Institute of Chartered Financial Analysts of India (ICFAI) University 2007 Certification Finance Financial Accounting – I (111) : - Question Paper

(a)
Nil
(b)
Rs. 2,500
(c)
Rs.12,500
(d)
Rs.15,000
(e)
Rs.17,500.
(1 mark)
< ans >
49.
The balances extracted from the books of M/s. Good Food as on March 31, 2006 were as under:
Particulars
Rs.
Salaries
11,000
Interest on loan from Mr.Agarwal
2,000
Sales
96,000
Purchases
93,000
Rent
13,000
Machinery
1,00,000
Sundry debtors
16,000
Sundry creditors
29,000
Loan at 5% from Mr. Agarwal
(taken on April 01, 2005)
50,000
Capital account
70,000
Cash
10,000
However, Mr. Girish, the proprietor, omitted to consider the subsequent information:
– The salary of Mr. Arjun, the manager for the month of March 2006 is yet to be paid. Mr.Arjun draws a salary of Rs.12,000 per annum.
– Depreciation on Machinery is to be given at 10% per annum.
– Rent for the building to be paid to the landlord is Rs.1,000 per month as per the terms of lease agreement. Theadditional amount of rent paid pertains for the month of April 2006.
The total of the trial balance after considering the above info was
(a)
Rs.2,46,500
(b)
Rs.2,45,000
(c)
Rs.2,46,000
(d)
Rs.2,65,000
(e)
Rs.2,57,000.
(2 marks)
< ans >
50.
Which of the subsequent errors will not affect the balancing of trial balance?
(a)
An entry of Rs.590 to be posted in A.N. Chopra’s account was posted to the accurate side in N.C.Chopra
(b)
A purchase of Rs.2,600 was entered in the purchases book as Rs.2,060 and credit to the customer as Rs.2,600
(c)
The sales day book was overcast by Rs.2,000
(d)
A total of Rs.5,915 in conveyance account was carried to the next page as Rs.5,951
(e)
Sale of Rs.6,550 to Mr.Ramesh was posted in purchases account.
(1 mark)
< ans >
51.
Mr. Sharma, an employee had been paid conveyance of Rs.350. It was wrongly credited to his account. Therectification entry will be
Rs. Rs.
(a)
Mr. Sharma’s a/c Dr. 350
To Conveyance a/c 350
(b)
Mr. Sharma’s a/c Dr. 350
To Misc. Expenses a/c 350
(c)
Conveyance a/c Dr. 350
To Mr. Sharma’s a/c 350
(d)
Conveyance a/c Dr. 350
To Cash a/c 350
(e)
Conveyance a/c Dr. 350
Sharma a/c Dr. 350
To Suspense a/c 700.
(1 mark)
< ans >
52.
The sundry debtors of M/s.Neelam & Co. includes a balance of Rs.80,000 to the debit of Mahajan Traders in respect
of which it has been negotiated and settled to receive from the party after allowing a discount of 2.5%. The settledamount was received by a cheque. The transaction will be recorded in the books of Neelam & Co. as

Earning:   Approval pending.