BCom In Accounting & Finance (BCAF) SEM IV 2022 2023 March 2023 F MANAGEMENT ACCOUNTING Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q1 A) State whether the following statement is True or False. (Any Eight) 8 marks
   • 1. Current ratio is the test of short term liquidity of a business
   • 2. Dividend received is cash flow from investment activity
   • 3. Working capital cycle is also known as operating cycle
   • 4. Accounting standard 3 deals with cash flow statement
   • 5. In common size income statement net sales is assumed as 100%
   • 7. Debt service ratio is also called interest coverage ratio Underwriting commission is classified as fictitious assets
   • 10. Finished goods are calculated on total cost
2. Q1 B) Match the following. (Any Seven) 7 marks
   • 1. Financial Accounting a. Subject to Audit
   • 2. Management Accounting b. Not subject to Audit
   • 7. Sale of fixed assets g. Investing Activity
   • 9. Loss on sale cf furniture i. Non-operating item Calculate the following ratio from given information. (15 marks)
   • D) Liquid Ratic E) Stock to working capitai Cash at bank 12500 Expenses paid in advance 15500 Loan from director (repayable after 3 years 100000
3. Q2 Calculate the trend percentage from the following information. Reserve and Surplus 10000 150 20000 Stock and Debtors 25006 120 35000 VCD CLASS: SYBAF SUB: MANAGEMENT ACCOUNTING SEM: TV MARKS: 75 DURATION: 2 % HRS 15 marks
4. Q3 Complete the following comparative statement. Sources of Fund Reserves and Surplus T ? Application of Funds 15 marks
5. Q3 Prepare common size financial statement in a form suitable for analysis. Balance sheet as on 31" march 2020 Income statement for the year ended 31" March 2020 To Cost of goods sold 355500 | By Sales 634500 To Selling Expenses 180000 | By Other income 6000 To Loss on Sale of investment 24000 To Net income 18000 15 marks
6. Q4 From the data provided by M/s. Alpha Ltd. estimate working capital requ:rements for the ycar
   • (a) Estimated activity/operations for the year 2,60,000 units (52 weeks)
   • (b) Raw material remains in stock for 2 weeks and production cycle takes 2 weeks
   • (c) Finished Goods remaining in stock for 2 weeks
   • (d) 2 weeks credit is allowed by suppliers
   • (e) 4 weeks credit is allowed to Debtors
   • (f) Time lag in payment of wages aid overheads is 2 weeks each
   • (g) Cash & Bank Balance to be maintained Rs.25,000
   • (h) Selling price per unit is SYBAF SUB: MANAGEMENT ACCOUNTING SEM: IV MARKS: 75 DURATION: 2 % HRS
   • (i) Analysis of cost per unit as follows: (1) Raw material 33%,% of sales. (2) Labour and overheads in the ratio of 6: 4 per unit. (3) Profit is at 5 per unit ‘| Assume that operations are evenly spread throughout the year; Wages and Overheads accrue similarly Manufacturing process required feeding of material fully at the beginning. Degree of work-in-progress is 50%. Debtors are to be estimated at selling price
7. Q4 The balance sheet of Diya Ltd. as on march 2018 and 31" March 2019 Provision for Tax - 100000 | Bills receivable 32000 48000
   • 1. Depreciation of Rs. 32000 and Rs. 40000 has been charged on Land and Plant respectively
   • 2. An interim dividend of Rs. 30000 was paid
   • 3. During the year Plant having book value of Rs. 32000 was sold for Rs. 28000
   • 4. Prepare cash flow statements for the year ended 31“ March 2017
   • A) Define Management Accounting and write advantages of it. 8
8. Q5 B) Explain in brief working capital cycle. QS. Write Short Notes. (Any Three) (15 marks) 7 marks
   • 2. Importance of Management Accounting
   • 3. Proprietary Ratio
   • 4. Functions of Management Accounting
   • 5. Operating Cycle

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