B.Com In Banking & Insurance (BCBI) Sem III 2017 2018 Nov 2018 MGT.ACCOUNTING Question Paper - Mumbai University | munotes

Questions asked in this paper

• (b) Figures to the right indicate full marks

1. Q1 Answer any Eight from the following: Match the following B State whether the following statements are true or false(Answer any Seven): [07] 8 marks
   • b. Credit granted by supplier reduces working capital
   • c. Dividend is paid in cash
   • d. has no effect on dividend policy
   • e. Analysis is must for interpretation
   • f. Common size statement is a vertical analysis
   • g. Operational information is used by lower level management
   • h. Stock is a liquid asset I Higher stock turnover means higher cost of goods sold J Owners fund and owed fund are the same
   • A. following is the Balance Sheet of M/s. Shetty Ltd. as on March,2017 Expenses payable 40000 | Discount on issue of 10000 The following further information is also given for the year: Total sales Rs.10,00,000 Net profit rate 15%.out of total sales 20% are cash sales Purchases Rs.5,00,000 .Number of days in the year 360 Calculate the following
   • A), Proprietory ratio
   • Q. P. Code: 22154
   • D) Operating ratio
   • B. From the following extracts of Surya Ltd you are asked to compute short term solvency ratio and activity ratios for the year ended March 2017 Equity Share Capital 20000, 7% Preference Share Capital 4000, Reserves and Surplus Outstanding expenses 400 and Tax Provision 5,200 6000, Sundry debtors 8000 and Stock 12,000 Net sales Rs. 120,000 , Cost of goods sold Rs. 103,200 (Arranging in vertical form is not expected)
   • A. manufacturing company gives the following details.Estimated level of activity 26,000 units of production for the year 2016-17 Raw material are in stock average 4 weeks consumption Finished goods in stock 2 weeks Credit allowed by suppliers 2 weeks Credit allowed to debtors 3 weeks Lag in payment of wages and overheads | week Cash at bank for smooth operation is expected to be Rs.24,000 Provide for safety of margin at 10% 25% purchases and.20% sales are against cash You are required to prepare statement showing working capital requirements for the year
   • B. From the following information prepare a working capital requirement. Production during the year is to be 1,04,000 units The expected ratio of cost to selling price are Raw material 60%, Direct wages 10%, Overheads 20%. Raw materials are expected to remain in stores for an average of 8 weeks before issue to production. Each unit of production is expected to be in process for 4 weeks for material and 2 weeks for labour & overheads. Finished goods will stay in warehouse awaiting despatch to customers for approximately 12 weeks Credit allowed by Creditors is 8 weeks from the date of delivery of Raw materials. Credit given to Debtors is 12 weeks from the date of despatch. Selling price is Rs.25 per unit 15
   • Q. P. Code: 22154 There is a regular production and sale cycle. 25% of sales are on cash basis of purchases are on credit Provide 10% for contingencies on current assets
   • A. From the following Balance Sheet calculate Balance-Sheet ratios. (Any Four) Balance Sheet as on 31“ Dec., 2016 Profit & Loss Account 50,000 | Plant and Machinery 1,00,000 Taxes Payable Short Term Investments 20,000 8
   • B. a Company Secretary you are asked to calculate the revised Share capital for following companies using the information below Sr.no | Company Existing Total Share Proportion of Equity Capital to (07)
   • A. The following data is furnished to you regarding two companies X & Y operating in the 8
   • A)Calculate the operating cycle for both the companies
   • B) Also suggest steps you would take to reduce the operating cycle in terms of COGS
   • Q. P. Code: 22154
   • D. The following appears in the balance sheet of R Ltd. Company as on 31.3.2017 The company declared bonus 7
   • A) Making partly paid up shares as fully paid up
   • B) Issue of 1000 paid up shares of Rs.10 each to the existing shareholders. For the purpose, Profit & Loss should be utilised to the minimum extent
2. Q2 Discuss the factors that determine working capital requirements. Write short notes(any three) 7 marks
3. Q2 Sources of working capital
4. Q4 Scope of Management accounting
5. Q5 Tools of financial analysis

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