Acharya Nagarjuna University (ANU) 2006 B.B.M Management - Question Paper

(c)Sanju's loan is to be converted into his capital.

(d)Sanju is to bring in a further sum of Rs. 26,000.
3. M/s Aman purchased on first April, 2004 new fixed assets of Rs. 80,000. They sold part of the fixed assets costing Rs. 20,000 on which depreciation provision was Rs. 8,000 for Rs. 10,000. This amount was used to partially finance the purchase of fixed assets. M/s Aman Ram borrowed Rs. 50,000 from Bank of India for the purpose of financing the purchase of fixed assets. Out of this loan Rs. 10,000 was repaid during the year.

Aman, Ram and Sanju withdrew Rs. 16,000, Rs. 15,000 and Rs. 10,000 respectively during the year. You are further informed that the partnership firm tax of Rs. 2,000 was paid during the year. Balance Sheet of the firm as on 31st March, 2005 was as under:
Liabilities Rs. Rs. Assets Rs. Rs.
Creditors 30,000 Bank 6,000
Loan from Bank of India 40,000 Cash 6,000
Capitals: Debtors 60,000
Aman 39,000 Less: RDD 3,000 57,000
Ram 48,000 Stock 50,000
Sanju 43,000 1,30,000 Fixed Assets:
Cost 95,000
Less: Depreciation 14,000 81,000
2,00,000 2,00,000
* Prepare a statement showing flow of fund during the year ended 31st March. 2005 along with statement of modifications in working capital, together with item wise modifications in working capital.
* Q.3 While preparing the financial statements for the year ended 31-3-2005 of XYZ Ltd., it was discovered that a substantial portion of the records were missing. However, the accountant was able to gather the subsequent data: 16
*
Liabilities Rs. Rs. Assets Rs. Rs.
Paid-up Share Capital Land 3,60,000
60,000 Equity shares of Rs. 10 6,00,000 Plant and Machinery:
each) Cost 9,00,000
Reserves and Surplus: (-) Depreciation 3,60,000 5,40,000
Balance on 1-4-04 1,80,000 Current Assets:
+ Transfer during the year 1,20,000 3,00,000 Stock ?
10% Loan 6,00,000 Debtors ?
Current Liabilities: Cash and Bank ?
Proposed Dividend ?
Provision for Tax ?
Creditors ? 6,00,000
Total ? Total ?

The subsequent other info is available:

Current Ratio 2:1
Cash and Bank 30% of Total Current Assets
Debtors Turnover (Sales/Debtors) 12 Times
Stock Turnover (Cost of Goods Sold/Stock) 12 Times

Earning:   Approval pending.