Question paper of management accounting, Exams of Management Accounting

Download Question paper of management accounting and more Exams Management Accounting in PDF only on Docsity!

23105373 QP CODE: 23105373 Reg No Name B.COM DEGREE (CBCS) REGULAR / REAPPEARANCE EXAMINATIONS, MARCH 2023 Sixth Semester CORE - CO6CRT20 - MANAGEMENT ACCOUNTING (Common to all B.Com Degree Programmes) 2017 Admission Onwards EF355BA9 Time: 3 Hours Max. Marks : 80 Instructions to Private candidates only: This question paper contains two sections. Answer SECTION | questions in the answer-book provided. SECTION Il, Internal Examination questions must be answered in the question paper itself. Fallow the detailed instructions given under SECTION II SECTION | Part A Answer any ten questions. Each question carnes 2 marks. 1. Who is a Management Accountant ? 2. What is Financial Planning ? 3. Write a short note on Trend Analysis. 4. Calculate trend percentages from the following taking 2015 as base year. Also interpret the results. Year 2015 2016 2017 201k 2019 Sales (Rs) 2,50,000 | 3,20,000 7 350,000 | 430,000 | 5,00,000 5. Define Ratio Analysis. 6. What are Current Liabilities? 7. Write a short note on Debt- Equity Ratios? 8. Calculate Net Profit Ratio: Net Profit 1.00,000 Net revenue Operations 8,00,000 10 ti. 12 13 14 15. 16 17 What do you mean by the term 'Fund'? When does flow of fund takes place? What is meant by Cash Flow from Extraordinary item ? Give an example. Calculate Cash from Operation from the following information ; Net Profit Rs.3,20,000 Opening Stock Rs.60,000 Closing Stock Rs.80,000 (10*2=20) Part B Answer any six questions Each question cares 5 marks. What are the objectives of Management Accounting ? Explain the uses of Financial Statements. Explain the limitations of Financial Statement Analysis. What are the ratios used for analysing Capital structure of a company? From the following particulars, prepare: ( 1) Stock Turnover Ratio (2) Fixed Assets Turnover Ratio (3) Debtors Turnover Ratio (4)Creditors Turnover Ratio (5)Debt Collection Period (6)Debt Payment Period (Rs in 000) Sales 17.874 Sales Returns 4 Other Income 53 Cost of Sales 15.440 Administration expense 1,843 Depreciation 63 Interest expenses 456 Purchases 15,000 Purchase Return 5 Debtors. 10,000 Bills receivable 2,000 Creditors 5,000 Bills payable 3,000 Mm bo eae me 20 21 Depreciation has been provided during the year on machinery and funiture at 20% whose total cost is Rs. 8,50,000. Loss on sale of machinery Rs. 17,500. Interest on investment credited to Profit and Loss Account Rs. 1,27.800. Interim Dividend paid Rs. 75,000. Patent written off Rs. 27,500 From the following information, find out Cash Fiow from Investing Activities PARTICULARS. CLOSING OPENING BALANCE (Rs.) | BALANCE (Rs.) Machinery at Cost 4,230,000 4,00,000, 00, 1,00,000 Accumulated Depreciation 1,1 Patents 1,60,000 280,00 Additional Information: 1. During the year, a machine costing Rs.40,000 with its accumulated depreciation of Rs.24,000 was sold for Rs.20,000 2. Patents were written off to the extent of Rs.40,000 and some patents were sold at a profit of Rs.20,000. ABC Ltd. provided the following information, calculate Net Cash Flow from Financing Activities: PARTICULARS 31° March 2020 | 31 March 2019 (Rs) (Rs Equity Share Capital 12,00,000 10,00,000 12% Debentures 2,00,000 1,00,000 Additional Information 1. Interest paid on Debentures Rs. 19,000. 2. Dividend paid Rs.50,000. 3. During the year, ABC Ltd. issued bonus shares in the ratio of 5:1 by capitalising reserve. (6*5=30) 22. 23. PartG Answer any two questions. Each question carries 15 marks. From the following Balance Sheets of Texas Ltd as at 31 st March 2018 and 2019, prepare a Comparative Balance Sheet 31-03-2018 | 31-03-2019 1. Equity and Liabilities: 1. Share Holder's Fund a) Share Capital 3,60,00 444,000) b) Profit and Loss Account 1 vad 163,800) 2. Non-Current Liabilities Accumulated Depreciation on Building 120,000) 132,000) 3. Current Liabilities a) Income Tax Payable 12.00 13,200) b) Outstanding Expenses 24,00 48,000) ¢) Trade Creditors 240,001 234,000) Total, = 9,07,800) 10.35,000) I. Assets: 1. Non-Current Assets a) Fixed: Tangible Assets i) Land 48,000) 96,000) ii) Buildings and Equipment 3,60,000] — 5,76,000) 2. Current Assets i) Stock 2,64,000) 96,000) ii) Debtors 1,683,000) 186,000) ii) Sundry Advances baal 9,000) iv) Cash 60,00 72,000) Total, 907,800) 10,35,000 From the following information presented by a firm for the year ended 31st December, Prepare the Balance Sheet Sales to Net Worth Current Liabilities to Net Worth Total Debts to Net Worth Fixed Assets to Net Worth Current Ratio 5 Times 50% 60% 60% 26. From the following summarized Cash Book of S K Ltd. Prepare Gash Flow Statement for the year ended March 31, 2019 in accordance with AS — 3 : PARTICULARS Rs. PARTICULARS Rs. To Balance b/d 10,000 | By Payment to Suppliers 4,00,000 To Receipts from Customers 500,000 | By Purchase of Machine 1,50,000 Te Sole of Building 1,90,000 | 8 Purchase of Furniture 56,000 To issue of Equity Shares 2,00,000 | By Wages ond Sofaries 30,000 To issue of Preference Shares 100,000 | By Rent, Rate and Taxes 20,000 By Income Tax 25,000 By Redemption of Debentures 2,75,000 By Dividends 30,000 By Balonce c/at 20,000 10,00,000 10,00,000 (2*15=30) ‘QP CODE: 20100483 Name BCOM DE Ri [E (CBCS) Sixth Semester Reg No ‘AMINATION, MARCH 2020 Core course - CO6CRT20 - MANAGEMENT ACCOUNTING B.Com Model | Finance & Taxation,B.Com Model I Co-operation,B.Com Model | Computer Applications,B Com Model I Travel & Tounsm,B.Com Model [| Computer Applications,B.Com Model II Finance & Taxation.B.Com Model | Logistics Management,B.Com Model II Marketing. B. Travel & Tourism,B.Com Model [I Computer Applications .B.Com Model III Office questions in the answer-book provided. Secretarial Pract 2017 Admission Onwards 46843839 Som Mode! 1 Management & B.Com Model Il Taxation,B,Com Model II Travel & Tourism ions to Private candidates only: This question paper contains two sections. Answer Section I ‘TION IT Internal Examination questions must be answered in the question paper itself, Follow the detailed instructions given under SECTION II SECTION I Time: 3 Hours Nv us un 4 oe Part A dnswer any ten questions. aries 2 marks, Each questi How is personal judgement a limitation of management accounting ? What is Zero Base Budgeting technique ? Write a short note on Financial Statement Analysis List the objectives of Comparative Balance Sheet. Write a note on Ratio Analysis. Write a note on Secondary ratios What is Interest Coverage Ratio? Calculate Gross Profit Ratio from the following: Opening Inventory 40,000 Carriage 1, 00,000 Revenue from Operations Purchases 3,.00,000 Closing Inventory Marks: 80 60,000 8, 00,000 60,000 17. Following are the particulars of a company given to you. (1) Receivable Turnover = 90 days (360 days a year) (2) Inventory Turnover (3) Payables Turnover (4) Gross Profit Ratio 3 times = 3 months 25% The following are the additional information 1. Gross profit for the year comes to Rs. 18,000, 2. Closing inventory is Rs. 2,000 above the opening stock. 3. Bills receivable amounted to Rs. 2,500 4. Bills Payable amounted to Rs. 1,000 Find out (A)Sales (B) Debtors (C) Closing Inventory (D)Sundry Creditors 18. The Balance Sheets of Texas Ltd as on 31/03/2018 and 31/03/2019 is given below; 31-12-2018 | 31-12-2019) IL. Equity and Liabilities: 1. Share Holder's Fund ) Share Capital 5,000,000, 6,530,000; ib) General reserve 74,000) 78,000 c) Profit and Loss Account 86,000) 94,000 2. Current Liabilities ja) Trade Creditors 187,000) — 1,90,000 [b) Outstanding Expenses 13,000 16,500 ic) Provision for Taxation 30,000 73,000 ) Proposed Dividend 30,000, 63,000 Total Liabilities; = 960,000) 11,68,500 1. Assets: 1, Non-Current Assets ja} Fixed: Tangible Assets 1)Land and Building 4.75000) 417,500 i) Machinery 220,000) 3.98,000 fii) Furniture 8,50 7,650 2. Current Assets i) Stock 133,100) 1,86,500) fi) Debtors 108,500) 1,15,300; iii) Bills Receiwab! 29,550) vy Cash 14,900 14,000 Total Assets) 10,60,000) 11,68,500 Prepare a schedule of changes in working capital. Your assumptions will form part of the answer. 19. "Funds Flow Statement presents a decision view of business" Comment. 20. Calculate Cash from Operations from the following: L Profit made during the year Rs.3,00,000 after considering the following items: a Depreciation — Rs.10,000 b. Amortisation of Goodwill — Rs.6,000 ¢. Transfer to General Reserve — Rs.8,000 d. Profit on sale of land — Rs.3,000 TL Following is the position of the current assets and current liabilities : PARTICULARS 31° March 2019 31 March 2020 (Rs.) (Rs.) Debtors 15,000 12,000 Creditors 10,000 15,000 Bills Recevable 8,000 19,000 Prepaid Expenses 2,000 8,000 21. ABC Ltd. provided the following information, calculate Net Cash Flow from Financing Activities: PARTICULARS 31 March 2020 31 March 2019 (Rs) (Rs) Equity Share Capital 12,00,000 10,00,000 12% Debentures 2,00,000 1,00,000 Additional Information 1. Interest paid on Debentures Rs.19,000. Dividend paid Rs_50,000. 3, Quring the year, ABC Ltd. issued bonus shares in the ratio of 5:1 by capitalising reserve, (6*5=30) Part ¢ inswer any two question Each question carries 1S marks 3. Net Working Capital Rs. 3,00,000 4. Cost of Sales! Closing Stock 8 times 5. G.P Ratio 20% 6. Average Debt Collection Period 1.5 Months 7. Fixed Assets! Proprietor 's Net worth 0.75 8. Reserves & Surplus! Capital 0.30 From the following balance sheets given below, you are required to prepare Funds Flow Statement 31-12-2018 | 31-12-2019 |. Equity and Liabilities 1. Share Holder's Fund a) Share Capital 110,000] 150,000 b) Reserves and Surplus General Reserves 4,000] 4,000 Profit and Loss Account 2.000) 2.400) 2) Non- Current Liabilities a) 9% Debentures 12,000] 14,000] b) Long Term Provisions ¢) Provision for Taxation 6,000 8,400 3) Current Liabilities a) Trade Creditors 49,000) 35,600) b) Proposed Dividend 10,000) 11,600) Total Liabilities! 1,93,000) = 2.26.00) HL Assets: |. Non-Current Assets a) Fixed: Tangible Assets i)Land and Building 60,000 50,000) ii) Plant and Machinery 30,000) 30,000) f. Current Assets i) Stock 60,000) 70,000) ii) Debtors 40,000) 48,000) iii) Bank 2.400) 7,000] iv) Cash 600) 1,000) Total Acvets! 193,000) 226,000) The Comparative Balance Sheets of a company is given below Particulars Note No. 31st Ma: 2018 (Rs) 31st March 2019 (Rs) I. EQUITY AND LIABILITIES. 1. Shareholder's Funds (a) Share Capital 335,000 37,000 (b) Profit and Loss Balance 5,020 3,280 2. Non - Current Liabi Long Term Borrowings : Debentures 6,000 3.000 3. Current Liabilities (a)Trade Payables 5,180 TOTAL 51,200 51,200 IL ASSETS 1. Non- Current Assets (a) Land 10,000 15,000 (b) Goodwill 5,000 2,400 2, Current Assets (b) Inventories 24,600 21,350 (c) Trade Recervables 7,450 8,850 (d) Cash and Cash Equivalents : Cash 4,500 3,900 (e) Provision for bad and doubtful debts (350) (400) TOTAL 51.200 $1,200 Additional Information: 1. Dividend Paid amounted to Rs.1,750 2. Land was purchased for &s.5,000 and the amount provided for writing off goodwill was Rs. 2,500 3. Debentures were paid to the extent of Rs.3,000 (2*15=30) Part B Answer any six questions. Each question caries § marks. 13. How does Management Accounting differ fram Cost Accounting? 14 15. 19, 20, Explain the different types of Financial Statements. Prepare a Common Size Particulars 31-03-2019] Revenue Fram Operations 4,00,00¢ Cost of materials consumed 182,000) Employee Benefit Expenses 42,000 Depreciation 24,000) (Other Expenses Sot ot Mereaee from operations Other income 1d income Tax 50%) latement of Profit and Loss of H Ltd from the following information. Examine the relationship between Solvency, Liquidity and Profitability Calculate the value of Current Asset, Liquid assets and Stock in Trade. Given, Current Ratio is 25:1, Quick Ratio: 1.25:1 and Current liabilities is Rs.30,000_ What is ‘Funds Flow Statement’? Examine its managerial uses. Prepare a Statement of Changes in Working Capital from the Balance Sheet given below, 2018 Capital and Liabilities: Share Capital 3,00,000 Trade Creditors 1,106,000 Profit and Loss Account 14,000 Total Liabilities 4,270,000 Assets: Machinery 70,000 Stock-in- 121,000 Debtors 181,000 Cash 48,000 Total Assets 420,000 219 $000) 70,000 31,000 4.76.00 1,00,000 1,36,000 1,70,000 70,000 4,76,000 From the following information, find out Cash Flow from Investing Activities PARTICULARS CLOSING OPENING BALANCE BALANCE (Rs.} (Rs.) Machinery at Cost 4,20.000 4,00,000 Accumulated Depreciation 1,100,000 100,000 Patents 1,60,.000 250,00 Additional Information: HISAR) 1. During the year, a machine costing Rs.40,000 with its accumulated depreciation of Rs.24,000 was sold for Rs.20,000 2 Patents were written off to the extent of Rs.40,000 and some patents were sold at a profit of Rs.20,000. 21 From the following information, calculate Cash Flow from Financing Activities: Particulars. 31" March 2020 | 31°* March 2019 (Rs.) (Rs.) Equity Share Capital 5,00,000 4,00,000 10% Debentures 1,00,000 1,50,000 Securities Premium Reserve 50,000 40,000 Bank Overdraft 2,006,000 1,50,000 Interest on Bank Overdraft 15,000 10,000 Additional Information : Interest Paid on Debentures Rs. 10,000. (6*5=30) Part C Answer any two questions Each question camies 15 marks. 22. From the following Balance Sheets of Lavender Ltd as at 31 st March 2018 and 2019, prepare a Comparative Balance Sheet 31-03-2018 | 31-03-2019) i. Equity and Liabilities: bi hare Holder's Fund a) Share Capital $,00,000 10,00,004 b) Profit and Loss Account 2,50,000 8.40, 0000 2. Non-Current Liabilities a) Lo Term Borrowings: 200,000) 1, 540,00 b) Long -Term Provisions $0,000 60,00 3. Current Liabilities a} Income Tax Payable 15,000 20,000 ‘b) Trade Creditors 40,000) .0 Total 10,55,000) 21,20, 000) IL. Assets: |. Non-Current Assets a) Fixed: Tangible Assets i) Buildings and Equipment 7,00,000] _15,00,000 pind ape a 3,00.00 4,00,000 2. Current Assets a) Stock 10,00 50,000 1b) Debtors 16,00 58,006 ©) Sundry Advances 14,00 21,00 d) Cash 15,000 50.0 Total} — 10,558,000) BESESEARE SE | 1. During the year a piece of machinery costing As.60,000 on which depreciation was charged was Fs. 20,000 was sold at 50 % of its book value. Depreciation provided on tangible assets was Rs.60,000 2 Income Tax As.45,000 was provided 3. At the end of the year Preference shares were redeemed at a premium of 5 %. 4 Additional Debentures were issued at par on 1st October 2018 and Bank loan was repaid on the same date. 24. From the following balance sheats given below, you are required to prepare Funds Flow Statement 31-12- 31-12- 2018 2019 1. Equity and Liabilities: 1. Share Holder's Fund a) Share Capital 110.000) 1.50,000) b) Reserves and Surplus General Reserves 4.000) 4,000; Profit and Loss Account 2,000) 2 2) Non- Current Liabilities a) 9% Debentures 12,000) 14,000) b) Long Term Provisions ¢) Provision for Taxation 6,000) 8,400) 3) Current Liabilities a) Trade Creditors 49.000) 35,600) b) Proposed Dividend 10,000) 11,600) 1,93.000) 2.26,000) Hl. Assets: 1. Non-Current Assets a) Fixed: Tangible Assets i)Land and Building 60.000) 50,000) i) Plant and Machinery 30.000) 40,000) 2. Current Assets 1) Stock 60,000) 70,000 i) Debtors 40,000) 48,000) iii) Bank 2,400) 7,000} iv) Cash 600) 1,000) Total Assets} 1,935,000) 2.26,000) 25. Given: Receivables Turnover 4 Payables Tumover 6 Inventory Tumover 8 ‘Capital Turnover Ratio 2 Times Fixed Assets Tumover Ratio 8 Times ‘Gross Profit Rabo 25% ‘Gross Profit during the year amounted to Rs. 80,000. There is no long term loan or overdraft Time: 3 Hours Max, Marks : 80 Reserves and surplus amount to Rs. 28,000. Ending inventory of the year is Rs. 2,000 above the beginning inventory. Notes receivable amount to Ris. 5,000 and notes payable are Rs. 2.000 Prepare a Balance Sheet on the basis of the information given above. (2*15=30)