📘 Tally – 2 Marks Answers

1. Stock Groups

Stock Groups are used to group similar stock items together for easy management and reporting.

Example:
Mobile Phones → Samsung, Apple, OnePlus.

🧠 Remember: Stock Group = Group of similar items

2. Stock Categories

Stock Categories classify stock items based on their common features or characteristics. An item can belong to more than one category.

Example:
Samsung Mobile → 5G Category, Android Category.

🧠 Remember: Category = Classification

3. Unit of Measurement

A Unit of Measurement is the standard used to measure the quantity of a stock item.

Examples: Kilogram (Kg), Numbers (Nos), Metre (m), Litre (L).

🧠 Remember: Unit = How much/how many?

4. Accounting Principles

Accounting principles are the basic rules and guidelines followed while recording and preparing financial accounts.

Example: Business Entity Concept, Going Concern Concept.

🧠 Remember: Principles = Rules of Accounting

5. Stock Items

Stock Items are the individual goods or products that a business buys, sells, or keeps in stock.

Example: A shop's stock items may include Rice, Soap and Biscuits.

🧠 Remember: Stock Item = Actual Product

6. Order Processing

Order Processing is the process of recording, managing and completing customer orders from receiving the order until delivery.

Example: Customer orders 10 shirts → Order recorded → Stock checked → Goods delivered.

🧠 Remember: Order → Check → Deliver

7. Golden Rules of Accounting

The three Golden Rules of Accounting are:

Personal Account: Debit the receiver, Credit the giver.
Real Account: Debit what comes in, Credit what goes out.
Nominal Account: Debit all expenses and losses, Credit all incomes and gains.
🧠 Easy Memory:

Personal → Receiver/Giver

Real → Comes in/Goes out

Nominal → Expense/Income

8. Any Two Types of Units

Two types of units used in accounting/inventory are:

1. Simple Unit – uses a single measurement, such as Kg, Litre, or Numbers.
2. Compound Unit – combines two units, such as Dozen of Pieces or Kg per Metre.
🧠 Remember: Simple = One | Compound = Combined

9. Debit Note and Credit Note

Debit Note: A document issued by the buyer to the seller when goods are returned or the amount payable needs to be reduced.
Credit Note: A document issued by the seller to the buyer confirming the reduction in the buyer's amount payable, commonly due to returned goods.
🧠 Remember:

Debit Note → Buyer informs Seller

Credit Note → Seller confirms Buyer