BCom TY BCom Sem 5 2023 2024 Oct 2024 FINANCIAL ACCOUNTING & AUDITING PAPER VII FINANCIAL ACCOUNTING Question Paper - Mumbai University | munotes

Questions asked in this paper

• 2) Figures to the right indicate full marks

1. Q3 Working notes should form part of your answer
2. Q4 Use of simple calculator is allowed State whether the following statements are true or false (any ten) (10)
3. Q1 Short term provision is a part of Non Current Liabilities
4. Q2 Contingent liabilities are shown in Balance Sheet under the head Current liabilities
5. Q3 Change in Inventory = Opening Stock of Raw Material less Closing Stock of Raw Material
6. Q4 If the buyback exceeds 10% of the paid-up capital, the board of directors has the authority to approve it by resolution at a meeting
7. Q5 The debt equity ratio must be more than 2:1 after buyback
8. Q6 The buyback must be completed within 15 months from the date of passing the resolution
9. Q7 In the case of internal reconstruction, no new company is created
10. Q8 Alteration of share capital is one of the methods of Internal Reconstruction
11. Q9 Interest is always calculated on the face value of the securities
12. Q10 Profit from the sale of an investment should be debited to the investment account
13. Q11 CSR stands for Corporate Social Responsibility
14. Q12 Ethics is a branch of moral philosophy that guides people about the basic human conduct Match the following items from column A with column B (any ten) (10)
15. Q3 Conversion of shares of larger denomination | c) Without Interest Process of of a Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
16. Q2 Following is the Trial Balance of Pruthvi Itd; as on March 2023. Land & Building | 18,000 Equity Shares of Rs Following are the other particulars: 20 marks
17. Q1 Provide 10% Depreciation on Land Building and Plant Machinery
18. Q2 Outstanding Wages were Rs. 19558
19. Q3 Interest on Debentures is outstanding for the year 2022-23
20. Q4 Transfer Rs. 1,50,000 to General Reserve
21. Q6 Bills Receivable includes a dishonored bill of Rs. 50,000
22. Q7 On March 2023, Stock of finished goods was valued at Rs. 6,46,040
23. Q8 The Authorized share capital of the company was Rs. 20,00,000 divided in to 20,000 Equity Shares of Rs.100 each Prepare statement of profit and loss account for the year ended March 2023 and Balance Sheet as on that date
24. Q2 Mr. Manoj holds 1,500, 10% Debentures of Rs. 100 each in Rahul Itd; as on April 2022 at a cost of Rs. 1,80,000. Interest is payable half yearly on 30" September and March every year. Following are the transactions for the year ended 31“ March 2023. (20) Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting The books of accounts are closed on March every year. Prepare Investment in 10% Debentures account in the books of Manoj for the year ended March 2023. Market value of the above Investment on March 2023 was Rs. 1,22,000
25. Q3 Following is the Summarized Balance Sheet of Shital Ltd; as on March 2023. 20 marks
26. Q1 Equity and Liabilities Equity Shares of Rs. 10 each fully Paid 30,00,000 12% Cumulative Preference Shares of Rs. 100 each fully paid 15,00,000 45 ,00 000 Interest on Debentures 1,80,000 Land and Building 28 Plant and Machinery Cash at Bank 1,00,000 Profit and loss account 12,00,000 Discount on Issue of Shares 75,000 Preference Dividend is in arrears for two years. Following scheme of Reconstruction was approved by the court
27. Q1 Preference Shares were converted in to equal number of fully paid 10% preference Shares of Rs. 70 each
28. Q2 Equity Shares to be reduced to Rs. 6 each fully paid up
29. Q3 Investment was sold at a profit of 10%
30. Q4 Preference Shareholders waived half of the arrears of dividend, and the remaining amount was paid in cash
31. Q5 12% Debenture holders agreed to accept Plant and Machinery for Rs. 7,00,000, and for remaining balance they accepted 8,000, 15% Debentures of Rs. 100 each fully paid Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
32. Q6 Debenture holders agreed to forgo 50% of the interest and remaining balance is to be paid
33. Q7 Write off Goodwill, Debit balance of Profit and loss a/c, Discount on Issue of Shares and
34. Q8 Bank Overdraft was paid You are requested to pass necessary journal entries, Prepare Capital reduction account and
35. Q3 a) From the following information prepare statement of Profit and Loss account of Nitin for the year ended March 2023 10 marks
36. Q3 b) From the following information Find out Maximum number of Shares to be bought Back by the Shreyash Ltd; at a offer Price of Rs. 250 Per Share 1,00,000 Equity Shares of Rs. 100 each 1,00,00,000 10,000, 10% Preference Shares of Rs. 100 each 10,00,000 Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting Issued, Subscribed, Called up and Paid up: 70,000 Equity Shares of Rs. 100 each, Rs. 80 Per share Called up and Paid Up. 56,00,000 5,000 10% Preference Shares of Rs. 100 each 10 marks
37. Q4 The Summarized Balance Sheet of Prakash Itd; as on March 2023 20 marks
38. Q1 Equity and Liabilities
39. Q1 Shareholders’ Funds
    • a) Share Capital 4,00,000 Equity Shares of Rs. 10 each fully Paid
    • b) Reserve & Surplus Profit and Loss a/c
40. Q3 Current liabilities
    • a) Trade Payables
41. Q1 Fixed Assets 55,00,000
42. Q2 Bank Balance 18,00,000 Ascertain the maximum number of shares the company can buyback at a price of Rs. 30 per share. Assuming the buyback is actually carried out:
    • a) Pass Necessary Journal entries in the books of Prakash Ltd; and Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
43. Q4 a) On 1* April 2022 Mr. Dhananjay had 3,000 Equity Shares of Rs. 100 each atacost of Rs. 6,90,000. He furnished the following particulars for the year ended 31/03/2023 Following additional information is also provided by him:
44. Q1 On 31* August 2022 Dividend @ Rs. 30 per Share for the year ended 31/03/2022 was received by
45. Q2 On 30 September, 2022 The Company issued right shares, in the ratio of one share for every five shares held on Payment of Rs. 200 per share. Mr. Dhananjay Subscribed 50% of the Rights and Sold remaining to Mr. Pravin @ Rs. 150 per Share You are requested to prepare the Investment in Equity Shares account for the year ended
46. Q4 b) Following is the summarized Balance Sheet of M/s Jayashri Ltd; as on 10% Preference Shares of Rs. 100 each 10,00,000 Equity Shares of Rs. 10 each 15,00,000 Discount on issue of Debentures 50,000 Following scheme of Reconstruction has been approved by the court:
47. Q1 Equity Shares to be reduced by Rs. 3 per share
48. Q2 10% Preference Shares were reduced to Rs. 80 per share fully paid up
49. Q3 11% Debenture holders agreed to waive 30% of their rights
50. Q4 30% of the creditors are to be reduced to 80% and 60% of the creditors to be reduced by 30%
51. Q5 All intangible and Fictitious Assets are to be written off Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
52. Q6 Assets were revalued as: Land & building Rs. 16,00,000 : Stock to be reduced by Rs. 62,000 You are required to pass necessary journal entries and prepare capital reduction account in the books
53. Q5 a) Explain the effects of unethical behaviour on financial reporting. 10 marks
    • b) What are the sources of buyback? Explain benefits of buyback. 10
54. Q5 Write Short Notes (Any Four) 20 marks
    • a) Reserve and Surplus in Final Accounts of Companies
    • b) Consolidation and Subdivision of Shares
    • c) Whistle Blowing
    • d) Ex Interest and Cum Interest
    • e) Property, plant and Equipment (Tangible Fixed Asset)
    • f) Need of internal Reconstruction Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
55. Q3 fear
56. Q2 fe Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
57. Q2 AS
58. Q8 20,00,000 HEA TAT Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting
59. Q2 APT Paper Subject Code: 23101 Financial Accounting and Auditing VII - Financial Accounting

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