Financial Accounting Question Paper Nov' 2013
Dibrugarh University B.com 1st Sem
2013 (November)
Commerce (General/Speciality)
Course: 103
Full Marks: 80
Pass Marks: 32
1. (a) Write True or False: 1x3=3
(i) Loss of stock by fire
is shown on the credit side of Profit and Loss account.
(ii) Hire-purchase
transactions are governed by the Hire Purchase Act, 1972.
(iii) When firms are
amalgamated, Realisation accounts are prepared to close the books of such
firms.
(b) Fill in the blanks: 1x3
(i) Royalty paid on sales
debited to __________ Account.
(ii) A branch is simply a
___________ of a business enterprise.
(iii) When a partner is not
able to meet his liabilities, he is said to be ____________.
(c) Choose the correct answer: 1+1=2
(i) Accounting standard
deals with depreciation is (5/6/7).
(ii) Under the stock and
debtors system, Branch Stock Account is a (Personal Account/ Real Account/
Nominal Account).
2. Write brief short notes on (any four) 4x4=16
(a) Features of Accounting
Principles
(b) Goods in Transit
(c) Termination of
Hire-Purchase agreement
(d) Capital Expenditure
(e) Treatment of goodwill
on dissolution of a partnership firm.
3.(a) Following is the trial balance of Jaipal
and Rampal as on 31st March, 2013:
Debit
|
Amount
|
Credit
|
Amount
|
Stock on 1.4.2012
Bills receivable
Purchases
Return Inward
Plant and Machinery
Furniture
Sundry Debtors
Cash at Bank
Salaries
Wages
Rent and Taxes
Insurance
Printing & Stationery
General Expenses
Power and Fuel
Drawings:
Jaipal
Rampal
|
200000
25000
275000
5000
100000
50000
120000
76000
12000
19000
11500
3000
2000
6500
4500
20000
15000
|
Capital Accounts:
Jaipal
Rampal
Sales
Bills Payable
Return Outwards
Sundry Creditors
|
180000
150000
400000
20000
4500
190000
|
944500
|
944500
|
From the following additional information, you
are required to prepare Trading and Profit & Loss Accounts and also Balance
sheet of Jaipal and Rampal for the year ended on 31st March, 2013: 3+4+5=12
(i)
Stock as on 31.03.2013
(ii)
A credit sale of Rs. 4000
has not been recorded in the books
(iii)
Uninsured stock worth Rs.
6000 has been destroyed by fire.
Or
(b) What do you mean by “Accounting Standards”?
Mention the procedure for issuing Accounting standards. Distinguish between
Accounting Standard and Accounting Principles. 2+5+5=12
4. (a) What is “Hire-Purchase System? Mention
its important features. Distinguish between hire-purchase system of sales and
ordinary credit sales. 2+4+5=11
Or
(b) Delta Company purchases a motor car from Meghna
motor company on the instalment system on 1.4.2010. the terms of payment were
Rs. 120000 payable immediately on delivery and the balance by three annual
instalments of Rs.120000 each on 31st March every year. The cash
price of the motor car was Rs.450000.
The vendor charges interest @5% p.a. on the yearly balances. Depreciation @10%
p.a. was written off on the written down value system.
From the above particulars, prepare the
following ledgers in the books of delta company for the period: 4+4+3=11
(i)
Motor Car Account
(ii)
Meghna motor Company’s
Account
(iii)
Interest Suspense Account
5.(a) Duliajan head office sent out goods to its
digboi branch at cost plus 25%. The branch remits all cash received to the head
office and all expenses of the branch are met by the head office. From the
particulars, prepare the following in head office books:
(i) Digboi Branch Account
(ii) Goods sent to Branch
Account
Show Branch Debtors Account as a part of working
note. 6+3+2=11
Stock at Branch on 1.4.2012
(invoice price) Rs.1800
Stock at Brach on 31.3.2013
(invoice price) Rs.2000
Goods sent to Branch during
the year (Invoice Price) Rs.137500
Goods returned by the
Branch (Invoice Price) Rs.
7500
Cash Sales Rs.
30000
Credit Sales Rs.99875
Goods returned by customer Rs. 4000
Discount and allowance to
customers Rs.6000
Bad debts Rs.
500
Cash Received from
customers Rs.104500
Cash sent to Branch:
For Salaries 10000
For Rent 2400
For Sundry Expenses 2500 Rs. 14900
Branch Debtors as on
1.4.2012
Or
(b) What is a “Branch”? What are the main
objectives of maintaining Brach Accounts? How are inter-branch transactions
recorded in a branch account? 2+5+4=11
6. (a) (i) What is “Minimum Rent” in Royalty
Account? Why is it important in Royalty Account? 3+3=6
(ii) What do you mean by “Recoupment of
Shortworkings”? What conditions are to be satisfied for recoupment of
shortworkings? 2+3=5
Or
(b) Sri Mohini Baruah took a colliery from Sri
Kitip Singh on lease for a period of 20 years from 1st April, 2008,
on a royalty of Rs.16 per ton of coal raised with a dead rent of Rs.80000 p.a.
and power to recoup shortworkings in the first four years of the lease.
The annual coal raised were as follows:
Year
|
Output (in tons)
|
2008-09
2009-10
2010-11
2011-12
2012-13
|
3000
3500
5000
8000
10000
|
From the above particulars, prepare: (i)
Royalties Account (ii) Kitip Singh’s Account and (iii) Shortworkings Account in
the books of Sri Mohini Baruah. 4+4+3=11
7.(a). What do you mean by “amalgamation of
firms”? What are the main objectives of amalgamation? What journal entries are
required to pass for the closing the books of an amalgamating firm? 2+4+5=11
Or
(b) The following is the Balance sheet of a
partnership firm of Shiv, Shankar and Sambhu as on 31st March, 2013:
Liabilities
|
Amount
|
Assets
|
Amount
|
Capital:
Shiv
Shankar
Sambhu
Sundry Creditors
|
25000
20000
15000
10000
|
Land and Building
Investments
Sundry Creditors
Cash at Bank
|
40000
10000
5000
15000
|
70000
|
70000
|
The Firm was dissolved on 31st march,
2013 subject to the following conditions:
(i)
The creditors were paid off
at a discount of 5%
(ii)
Shiv agreed to take over
the land and building at Rs.45000
(iii)
Shankar agreed to take over
the investments at 2500
(iv) Sambhu took over the debtors account at Rs.3000
Prepare (i) Realization account, (ii) Partners
Capital Account, and (iii) Bank Account showing the effect of dissolution. 4+4+3=11.