Decline of Public Sector : Due to government policies and economic reforms importance of public sector has declined. Financial assistance is also not provided to the public sectors property.

6. Decline of small-scale and cottage industries : Economic reforms and policies had played a major role decline of small-scale and cottage industries. It is becoming difficult for small-scale and cottage industries to face the competition with big companies with limited resources.

7. Open economy : The policies of the government has made our economy as open economy. Due to minimisation of restrictions our country is now developing into as international market.

Question 8.
Explain the managerial response of changing pattern in business environment.
Answer:

1. Large-scale production : Big companies are increasing their production to reduce the cost of production and large-scale production makes it possible to get subsidies.

2. New technology: Various companies are using the new technology with the help of foreign countries to increase their share in market.

3. Direct distribution : By eliminating the middle men companies are trying to sell their products directly to the the consumers. For e.g.Amway is distributing its products directly to consumers.

4. Variety of line of goods and services : Various types of products and services are provided to the consumers at reasonable prices. For e.g., Tata’s are dealing in Iron products, Tea, cars etc.

5. Capital Formation : To expand the business to increase production, to open new branches in national and international market big companies are changing capital structure and forming huge capital.

Question 9.
Explain the economic policy of 2007.
Or
Explain new Exim policy 2002-07.
Answer:
The export-import policy for the period 2002-07 was announced on 31st March, 2002 with the objective to consolidate. The gains of the previous export-import policies and to set for itself a challenging target to achieve one per cent share in global trade by 2007 but this policy was replaced by Foreign Trade Policy by UPA Govt, for the period of2004-2009. This policy aimed to have exports of US 80-48 billion $ per year. The salient features of this policy are: ‘

1. Increase in export: The target of 11 -9% per annum average growth by increase annual exports up to 80 Billion $.

2. Abolishing Quantitative restrictions : Exim policy removed all quantitative re-strictions on all agricultural products except a few sensitive items like jute and onions.

3. Export promotion schemes: Value cap exemption granted on 429 items to continue.

4. More facilities to SEZs : A scheme for setting up special economic zones (SEZs) in the country to promote exports was announced by the Govt, in the export and import policy on 31st March, 2000. The SEZs are to provide an internationally competitive and hassle free environment for exports and exported to give a further boost to the country’s exports. 13 new SEZs were given the permission to start their work by Govt. Units set up in SEZ would be eligible for income tax concessions, exemptions from customs and excise duties.

5. Transport subsidies : Processed fruits and vegetables, poultry, dairy products, wheat and rice etc., Their cost of transportation is more than 80S per ton. This leads to increase in prices of products. To increase exports in the international market Govt, provided a transport subsidy of Rs. 100 crores in the year 2002-03.

6. Overseas banking : Permission have been given by the Govt, to start overseas banking branches in SEZs. In these branches the rules like CRR and SLR of Reserve Bank of India will not be followed.

7. Export to Russia: To increase the export of butter, wheat, groundnut, oil, cashewnuts and products of wheat to Russia, packaging and registration have been stopped.

8. Expansion of market: The countries separated from Africa and Russia and some Latin American countries are the new markets of India. Hence, the exports have been in-creased by 40%. The policy has also made provision for expansion of export market. In first phase Nigeria,.South Africa, Mauritius, Kenya, Ethiopia, Tanzania and Ghana were selected which helped in expansion of market.

By increasing the exports in international market it helped India in increasing foreign trade. This happened due to the efforts and policy of 1991. India’s current share in global merchandise trade is about 0-8 percent ($ 55 billion out of $ 7274 billion in 2003).

MP Board Class 12 Business Studies Important Questions

MP Board Class 11th Accountancy Important Questions Chapter 14 Financial Statement

Financial Statement Important Questions

Financial Statement Objective Type Questions

Question 1.
Choose the correct answer:

Question 1.
Trading Account discloses –
(a) Gross profit
(b) Net profit
(c) Net loss
(d) Gross profit or Gross loss
Answer:
(d) Gross profit or Gross loss

Question 2.
Direct Expenses are entered in:
(a) Trading Account
(b) profit & Loss Account
(c) Balance sheet
(d) None of these
Answer:
(a) Trading Account

Question 3.
Profit and loss Account discloses:
(a) Gross profit
(b) Gross profit or Gross loss
(c) Gross profit or Gross loss
(d) None of these
Answer:
(b) Gross profit or Gross loss

Question 4.
Goodwill is a –
(a) Fixed Asset
(b) Current Asset
(c) Fictitious Asset
(d) None of these
Answer:
(a) Fixed Asset

Question 5.
Drawing is deducted from:
(a) Sales
(b) Purchase
(c) Returns outward
(d) Capital
Answer:
(b) Purchase

Question 2.
Fill in the blanks:

1. Indirect Expenses are entered in …………….. account.
2. Gross profit or loss is transferred to …………….. account.
3. ……………. accounts are prepared at the end of the year.
4. Balance sheet is a ………………
5. Increase in capital at the end of the year represents ………………..

Answer:

1. Profit & loss account
2. Profit & loss account
3. Final
4. Statement
5. Profit.

Question 3.
Match the following:

Answer:

1. (c)
2. (d)
3. (b)
4. (a)
5. (f)
6. (e)

Question 4.
Answer in one word/sentence:

1. When cost of goods sold is deducted from net sales, we get.
2. The Expenses written in profit & loss Account are known as.
3. The statement of Assets & Liabilities is called.
4. Give an example of current Liability.
5. In which side of balance sheet, the goods in transit are shown.

Answer:

1. Gross profit
2. Indirect expenses
3. Balance sheet
4. Bank overdraft
5. Asset side.

Question 5.
State True or False:

1. Capital is a fixed Liability.
2. Closing stock is not shown in balance sheet.
3. Balance sheet is prepared on the basis of Trial balance.
4. Bad debt reserve is a loss.
5. Interest on drawings is loss of owner.

Answer:

1. True
2. False
3. True
4. False
5. True.

Financial Statement Short Answer Type Questions

Question 1.
What do you mean by trading account?
Answer:
At the end of the financial year, the trader prepares an account called trading account to ascertain the gross profit or loss, of the business, i.e., The result of purchase and sale of goods. In its debit side, opening stock of goods, purchases less returns, wages, freight, carriage, power and fuel, etc. are entered. In its credit side sales less returns, closing stock etc. are entered. Then both, the sides are totalled and balanced. It may be either gross profit or gross loss. The debit balance shows gross loss and credit balance shows gross profit. It will be transferred to profit and loss account.

Question 2.
Explain the meaning of profit and loss account.
Answer:
Profit and Loss Account is an account prepared to find out Net Profit on Net Loss of the business for a particular period. In this account, all indirect incomes and expenses are entered. It starts with either gross profit or gross loss.

Question 3.
What is balance sheet? What are the objects of its preparation?
Answer:
“Balance sheet is a statement which gives information of business liabilities and assets on a particular date of which shows the financial position of the business”.

Objects:

1. To ascertain the financial position of the business.
2. To show the various assets and liabilities of the business.
3. To find out the amount payable to creditors and the amount receivable from debtors.
4. To ascertain the capital balance.
5. To compare with previous years.

Question 4.
Write a short note on valuation of closing stock.
Answer:
The unsold goods lies with the seller at the end of the financial year is called closing stock. It is essential to calculate the value of unsold stock at the end of each financial year, before the preparation of final accounts. Without its valuation, the net profit or net loss of the business is not possible to find out. In the following way it is valued.

The valuation of unsold stock is done in two ways, i.e., either in market price or in cost price. Generally, it is done in market price or in cost price which is lower. By doing so, chances of arising loss is minimized.

Question 5.
Differentiate between trading account and profit & loss account.
Answer:
Differences between trading account and profit & loss account:

Question 6.
Explain the objects of preparing profit and loss account
Answer:
The following are the advantages of preparing P&L accounts:

1. To find out net profit or net loss of the business – The trading, profit and loss account shows the net profit or net loss of the business.
2. Comparison – The net profit or net loss ascertained from the P&L account helps to compare it with previous years and plans can be taken to change the business policies.
3. To calculate income tax – For the valuation of income tax, it helps the taxation authorities. It is done on the basis of net profit.
4. Knowledge of daily expenses – P&L account gives the information of daily expenses and incomes of the business.
5. Future plans – On the basis of net profit or net loss, ascertained from P&L account helps’the trader to make plans for the future.

Question 7.
Give the classification of liabilities.
Answer:
Liabilities can be classified as follows:

1. Fixed liabilities – The liabilities which are to be paid after a long period of time.
2. Current liabilities – The liabilities which are to be paid during short period (1 year) of time.
3. Contingent liabilities – Those liabilities whose payment depend on future happenings.

Question 8.
What is meant by financial statement? What are accounts are open in it.
Answer:
At the end of current year for knowing the financial condition of business what¬ever statements are prepared are called financial statement. Trading account, profit & loss account, balance sheet.

Question 9.
What is meant by closing stock ?
Answer:
The amount of goods remains unsold at the end of the accounting year is called as closing stock. It is necessary to enter closing stock in Dr. side of trading A/c because, profit or loss cannot be ascertained without taking closing stock into consideration.

Financial Statement Long Answer Type Questions

Question 1.
Explain the importance of final accounts.
Answer:
Ahead are the main importance of preparing final accounts:

1. To know the production cost and profit or loss on goods – Trading Account helps to know the cost of production and profit or loss made on goods for a particular period.

2. To know Net Profit or Net Loss of the business – The profit and loss account includes all indirect incomes and expenses, profits and losses of the business for a particular period. It enables us to find out the net profit or net loss of the business.

3. To know the financial position of the business – A Balance Sheet is prepared to find out the financial position of the business on a particular date. This statement contains all the assets and liabilities in its actual value. It must be equal.

4. To increase the earning capacity of the business – Final accounts are prepared in each year. It helps the trader to compare them from year to year. It enables him to find out the reasons of increase or decrease in profit or earning capacity.

5. To help in making future plans – The informations obtained from final account can work as a guideline for the business and on its base, he can make future plans.

Question 2.
Differentiate between trial balance and balance sheet.
Answer:
Differences between trial balance and balance sheet:

Question 3.
Differentiate between trading and profit & loss account and balance sheet Answer: Differences between balance sheet and profit & loss account:

Question 4.
Explain in brief me items which are written in the debit side of trading account
Answer:
The various iterns that appear in Dr. side of trading account:

1. Opening stock – Last year’s unsold stock is brought toward and written as opening stock in trading account
2. Purchases – The total amount of goods purchased is reduced by purchase returns.
   goods destroyed by fire etc. and net purchases are written.
3. Direct expenses – It refers to those expenses which are incurred for purchase or production of goods, e.g., carriage purchases, octroi, wages, fuel etc.
4. Gross profit – The credit balance of trading account is turned as gross profit. It is transferred to profit and loss account.

MP Board Class 11 Accountancy Important Questions

MP Board Class 11th Accountancy Important Questions Chapter 13 Bills of Exchange and Promissory Note

Bills of Exchange and Promissory Note Important Questions

Bills of Exchange and Promissory Note Short Answer Type Questions

Question 1.
What are the parties to a bill? Explain.
Answer:
There are three parties to a bill. They are:

1. Drawer – He is the person who draws a bill. He is the seller or the creditor. He writes the bill.
2. Drawee – He is the person to whom the bill is drawn. He is also known the acceptor of the bill. He is buyer or the debtor.
3. Payee – He is the person to whom the payment is made on the due date. He may be the drawer, banker or the endorsee.

Question 2.
Give a specimen form of ‘Bills of Exchange’.
Answer:
A specimen form of bill of exchange:

Question 3.
What is meant by Accommodation Bill?
Answer:
These bills are written between the two parties for mutual financial help. No debtor-creditor relationship exists in such condition.

Question 4.
Mention various characteristics of bill of exchange.
Answer:
The characteristics features of bill of exchange are:

1. It is an unconditional order
2. It must be in writing
3. The maker or the writer of the bill must sign on it
4. It is drawn on a particular person
5. It must be accepted by one person to whom it is drawn
6. It is payable on demand or on the expiry of a certain period
7. It is written for a certain amount.

Question 5.
Explain renewal of a bill.
Answer:
Renewal of a bill refers to the cancellation of old bill and preparation of new bill for an extended period of time. It is done by the drawer on the request of drawee when the expressor his inability to pay.

Question 6.
What do you mean by renewal of a bill? Explain with an example.
Answer:
Renewal of a Bill:
Sometimes the acceptor of the bill found himself unable to meet his acceptance of the bill on the due date. So, he may request the drawer of the bill for the extension of time. If he agrees, the old bill is cancelled and a fresh one is drawn in place of the old one. For this extension of period, interest is charged and the bill is made with the principal amount and interest.

Example : Ram cancelled the old bill of Rs. 4,000 and draw a new bill on Mohan by charging interest at the rate of 6%, for a period of three months. The new bill should include noting charges of Rs. 10 also.

Solution :
Calculation of amount of the new bill

Question 7.
What is meant by dishonour of a bill? Explain in detail.
Or
Explain the procedure of dishonour of a bill.
Answer:
Non – payment of bill on due date due to any reason is known as dishonouring of a bill. In such a case, the holder of the bill can recover the amount from any of the previous endorser or drawer.
Due to the following causes a bill may be dishonoured:

1. When the acceptor does not have adequate money to meet his acceptance
2. When the acceptor is declared as insolvent
3. When the payment is stopped by the Govt
4. When the acceptor becomes lunatic, mad or expires.

When a bill is dishonoured, it is essential to certify it by a notary public by the holder in due course. He requests the drawee to make the payment. If again he denies to make payment then he approaches the court to recover the amount from him.

Question 8.
What entries will be passed in the books of drawer in case of dishonour of a bill in following cases:

1. Bill is retained with drawer and he pays noting charges.
2. Bill is endorsed to Mr. X and Mr. X pays noting charges.

Answer:
1. If the bill retained with drawer and he pays noting charges:
Drawee’s A/c Dr. – –
To Bills Receivable A/c –
To Cash A/c –
(Being bill dishonoured and noting
charges paid)

2. If bill is endorsed to Mr. X and noting charges are paid by him:
Drawee’s A/c Dr. – –
To Mr. X’s A/c –
(Being bill dishonoured and noting charges paid)

Question 9.
What is a promissory note? Mention some features of promissory note.
Answer:
A promissory note is an instrument in writing containing an unconditional undertaking, signed by the maker to pay a certain sum of money to a person or to his order or to the bearer of the instrument. According to Indian Negotiable Instrument Act, “Promissory note is a promise to make the payment of certain specified amount to the creditor on demand or after expiry of certain period”.

In promissory note, acceptance is not required because the writer himself is the debtor. In’ transactions which are related to promissory note, there are mainly two parties one is maker (debtor) and second is payee (creditor). In this writer promises to pay the amount after certain period.

Special feature of promissory note:

1. It is a document in writing.
2. It must be a promise by the maker to make the payment in future.
3. The promise to pay must be unconditional.
4. It is a promise to pay specified amount.
5. Payment may be made on demand or after the expiry of certain period.
6. It must be signed by the maker of the instrument.
7. It should be properly stamped.

Bills of Exchange and Promissory Note Long Answer Type Questions

Question 1.
Differentiate between bill of exchange and promissory note.
Answer:
Difference between Bill of Exchange and Promissory Note:

Question 2.
Differentiate between bills receivable and bill payables.
Answer:
The following are the difference between receivables and bill payable:

Question 3.
Explain in the following:

1. Days of Grace
2. Endorsement of a bill
3. Retirement of a bill.

Answer:
1. Days of Grace:
Bill of exchange is written for a definite period. For the convenience of the acceptor, three extra days are allowed to him for making the payment. These extra day’s are known as ‘Days of Grace’. Three days are added to the due date of the bill.

2. Endorsement of a bill:
When the accepted bill is transferred by the drawer in favour of his creditors to pay off his debt is called endorsement. The person who endorses the bill is called endorser and to whom it is endorsed is called endorsee. When a bill is endorsed, the endorsee will be entitled to get the payment.

3. Retirement of a bill:
Sometimes the acceptor makes the payment of the bill before the due date. In this situation, he does not pay full amount of the bill. The drawer agrees to deduct some amount. This amount is called rebate. This is called ‘Retirement of bill under Rebate’.

Question 4.
Describe types of bills of exchange?
Answer:
Kinds of bills of exchange are as follows:

1. On the basis of place.
2. On the basis of use.
3. On the basis of time.
4. On the basis of receiver.
5. On the basis of Book – keeping.

1. On the basis of place:

• Inland bill – When drawer and drawee are both from same country then it is called Inland bill.
• Foreign bill – When drawer and drawee both are different countries then it is called foreign bill.

2. On the basis of use:

• Trade bill – A trade bill is used for purchase and sale of goods or commodity.
• Accommodation bill – This bill is drawer by drawer on drawee for meet financial need not for any business transaction.

3. On the basis of time:

• Sight bill – This type of bill are liable for payment at time of presentation. ,
• Tenure bill – This type of bill is to be made by acceptor on the date mentioned in the bill.

4. On the basis of receiver:

• Bearer bill – The payment of such bills is made to that person who present the bills for payment.
• Order bill – The payment of this bill is made to the person whose name is written on the bill on his order to any other person.

5. On the basis of Book – keeping

• Bills receivable – These bills are those, the payment of which is to be received by traders at certain ate.
• Bills payable – These bills are those the payment is made of purchases at certain date.

MP Board Class 11 Accountancy Important Questions

MP Board Class 11th Accountancy Important Questions Chapter 12 Provision and Reserves

Provision and Reserves Important Questions

Provision and Reserves Objective Type Questions

Question 1.
Choose the correct answers:

Question 1.
Which reserve is not shown in balance sheet –
(a) General reserve
(b) Specific reserve
(c) Secret reserve
(d) Capital reserve.
Answer:
(c) Secret reserve

Provision and Reserves Short Answer Type Questions

Question 1.
What is General Reserve? What are its objectives?
Answer:
Reserve mean amounts set aside out of profits and other surpluses to meet future uncertainties. In other words, a reserve is meant for meeting any unknown liability or loss in the future. General Reserves are not meant for any purpose but can be utilised for any exigencies. General reserves are created for the following purposes:

1. To compensate the unknown loss arising in future.
2. To strengthen the financial position of the business.
3. For reinvesting the profits in the business so as to expand the Current business.
4. In case of companies, to maintain the rate of dividends for the shareholders.

Question 2.
Define secret Reserve. Explain the objects of secret Reserve.
Answer:
The main objects of secret reserve are:

1. To strengthen the internal situation of the business.
2. To compensate uncommon losses.
3. To show reduced profit of the company.
4. To hide the errors committed by Managers.

Question 3.
Explain the methods of creating secret Reserve.
Answer:
Secret reserve is mainly created by showing Assets at a value less than its actual value or by way of showing Exaggerated liabilities. Some main methods adopted are:

1. To provide more than required depreciation on Fixed Assets.
2. Not to show Goodwill in the books.
3. Not disclosing Accrued Incomes in the balance sheet.
4. Not adjusting prepaid expenses.
5. To show liabilities at a higher value than its actual value.

Question 4.
Mention three characteristics of Reserve.
Answer:
The characteristics or features of ‘Reserves’ are:

1. It is created out of net profits or divisible profits. As such the reserves are also termed as ‘Retained Earnings’ or ‘Undistributed Profits.’
2. Creation of Reserves is not a legal necessity. It is created voluntarily for strengthening the financial position of the business and for meeting an unforeseen Exigencies in the future.
3. It is not created to meet any known liability or depreciation in the value of assets but for meeting an unknown liability or loss in the future.

Question 5.
What do you mean by bad debt reserve?
Answer:
Bad debt is a business loss for adjusting this loss, a reserve is maintained each year from the debtors. This reserve is known as bad debt reserve, it is the amount of provision to write off bad debt in future.

Question 6.
What do you mean by bad and doubtful debt?
Answer:
Provisions for Bad and Doubtful Debts: At the end of the year there are certains debtors from whom it is expected that some amount may be received and some amount may not be received and there may be debtors from whom it is expected that no amount will be received. Hence, provision made for such losses or doubtful amount is known as “Provision or Reserve for Bad and Doubtful Debts.” Its amount and time is not known exactly. Hence provision is made for an expected amount.

This provision is deducted from the amount of debtors in balance sheet. If provision made is more than the amount of doubtful debts then such excess will be termed as Reserve and will be shown in the liability side of balance sheet. Accounting Treatment: The amount of provision or reserve for bad and doubtful debts is shown in the debit side of Profit and Loss Account and is deducted from the amount of debtors in Balance Sheet in the asset side.

Provision and Reserves Long Answer Type Questions

Question 1.
Distinguish between Reserves and provisions.
Answer:
Difference between Reserves and Provisions:

Question 2.
Why a provision for discount on debtors and creditors are maintained in the business?
Answer:
Discount provision on sundry debtors:
When the sundry debtors make their payment before the prescribed time, they are allowed some concession. This concession is called cash discount. It is a loss to the business. In certain condition, the trader keeps a reserve to allow discount on debtors for future, in anticipation.

This reserve or provision is known as discount provision on sundry debtors. It is calculated after the deduction of further bad debt and new reserve from debtors at a percentage. This amount is shown in the debit side of profit and loss account and is also deducted from debtors in the balance sheet.

Discount provision on sundry creditors:
When the trader makes the payment before the stipulated time, he is allow’ed some discount. It is an income of the business. In certain condition, the trader keeps a reserve in anticipation that some discount may receive in future. This reserve on provision is called, ‘Discount provision on sundry creditors’. It is shown in the credit side of P&L A/c and is deducted from the sundry creditors in the balance sheet.

Question 3.
Distinguish between revenue reserve and capital reserve.
Answer:
Difference between Revenue and Capital reserve

Question 4.
Explain the various types of Reserve.
Answer:
Reserve can be classified as follows:

1. Revenue reserve – Revenue reserves are those reserve which are created out of profit (revenue) earned through the business activities. Any reserve which is not capital reserve is called capital reserve.

2. Capital reserve – Capital reserve is created by capital profit or capital receipt. The profit which has not been earned from general business activities of the firm are termed as capital profit.

3. Specific reserve – When any part of profit the of business is kept for any specific purpose and it is utilised for that specific purpose then such reserve are called as specific reserve.

4. General reserve – A part of reserve which is created out of revenue reserve to meet out future contingencies and risk is called as general reserve.

5. Secret reserve – It is not shown in liabilities. If any reserve which is not shown in balance sheet which is called secret reserve.

MP Board Class 11 Accountancy Important Questions

MP Board Class 11th Accountancy Important Questions Chapter 11 Depreciation

Depreciation Important Questions

Depreciation Short Answer Type Questions

Question 1.
What do you mean by depreciation? What is the need of providing Depreciation?
Or
Write objects of providing for depreciation.
Answer:
Due to constant use of fixed assets in the business, there is continuing diminution or decrease in their value, quantity and quality. This permanent and continuing diminution or decrease in the value of asset is called ‘Depreciation’.

The objects of charging depreciation are as follows:

1. Replacement of fixed assets:
Due to constant use of a fixed asset, it becomes useless after a period of time. Hence, it must be necessary to replace it. At that time the businessman can utilize the money which were written off as depreciation for the replacement of the asset.

2. Proper distribution of loss:
The value of a fixed asset decreases due to its constant use and their loss is relevant to the particular year, i.e., their loss must be accounted each year and that is possible by charging depreciation.

3. For saving tax:
Law provides depreciation as a deduction from income. This reduces the taxable income of the business. So, to save payment of income tax depreciation should be charged.

4. To know accurate profit:
Depreciation is an expense like any other expense. So, only after providing depreciation the real profit for the period can be found.

5. To know the true and fair financial position:
As the value of asset is continually diminishing, it would be very wrong to show them at the original purchase value in the balance sheet. It is only reducing depreciation that the net value of assets can be known.

Question 2.
Explain any five reasons for origin of depreciation.
Answer:
Causes for the Origin of Depreciation : Due to various reasons depreciation arises

1. Continuous use of assets:
In the business concern fixed assets are of daily use, resulting wear and tear, obsolescence and decline in the value of the assets. This decline of value of an asset is technically known as depreciation.

2. Obsolescence:
It means discard of an old machine which becomes uneconomic due to introduction of new machine of latest technique. The latest machine not only ensures cost minimization but the increase in production as well. Thus, for the sake of economy and efficiency of old machine is scrapped despite it being capable of giving service for few more years.

3. Exhaustion of original shape:
Some assets like mines, quarries, etc. exhaust considerably or completely as a result of excavation or removal of resources inherent therein. More and more, excavation / extraction leads to shrinkage or lessening of estimated available quantity. This decline in the value or quantity can be treated as depletion or depreciation.

4. Effluxion or expiration of time:
The value of old machines is always less than that of new machines. This is because, due to the passage of time and charging of depreciation every year the book value of old machine diminishes gradually. After a period of time the value becomes nominal or zero. For example, take leased land of Rs. 50,000 for 15 years. After 10 years its value may be less then half. This decline of value can also be treated as depreciation.

5. Fall in market price:
The market price of the fixed asset may rise or fall. This change in price is of temporary in nature. But the market price of an asset falls due to some special reasons, it can be trated as depreciation.

Question 3.
Write the characteristics of depreciation.
Answer:
The main characteristics of depreciation are as follows :

1. Depreciation is charged only on fixed assets.
2. Depreciation results in decrease of the value of a fixed asset.
3. By depreciation the value of the fixed asset is constantly declining.
4. Depreciation is a business expense.
5. Depreciation is related with the account of a particular asset only.

Question 4.
Write the demerits of reducing balance method.
Answer:
Demerits of reducing balance method are:

1. No provision for interest on capital – Like fixed instalment method there is no provision of interest on capital invested in the fixed assets.
2. High rate of depreciation – In this method, high rate of depreciation is essential. If the depreciation is charged on low rate, it will take many years to written off the assets.
3. The value of assets can never be zero – This method of depreciation can be applied only when there is some residual value of the asset. In this method, inspite of charging depreciation, the value of assets can never be zero.

Depreciation Long Answer Type Questions

Question 1.
Distinguish between Fixed Instalment method and Reducing Balance Method of Depreciation.
Answer:
Fixed instalment method is called straight line method because when depreciation is charged evenly for all years, the curve will come in this manner:

MP Board Class 11 Accountancy Important Questions

MP Board Class 11th Economics Important Questions Unit 6 Development Experience of India: A Comparison with Neighbours

MP Board Class 11th Economics Important Questions

Development Experience of India: A Comparison with Neighbours Objective Type Questions

Question 1.
Choose the correct option:

Question (a)
China republic was established in:
(a) 1945
(b) 1947
(c) 1949
(d) 1951
Answer:
(c) 1949

Question (b)
Which is the poorest nation:
(a) India
(b) China
(c) Pakistan
(d) Kerala
Answer:
(c) Pakistan

Question (c)
In year 2010 which was biggest importer:
(a) America
(b) Japan
(c) China
(d) India
Answer:
(c) China

Question (d)
Economics of India and Pakistan depends for G.T.P:
(a) On primary level
(b) Secondary level
(c) Tertiary level
(d) None of these.
Answer:
(c) Tertiary level

Question (e)
Which country adopted infant policy:
(a) India
(b) China
(c) Pakistan
(d) None of these.
Answer:
(b) China

Question 2.
Fill in the blanks:

1. Biggest contributor to India’s National Income is …………………………
2. In China great leap forward mission started in ………………………..
3. Pakistan has better situation in field of ………………………. than India and China.
4. In ……………………… urban population is least.
5. Emission of Carbon – di – oxide is maximum is …………………………..

Answer:

1. Service
2. 1958
3. Availability of facility
4. India
5. China.

Question 3.
Match the columns:

Answer:

1. (c)
2. (e)
3. (a)
4. (b)
5. (d).

Question 4.
State true or false:

1. In 1978 ‘Reform policy’ started by China get a great blow.
2. Ratio of people below poverty line is higher in India.
3. Economy of Pakistan achieved great help by remittance of labourers.
4. In comparison to China Indian human development index is higher.
5. The Great leap Forward programme was started in Pakistan.

Answer:

1. True
2. True
3. True
4. False
5. False.

Question 5.
Answer in one word:

1. Which model was adopted by Pakistan for development?
2. Renmanbi is the currency of which country?
3. Which price policy is there in China?
4. In 2014 HDI in India was?
5. Which is the poorest among India, Pakistan and China?

Answer:

1. Statism
2. China
3. Double
4. 0 – 609
5. Pakistan.

Development Experience of India: A Comparison with Neighbours Very Short Answer Type Questions

Question 1.
Write two indications of HDI?
Answer:

1. GNP per capita
2. Life expectancy.

Question 2.
When did China started five year plans?
Answer:
In 1953.

Question 3.
When did economic reforms started in India and Pakistan?
Answer:
Economic reforms were started in 1951 in India and in 1956 in Pakistan.

Question 4.
Name the two areas where India is ahead of Pakistan?
Answer:
Rate of GDP and Per Capita Income.

Question 5.
In which area China is ahead of India and Pakistan?
Answer:
Human development and GNP per capita.

Question 6.
What is liberty indicator?
Answer:
Liberty indicators means a tigers night to play in the governance of their country.

Question 7.
Name any two regional groups?
Answer:

1. SAARC
2. ASEAN.

Question 8.
When did India and Pakistan became Independent?
Answer:
In 1947.

Question 9.
When was People’s Republic of China established?
Answer:
In 1949.

Question 10.
What was common in the development strategy of India, China and Pakistan?
Answer:
Five Year Plans.

Question 11.
When was Great Leap Forward Movement started?
Answer:
In 1998.

Question 12.
What is Great Leap Forward?
Answer:
The Great Leap Forward was a campaign initiated in 1958 in China by Man’s which was aimed to Modernize China’s economy.

Question 13.
What is the objective of Great Leap Forward?
Answer:
Industrialization of nation on large scale.

Question 14.
What was the objective of commune?
Answer:
The objective of commune was collective farming.

Question 15.
When was the Great Proletarian Cultural Revolution started?
Answer:
In 1965.

Question 16.
What was the objective of Great Protestarion Cultural Revolution?
Answer:
To send students and professionals to work and learn from country side.

Question 17.
When did economic reforms started in China?
Answer:
In 1978.

Question 18.
When did economic reforms started in Pakistan?
Answer:
In 1988.

Question 19.
Why is density of population of China is less than India and Pakistan?
Answer:
Because the geographical area of China is big.

Question 20.
Which country adopted one child norm?
Answer:
China.

Question 21.
When was one child norm implemented in China?
Answer:
In the end of decade of 1970.

Development Experience of India: A Comparison with Neighbours Short Answer Type Questions

Question 1.
Mention some examples of regional and economic groupings?
Answer:
Following are some examples of regional and economic groupings:

1. SAARC
2. European Union
3. ASEAN
4. G – 8
5. G – 20
6. NAFTA
7. SAFTA.

Question 2.
What are the various means by which countries are trying to strengthen their own domestic economics?
Answer:
Following are the various means by which countries are trying to strengthen their own domestic economics:

1. Countries are forming regional and global groupings such as European Union, G – 8, G – 20, ASEAN, SAARC, etc.
2. Countries are making comparison of their policies with the policies of their neighbouring countries.

Question 3.
What similar developmental strategies have India and Pakistan followed for their respective developmental paths?
Answer:
Initially India and Pakistan adopted economic planning i.e., Five Year Plans as development strategy. Accordingly both the countries created a large public sector and raised public expenditure on social development. Till 1980 both the countries had similar growth rates and per capita income.

During this period, both the countries introduced a variety of regulated policy framework including tariff protection and direct import controls. During 1980s and 1990s, both the governments shifted their policy orientation to liberalisation and role of private sector. India introduced economic reforms in 1991 while Pakistan initiated economic in 1988.

Question 4.
Explain the Great Leap Forward Campaign of China as initiated in 1958?
Answer:
Great Leap Forward (GLF) campaign was initiated in China in 1958 as a strategy of economic development. Under this, the main emphasis was on the industrialisation of the country on a massive scale. People were encouraged to set up industries in their backyards. In rural areas, commune system was followed to promote collective forming. However, the Great Leap Forward compaign could not succeed.

Question 5.
China’s rapid industrial growth can be traced back to its reforms in 1978. Do you agree? Elucidate?
Answer:
Yes, we agree with the statement that China’s rapid industrial growth can be traced back to its reforms in 1978. Under the reforms, private sector firms and co – operative societies were allowed to produce goods. At this stage, state enterprises (State Owned Enterprises) were made to face competition.

Under dual pricing, farmers and industrial units were required to buy and sell fixed quantities of inputs and outputs on the basis of prices fixed by the government and the rest were purchased and sold at market prices. Besides, special economic zones were set up to attract foreign investors.

Question 6.
Describe the path of developmental initiatives taken by Pakistan for its economic development?
Answer:
Pakistan became independent in 1947. Pakistan announced its first Five Year Plan in 1956. Till 1998, Pakistan had eighth Five Year Plans. Pakistan follows the mixed economy model with co – existence of public sector and private sector. In the initial period of planning, Pakistan adopted a policy of regulated environment characterised by tariff protection and import substitution.

As a result of huge public investment, the production of foodgrains also increased. In 1970s, capital goods industries were nationalised. However, by 1980, the emphasis was shifted to denationalisation and promation of private sector. The government offered incentives to the private sector. Reforms were introduced in Pakistan in 1988.

Question 7.
What is the important implication of the “one norm” in China?
Answer:
The important implication of the “one norm” in the check on population growth. As a consequence, after a few decades, there will be more elderly people in proportion to young people. This will force China to take steps to provide social security measures with fewer workers.

Question 8.
Evaluate the various factors that led to the rapid growth in economic development in China?
Answer:
Following are the various factors that led to the rapid growth in economic development in China:

1. Government Control:
Since its establishment in 1949, China followed the strategy of socialism under which all the sectors of the economy, enterprises and land were under the government control.

2. Great Leap Forward:
Great Leap Forward campaign was launched in 1958 to promote industrialisation and collective fanning in agriculture.

3. Great Proletarian Cultural Revolution:
During 1966 – 1976, students and professionals were sent to work and learn from the countryside.

4. Economic Reforms:
Economic reforms were introduced in China in 1978. China introduced reforms in phases. In the initial phase reforms were introduces in agriculture, foreign trade and investment sectors. In the later phase, reforms were initiated in the indus¬trial sector. To attract foreign investors, special economic zones were set up.

Question 9.
Group the following features pertaining to the economics of India, China and Pakistan?

1. One – child norm
2. Low fertility rate
3. High degree of urbanization
4. Mixed economy
5. Very high fertility rate
6. Large population
7. High density of population
8. Growth due to manufacturing sector
9. Growth due to service sector.

Answer:
Grouping of features pertaining to the economics of India, China and Pakistan are as follows:

Question 10.
Give reasons for the slow growth and re-emergence of poverty in Pakistan?
Answer:
Following are the reasons for the slow growth and re-emergence of poverty in Pakistan:

1. Decline in the growth rate of agriculture sector which employs the largest proportion of work force.
2. Political instability in pakistan.
3. High rate of inflation.
4. Dependence on foreign loans.

Question 11.
What are the similarities in the developmental strategies of India, Pakistan and China?
Answer:
Following are the similarities in the developmental strategies of India, Pakistan and China:

1. All the three countries have started towards developmental path at the same time.
2. All the three countries followed the similar developmental strategies. All the three countries started their development through Five Year Plans and emphasis on pubic sector.
3. Till 1980s, all the three countries had similar growth rates and per capita income.
4. All the three countries have introduced economic reforms.

Question 12.
Compare and contrast India and China’s sectoral contribution towards GDP in 2008. What does it indicate?
Answer:
As far as sector wise contribution to growth is concerned in 2008, contribution of agriculture to GDP in China was 10% while in India it was 19%. On the other hand manufacturing contributes the highest to GDP in China at 47%, whereas, in India service sector contributes the highest at around 55%.

In the last two decades, the growth of agriculture sector has declined in both the countries. In the industrial sector, China has maintained a double-digit growth rate whereas for India industrial growth rate has declined. In the case of service sector, China has been able to raise its rate of growth in 2008 – 2010 while service sector growth in India has stagnated. China’s growth is mainly contributed by the manufacturing sector and India’s growth by service sector.

Development Experience of India: A Comparison with Neighbours Long Answer Type Questions

Question 1.
Mention the salient demographic indicators of China, Pakistan and India?
Answer:
The salient demographic indicators of China, Pakistan and India are discussed below:

1. The population of Pakistan is very small and accounts for roughly about one – tenth of China or India. Though, China is the largest nation and geographically occupies the largest area among the three nations its denstiy is the lowest.

2. One child norm was introduced in China in late 1970’s as population growth was the main reason. This was a measure led to a decline in the sex ratio, the proportion of females per 1000 males. Although sex ratio is based against females in all three countries are trying to adopt various measures to improve the situation. Due to one child norm, after few decades there will be more elderly people in proportion to young people.

3. The fertility rate is low in China and very high in Pakistan.

4. Urbanisation is high in both Pakistan and China with India having 28% of its people living in urban areas.

Question 2.
Mention the various indicators of human development?
Answer:
Following are the various indicators of human development:

1. Longevity or Life Expectancy at Birth: Longevity means the number of years of that a new bom infant can expect to live.
2. Knowledge: Knowledge is measured by a combination of adult literacy rate and combined primary, secondary and tertiary school enrolment ratios.
3. Decent standard of Living: It is measured by real per capita income at purchasing power parity in dollars.
4. People below poverty line.
5. Infant mortality rate:
6. Maternal mortality rate.
7. Adult literacy rate.
8. GNP per capita etc.

Question 3.
Compare and contrast the development of India, China and Pakistan with respect to some salient human development indicators?
Answer:
The following table presents the salient human development indicators in India, China and Pakistan:

Source:
Human Development Report 2011 and World Development Indicators (W. W. W. worldbank. Org)

Table shows the following points:

1. China is ahead of India and Pakistan in human development indicators. China has better ranking in terms of income indicator such as GDP per capita, or proportion of population below poverty line or health indicators such as mortality rates, access to sanitation, literacy, life expectancy or malnourishment.

2. Pakistan is ahead of India in reducing proportion of people below the poverty line with 37 – 2% people below poverty line in India while the ratio being 22 – 3% in Pakistan in 2004 – 2006.

3. Pakistan’s performance in education, sanitation and access to water is better than India.

4. Maternal mortality is very high in India and Pakistan as compared to China. In China, for one lakh births, only 38 women die whereas, in India and Pakistan, more than 200 women die.

5. All the three countries report providing improved water sources for most of its population.

6. Considering the international poverty rate of $ 1 a day, India has the largest share of poor among the three countries.

MP Board Class 11th Economics Important Questions

MP Board Class 11th Accountancy Important Questions Chapter 10 Rectification of Errors

Rectification of Errors Important Questions

Rectification of Errors Objective Type Questions

Question 1.
Choose the correct answer:

Question 1.
Errors are rectified in this book –
(a) Ledger book
(b) Journal proper
(c) Trial balance
(d) None of these.
Answer:
(b) Journal proper

Question 2.
Errors Committed by omitting entries in the Journal book is called –
(a) Error of commission
(b) Error of principle
(c) Error of omission
(d) None of these.
Answer:
(c) Error of omission

Question 3.
If the trial balance does not tally after many efforts then following Account is opened –
(a) Purchase account
(b) Suspense account
(c) Sales account
(d) None of these.
Answer:
(b) Suspense account

Question 4.
Errors committed due to lack of basis principle of Accounting are called –
(a) Compensating errors
(b) Error of principle
(c) Single sided error
(d) None of these.
Answer:
(b) Error of principle

Question 2.
Fill in the blanks:

1. Errors committed while totalling, balancing of Accounts are called ……………
2. …………… errors are disclosed by Trial balance.
3. If one error nullifies the effect of another error, such errors are called …………….
4. Suspense Account is a ……………. Account.

Answer:

1. Arithmetical errors
2. Arithmetical
3. Compensating errors
4. Temporary.

Question 3.
Match the following

Answer:

1. (d)
2. (c)
3. (a)
4. (b).

Question 4.
Answer in one word/sentence:

1. The entries passed in the Journal proper for rectifying entries are called.
2. The total of purchase book was written Rs. 200 instead of Rs. 2,000. This is an example of.
3. When two errors nullify each others effect, then such errors are called.
4. When are rectifying entries passed?

Answer:

1. Rectifying entries
2. Error of casting
3. Compensating errors
4. Beginning of the year.

Question 5.
State True or False:

1. Suspense Account is a Permanent Account.
2. Single sided errors are generally rectified directly in the ledger accounts before closing the accounts.
3. Final accounts are not affected through rectification of errors.
4. Single sided errors are rectified through Suspense Account.

Answer:

1. False
2. True
3. False
4. True.

Rectification of Errors Short Answer Type Questions

Question 1.
Write some errors which are disclosed by a trial balance?
Answer:
The following are some of the errors which are disclosed by a trial balance:

1. Wrong posting in an account.
2. Double posting of an entry in an account.
3. Entry of wrong amount in an account.
4. Entry of one side posting.
5. Error in bringing down the balance forward in new page.
6. Error in balancing of account.

Question 2.
How the errors can be rectified? Explain.
Answer:
After the errors are located, it is essential to rectify them. Rectification can be made into three ways. They are:

1. Cut the figures or by erasing the old figures and make it correct.
2. Write rectification entries directly in the books of accounts.
3. Write rectification entries in the journal.

Cut the figures or erasing the old figures and make it correct is wrong according to the principles of double entry system. By doing so, the validity of accounting is abolished. Rectification of entries in the ledger accounts or in the journal is made after the completion of financial year.

Question 3.
How the double sided errors are rectified? Explain.
Answer:
The double sided errors are rectified through journal entries, where one account is debited and the other account is credited.

For the rectification of double sided error, the following steps are to be remembered:

1. Make the correct entry as per the principles of double entry system.
2. Repeat the wrong entry, which is done in the books of accounts.
3. Make the opposite entry of wrong entry.
4. Compare the correct entry with opposite entry and strike off the common entry. The resulting entry is the rectification entry.

Example: Ram purchased a furniture, which was debited in purchases account.

Question 4.
What do you mean by suspense account? On which circumstances transactions are entered there?
Answer:
After the errors have been located, they must be rectified and the Trial balance should be tallied. This is done by transferring the difference into a special account called suspense account. It is temporary and fictitious account. In future, when the errors are located, the entries for their rectifications are done in this account. The suspense account will debited if the total of the credit column of trial balance exceeds the total of credit column, it will be credited in the other case.

In the following circumstances transactions are entered there:

1. A transaction is completely omitted
2. One sided errors
3. Unlocated errors
4. Disagreement of trial balance.

Rectification of Errors Long Answer Type Questions

Question 1.
How gross profit, net profit and balance sheet are affected by rectification of errors? Explain.
Answer:
The gross profit, net profit and balance sheet are affected by the rectification of errors. It is as follows:

1. Effect on gross profit –  If the credit side of trading account is increasing due to the rectification entry, the gross profit will also increase. On the other hand, if the debit side of the trading account is increased due to rectification, the gross profit will be reduced.

2. Effect on net profit – If the credit side of profit and loss account is increased due to. the rectification, the net profit will increase and vice versa. Thus rectification affects net profit.

3. Effect on balance sheet – The effect on net profit result the increase or decrease in capital balance, i.e., it will affect the total assets and liabilities in the balance sheet.

Question 2.
Mention the errors which are disclosed by trial balance.
Answer:
The following are some of the errors which are disclosed by a trial balance:

1. Wrong posting in an account.
2. Double posting of an entry in an account.
3. Entry of wrong amount in an account.
4. Entry of one side posting.
5. Error in bringing down the balance forward in new page.
6. Error in balancing of account.

MP Board Class 11 Accountancy Important Questions