Bangalore University 2007 B.Com Management Accounting - Question Paper

VI Semester B.Com. Examination, May/June 2007
(Semester Scheme)
COMMERCE (Paper - 6.3)
Management Accounting

Time : three Hours Max. Marks : 90

Instruction : ans should be fully either in English or in Kannada.

part - A

1. ans any ten ques.. every ques. carries two marks. (10x2=20)

a) State any 4 functions of Management Accountant.
b) What do you mean by “Dept Equity Ratio” ?
c) Closing stock os a company is Rs. 2,00,000. Total liquid assets are Rs. 10,00,000. Liquid Ratio is 2:1. obtain our working capital.
d) Cost of goods sold is Rs. 2,40,000. Stock turnover ratio is six times.
Opening stock is Rs. 6,000 more than closing stock. compute opening stock.
e) What is common size of statement ?
f) Define “Fund Flow Statement”.
g) Given : Current Ration is 3.75, working capital is Rs. 3,57,500. compute the amount of Current Assets and Current Liabilities.
h) Mention 2 objectives of management reporting.
i) What is funds from operation ?
j) State the significance of Acid Test Ratio.
k) Write a note on “Trend Analysis”.
l) State any 2 uses of cash flow statement.

part - B

ans any 5 ques.. every ques. carries five marks. (5x5=25)

2. From the subsequent Profit and Loss Accounts of X Co. Ltd. for the year ended 31-3-2005 and 31-3-2006. Prepare a Comparitive Income Statement and provide your comments.

Rs. In lakhs
Particulars 31-3-2005 31-3-2006 Particulars 31-3-2005 31-3-2006

To cost of goods sold 1,200 1,500 By Net sales 1,600 2,000
To Operating expenses
Administration 40 40
Selling Exp. 60 80
To net profit 300 380

1600 2000 1600 2000

3. Analyse the managerial uses of Fund Flow Analysis.

4. discuss the role of Ratio Analysis in Financial Decision Making.

5. Distinguish ranging from Fund Flow Statement and Cash Flow Statement.

6. explain the general principles to be found while preparing reports.

7. X Ltd. has a quick ratio of 3:1 and Current liabilities of Rs. 1,00,000. Stock in trade is Rs. 50,000. obtain out its Current Assets and Current Ratio.

8. From the subsequent Balance Sheet of MNP Co. Ltd. prepare a Statement of Sources and Application of Funds.
Assets 31st March 2005 31st March 2006
Cash in hand and at bank 70000 150000
Accounts receivable 196000 180000
Stock 174000 240000
Land 40000 60000
Long-term investments 30000 20000

510000 650000

Capital and Liabilities

Equity share capital 250000 300000
Accounts payable 140000 200000
General reserve 120000 150000

510000 650000

9. compute Creditors Turnover Ratio from the subsequent info provided beneath :

Opening creditors Rs. 50000

Earning:   Approval pending.