St. Joseph’s College of Commerce B.B.M. 2014 II Sem Fundamentals Of Accounting Question Paper PDF Download

  1. JOSEPH’S COLLEGE OF COMMERCE (AUTONOMOUS)

END SEMESTER EXAMINATION – MARCH / APRIL 2014

BBM II SEMESTER

FUNDAMENTALS OF ACCOUNTING

Duration: 3 Hours                                                                                           Max. Marks: 100

SECTION – A

  1. Answer ALL the following questions. Each carries 2 marks.               (10 x2 = 20)

 

  • What is a debit note? Give an example.
  • What is accounting? State any two branches of accounting.
  • Define Accounting concepts and Accounting convention?
  • What do mean by journalising and posting?
  • Name the various types of cash books maintained in a business?
  • What is contra entry? Give an example.
  • Distinguish between balance sheet and trial balance – any two.
  • What is meant by Rectification of errors? Mention any two types of errors.
  • Classify the following accounts:

Wages Account,  Capital Account,  Interest Account, and Stock Account.

  • Mention any four uses of final accounts.

 

SECTION – B

  1. Answer any FOUR Each carries 5 marks.                        (4 x 5 = 20)

 

  • What is double entry system? Briefly explain the rules of double entry system.

 

  • Show the accounting equation on the basis of the following transactions:
    1. Rajesh started business with cash Rs 9000
    2. Purchased equipment for cash Rs 7400
    3. Purchased goods on credit Rs 2,650
    4. Paid Rs 300 to creditors
    5. Sold goods for cash Rs 2,000 (cost price Rs 1,200)

 

  • From the following balances, prepare a trial balance
Particulars Amount Particulars Amount
Drawings 2000 Bad debts 550
General expenses 4740 Loan to Ramesh 7880
Buildings 20000 Sales 68000
Stock 16540 Purchases 40000
Wages 8515 Bank overdraft 10000
Debtors 6280 Capital ?
Creditors 2500

 

14) A) Mr. A had a capital of Rs 45,000 on 31/3/2007. He had also goods amounting Rs 25,000, which he had purchased on credit and the payment, had not been made. Find out the value of the assets.

  1. B) After a period of one month he came to know that he had suffered a loss of Rs 2,500 he withdrew Rs 1,500 for his personal use. Find out his capital and assets of the business.
  • Enter the following transactions in the simple petty cash book.
Date Particulars Amount
1/8/2007 Received a cheque to open petty cash book 1,000
5/8/2007 Bought postage stamps 50
8/8/2007 Paid for stationery 80
10/8/2007 Sent telegram 70
12/8/2007 Paid for cartage 50
14/8/2007 Paid tiffin charges for customers 130
20/8/2007 Balance due to Mr B paid 60
25/8/2007 Paid auto charges of the salesmen 70
28/8/2007 Paid coolie 90
29/8/2007 Purchased paper clips 40
31/8/2007 Paid electric charges 80

 

  • You are required to rectify these errors which were located before the preparation of the final accounts
    1. An amount of Rs 37,500 posted to the cashbook as against cash sales of Rs 3,75,000.
    2. An amount of Rs 5,000 spent towards wages for installation of a machine posted to wages account.
    3. Rs 10,000 received from Mr S posted to Mr R’s Account.
    4. Sale to Mr S has been wrongly posted to purchase book for goods worth Rs 28,000
    5. Repairs to plant amounting to Rs 567 had been charged to plant and machinery account.

 

SECTION – C

  • Answer any THREE Each carries 15 marks        (3x 15 = 45)

 

  • Enter the following transactions in the subsidiary books of Soundarya Saree Shop for the month May 2013.
May 1 Purchased from Pathi Silk Kendra 100 silk sarees at Rs 250 each
May 5 Purchased from NSR and Co 200 Silk Sarees Rs 1,000 each
May 7 Sold to Mr Kumar on account 50 printed sarees at Rs 300 and 100 silk sarees at Rs 1,000 each.
May 8 Claimed for damages from Pathi Silk Kendra Rs 500
May 9 Returned damaged goods to NSR and Co 5 silk sarees.
May 12 Purchased from Sudharshan silks 150 Mysore silk at Rs 250 each, 100 handloom sarees at Rs 750 less trade discount at 10%
May 15 Sold to Mr. Kala on account 20 printed sarees at Rs 300 each, 25 silk sarees at Rs 1,300 each, and 20 mysore silk saree at Rs 300 each less trade discount 5%.
May 20 Sold to kusum 40 handloom sarees at Rs 1,000 each
May 21 Kumar returned 10 printed sarees and 20 silk sarees.
May 25 Returned to Sudharshan’s silk 25 mysore silk
May 27 Returned from Kusum 10 handloom sarees.
May 30 Purchased from Nandi Silk 400 sarees at Rs 500 each.

 

 

  • Journalise the following transaction in the books of Ravi for the month of Jan 2007
Date Particulars Amount
Jan 1 Started business with cash 1,00,000
Jan 1 Paid into bank 50,000
Jan 2 Goods purchased for cash 30,000
Jan 3 Purchased furniture paid by cheque 10,000
Jan 5 Sold goods for cash 20,000
Jan 8 Sold goods to Ramesh 10,000
Jan 10 Purchased goods from Ajay 15,000
Jan 12 Goods returned to Ajay 1,000
Jan 15 Goods returned by Ramesh 5,00
Jan 18 Cash received from Ramesh

Discount allowed to him

 9,300

200

Jan 21 Withdrew from bank for personal use

Withdrew from bank for office use

2,000

12,000

Jan 25 Paid telephone rent for one year 1,200
Jan 28 Cash paid to Ajay in full settlement of his account 13,700
Jan 31 Paid for stationery Rs 4,400 rent Rs 2,000 and salaries to staff Rs 5,000  

 

  • Draw the two-column cashbook from the transaction for the month of March 2012.
March 1 Balance of cash in hand Rs 6000
March 2 Received cash from Sohan Rs 1000
March 4 Paid into bank Rs 1800
March 6 Paid to Mohan for goods purchased Rs 2000
March 7 Received Rs 1800 from cash sales
March 8 Paid for cash purchases Rs1920 and received Rs 80 as discount.
March 8 Withdrew for personal use Rs 1000
March 10 Received Rs 1160 from Kapoor and allowed Rs 40 as discount
March 12 Drew from bank for office use Rs 800
March 15 Paid cash for electricity charges Rs 120
March 20 Paid rent Rs 320
March 24 Cash sales Rs 1400
March 27 Deposited in bank Rs 1000
March 30 Paid cash for advertisement Rs 80
March 31 Paid salaries in cash Rs 140

 

  • Prepare ledger account from the following transaction for the month of April 2004
Date Particulars Amount
April 1 Mr. Ram started business with a capital 50,000
April 2 Purchased furniture 5,000
April 3 Bought goods on credit from Mr. Vinod 8,000
April 14 Sold goods to Mr. Sham 5,000
April 15 Received cash from Mr. Sham 3,000
April 18 Purchased goods for cash 12,000
April 25 Sold goods for cash 8,000
April 28 Paid rent Rs 1,200 1,200
April 31 Paid Mr. Vinod 3,000

 

  • From the following particulars taken from the books of Suresh and Co prepare the bills receivables and bills payable book and post them to ledger for the month of March 2012.
Date Particulars
1/3 Acceptance received from Roy payable three months after date for Rs 6500
5/3 Accepted Subhash’s draft for Rs 4000 for 2 months
12/3 Drew a bill on Yusuf for Rs 2500 for 3 months
20/3 Gave Rajesh our acceptance for Rs 5000 payable 4 months after date
22/3 Roy’s acceptance for Rs 6500 was retired under a rebate of Rs 100
25/3 Received a bill from Naresh for Rs 1000 for 1 month
28/3 Accepted bill of Patel for Rs 4500 for 2 months
30/3 Accepted Subhash’s draft for Rs 2000 for 1 month
30/3 Drew a bill on Yusuf for Rs 2000 for 2 months and accepted by him payable at Bank of India, Bangalore.

 

SECTION – D

 

  1. Compulsory Question.          (1 x 15 = 15)

 

  1. From the following trial Prepare trading and profit and loss account for the year ended 31st March 2007 and Balance sheet as at that date from the following particulars.
Particulars Debit (Rs) Credit (Rs)
Capital —— 30000
Drawings 5000 ——
Purchases 40000 ——
Carriage outwards 500 ——
Returns outwards —— 1000
Sundry expenses 800 ——
Bad debts 300 ——
Sales —— 60000
Postage 200 ——
Wages 1000 ——
Bills payable —— 3000
Discount 500 ——
Land 18000 ——
Machinery 7500 ——
Sundry creditors —— 8500
Sundry debtors 10500 ——
Salary 1500 ——
Investments 3000 ——
Opening stock 13200 ——
Cash in hand 500 ——
TOTAL 102500 102500

Adjustments: Closing stock Rs 10300, make a provision for bad debts at 5%, depreciation machinery by 6%, outstanding salary Rs 400, interest accrued on investments Rs 90, wages paid in advance Rs 50.

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  1. JOSEPHS’ COLLEGE OF COMMERCE (AUTONOMOUS)

BBM – II SEMESTER

FUNDAMENTALS OF ACCOUNTING – SCHEME OF VALUATION

 

SECTION A

  1. 1+1
  2. 1+1/2 each
  3. 2 marks
  4. 1+1
  5. ½ marks each
  6. 1+1
  7. 1+1
  8. 1+1/2 each
  9. ½ each
  10. ½ each

 

SECTION B

  1. 2 + 1 each
  2. 1 each
  3. ANSWER Capital Rs 26005 (steps 1+ 1/4 each +Ans 1)
  4. ANSWER 70000, 41000, 66000 (1+2+2)
  5. ANSWER 280 (1/2 each)
  6. 1 each

 

SECTION C

  1. Purchase Book 526250, sales book 197275, PR book 11750, SR book 33000 (5+5+3+2)
  2. 1 each
  3. Cash balance 3780 (1 each)
  4. 2 each

 

SECTION D

  1. Gross profit 17150, Net profit 12065, Balance sheet 48965 (5+5+5)

St. Joseph’s College of Commerce Fundamentals Of Accounting Question Paper PDF Download

 

st. joseph’s college of commerce (autonomous)
END SEMESTER EXAMINATION – MARCH/APRIL 2015
BBM – ii semester
M1 11 201 FUNDAMENTALS OF ACCOUNTING
Duration: 3 Hours                                                                                             Max. Marks: 100
SECTION – A
I) Answer ALL the questions.  Each carries 2 marks.                                         (10×2=20)
  1. What is meant by “Going Concern Concept”?
  2. Name four parties who would interested to use the information revealed by the Accounting System
  3. Name four accounting conventions.
  4. What is meant by Capital Receipts?  Give an example.
  5. What is a good debt?
  6. Name four intangible assets.
  7. What is meant by ‘Imprest System’ in Petty Cash Book?
  8. State four types of errors which might occur while maintaining books of accounts.
  9. What is a Contra Entry?  Give two examples
  10. Explain Interest on Drawings.
SECTION – B
II) Answer any FOUR questions.  Each carries 5 marks.                                      (4×5=20)
  11. Mr. Rajesh starts a business; the details of the transactions of his business are given below:  Record the accounting equation for each transaction & the Balance Sheet at the end.

  Rs.
(i)                      Commenced business with a capital of 1,00,000
(ii)                    Bought goods on credit from Ajay 80,000
(iii)            Bought furniture for cash 10,000
(iv)            Sold goods for cash 40,000
(v)                      Paid Ajay on account 40,000
(vi)            Paid shop rent 10,000
(vii)          Paid salaries 5,000
(viii)       Sold goods on credit to Varun 5,000
  12. What is a Journal Proper?  Explain any four types of journal entries that are recorded in the Journal Proper.
  13. Enter the following transactions in the proper subsidiary books.

2013   Rs.
March 01 Bought good from Albert 2,000
March 02 Sold goods to Brown 1,000
March 07 Charles sold goods to the firm 1,000
March 08 David bought goods from the firm 700
March 10 Received goods returned by Brown 80
March 12 The firm returned goods to Albert 50
March 18 Sold goods to Mohan 500
March 22 Purchased goods from Moses 600
March 25 Returned goods to Charles 100
March 30 Sold goods to Solomon 600
  14. From the following trial balance of Hariprasad of Mumbai (containing errors), prepare a correct trial balance:

  Rs. Rs.
Purchases 60,000
Reserve Fund 20,000
Sales 1,00,000
Purchases Returns 1,000
Sales Returns 2,000
Opening Stock 30,000
Closing Stock 40,000
Expenses 20,000
O/s Expenses 2,000
Bank Balances 5,000
Assets 50,000
Debtors 80,000
Creditors 30,000
Capital 94,000  
Suspense account being difference in the books 10,000  
  2,72,000 2,72,000
  15. Prepare the personal account of Mr. Ganesh from the following transactions:

2011   Rs.
March 01 Debit balance of Ganesh account 8,100
3 Bought from, Ganesh 1,400
5 Goods sold to him 2,300
9 Paid to him 1,300
12 Returned goods to him 130
15 Ganesh bought goods from the firm 1,500
18 He returned goods 600
22 Received a bearer cheque from Ganesh 1,000
25 Goods returned to Ganesh 250
30 Ganesh sold goods to the firm 1,800
  16. What does GAAP stand for?  Explain the following accounting principles:

a)      Dual aspect concept

b)     Money measurement concept

c)      Cost concept

d)     Accrual concept

SECTION – C
III) Answer any THREE questions.  Each carries 15 marks.                                (3×15=45)                                                                                                
  17. From the following Trial Balance of a trader on 31st March 2014, prepare Trading and Profit and Loss account for the year ended 31/3/2014 and a Balance Sheet as on that date:

 

Particulars Debit

Rs.

Particulars Credit

Rs.

Cash in hand 1,200 Capital 60,000
Purchases 1,00,000 4% Bank loan 20,000
Opening stock 35,000 Bills payable 20,000
Sundry debtors 50,000 Sundry creditors 24,000
Plant & Machinery 60,000 Sales 2,00,000
Furniture 15,000 Bad debts reserve 1,200
Bills receivable 18,000 Rent outstanding 1,000
Rent and taxes 10,000    
Wages 16,000    
Wages prepaid 1,000    
Salaries 20,000    
  3,26,200   3,26,200

Additional Information:

  1. Create Reserve for doubtful debts at 5% on Sundry debtors
  2. Write off Rs.500 as bad debts
  3. Depreciate plant and machinery at 5% and on furniture at 10%
  4. Provide outstanding liabilities: Taxes Rs.2,000 and Salaries Rs.4,000
  5. Closing stock Rs.40,000
  6. Provide Interest  on 4% Bank Loan.

 

  18. Journalize the following transactions in the books of Mr. Kadur

 

2011  
April 01 Commenced business with cash Rs.50,000, Furniture worth Rs.10,000, Goods worth Rs.15,000 and borrowed money from his brother Patil Rs.30,000
3 Purchased goods from Rs.35,000 from Suhas
5 Returned goods to Suhas Rs.3,000
7 Gave charity to a poor student Rs.2,000
9 Theft of cash from office Rs.1,000
11 Purchased for cash goods worth Rs.12,000 at 5% cash discount
13 Gave an order to Rohit for purchase of goods worth Rs.20,000
15 Received goods worth Rs.20,000 as per the order placed with Rohit
17 Sold goods to Pathan Rs.5,000
19 Goods worth Rs.2,000 stolen
21 Paid Rs.3,000 to print Pamphlets about business
23 Bad debts written off Rs.2,000 from Ganesh
25 Recovery of written off bad debts from Pritvi Rs.1,000
  19. Enter the following in a three column cash book of a merchant and record the following transactions:

Balance the cash book on 31st January 2014

2014  
Jan. 01 Commenced business with Rs.10,000
Jan. 02 Paid into bank Rs.8,000
Jan. 07 Purchased goods by cheque Rs.3,000
Jan. 10 Paid rent Rs.150
Jan. 12 Purchased furniture by cheque Rs.180
Jan. 15 Cash sale Rs.650
Jan. 16 Give Gopal a cheque for Rs.970/- and he allowed discount Rs.25
Jan. 18 Received from Narayan a cheque for Rs.1,500 and he was allowed a discount of Rs.30
Jan. 20 Paid into bank Rs.1,500
Jan. 25 Paid wages Rs.60
Jan. 28 Drew for office use Rs.400
Jan. 30 Received from Gopal Rs.100
Jan. 31 Withdrew for personal use by cheque Rs.150
  20.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

a. Prepare the personal account of Srinivas from the following transactions:

 

2013   Rs.
Jan. 01 Debit balance to Srinivas’s A/c 1,000
Jan. 02 Sold goods on credit to Srinivas 5,400
Jan. 06 Received from Srinivas 6,300
Jan. 06 Allowed him discount 100
Jan. 10 Srinivas bought goods on credit 1,500
Jan. 15 Received cash from Srinivas 1,450
  Allowed him discount 50
Jan. 20 Purchased goods on credit from Srinivas 1,040
Jan. 25 Paid cash to Srinivas 500
Jan. 28 Returned goods to Srinivas 140
Jan. 31 Paid cash to Srinivas in full settlement of his account 390

 

b.  Mention the limitations of accounting.

  21. A book keeper, while preparing his trial balance finds that the debit exceeds the credit by Rs.7,250/-  He places the difference to a Suspense Account.  In the next year, the following mistakes were discovered:

(a)   A Sale of Rs.4,000 has been passed through the Purchases Day Book.  The entry in Customer’s Account has been correctly recorded.

(b)   Goods worth Rs.2,500 taken away by the Proprietor for his use has been debited to Repairs Account.

(c)    A Bill receivable for Rs.1,300 received from Krishna has been dishonoured on maturity, but no entry passed.

(d)  Salary Rs.650 paid to a Clerk has been debited to his personal account.

(e)   A purchase of Rs.750 from Raghuvir has been debited to his account.   Purchase account has been correctly debited.

(f)     A sum of Rs.2,250 written off as depreciation on furniture has not been debited to Depreciation Account.

Draft the journal entries for rectifying the above mistakes and prepare the Suspense Account.

 

 

SECTION – D

IV) Compulsory question.                                                                                         (1×15=15)                                                                                           
  22. Journalise the following transactions, post the entries in ledger and prepare the Trial Balance.

2013

Jan. 1     Ganesh started his business with Rs.20,000.

2     Borrowed Rs.5,000 from Mahesh.

3     Deposited into the Bank Rs.10,000.

4     Purchased Fixed Assets for Rs.5,000.

5     Bought goods for Rs.1,500.

6     Sold goods for Rs.9,000.

9     Received Rs.11,880 from Shyam after allowing him Cash Discount                                                                      Rs.120.

10    Paid Rs.19,800 to Ramesh after receiving Cash Discount Rs.200.

12    Withdrew Rs.1,000 for his personal use.

14    Cash deposited into Bank Rs.1,000.

 

 

St. Joseph’s College of Commerce B.B.A. 2016 II Sem Fundamentals Of Accounting Question Paper PDF Download

St. Joseph’s College of commerce (AUTONOMOUS)

REG NO:
END SEMESTER EXAMINATION – MARCH /APRIL 2016
B.B.A. – II SEMESTER
M1 15MC203 : fundamentals of accounting
Duration: 3 Hours                                                                                             Max. Marks: 100
SECTION – A
I) Answer ALL the questions.  Each carries 2 marks.                                        (10×2=20)
  1. “Accounting involves the process of recording, classifying and summarizing business transactions.”  Explain the above in light of accounting cycle.
  2. Explain how reliability of financial statements can be ensured for external users of the accounting information.
  3. “Assets are not recorded at their current market value”.  Explain the underlying concept and an exception to that principle.
  4. From the following, state the nature of accounts according to modern classification and state which account will be debited and which account will be credited:

i.                    Goods withdrawn by the proprietor.

ii.                 Rent outstanding.

  5. What is meant by Trial Balance?  What are the main objectives and limitations of a trial balance?
  6. Explain Capital and Revenue items of expense and income with an example for each.
  7. From the following find the cost of goods sold:

Particulars                                                            Rs.

Opening Stock                                               1,50,000

Purchases                                                        1,00,000

Freight Inwards                                                  5,000

Fuel and Power                                                  2,000

Carriage Outwards                                               500

Purchases Returns                                            10,000

Sales                                                                 2,50,000

Closing Stock                                                     50,000

  8. What are Fictitious Assets?  Give an example.
  9. Explain the significance of creating Provisions out of profits of a concern.  Give two examples for the same.
  10. Write a note on Statement of Profit and Loss Appropriation.
SECTION – B
II) Answer any FOUR questions.  Each carries 5 marks.                                      (4×5=20)
  11. Explain the errors disclosed by trial balance and errors not disclosed by it.
  12. Show the accounting equation for the following transactions.

i.                    George commenced business with Rs. 50,000

ii.                 Paid rent in advance Rs. 5,000

iii.               Purchased goods from Sohan Rs. 35,000

 

iv.               Sold goods to Hema for cash Rs. 40,000 (costing Rs. 30,000)

v.                  Commission received in advance Rs. 1,000

  13. From the following prepare Ram’s account in the books of Shyam and explain what the balancing amount represents:

i.                    Sold goods to Ram Rs. 1,00,000

ii.                 Ram returned goods worth Rs. 8,000

iii.               Received cash Rs. 20,000 from Ram and allowed him discount Rs. 1,000

iv.               Ram gave a cheque for Rs. 30,000 which was deposited into bank immediately

  14. Rectify the following errors detected before the preparation of the Trial Balance.

i.                    Sales book has been undercast by Rs. 1,000

ii.                 An item of Rs. 2,500 from purchases book has been credited to the personal account of Rajan as Rs. 5,200

iii.               Rs. 2,000 spent on installation of Machine was debited to Wages A/c

iv.               A sum of Rs. 500 received for interest has been posted to the debit of interest account.

  15. From the following information prepare the Trading A/c:

Opening Stock Rs. 1,50,000; Cash Sales Rs. 60,000; Credit Sales Rs. 12,00,000; Returns Outwards Rs. 10,000; Wages Rs. 4,000; Cartage Inwards Rs. 5,000; Freight Inwards Rs. 3,000; Salaries Rs. 10,000; Purchases Rs. 10,00,000; Returns Inwards Rs. 20,000; Closing Stock Rs. 84,000.

  16. Under what heads the following items would appear in the Balance Sheet of a Company as per the new Company’s Act of 2013:

i.                    Patents and Trade Marks

ii.                 Prepaid Interest

iii.               Securities Premium Reserve

iv.               Unclaimed Dividend

v.                  Sundry Debtors

vi.               Outstanding Rent

vii.             Provision for Tax

viii.          Bills Payable

SECTION – C
III) Answer any THREE questions.  Each carries 15 marks.                                (3×15=45)                                                                                                 
  17. Write short notes on the following:

i.                    Suspense A/c

ii.                 Profit and Loss A/c

iii.               Convention of Conservatism

iv.               Accrual Concept

v.                  Statement of Financial Position or Balance Sheet

  18. Journalise the following transactions in the books of Thora.

April,

2012

   

Rs.

1

2

3

4

6

7

9

11

12

13

15

 

18

22

25

30

Thora started his business with Cash

Purchased goods from Mr. Sun

Cash given as charity

Sold goods to Mr. Sky

Returned goods to Mr. Sun

Goods lost by fire

Purchased Furniture from Mr. Moon

Paid Mr. Sun in full settlement

Bad debts written off

Withdrew for personal use

Received cheque from Mr. Sky

Allowed him discount

Commission received in advance

Deposited into bank

Paid salary to Mr. Star, an employee

Charged depreciation on Furniture @ 10%

50,000

20,000

5,000

30,000

2,000

3,000

10,000

15,000

1,000

4,000

20,000

2,000

500

10,000

5,000

 

  19. A trial balance is prepared and the book keeper finds that it disagrees, there being an excess debit of Rs. 1,270.  the time in hand to trace the errors being short, he places the difference to the credit of a newly opened account called suspense account.

He subsequently discovers the following errors.  Pass rectigying journal entries with a view to close the suspense account.  Show also the suspense account.

i.                    The day book is totalled Rs. 50 short.

ii.                 Payment of trade expenses Rs. 275 entered on the payment side of the cash book is omitted to be posted.

iii.               Commission Rs. 125 paid, has been posted twice to commission account.

iv.               A sale to A.Gopal for Rs. 195 though correctly entered in the day book is debited to A Gopal Account as Rs. 465.

v.                  Good bought from L.LL For Rs. 500 though correctly entered in the invoice book is debited to L.Lal’s personal account instead of being credited to him.

vi.               Discount column on the receipts side of cash book, totaling Rs. 615 has been added up to show Rs. 715.

  20. Enter the following transactions in the Journal of M/s F & F Ltd., post them to Ledger Accounts and prepare the Trial Balance.

Jan.,

2014

1

 

 

 

 

 

 

3

10

14

19

 

23

25

27

 

 

Assets in hand:

Cash

Plant & Machinery

Dom & Co.

Liabilities:

Bank Loan

Brian & Co.

Purchased goods for cash

Carriage paid to M/s Letty

Paid to Brian & Co. in full settlement after a discount of

Proprietor drew goods from business for

personal use

Sold goods to Dom & Co.

Depreciation on Plant & Machinery

Paid rent to landlord Mr. Tej

Rs.

 

 

40,000

50,000

5,000

 

20,000

10,500

1,200

2,600

1,500

 

5,000

10,000

525

5,600

  21. From the following figures, prepare a Statement of Profit and Loss of Skyline Ltd. for the year ending 31.03.2013.

Discount allowed 3,500 Rent Paid 60,000
Discount received 4,200 Interest on loan 14,800
Stock as on 1.4.2012 1,45,000 Sales 45,80,000
Wages Paid 52,200 Purchases 27,85,800
Salaries 2,23,800 Carriage on purchases 20,300
Advertisement 12,500 Carriage on sales 12,000
Bad debts 3,850 Debtors 5,00,000
Audit Fees 12,000 Creditors 3,50,000
Return inwards 15,000 Return outwards 10,000
Sundry Expenses 13,880 Misc. Incomes 9,760

Additional Information:

a.      Stock on 31.03.2013 is Rs. 2,13,840 (Net Realizable value being Rs. 2,25,580).

b.      Provision for doubtful debts is to be maintained at 1% of Debtors.

c.       Provision for discount on creditors is required at 0.5%.

d.     Outstanding salary is Rs. 12,200.

e.      Rent is outstanding for 2 months.

f.        Wages prepaid is Rs. 2,200.

g.      Provide for tax at 40%.

h.      No. of Equity Shares of the Company since 1.4.2012 is 40,000.

SECTION – D
IV) Case Study – Compulsory question.                                                                (1×15=15)                                                                                          
  22. From the following Trial Balance and additional information of Ms. Ursala, a proprietor, prepare Trading, Profit & Loss A/c for the year ending 31st March, 2013 and the Balance Sheet as on that date:

Trial Balance as at 31st March, 2013

Sl.No. Particulars Debit (Rs.) Credit (Rs.)
1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

Closing Stock

Cost of Goods Sold/Sales

Rent

Office & Administration Expenses

General Expenses

Selling & Distribution Expenses

Income Tax Paid

Interest

Discount

Bad debts

Investments

Loan from Bank

Bills Receivables/Bills Payables

Debtors/Creditors

Provision for Doubtful Debts

Provision for Discount on Debtors

Drawings/Capital

Plant & Machinery

Land & Building

Furniture & Fixtures

40,000

5,60,000

11,000

13,200

6,000

36,075

1,000

3,750

2,000

3,000

50,000

___

10,000

2,10,000

___

___

12,775

50,000

60,000

30,000

10,98,800

___

6,20,000

6,500

___

___

___

___

4,500

1,000

___

___

50,000

5,600

90,800

10,000

2,400

3,08,000

___

___

___

10,98,800

Additional Information:

i.                    Rent has been paid for 11 months and has been received for 13 months.

ii.                 Write off further Rs. 6,000 as bad and maintain a provision of 10% for doubtful debts.

iii.               Maintain a provision for discount @ 2% on debtors.

iv.               A Machine costing Rs. 20,000 was purchased on 1st July 2012. Wages Rs. 1,000 for its installation has been debited to general expenses account.  Provide depreciation on Plant & Machinery @ 10% p.a.

v.                  Provide depreciation @ 10% on Furniture and @ 5% on Building.

 

 

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