TyBcom.com Logo  
 Home >> University Papers >> Old Papers
Navigation
 
Sponsors

 
Search
Google

Web TyBcom.com
  Old Papers
 
Management Accounting
Time: 3 hours
April -1998
Marks: 100
 
Q.1.

The Balance Sheets of Parasman Ltd. are given below:
 

20

 
Liabilities
31.12.96
Rs.
31.12.97
Rs.
Assets
31.12.96
Rs.
31.12.97
Rs.
Share Capital
3,00,000 
4,00,000  
Fixed Assets
5,70,000  
  6,60,000 
Capital Reserve
-     
10,000   
Trade Investment
1,00,000  
    80,000 
General Reserve
1,70,000  
2,00,000  
Current Assets
2,80,000  
  3,30,000  
Profit & Loss A/c.
60,000   
75,000   
Preliminary Expenses
20,000  
    10,000  
Debentures (of Rs. 100/-)
2,00,000  
1,40,000  
     
Current liabilities
1,20,000  
1,30,000  
     
Provision for tax
90,000   
85,000   
     
Proposed dividend
30,000   
36,000   
     
Unpaid Dividend
-    
4,000   
     
Total
9,70,000    
10,80,000         
Total    
9,70,000     10,80,000    
 
   
 

For 1997, the following additional information is given:

  i) Sold one machine for Rs. 25,000, the cost of which was Rs. 50,000 and the depreciation provided on it was Rs. 21,000.
  ii) The provision for depreciation (accumulated) was Rs. 2,90,000 on 31.12.97 which was Rs. 60,000 more than that on 31.12.96.
  iii) Some Debentures were redeemed @ Rs. 103.
  iv) Fixed Assets Costing Rs. 14,000 which were fully depreciated were written off.
  v) Some Trade Investments were sold at some profit which was adjusted in Capital Reserve.
  vi) Decided to value stock at cost on 31.12.97 whereas previously it was valued at cost less 10% on 31.12.96 which was Rs. 54,000.
 

You are required to prepare statement of sources and application of funds during 1997. Showing the detailed changes in working capital and provision for taxation account, proposed dividend account.

   
Q.2.

The summarised balance sheet of two companies areas follows:

 

Balance Sheet as on 31st March, 1998
 

 

Liabilities

Top Ltd.

Rs.

Ten Ltd.

Rs.

Assets

Top Ltd.

Rs.

Ten Ltd.

Rs.

Equity Share Capital

1,20,000

3,50,000

Fixed Assets

2,45,000

4,10,000

10% Preference Share Capital

1,00,000

50,000

Current Assets

2,90,500

3,32,800

Reserves

1,40,000

56,000

Preliminary Expenses

10,000

6,000

15% Debentures

50,000

50,000

     

Current Liabilities

1,35,500

2,42,800

     

Total

5,45,500

7,48,800

Total

5,45,500

7,48,800

 
   
 

Revenue statements for the year 31st March, 1998

 
 

Top Ltd.

Rs.

Ten Ltd.

Rs

Sales

10,00,000

12,00,000

Less: Cost of Sales

6,00,000

8,00,000

 

4,00,000

4,00,000

Less: Operating Expenses (including interest)

1,40,000

2,05,000

Less: Non-Cash Operating Expenses (Depreciation)

10,000

20,000

 

2,50,000

1,75,000

Less: Taxes

1,00,000

70,000

Less: Dividend 70,000

75,000

75,000

Retained earnings

80,000

30,000

 

Prepare:

  i) Common six Balance Sheets (in Vertical Form)

6

  ii) Common size income Statements (in Vertical Form)

4

  iii) Comments in brief

4

  iv) Working Capital Fund generated before Tax from Operations of both the campanies.

2

   
Q.3.

Following are the Comparative Balance Sheets of Company of two different dates:

 

Balance Sheet

 

Liabilities

1995
Rs.

1996
Rs.

Assets

1995
Rs.

1996
Rs.

Share Capital

30,000   

40,000    

Plant Machinery

40,000    

45,000     

Share Premium

-     

1,000    

Less: Dep.

14,000    

15,000     

P & L A/c.

10,000    

10,000    

Net

26,000    

30,000     

Profit for the year

-    

20,000    

Property

20,000    

25,000     

Debentures

15,000    

10,000    

Shares in Subsidiary Co.

2,000    

2,000     

Profit on Redemption on Debentures

-     

200     

Loan to Subsidiary Co.

-     

1,500     

Creditors

14,000    

11,000    

Stock

14,000    

15,000    

Provision for Taxation

5,000    

10,000    

Debtors

10,000    

15,000    

Proposed Dividend

1,500    

2,000    

Bank Balance

3,500    

15,700    

Total

75,500     

1,04,200    

Total

75,500     

1,04,200   

 

Additional Information:

  i) Plant costing Rs. 5,000, accumulated depreciation thereon being Rs. 3,000 was sold for Rs. 1,000. The loss on sale has been charged to P and L A/c.
  ii) Taxation paid for the year amounts to Rs. 6,000.
  iii) An Interim dividend of Rs. 1,000 has been paid during the year 1996. Your are required to prepare a Cash Flow Statement from the above information. Also ascertain cash from operations.
   
Q.4.

Following is the Profit and Loss Account of Well-balanced Limited for the year ended 31st March, 1996. You are required to prepare Vertical Income statement for purpose of analysis.

 
 

Rs.

 

Rs.

Rs.

To Opening Stock

7,00,000

By Sales

   

To Purchases

9,00,000

Cash

5,20,000

 

To Wages

1,50,000

Credit

15,00,000

 

To factory Exp.

3,50,000

 

20,20,000

 

To Office salaries

25,000

Less: Returns & Allowance

20,000

20,00,000

To Office Rent

39,000

By Closing Stock

 

6,00,000

To Postage & Telegram

5,000

By Dividend on Investment

 

10,000

To Directors Fees

6,000

By Profit on sale of Furniture

 

20,000

To Salesman Salaries

12,000

     

To Advertising

18,000

     

To Delivery Expenses

20,000

     

To Debenture Interest

20,000

     

To Depreciation

       

On Office Furniture

10,000

     

On Plant

30,000

     

On Delivery Van

20,000

     

To Loss on Sale of Van

5,000

     

To Income Tax

1,75,000

     

To NP

1,45,000

     

Total

26,30,000

Total

 

26,30,000

Q.5.

Following are the trading Account, Profit and Loss account of Sarmer Ltd. for the year ending 31st December, 1996 and Balance Sheet on that date:

16

 
P and L Account
 

Rs.

 

Rs.

To Opening Stock

1,45,000   

By Sales

7,50,000    

To Purchases

6,10,000    

By Closing Stock

1,55,000    

To G.P. C/d

1,50,000    

   
 

9,05,000     

 

9,05,000    

To Sundry Exp.

80,000    

By G.P.B/d

1,50,000   

To N.P.

70,000    

   
 

1,50,000    

 

1,50,000    

 
Balance Sheet
 

Rs.

 

Rs.

Share Capital

7,00,000   

Net Block

5,50,000    

Reserves & Surplus      50,000   Stock
 2,55,000    
Add: Profit for the year 70,000

 

1,20,000   

Debtors
1,80,000     

Bank Overdraft

35,000    

Cash

20,000    

Creditors

1,50,000    

   
 

10,05,000    

 

10,05,000    

 
 

You are required to calculate the following ratios and give your comments - Current Ratio, Quick Ratio, Gross Profit to Sales, Stock Turn-over, Debtor's Turn over Ratio, NP to paid-up capital.

   
Q.6.

On the basis of the following balances as at 31st December, 1995 extracted from the books of Alpha Ltd. You are required to

  a) From the following Trends Statements for the year 31st December, 1995, 1996 and 1997 ascertain the missing balances.
  b) Give your interpretation on the same.
 
Base Year
 
 
Particulars

Balance as on 31.12.95

Trend as on 31.12.95

Balance as on 31.12.96

Trend as on 31.12.96

Balance as on 31.12.97

Trend as on 31.12.97

 
Rs.
%
Rs.
%
Rs.
%
Fixed Assets
1,60,000 
100
?
150
?
200
Less: Depreciation Provision
60,000  
100
?
150
?
250
Net Fixed Assets
1,00,000  
100
?
150
?
170
Current Assets:            
Stock
3,00,000  
100
?
120
?
140
Debtors
4,50,000  
100
?
120
?
160
Bank balance
1,00,000  
100
?
80
?
110
Short term Advances
?     
?
?
?
?
?
Total Current Assets
10,00,000    
100
?
120
?
144
Less: Current Liabilities
3,00,000  
100
?
110
?
130
Working Capital
  ?     
?
?
?
?
?
Capital Employed
?     
?
?
?
?
?
Debentures
4,00,000  
100
?
75
?
50
Net Worth
?     
?
?
?
?
?
 
   
Q.7.

Following figures have been extracted from the books of Voodoo Ltd.:

 
Particulars

Balance as on 31.12.95

Trend as on 31.12.95

Balance as on 31.12.96

Trend as on 31.12.96

Balance as on 31.12.97

Trend as on 31.12.97

 
Rs.
%
Rs.
%
Rs.
%
Fixed Assets
1,60,000 
100
?
150
?
200
Less: Depreciation Provision
60,000  
100
?
150
?
250
Net Fixed Assets
1,00,000  
100
?
150
?
170
Current Assets:            
Stock
3,00,000  
100
?
120
?
140
Debtors
4,50,000  
100
?
120
?
160
Bank balance
1,00,000  
100
?
80
?
110
Short term Advances
?     
?
?
?
?
?
Total Current Assets
10,00,000    
100
?
120
?
144
Less: Current Liabilities
3,00,000  
100
?
110
?
130
Working Capital
  ?     
?
?
?
?
?
Capital Employed
?     
?
?
?
?
?
Debentures
4,00,000  
100
?
75
?
50
Net Worth
?     
?
?
?
?
?
 

You are required to

  a) Rearrange above figures in the vertical form and

10

  b) Calculate -

6

  i) Debt - equity ratio  ii) Proprietory ratio  iii)   Capital gearing ratio
   
Q.8.

From the following data, prepare a statement showing working requirements for the year, 1998:

16

 
 

Rs.

Land and Building

6,00,000       

Plant and Machinery

5,00,000        

Equity Capital

5,00,000        

Preference Capital

2,00,000        

Stock

2,40,000        

Debtors

2,00,000        

Cash and Bank

55,000        

Misc. Current Assets

5,000        

P & L Account

2,00,000        

General Reserve

1,00,000        

Sundry Creditors

80,000        

Bills Payable

60,000        

Misc. Current Liabilities

60,000        

Debentures

4,00,000        

 
  a) Estimated activity/operations for the year 1,30,000 units [52 weeks]
  b) Stock of raw material 2 weeks and material in process for 2 weeks, 50% of wages and overheads are incurred.
  c) Finished goods 2 weeks storage
  d) Creditors 2 weeks
  e) Debtors 4 weeks
  f) Outstanding wages and Overheads 2 weeks each
  g) Selling price per unit at Rs. 15.
  h) Analysis of cost per unit is as follows:
       i) Raw material 33 1/3 % of sales
       ii) Labour and Overheads in the ratio of 6:4 per unit
       iii) Profit is at Rs. 5 per unit
 

Assume that operations are evenly spread through the year.

   
Q.9.

Write short notes (any four):

  a) Quick Assets
  b) Contingent liabilities
  c) Selection of Accounting Software
  d) Working Capital Cycle
  e) 'Miscellaneous expenditure' (to the extent not written off)

View Latest Papers - 2002 to 2005 Papers    - 1997 to 1999 Papers


Top
Concept & Design : Web1 
- Home - Notes N' Tips - University Papers - Notice Board - Discussion Forums - Career Options - Express It - Contact Us -
Copyright 2017 TyBcom.com. All Rights Reserved.