THIRD SEMESTER B.B.A LL.B [HONS.]DEGREE EXAMINATION 2014
CL 10 - FINANCIAL ACCOUNTING
Time : Three Hours Maximum : 75 Marks
Part A
Write short notes on any six of the following.
Each question carries 5 marks.
1. Explain the meaning of accounting.
2. What do you mean by Accounting standards ?
3. Why do you prepare final accounts.
4. What is meant by outstanding expenses ? Give its adjusting entry.
5. Write short note on manufacturing account.
6. What are the objectives of Branch Accounting ?
7. Mention some important methods of providing depreciation.
8. What are the differences between Consignment and Sale ?
[ 6*5=30 ]
Part B
Answer any two questions.
Each question carries 10 marks
1. What is a Trial balance ? State any four functions of a Trial Balance.
2. A company purchased machinery worth Rs.6,00,000 on 1st October 2006 and decided to depreciate it 10% per annum on diminishing balance method.
On 31st March 2009 the company decided to depreciate it at 10% per annum on fixed instalment method from the beginning and to adjust the differences, in depreciation arising from the change o method to the profit and loss account.
Show the machinery account for the years 2006-07-08-09 assuming that the financial year closes on 31st March every year.
3. Record the following transaction in the journal of Vishal :
2009
May 1 Commenced business with cash -Rs.5,00,000
2 Goods purchased from Mohan for cash-Rs.50,000
3 Goods purchased from Ajay -Rs 1,20,000
4 Goods returned to Ajay- Rs 5,000
8 Goods sold to Rajiv-Rs 40,000
9 Rajive returned 10% of goods.
[ 2*10=20 ]
Part C
Answer any two questions.
Each question carries 12.5 marks.
1. Why do consignors send goods at loaded price ? What are the adjusting entries to arrive at true profit ? .
2. Distinguish between Hire Purchase and Installment system.
3. What do you mean by grouping and marshalling of Assets and Liabilities ?
[ 2*12.5=25 ]