BCom SY BCom Sem 3 BCom Sem 3 (2022 2023) Oct 2023 MANAGEMENT ACCOUNTING Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q1 A) Write Correct Answer (Any 10) 10 marks
2. Q1 The functions of management accounting include
   • a) Collection of Data b) Analysis of data
   • c) Presentation of data d) All of the above
3. Q2 Payback period is the time required to
   • a) recover the original investment depreciate Assets
   • c) Pay the Creditors d) Recovery from debtors
4. Q3 Balance sheet is a statement of
   • a) Assets and Liabilities b) working capital
   • c) Operating Results d) None of the above
5. Q4 Margin of safety is provided to
   • a) Cover possible variations in estimation
   • b) Provide safety in management of working capital
   • c) Ensure safety in estimation of working capital
   • d) all of the above
   • a) Status of assets and liabilities b) Profitability
   • a) Short term financial positions b) collection efficiency
6. Q8 Earlier year is to be considered as base year, the values of which are taken as 100 in
7. Q9 Working capital is the capital required to finance
   • a) day to day operations b) Purchase of fixed assets VCD: SYBCOM MANAGEMENT ACCOUNTING SEM: III 100 Marks Hrs
   • c) Settlement of long term liabilities d) None of the above \
8. Q10 General reserve is created out of
   • a) Profit b) Income
9. Q11 Long term decisions are called as
10. Q12 Management Accounting relates to
    • a) recording of accounting data b) Recording of costing data
    • c) Presentation of accounting data d) None of the above
    • B) Write True or False (Any 10) 10
11. Q1 Depreciation is a non-cash cost
12. Q2 Focus of Management Accounting is on external reporting
13. Q3 Provision of contingency is added to net current assets to get working capital
14. Q4 Calls in arrears is call in advance
15. Q5 Analysis is a must for integration
16. Q6 In comparative income statement capital employed is considered equal to 100 marks
17. Q7 Stock turnover ratio indicates the speed of collection of debt
18. Q8 Patents and copyrights are intangible assets 9, Inadequate working capital increases efficiency of the management
19. Q10 Trend is analyzed only for 1 year
20. Q11 Publication of management accounting report is not compulsory
21. Q12 Management Accountant should always be a Chartered Accountant CD: SYBCOM MANAGEMENT ACCOUNTING SEM: III 100 Marks Hrs 3
22. Q2 A. Following is the Balance Sheet of M/s ABC Ltd. as on 31 March 2022. Balance Sheet As On 31-03-2022 Sales for the year Rs. 14,00,000. Gross Profit Rate — 25% and Opening Stock is Rs. 2,18,000 Profit Before Tax for the year ending March 2022 is Rs.4,10,000 You are required to compute the following Ratios: 15 marks
23. Q1 Current ratio
24. Q5 Proprietary Ratio
25. Q7 Return on capital Employed
26. Q8 Stock to Working Capital Ratio
27. Q2 B. following are the Balances in the books of A Ltd., for the year ended 31% March You are required to prepare Vertical Statement for the Year Ended March2022 and Vertical Balance Sheet as on that date VCD: SYBCOM MANAGEMENT ACCOUNTING SEM: III 100 Marks Hrs
28. Q3 A) following is the summary Balance sheet of Kajal on March 2022 \ Commission on issue of 15,000 Present the above Balance sheet in vertical form and show the following:
29. Q3 B) The following information is presented by Data and Sons Ltd. for the year 2021
30. Q22 Prepare an estimate of Working Capital. 15 marks
31. Q1 The company extends two months credit to the customers
32. Q2 The company maintains one month's stock of raw materials
33. Q3 The company maintains two month's stock of finished goods
34. Q4 The processing period is half a month
35. Q5 The company is allowed one month's credit by suppliers - i
36. Q6 Wages and Overheads are paid one month in arrears
37. Q7 The cash and bank balance is expected to be 8,125
38. Q8 There is regular purchase, production and sales cycle
39. Q9 During the production process wages and overheads accrue evenly
40. Q10 Debtors are to be calculated on sale price basis CD: SYBCOM MANAGEMENT ACCOUNTING SEM: III 100 Marks Hrs 3
41. Q4 A) Narayan Ltd. presents you the following information: Note : Expected Rate of Return @ 10% You are required to calculate: 15 marks
42. Q4 B) Calculate the following ratios from the given information: 15 marks
    • a) Return on Investments
    • b) Return on Equity Capital
    • c) Return on Shareholder’s fund
    • d) Debtors Turnover
    • e) Creditors Turnover
    • f) Debtors Velocity
    • g) Creditors Velocity VCD: SYBCOM MANAGEMENT ACCOUNTING SEM: Ill 100 Marks Hrs
43. Q5 A) From the following data provided by M/s. Alplta Ltd. estimate working capital requirements for the year ended 31st March, 2022. (15 Marks)
    • 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
    • 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 and overheads is 2 weeks each
    • g) Cash & Bank Balance to be maintained Rs.25,000
    • h) Selling price per unit is Rs.15
    • i) Analysis of cost per unit as follows: (1) Raw material 33%,% of sales. 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. A Degree of work-in-progress is 50%. Debtors are to be estimated at selling 2
44. Q5 B) Mahad Engineering Co. is Considering purchase of a machine costing Rs. i 5,00,000. Machine is expected to have five years of life with no scrap value Company provides depreciation on Straight line method. Income tax rate is 30% Expected Profit after depreciation but before tax and present value of Rs. | at 10% rate for the next five years is as follows : (15 Marks)
    • N.P. After Dep. But before Tax You are required to calculate:
    • a) Average Rate of Return on Average Investment
    • b) Payback period CD: SYBCOM MANAGEMENT ACCOUNTING SEM: III 100 Marks Hrs 3 j Q.6 Short Notes (Any 4) (20 Marks) j 1. Functions of a Management Accountants
45. Q3 Combined Ratios
46. Q5 Current Liabilities and Quick Liabilities
47. Q6 Operating Expenses
48. Q6 Answer the following 20 marks
49. Q1 Explain the Payback Period and Profitability Index Methods of Capital
50. Q2 Distinguish between Financial Accounting and Management Accounting

Read from the scan above, so a character or two may differ. The scan is the original.