B.Com In Investment Management SEM II 2018 19 April 2018-19 INV. MGT INTRO TO ACCOUNTING II ) Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q1 The premium payable on redemption can be provided out of
2. Q2 Debentures is
   • (a) Fixed interest prior to shareholders (b) Variable interest prior to shareholder
   • (c) Surplus (d) Deficit
3. Q3 Currency used in presenting the financial Statements
4. Q4 Subscription Received in Advance is :
   • (a) An Asset (b) An Income
   • (c) A Liability (d) An Expenditure
5. Q5 the Accounting of Investment is Dealt by AS
   • (a)Income & Expenditure A/c (b) Trading and Profit and Loss A/C
   • (c) Profit & Loss A/c (d) On Trading Account
6. Q7 The issue of Shares more than face value
   • (a) at par (b) at discount
   • (c) at premium (d) none of them
7. Q8 Investment intended to be held for More than 12 months is called investment
   • (c) Trade (d) Annual
8. Q9 The Capital Redemption Reserve is
   • (a) payment out of dividend (b) written off accumulated losses
   • (c) issue of fully paid shares (d) for all of the above
   • B) State whether the following statement are True or False ( Any seven)
9. Q1 can redeem only fully paid preference shares can be capital or revenue in nature
10. Q3 Excess of income over expenditure is termed as Deficit investments are always valued at cost
11. Q5 Capital Expenditure is an expenditure the benefit of which do not expire in one year Paper Subject Code: 76502 Introduction to Accounting-II
12. Q6 Share forfeited balance is transferred to Capital Reserve Account
13. Q7 Entrance fee is a revenue receipt
14. Q8 Preference share holders get preference over the equity share holders at the time of winding up of the company
15. Q9 when an investment is sold cum-interest, part of the sale price represents only true sale
16. Q10 Interest on call in advance is @ 6% Q-2 Sohan Co. Ltd invited applications for 4,000 equity shares of Rs 10 each payable as Rs3 on application, Rs 2 on allotment, Rs 3.0n First Rs2 on Final call Public applied for 5,000 Shares , Company rejected 500 applications and their money was refunded. Money on the remaining applications after allotment of 4,000 shares diverted to allotment .All the money on allotment and calls were duly received. Pass the necessary Q-2 On Ist January 2017, MARY LTD, an Indian Importer , purchased $25,000 worth goods from Games Trader Company of USA The Payment for the import was made as follows: Mary Ltd closes its books on March every year The exchange rate for $1 was as Follows: Pass journal entries for the same. 15M Q-3 Mr. M closes his books of accounts on March every year. From the following details prepare columnar Investment Account in the books of Mr. M for the year ended 2018 1 June 2017 purchased 400 debentures at a rate of Rs 96 Ex-Interest 1 September 2017, Sold 200 Debentures at a rate of Rs 108 Cum Interest December 2017, Purchased of 500 Debentures at the rate of 94 Cum Interest December 2017, Sold 300 Debentures at a rate of Rs 110 Ex Interest. 15M Q-3 Bharat Ltd. whose issued share capital on 31/12/2017, consisted of 12,000, 8% redeemable preference shares of Rs 100 each fully paid and Equity shares of Rs 100 each , Rs 80 paid up. Decided to redeem Preference Shares at a premium of Rs10 per shares. The company’s Balance sheet as at 31/12/2017, showed a general reserve of Rs18,00,000 and a capital reserve of 1,70,000. The redemption was effected partly out of profits and partly out of the new issue of 6,000,7.5% preference shares of Rs 100 each at a premium of Rs 25.the premium payable on redemption was met out of the premium received on the new issue. You are required to pass the necessary journal entries. 15M Q-4 following is the receipt and payment of Excellent Recreation club for the year ended 31“ Paper Subject Code: 76502 Introduction to Accounting-II Receipts & Payments Account for the year ending 31*t March, 2017 To Subscription 45 500 By Postage and Stationery 300 (including Rs 1,000 for 2015-16 To Interest on Investment 20,000, By Purchase of Library Books Following additional information is also supplied to you: 1.On 1* April , 2016 , the club had the following Assets and liabilities:
17. Q2 On March ,2017 rent of Rs 800 and salaries of Rs 2,500 were in arrears
18. Q3 The book value of furniture sold-was Rs 2,500 Prepare Income and Expenditure Account of the club for the year ended March 2017, and Balance sheet as at that date. 15M Q-4 Pass the necessary journal entries in the following cases: 15M
19. Q1 Rs 30,000, 12% Debentures of Rs 100 each issued at.a discount of 5%.redemable at par
20. Q2 Rs 60,000, 12% Debentures of Rs 100 each issued.at.a discount of 5%redemable at Rs105
21. Q3 S Ltd issued 25,000, 10% Debentures of Rs 100 each. Give the journal entries when the Debentures are supplied to the supplier of Machine costing Rs 28,00,000 as his full and final
22. Q4 A Ltd. Issued Debentures of Rs 100 , each repayable at the end of 10 years. Pass the journal entries in the books of Amar Ltd. presuming that They were issued @5% premium & repayable at par
    • a) what is Share. Explain the types of Shares. 8
    • b) Explain the Income and Expenditure Account. Write short Notes on: (any three) (15) Cost of Investment 7
    • iv) Bonus issue of Shares
    • v) Ex- interest and Cum- interest Price

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