Download JNTUH (Jawaharlal nehru technological university) MCA (Master of Computer Applications) 1st Sem (First Semester) Regulation-R15 2018 June-July 821AE Accounting And Financial Management Previous Question Paper
R15
Code No: 821AE
JAWAHARLAL NEHRU TECHNOLOGICAL UNIVERSITY HYDERABAD
MCA I Semester Examinations, June/July - 2018
ACCOUNTING AND FINANCIAL MANAGEMENT
Time: 3hrs
Max.Marks:75
Note: This question paper contains two parts A and B.
Part A is compulsory which carries 25 marks. Answer all questions in Part A. Part B
consists of 5 Units. Answer any one full question from each unit. Each question carries
10 marks and may have a, b, c as sub questions.
PART - A
5 ? 5 Marks = 25
1.a)
What is a cash book? Explain the significance of `three column'cash book.
[5]
b)
What do you understand by a `working capital'? What are the sources of raising working
capital?
[5]
c) Differentiate `funds flow statement' from `cash flow statement'.
[5]
d)
What is the significance of Break-even analysis? Bring out the important managerial uses
of Break-even analysis.
[5]
e)
Define `Payback period'. What are the advantages and limitations of Payback method in
financial appraisal of a project?
[5]
PART - B
5 ? 10 Marks = 50
2.a)
Differentiate Trial balance from `Balance sheet'.
b)
Prepare the Trial Balance as on 31-12-2017 from the following balances of Mr. Mohan. [5+5]
Rs.
Rs.
Capital 1,70,000
Creditors 6,500
Drawings 2,000 Salaries 19,100
Purchases 47,000 Sales returns 1,700
Purchase return 1,200
Carriage inwards 700
Bills receivable 2,900
Bills payable 3,500
Debtors 8,000
Sales 72,000
Printing and stationary 2,500
Insurance 1,100
Stock 14,950
Machinery 25,000
Wages 2,500
Rent 800
Land 1,25,000
Electricity charges 1,200
Interest received 850
Commission received 400
OR
3.a)
Enunciate the principles of accounting.
b)
What is double entry system of book keeping? What are its advantages?
[4+6]
4.a)
A firm has a sales of Rs. 10,00,000, variable cost of Rs.7,00,000 and fixed costs of
Rs.2,00,000 and debt of Rs.5,00,000 at 10% rate of interest. What are the operating,
financial and combined leverages?
b) What are the major functions of finance manager of a business enterprise?
[5+5]
OR
5.a)
A company raised preference share capital of Rs. 40,00,000 by issue of 10% preference
shares of Rs.100 each. Calculate the cost of preference capital when they are issued at
i) 10% premium and at ii) 10% discount.
b)
What do you understand by the term `cost of capital'? How would you calculate it? [5+5]
6.a)
Ramesh & Co. sells goods on cash as well as credit. The following particulars are
extracted from their books of account for the calendar year 2016.
Total gross sales Rs. 10,00,000
Cash sales ( included in the above) Rs. 2,00,000
Sales returns Rs. 70,000
Total sundry debtors as on 31/12/16 Rs. 90,000
Bills receivables as on 31/12/16 Rs. 20,000
Provision for doubtful debts on 31/12/16 Rs. 10,000
Total creditors 31/12/16 Rs. 1,00,000
Calculate the average collection period.
b)
What are the limitations of cash flow statement?
[6+4]
OR
7.a)
Explain briefly the significance of Funds Flow statement.
b)
Compute the payout and retained earnings ratio from the following data:
Net profit Rs. 10,000 no. of equity shares 3000
Provision for tax Rs. 5,000 dividend per equity share Rs. 0.40
Preference dividend Rs. 2,000
[5+5]
8.
John & Co. has supplied you the following information in respect of one of its products.
Rs.
Total fixed costs 18,00,000
Total variable costs 30,00,000
Total Sales 60,00,000
Units sold 20,000
Find out a) Contribution per unit, b) break-even point, c) margin of safety d) profit and
e) volume of sales to earn a profit of Rs.24,00,000.
[10]
OR
9.a)
What is a flexible budget? Under what circumstances would you recommend flexible
budgeting?
b)
What are the preparatory measures needed before formulating a budget?
[5+5]
10.
A company has to choose one of the following two mutually exclusive projects. Both
projects have to be depreciated on straight line basis. The tax rate is 40%. Using pay-back
approach, evaluate the two projects.
[10]
year
cash inflow for project A cash inflow for project B.
Rs.
Rs.
0
-- 16,00,000
--16,00,000
1
4,20,000
4,80,000
2
4,80,000
4,80,000
3
7,00,000
5,20,000
4
8,00,000
5,00,000
5
5,00,000
10,00,000
OR
11.
A company wants to purchase a plant for its expanding operations. The desired plant is
available at Rs.30,00,000 in cash or Rs.45,00,000 to be paid in 5 equal installments due at
the end of each year. Assuming the required rate of return of 15 per cent, which option
should the company exercise? Ignore taxes.
[10]
---oo0oo---
This post was last modified on 16 March 2023