Corporate Accounting Question Paper 2022 (June/July)
Dibrugarh University B.Com 2nd SEM
COMMERCE (Core)
Paper: C-203 (Corporate
Accounting)
Pass Marks: 32
Time: 3 hours
The figures in the margin indicate full marks for the questions
1. (a) Write True or False: 1x3=3
(1) Right Shares can be issued only to
existing shareholders.
(2) Capital Reserve is created out of Revenue
Profit as well as Capital Profit.
(3) For reduction of Share Capital of
company, confirmation from the court is not necessary.
(b) Fill in the blanks: 1x3=3
(1) Goodwill is the most unrealizable form of
assets as it can be disposed of only in the event of the being sold as a ___.
(2) Schedule 15 of Bank Profit & Loss
Account relates to _______.
(3) Post-acquisition profits are treated as
_______ profits.
(c) Choose the most appropriate answer: 1x2=2
(1) Consolidated Balance Sheet is prepared as
per
(a) Accounting Standard-14.
(b) Accounting Standard-21.
(c) Accounting Standard-6.
(2) Share Application is a
(a) Personal Account.
(b) Real Account.
(c) Nominal Account.
2. Write short notes on any four of the
following: 4x4=16
(a) Sinking Fund Method for redemption of
debentures.
(b) Internal Reconstruction.
(c) Valuation of Goodwill.
(d) Non-banking Assets.
(e) Consolidated Balance Sheet.
3. (a) Equity Liabilities and Assets of
Sunrise Ltd. as on 31st March, 2019 are given below:
|
|
Rs. |
|
I.
Equity and Liabilities: 1. Shareholders’ Fund: (a) Share Capital: 8,00,000 Equity Shares of Rs. 10 each. (b) Reserve and Surplus: (i) Securities Premium A/c (ii) General Reserve 2. Non-Current Liabilities: Secured Loan: 13% Debentures 3.
Current Liabilities |
80,00,000 8,00,000 72,00,000 40,00,000 40,00,000 |
|
|
2,40,00,000 |
|
II.
Assets: 1. Non-Current Assets: Fixed Assets 2. Current Assets: (a) Stock-in-Trade (b) Sundry Debtors (c) Bank Balance |
80,00,000 48,00,000 40,00,000 72,00,000 |
|
|
2,40,00,000 |
It was decided at the
meeting of shareholders –
(1) to buyback 20% of
equity shares @ Rs. 12 per share;
(2) to utilize general
reserve for buyback of shares;
(3) to utilize securities
premium reserve for premium payable on buyback of shares.
Pass necessary journal entries and draw up
the Balance Sheet after the above transactions have been given effect to. 7+7=14
Or
(b) (1) Write the difference between Right
Shares and Bonus Shares. 7+7
(2) State the provisions for redemption of
Preference Share provided under Section 55 of the Companies Act, 2013.
4. (a) Following is the Trial Balance of TD
Co. Ltd. as at 31st March, 2022:
|
Particulars |
Debit Rs. |
Credit Rs. |
|
Factory
premises at cost Plant
& Machinery at cost Motor,
Lorry at cost Debtors
Bad
Debts written off Rent,
Rates and Taxes Advertisement
Cash
and Bank Directors’
Fees Audit
Fes Stock
as on 31/03/2022 Rent
and Taxes paid in advance Salaries
and Wages Patent
Dividend
paid: On Preference Shares On Equity Shares (interim) Share
Capital: 30,000, 7% Preference Shares of Rs. 10 each 60,000 Equity Shares of Rs. 10 each Surplus
A/c Gross
Profit for the year Provisions
for Doubtful Debts Sundry
Creditors Transfer
Fees Accrued
Wages Staff
Benevolent Fund |
4,50,000 3,49,160 73,000 1,21,780 2,850 28,400 19,500 68,500 3,600 10,000 1,14,600 7,980 32,000 15,000 21,000 15,000 |
3,00,000 6,00,000 16,240 2,46,640 9,000 1,29,640 110 12,840 17,900 |
|
|
13,32,370 |
13,32,370 |
The Provision for Doubtful Debts is to be
made up to Rs. 10,200. The Factory Premises, Plant & Machinery and Motor
Lorries are to be depreciated by 3%, 15% and 20% respectively. The Authorised
Capital of the company is Rs. 10,00,000 dividend into shares of Rs. 10 each. You are required to prepare –
(1) Statement of Profit and Loss for the year
ended 31st March, 2022;
(2) a Balance Sheet as at 31st
March, 2022 in the prescribed under the Companies Act, 2013. Previous Years’
figures are not required and also ignore taxation. You need not provide
corporate dividend tax. 7+7=14
Or
(b) (1) Discuss the classification of bank
advances and also write the provisions to be made for various types of
advances. 5+5=10
(2) Write a note on Rebate on Bill
discounted. 4
5. (a) Purabi Ltd. proposed to purchases the
business carried on by Sunny Ltd. Goodwill for this purpose is agreed to be
valued at three years’ purchase of the simple average profits of the past four
years. The profits for these years are:
|
Year |
Profit (Rs. ) |
|
2018 2019 2020 2021 |
2,52,000 1,76,000 2,85,000 1,39,000 |
On a scrutiny of the accounts the following
matters are revealed:
(1) On 1st July, 2020 a major
repair was made in respect of plant incurring Rs. 50,000 which amount was
charged to revenue. The said sum is agreed to be capitalized for goodwill
calculation subject to adjustment of depreciation @ 10% p.a. on reducing
balance method.
(2) Closing Stock at 2019 was overvalued by
Rs. 20,000.
(3) To cover management cost an annual charge
of Rs. 30,000 should be made for the purpose of goodwill valuation.
Compute the value of goodwill. 8
Or
(b) Explain the various methods of valuation
of shares. 8
6. (a) Following are the Balance Sheets of Reny
Ltd. and Moni Ltd. as at 31st March, 2022:
|
|
Reny Ltd. Rs. (‘000) |
Moni Ltd. Rs. (‘000) |
|
I.
Equity and Liabilities 1. Shareholders’ Funds: (a) Share Capital: (i) Equity Share Capital (Rs. 10 each) (ii) 12% Preference Share Capital (Rs. 10 each) (b) Reserves and Surplus: (i) General Reserve (ii) Statutory Reserve (iii) Surplus 2. Non Current Liabilities 14% Debentures 3. Current Liabilities |
24,000 - 13,800 1,200 1,700 - 4,300 |
9,000 3,000 2,900 400 1,080 750 2,970 |
|
|
45,000 |
20,100 |
|
II.
Assets: 1. Non-Current Assets Fixed Assets 2. Current Assets |
33,000 12,000 |
14,200 5,900 |
|
|
45,000 |
20,100 |
On 1st April, 2022, Reny Ltd.
takes over Moni Ltd. on the following terms:
(1) Reny Ltd. will issue 10,50,000 Equity
Shares of Rs. 10 each at par to the Equity Shareholders of Moni Ltd.
(2) Reny Ltd. will issue 33,000, 12%
Preference Shares of Rs. 100 each at par to the Preference Shareholders of Moni
Ltd.
(3) Debentures of Moni Ltd. will be converted
into equal number of 15% Debentures of the same denomination.
You are informed that statutory reserves of
Moni Ltd. are to be maintained for three years.
You are required to give necessary Journal
Entries in the books of Reny Ltd. and show the Balance Sheet of Reny Ltd.
assuming that amalgamation in the nature of merger. 5+6=11
Corporate Accounting Question Papers and Solutions (Dibrugarh University)
Past Exam Question Papers | Solved Question Papers |
2015 (New Course) / 2015 (Old Course) 2016 (New Course) / 2016 (Old Course) 2017 (New Course) / 2017 (Old Course) 2018 (New Course)/2018 (Old Course) 2019 |
Or
(b) (1) Explain the various provisions of
capital reduction as given in the Companies Act, 2013. 6
(2) Distinguish between Amalgamation in the
nature of Merger and Amalgamation in the nature of purchase. 5
7. (a) From the Ledger Balances at 31st
March, 2022, and information given below, you are required to prepare
Consolidated Balance Sheet: 9
|
Cr.
Balances |
H Ltd. (Rs. ) |
S Ltd. (Rs. ) |
Dr.
Balances |
H Ltd. (Rs. ) |
S Ltd. (Rs.) |
|
Share
Capital: Rs. 10 fully paid shares Surplus
Reserve
Creditors
|
10,00,000 4,00,000 1,00,000 3,00,000 |
2,00,000 1,40,000 1,00,000 1,60,000 |
Sundry
Assets Stock
Debtors
Investments:
14,000
Shares in S Ltd. Discount
on issue of shares |
9,00,000 6,20,000 1,20,000 1,60,000 - |
2,20,000 2,40,000 1,30,000 - 10,000 |
|
|
18,00,000 |
6,00,000 |
|
18,00,000 |
6,00,000 |
H Ltd. purchased shares from S Ltd. on 1st
October, 2021. On 1st April, 2021, Surplus A/c of S Ltd. stood Rs.
40,000 as Credit Balance and Reserve A/c was Rs. 60,000. Sundry Assets of S
Ltd. was overvalued by Rs. 10,000.
Or
(b) Write the advantages and disadvantages of
Holding Company. 9
Post a Comment
Kindly give your valuable feedback to improve this website.