Download BU (Bangalore University) MBA 1st Semester 2017 Feb Accounting Managers Question Paper

Download BU (Bangalore University) MBA (Master of Business Administration) 1st Semester 2017 Feb Accounting Managers Question Paper

IIIIHIIIIIII||||||||||||||||||||Il PG - 914
I Semester M.B.A. Degree Examination, February 2017
(CBCS)
MANAGEMENT
Paper ? 1.3 : Accounting for Managers
Time : 3 Hours Max. Marks : 70
SECTION ? A
Answer any five of the following questions. Each question carries five marks. (5x5=25)
1. What is GAAP ? Explain the need for GAAP.
2. Explain the factors influencing depreciation.
3. Explain various sources of information for decision making to the stake holders
of the Company.
4. Explain how product price is fixed under :
i) Traditional costing
ii) Target costing.
5. Sales Profit
Rs. Rs.
Year ? 1 10,00,000 2,00,000
Year ? 2 15,00,000 4,00,000
Your are required to calculate :
i) P.V. Ratio
ii) Fixed cost
iii) Break even sales volume
iv) Sales to earn a profit of Rs. 3,00,000.
P.T.O.

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6. From the following data prepare flexible budget for production of 40000 units
and 60000 units of product ?X? distinctly showing variable cost and fixed cost as
well as total cost.
100000 units
(per unit cost)
Direct Material 90
Direct Labour 45
Direct variable expenses 10
Manufacturing variable overhead 30
Fixed production overhead 10
Administration overhead (fixed) 5
7. Present the following information to show clearly to management :
a) The marginal product cost and the contribution per unit.
b) The total contribution and-profits resulting from each of the following
mixtures.
Product
A B
Direct Material 10 9
Direct wages 3 2
Variable expenses 100% of
direct wages for both products
Selling price 20 15
Fixed expenses 800
Sales mixtures :
a) 100 units of product A and 200 of B
b) 150 units of product A and 150 of B
c) 200 units of product A, and 100 of B.
SECTION ? B
Answer any three of the following questions. Each question carries 10 marks. (3x10=30)
8. What is window dressing of financial statements ? Explain the motives and
forms of window dressing.

|lllllllfllll|Il||||||l|l|||||||||| .3. PG ? 914
9.
?Costs may be classified in a variety of ways according to their nature and the
information needs of management". Explain and discuss this statement giving
examples of classification required for different purposes.
10. A company having a net working capital of Rs. 2,80,000 as 31 -3?201 5 indicates
11.
the following financial ratios and performance figures :
Current ratio 2.4
Liquidity ratio 1.6
Inventory turnover (on cost of sales) 8
Gross profit on sales 20%
Credit allowed (months) 1.5
The company?s fixed assests is equivalent to 90% of its net worth (share capital
plus reserves) while reserves amounted 40% of share capital. Prepare the
imaginary Balance Sheet of a company-as on 31-3-2015 showing step by step
calculation.
From the following information prepare Cash Flow Statement according to
AS ? 3 (Indirect Method) :
Comparative Balance Sheet Excellent Ltd.
Liabilities and As at As at Assets As at As at
Capital 31 -3-2006 31 ?3-2005 31 -3?2006 31 -3-2005
Rs. R5. R5. R5.
Share capital 50,00,000 40,00,000 Fixed
Reserves and Assets 31,00,000 30,00,000
Surplus 15,00,000 5,00,000 Investments 1,50,000 ?
Secured Loans 35,00,000 40,00,000 Cash and Bank
CurrentLiabilities 50,00,000 60,00,000 Balances 2,50,000 1,25,000
Stocks, Stores,
Work-in-
Progress 75,00,000 78,75,000
Sundry
Debtors 40,00,000 35,00,000
1,50,00,000 1,45,00,000 1,50,00,000 1,45,00,000
i) The net profit for the year after adjustment in respect of provisions for
dividends and taxation was Rs. 10,00,000.
ii) There was addition to Fixed Assets during the year amounting to Rs. 4,00,000
and Depreciation for the year was Rs. 3,00,000.

PG?914 1 .4. |llllllllllllllllIlllllllllNIHIIl ,
SECTION ? C
12. Case study : Compulsory. (1 x15=15)
Prepare a Balance Sheet in a vertical form as at 31 -3?2016 from the following
information of XYZ Ltd. as required under Part I ? B of Schedule III of the
Companies Act, 2013.
Term loans 10,00,000 Sundry debtors 12,25,000
Sundry creditors 11,45,000 Miscellaneous expenses 58,000
Advances 3,72,000 Loans from debtors 2,00,000
Cash and bank balances 2,75,000 Provision for doubtful debts 20,200
Staff advances 55,000 Stores 4,00,000
Provision for taxation 1,70,000 Fixed assets (WDV) 51,50,000
Share premium 4,75,000 Finished goods 7,50,000
Loose tools 50,000 General reserve 20,50,000
Investments 2,25,200 Capital work-in-progress 2,00,000
Loss for the year 3,00,000
Additional Information :
1) Share capital consists of :
a) 3,000 equity shares of Rs. 100 each fully paid up.
b) 10,000 ? 10% redeemable preference shares of Rs. 100 each fully
paid up.
2) Term loans are secured.
3) Depreciation on assets Rs. 5,00,000.

This post was last modified on 28 January 2020