Bhavnagar University 2008 M.Com Insurance Management ADVANCED ACCOUNTING - Question Paper

Liabilities Rs. Assets Rs.
Sundry creditors 40,000 Cash in hand 20,000
A's Capital a/c 72,000 Other assets 80,000
B's Capital a/c 48,000 C's Capital a/c 8,000
D's Capital a/c 12,000
Profit and loss a/c 40,000
1,60,000 1,60,000
The other assets realized Rs. 70,000. C became insolvent and nothing could be collected from his estate. Close the books of the firm.

7. Prepare Profit and Loss account from the subsequent info :
Rs.
(a) Gross Profit transferred 2,70,000
(b) Discount received 5,000
(c) Discount paid 3,000
(d) Salaries paid 15,000
(e) Rent paid 5,000
(f) Postage and Telegram 2,000
(g) Office expenses 1,000
(h) Depreciation on plant 1,500
(i) Depreciation on office furniture 1,000
(j) Bad debts 200
(k) Stationery 1,500
(l) Repair 1,000
(m) General expenses 500
RÌPsh £µ[Pμ¸¢x »õ£ {mhU PnUøP u¯õº ö\´P.
¹.

8. Mr. Raman occupies a room in a hotel at Mumbai at 10 a.m. on sixth June 2004 at Rs. 500 for a stay of 24 hours or a part thereof. compute the amount payable by Mr. Raman in every of the subsequent circumstances assuming that a service charge at 12% is also payable.
(a) If Mr. Raman checks out seven p.m. on sixth June 2004 itself.
(b) If Mr. Raman checks out eight a.m. on seventh June 2004
(c) If Mr. Raman checks out three p.m. on seventh June 2004 and
(d) If Mr. Raman checks out nine a.m. on eighth June 2004.

PART B — (4 × 15 = 60 marks)
ans any 4 ques..
9. X Co. Ltd. agreed to acquire the assets excluding cash as on 31st December, 2005 of Y Co. Ltd. The balance sheet of Y Co. Ltd. as on that date was as provided :
Balance sheet
Liabilities Rs. Assets Rs.
Equity capital Goodwill 60,000
(Shares of Rs. 10 each) 3,00,000 Land and buildings 1,20,000
General Reserve 80,000 Plant and Machinery 2,00,000
Debentures 50,000 Stock 80,000
Creditors 10,000 Debtors 30,000
Profit and loss account 60,000 Cash 10,000
5,00,000 5,00,000
The consideration was as follows :
(a) A cash payment of Rs. four for every share of Y Ltd.
(b) The problem of 1 share of Rs. 10 every (Market value Rs. 12.50) in the X Co. Ltd. for every share in Y Ltd.
(c) The problem of 1,100 debentures of Rs. 50 every in X Co. Ltd. to enable Y Ltd. discharge its debentures at a premium of 10%.
(d) The expenses of liquidation of Y Ltd. amounting to Rs. 4,000 was to be met by themselves. provide the journal entries in the books of both the companies.

Earning:   Approval pending.