Acharya Nagarjuna University (ANU) 2005 B.Com II - FINANCIAL ACCOUNTING - II - Question Paper

Half year ending on 30.06.2000 6000 tons
Half year ending on 31.12.2000 8000 tons
Half year ending on 30.06.2001 10000 tons
Half year ending on 31.12.2001 6000 tons
Half year ending on 30.06.2002 7000 tons
Half year ending on 31.12.2002 9000 tons

Prepare Royalty Account, Land Lord Account, Short Workings Account in the books of Kalyan Mining Company Ltd.

14. Mr. Sankar keeps his books on single entry system. His balance sheet as on 1.1.2004 indicates :
Rs.
Stock 1,50,000
Debtors 1,80,000
Machinery 1,80,000
Furniture 15,000
Sundry Creditors 90,000
Bank overdraft 30,000

On 31.12.2004 his position showed that

Rs.
Stock 1,35,000
Sundry Debtors 2,10,000
Bills payable 18,000
Bills receivable 12,000
Machinery 1,80,000
Furniture 15,000
Sundry creditors 75,000
Salary outstanding 1,500

Machinery and furniture are to be depreciated at 10% and 5% respectively. The cash book provide you the subsequent further info :

Rs.
Receipts from debtors 2,40,000
Cash sales 90,000
Payment of Creditors 1,20,000
Interest on overdraft 4,500
Cash purchases 75,000
Salaries 15,000
Drawings 12,000
General expenses 24,000
Rent 6,600

And : Discount allowed to debtors 12,000
Discount earned from creditors 7,500
Purchase returns 4,500
Sales returns 9,000

Prepare profit and loss account for the year ending 31.12.2004 and balance sheet as on that date.

15. The subsequent particulars relate to a Sports Club of Hyderabad. Prepare opening and closing balance sheets :

Income and Expenditure a/c for the year ending 31.3.2005

Expenditure Rs. Income Rs
To Salaries 1,600 By Entrance Fees 12,000
To Stationary 2,100 By Subscriptions 14,000
To Advertisement 1,800 By Rent 4,000
To Audit Fee 300
To Insurance 1,000
To Depreciation on equipment 8,000
To Excess on Income over expenditure 15,300

30,100 30,100

Receipts and Payments A/c for the year ending31.3.2005
Receipts Rs. Rs. Payments Rs.
To Balance 4,200 By Salaries 1,200
To Entrance Fee 12,000 By Stationary 2,500
To Subscription : By Advertisement 1,800
2003-2004 600 By Insurance 1,200
2004-2005 13,500 By Investments 20,000
2005-2006 400 14,500 By Furniture 3,000
To Rent 3,500 By Balance 4,500

34200 34200

The Assets of the Club as on 1.4.2004 are as follows :
Rs.
Land and Building 50,000
Sports Equipment 25,000
Furniture 4,000
Outstanding subscription 800

16. Balu, Subbu and Siddu are partners in a business dividing profits and losses equally. Their Balance Sheet on 31.12.2004 is as follows :

Liabilities Rs. Assets Rs.
Capital Accounts : Furniture 21,000
Balu 1,20,000 Stock 1,54,000
Subbu 90,000 Debtors 1,80,000
Siddhu 10,000 2,20,000 Less : Provision 9,000 1,71,000
Current Accounts : Bank 14,000
Balu 20,000 Siddhu's Current Account 50,000
Subbu 10,000 30,000
Reserve Fund 30,000
Creditors 1,10,000
Bills payable 20,000

4,10,000 4,10,000

Siddhu died on 31.12.2004 and thereby it was decided to dissolve the firm. The assets realized as follows :

Furniture 30%, Stock 50% and Debtors 60%

Creditors were settled at a discount of 10% and bills payable were discharged at a rebate of 20%

Prepare necessary ledger accounts.

17. Shaik Ltd. has 2 departments X and Y. Department X supplies raw material to Department Y and the manufacturing activity is undertaken by Department. Y. The goods are supplied at cost price. From the subsequent information, prepare Trading and Profit and Loss account for the year ending December 31, 2004 separately for both the departments :


Dept. X Dept. Y
Rs. Rs.
Opening stock 2,50,000 75,000
Purchases (form outsiders) 10,00,000 20,000
Sales (to outside customers) 12,00,000 3,00,000
Clearing stock 1,50,000 50,000

Additional info :

(a) The buildings, which are valued at Rs. 1,05,000 have to be depreciated at 10%. Dept. X occupies 2/3rds and Dept. Y 1/3rd.

(b) Goods transferred from Dept. Y to Dept Y at cost amounted to Rs. 2,50,000

(c) Manufacturing expenses at Dept. Y amounted to Rs 10,000

(d) Selling and distribution expenses of Rs. 15,000 have to be allocated on the basis of sales in every department

(e) The general expenses of business as a whole amounted to Rs. 50,000.

18. Akhil Co. Ltd. offered to the public 50,000 equity shares of Rs. 10 every at a premium of Rs.2per share. The payment was to be made as follows :

Rs.
On Application 2
On Allotment 5 (including premium)
On I call 2
On II call 3

Applications for 85,000 shares are received ; 5000 were rejected and the balance were allotted on Pro - rata basis. The directors made both the calls. 1 shareholder holding 500 shares failed to pay both the calls and subsequently his shares were forfeited 200 of these shares were issued as Pass Journal entries.

Earning:   Approval pending.