Sikkim-Manipal University of Health Medical and Technological Sciences (SMUHMTS) 2007 M.B.A Finance FA - Financial Accounting and Management - Question Paper

b. Nominal accounts are fictitious accounts.

3. The subsequent journal entries are passed by Mr. Bramess book-keeper. As an expert book-keeper, you are needed to pass accurate entries wherever you think
them to be wrong.
a. Purchased goods for cash from Dube.
Purchase A/c
To Dube’s A/c

4. Fill up the blanks with suitable words selecting from the brackets:
a. Rent paid to Landlord is debited to ___________ Account. (Landlord, Rent, Cash)
b. The amount withdraw by a trader for his personal use is debited to ________ Account. (Personal, Capital, Drawings)
c. The amount invested in business by the proprietor is credited to ________ Account (Capital, Cash)
d. Cash purchase of goods from Smita should be debited to _______ Account (Sumita’s, Goods, Cash)
e. A credit sale of goods to Diana should be credited to ________ Account (Goods, Diana’s Sales)
f. Drawings Account is a ________ Account (Real, Personal)
g. Loan Account is a _________ Account (Nominal, Personal)

5. State whether the subsequent classification is accurate or not. provide the accurate classifications, if necessary:
a. Machinery Account Nominal Account
b. Conveyance Account Real Account
c. Bank Account Real Account
d. Goods Account Nominal Account
e. Building Account Real Account
f. Capital Account Personal Account
g. Drawings Account Real Account
h. Loan Account Real Account
i. Alpha Stores Account Nominal Account

6. Say yes or no, stating your reasons:
a. State Bank of India is a Nominal Account.
b. Machinery is a Real Account
c. Life insurance Corporation is a Personal Account.
d. Proprietor’s Capital Account is a Personal Account
e. Loan Account is a Real Account
f. Postage and Telegram Account is a Nominal Account
g. Interest on Investment Account is a Nominal Account
h. Carriage on Goods Account is a Real Account
i. The giver of a benefit must be debited.
j. Nominal Accounts fall in the category of impersonal accounts.
k. Every debit has an equal and corresponding credit.










Financial Accounting
1. A cost sheet indicates the total cost of _______ only.
a. Purchase b. Production
c. Sales d. All of above

2. PRIME Cost + Factory overhead =?
a. Factory Cost b. Production Cost
c. Selling & Distribution d. Total Cost

3. A Cost Sheet with sales & profit data are called _________ .
a. Expert Cost Sheet b. Extended Cost Sheet

Earning:   Approval pending.