B.Com In Banking & Insurance (BCBI) Sem I 2023 2024 Dec 2024 FINANCIAL ACCOUNTING I Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q1 A) Fill in the blanks (Any 8) 8 marks
   • 1. Wages account is a account
   • 2. Cash Account is account
   • 3. Goodwill is a asset
   • b) Current d) None of these called as a book of prime entry
   • a) Ledger Trial Balance None of these
   • 5. Credit Sales are recorded in book
   • a) Sales book b) Cash book c) Journal All of these method stock is valued after every transaction FIFO c) Weighted Average Method d) All of these
   • 7. Prepaid Insurance is classified as
   • a) Fixed Current c) Fictitious Asset d) None of these
   • 8. On hire purchase ownership of asset is transferred of installment Small expenses of daily routine business are recorded in account
   • a) Petty Cash d) None of these
   • 10. Prepaid Expenses are shown in side of balance sheet
   • a) Liabilities None of these d) All of these
2. Q1 B) State whether the following statements are true or false (Any 7) 7 marks
   • 1. Reputation of business is known as goodwill
   • 2. Outstanding not to be considered as an expense
   • 3. Person buying the goods is termed as customer 4, Cash discount is not recorded in the books of accounts Expenses incurred to keep the machinery in condition are rev enue expenditure
   • 6. paid to Ram is debited to
   • 7. ICAI stands for Institute of Chartered Accountants of India
   • S. State Bank of India is a nominal account
   • 9. All whether material or immaterial are recorded in accounts
   • 10. valuation of fixed assets Enter the following transactions in the books of Paresh, for the month of April, 2008
   • 1) Cash on hand Rs 2,000 and cash at Bank of India Rs
   • 2) Purchased books from Ajay products, Rs 50,000 at 5% trade discount
   • 3) Sold our shares (personal) for Rs. 25,000 and invested that sum in the business
   • 4) Sold to Vijay Traders goods worth Rs. 30,000 for cash
   • 5) Deposited Rs 20,000 in Bank sent a cheque of Rs. 25,000 to Ajay products
   • 6) Paid Rs. 400 for the fees of son from office (Paresh's son)
   • 7) LIC Premium Rs 420 and insurance for the goods Rs 220 (Rs 420 paid from Purchased goods worth Rs. 30.000 trom Jeet and Co. at trade discount and 10% cash discount
   • 9) Settled amount with Ajay products
   • 10) Sold goods to and Co. for Rs. 30,060 at 10% trede discount
   • 11) Received cash from Parth and Co. in full settlement
   • 12) Goods worth Rs 15,000 destroyed by fire Insurance paid Rs. 12,000 as VCD/ FYBBI Financial Accounting 2%hrs 75 marks
3. Q2 B) The Car Mart company purchases a motor car from Autoriders company on a hire purchase agreement on January 1, 2011, paying cash Rs. 10,000 and agreeing to pay for the three instalments of Rs. 10,000 each on 31* December each year. The cash price of the car is Rs. 37,250 and the Autoriders company charges interest at 5% per annum. The Car Mart company writes off 10% per annum as depreciation on the reducing instalment system. You are required to Journalise the transactions for all the years in the books of Car Mart company under the full Cash Price Credit Purchase Method. (07 marks)
4. Q2 C) State whether the following is capital expenditure, revenue expenditure, capital receipt or revenue receipt. Give reason for your answer
   • 1) Purchase of typewriter
   • 3) Received Rs. 2,00,000 from sale of investment
   • 4) Purchase of raw material Rs 20,000
   • 5) Commission received Rs. 2,000 from sale of goods
   • 6) Loan taken from Bank Rs. 10,00,000 8
5. Q3 A) The Accountant of Lucky stores presents the following trial balance as on 31 -12-2012 Cash in hand 700 Balance with Bank of India - 1,300 Overdraft from Dena Bank 4,000 Amount due from Shah brothers- a customer - 15,000 Amount due to Mehta sons- - 10,000 Loan from Mrs Patel 20,000 Advance to Jai, a supplier - 16,000 Advance from Raju, a customer - 5,000 Discount to customers - 1,000 Discount by suppliers - 2,000 Interest on Ms. Patel's loan The accountant feels that though the trial balance has tallied, are some mistakes. You are asked by him to look into the same and prepare a re\ ised and corrected trial balance, In the course of your checking vou find, among other things, that discount allowed to customers was actually Rs, 2,000 while discount allowed by suppliers was only Rs. (15 marks)
6. Q3 B) From the following particulars, prepare stock register by IFO Method FYBBI Financial Accounting 75 marks 15 marks
7. Q4 A) From the following trial balance of Ravindra Co. prepare Manufacturing Account, Trading and Profit and Loss Account and Balance Sheet as on 31% March 2016. (15 marks) Stock as on 1-04-2015: Work in progress 2,000
   • 1. Stock on March 2016 was as follows: Raw materials Rs. 1500, work in progress Rs. 1500, finished goods Rs. 1900
   • 2. Machinery to be depreciated at 10% per annum
   • 3. Rent paid in advance Rs. 200
   • 5. Salaries to be distributed between factory and office in the ratio 2:5
8. Q4 B) From the given trial balance of Chris prepare Manufacturing, Trading and Profit and Loss account for the year ended December, 2013 and Balance Sheet as at that date Work in progress 14,000 Purchase of raw materials | 1,94,000 on rew materials | 22,000 VCD/ FYBBI Financial Accounting 2%hrs 75 marks Cash at Bank 24,000 Provision for bad debts - 6,000 Closing stock was Raw materials Rs. 16,000; Finished goods Rs. 20,000 and Work in
   • 2. Outstanding direct wages at the end were Rs. 2,000
   • 3. Other direct expenses were prepaid to the extent of Rs. 1,000
   • 4. Depreciate machinery at 10% per annum
   • 5. Maintain provision for bad debis at 5% of sundry debtors. 15
9. Q5 A) Define the term accounting. Explain the importance of accounting. marks)
10. Q5 B) What is trial balance? Explain the objectives of preparing trial balance. 7 marks
11. Q5 C) Write Short Notes (Any 3) marks)
    • 2. FIFO Method
    • 3. Manufacturing Account
    • 4. Contingent Liability
    • 5. Capital and Revenue Expenditure

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