Bangalore University 2006 B.B.M Fundamentals of Accounting - Question Paper

f) Depreciate machinery at 5% and Furniture at 10%
g) Reserve for discount on creditors at 15%.

11. Mr. Ramlal keeps his books under single entry system.

Particulars 1-1-2005 31-12-2005
Rs. Rs.

Bank overdraft 10,000 12,000
Furniture 20,000 20,000
Land and Building 70,000 70,000
Investments --- 10,000
Sundry Debtors 20,000 30,000
Sundry Creditors 30,000 40,000
Stock 45,000 50,000
Motor Car (1-7-2005) --- 20,000
Cash 10,000 20,000
Plant & machinery 40,000 40,000

During the year he withdraw Rs. 10,000 for personal use. On 1-7-2005 he introduce further capital os Rs. 20,000 by selling his private house.

Adjustments :
a) Appreciate Land and Building by 20%

b) Debtors include Rs. 1,000 from a customer who is insolvent and is irrecoverable.

c) Maintain RDD at 5% on Debtors.

d) Depreciate Plant and Machinery at 10%, Furniture at 5%, and Motor car at 10%.

Prepare a statement showing profit or loss for the year 2005 and a revised statement of affairs as on that date.

12. Draw the 2 column cash book and record the subsequent transactions. Also prepare the Bank account.

2006

Jan first Commened business with cash Rs. 20,000
second Opened a current account and deposited Rs. 16,000
fifth Received cheque for Rs. 15,000 for goods sold.
eighth Issued cheque for Furniture purchased.
ninth Purchased goods for Rs. 3,000 and paid by cheque.
tenth Received a cheque for Rs. 4,900 in settlement of Rs. 5,000 for Ram
twelfth Paid into bank Rs. 5,000
15th Paid Rajan Rs. 2,250 in settlement of Rs. 500
18th Drew cheque for personal use Rs. 500
20th Paid wages in cash Rs. 600
22nd Drew for office use Rs. 2,500
25th Paid salary by cheque Rs. 1,500
30th Paid in excess of Rs. 1,000 to bank.

13. Enter the subsequent transactions in the subsidiary books of Soundarya Saree Shop.

2006

August first Purchased from Pathi Silk Kendra, 100 Silk Sarees at Rs. 250 every.
fifth Purchased from NSR and company, 200 Kanchi Silk Sarees at Rs. 1,000 every
seventh Sold to Kumar on account, 50 printed sarees at Rs. 300 each, 100 Kanchi Sarees at Rs. 1,000 every
eighth Claimed for damages from Pathi Silk Kendra Rs. 500.
ninth Returned damaged goods to NSR and Co., five kanchi Sarees
twelfth Purchased from Sudharshan Silks 150 Mysore Silk at Rs. 250 each, 100 Handloom sarees at Rs. 750 each, less trade discount at 10%.
15th Sold to Kala on account 20 printed sarees at Rs. 300 each, 25 Kanchi Sarees at Rs. 1,300 each, 20 Mysore Silk Saree at Rs. 300 each, less trade discount at 5%.
20th Sold to Kusum Sarees, 40 Handloom Sarees at Rs. 1,000 every
21st Kumar returned, 10 Printed Sarees and 20 Kanchi Sarees.
25th Returned to Sudharshan's Silk, 25 Mysore Silk
27th Returned from Kusum Sarees, 10 Handloom Sarees
30th Purchased from Nandi Silk, 400 Nandii brand sarees at Rs, 500 every.

14. Journalise the subsequent transaction and open only personal accounts on the ledger.

2006

July first Govind started his business with the subsequent :
Cash Rs. 2,000
Goods Rs. 1,000
Furniture Rs. 500

fifth Sold goods to Raghavan Rs. 500
Sold goods for cash Rs. 300

ninth Received from Raghavan on account Rs. 300

twelfth Purchased goods from Mukundan Rs. 900

15th Paid Mukundan Rs. 500

20th Paid interest to Mukundan Rs. 10

31st Paid stationery charges Rs. 6
Paid salaries Rs. 25
Paid rent Rs. 16.

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Earning:   Approval pending.