Download GTU (Gujarat Technological University) MBA (Master of Business Administration) 2018 Summer 1st Sem 2810001 Accounting For Managers Afm Previous Question Paper
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1) ? EXAMINATION ? SUMMER 2018
Subject Code:2810001 Date: 30/04/2018
Subject Name: ACCOUNTING FOR MANAGERS (AFM)
Time: 10:30 AM TO 1:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q1. (a) Multi choice Questions: 06
1 Valuation of Intangible asset is associated with?
A. AS 6 B. AS 2
C. AS 1 D. AS 26
2 Rate of depreciation as per Appendix I ? Rules 5 of Income Tax Act for
computer is?
A. 10% B. 15%
C. 60% D. 25%
3 ?The owner is treated as creditor to the extent of his capital?, is an assumption
of which concept?
A. Monetary Unit B. Business Entity
C. Going Concern D. Cost Concept
4 Which variable does not have debit balance under Trial Balance?
A. Goods Stolen B. Carriage Inward
C. Carriage Outward D. Loose Tools
5 International Accounting Standards Committee (IASC), was established in
which year?
A. 1973 B. 1974
C. 1975 D. 1976
6 _________helps in understanding the level of working capital and its
movement.
A. Cash Flow Statement B. Funds Flow Analysis
C. Financial Statement Analysis D. ABC Analysis
Q1. (b) Explain the terms: 04
1. Going Concern
2. Contingent Liabilities
3. Management Accounting
4. Book Value
Q1. (c) Explain qualitative characteristics of Financial Accounting. 04
Q2. (a) Discuss the steps in Accounting Process with appropriate illustrations. 07
(b) Journalize the transactions in the books of ?Baaghi ltd?
1. LIC Premium of Rs. 2000 paid by Cheque.
2. Sold goods of Rs. 1000 to shraddha on credit
3. Goods of Rs. 4000 were destroyed by fire.
4. Sold goods of Rs. 8000 at 5% trade discount to Tiger on credit
07
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Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1) ? EXAMINATION ? SUMMER 2018
Subject Code:2810001 Date: 30/04/2018
Subject Name: ACCOUNTING FOR MANAGERS (AFM)
Time: 10:30 AM TO 1:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q1. (a) Multi choice Questions: 06
1 Valuation of Intangible asset is associated with?
A. AS 6 B. AS 2
C. AS 1 D. AS 26
2 Rate of depreciation as per Appendix I ? Rules 5 of Income Tax Act for
computer is?
A. 10% B. 15%
C. 60% D. 25%
3 ?The owner is treated as creditor to the extent of his capital?, is an assumption
of which concept?
A. Monetary Unit B. Business Entity
C. Going Concern D. Cost Concept
4 Which variable does not have debit balance under Trial Balance?
A. Goods Stolen B. Carriage Inward
C. Carriage Outward D. Loose Tools
5 International Accounting Standards Committee (IASC), was established in
which year?
A. 1973 B. 1974
C. 1975 D. 1976
6 _________helps in understanding the level of working capital and its
movement.
A. Cash Flow Statement B. Funds Flow Analysis
C. Financial Statement Analysis D. ABC Analysis
Q1. (b) Explain the terms: 04
1. Going Concern
2. Contingent Liabilities
3. Management Accounting
4. Book Value
Q1. (c) Explain qualitative characteristics of Financial Accounting. 04
Q2. (a) Discuss the steps in Accounting Process with appropriate illustrations. 07
(b) Journalize the transactions in the books of ?Baaghi ltd?
1. LIC Premium of Rs. 2000 paid by Cheque.
2. Sold goods of Rs. 1000 to shraddha on credit
3. Goods of Rs. 4000 were destroyed by fire.
4. Sold goods of Rs. 8000 at 5% trade discount to Tiger on credit
07
2 | P a g e
5. Purchase furniture of Rs. 45000 for personal use from shakti furniture.
6. Received commission of Rs. 1000 from Arti
7.Goods of Rs, 25000 were distributed as free samples for advertisements.
OR
(b) Cost of Raw material is Rs. 100, Market price of Raw Material is Rs. 110.
Selling expenses is Rs.20. What shall be the valuation of inventory as per AS
2.
07
Q3. (a) What is Trial Balance? Explain how it ensures arithmetical accuracy. 07
(b) Sonakshi Textiles ltd. sought the advice of an investment advisor for
deployment of surplus funds of around Rs. 18 lacs in the stock market. The
advisor advised to invest in Deepika Tubes ltd. and charged Rs. 5,000 as
brokerage. Accordingly investing company bought 5000 shares of Deepika
Tubes ltd,@ Rs. 350 per share from BSE through stock broker. Brokerage of
0.5% was charged. Determine cost of investment.
07
OR
Q3. (a) Explain the difference between Reserves and Provisions. 07
(b) Perform Horizontal Analysis on Profit and Loss Account of Golmaal ltd for
the year ending on 31st March, 2018 & Interpret the variables
(Rs in ?000)
Particulars 2017 2018
Income
Sales 210 270
Expenditure
Employee Cost 30 55
Fuel 10 25
Audit Fee 80 90
Total Expenditure 120 170
EBDIT 90 100
Depreciation 15 15
EBIT 75 85
Interest 8 5
EBT 67 80
Tax 50 50
PAT 17 30
07
Q4. (a) Draw the format of Corporate Profit and Loss account and explain the main
Schedules in it.
07
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Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1) ? EXAMINATION ? SUMMER 2018
Subject Code:2810001 Date: 30/04/2018
Subject Name: ACCOUNTING FOR MANAGERS (AFM)
Time: 10:30 AM TO 1:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q1. (a) Multi choice Questions: 06
1 Valuation of Intangible asset is associated with?
A. AS 6 B. AS 2
C. AS 1 D. AS 26
2 Rate of depreciation as per Appendix I ? Rules 5 of Income Tax Act for
computer is?
A. 10% B. 15%
C. 60% D. 25%
3 ?The owner is treated as creditor to the extent of his capital?, is an assumption
of which concept?
A. Monetary Unit B. Business Entity
C. Going Concern D. Cost Concept
4 Which variable does not have debit balance under Trial Balance?
A. Goods Stolen B. Carriage Inward
C. Carriage Outward D. Loose Tools
5 International Accounting Standards Committee (IASC), was established in
which year?
A. 1973 B. 1974
C. 1975 D. 1976
6 _________helps in understanding the level of working capital and its
movement.
A. Cash Flow Statement B. Funds Flow Analysis
C. Financial Statement Analysis D. ABC Analysis
Q1. (b) Explain the terms: 04
1. Going Concern
2. Contingent Liabilities
3. Management Accounting
4. Book Value
Q1. (c) Explain qualitative characteristics of Financial Accounting. 04
Q2. (a) Discuss the steps in Accounting Process with appropriate illustrations. 07
(b) Journalize the transactions in the books of ?Baaghi ltd?
1. LIC Premium of Rs. 2000 paid by Cheque.
2. Sold goods of Rs. 1000 to shraddha on credit
3. Goods of Rs. 4000 were destroyed by fire.
4. Sold goods of Rs. 8000 at 5% trade discount to Tiger on credit
07
2 | P a g e
5. Purchase furniture of Rs. 45000 for personal use from shakti furniture.
6. Received commission of Rs. 1000 from Arti
7.Goods of Rs, 25000 were distributed as free samples for advertisements.
OR
(b) Cost of Raw material is Rs. 100, Market price of Raw Material is Rs. 110.
Selling expenses is Rs.20. What shall be the valuation of inventory as per AS
2.
07
Q3. (a) What is Trial Balance? Explain how it ensures arithmetical accuracy. 07
(b) Sonakshi Textiles ltd. sought the advice of an investment advisor for
deployment of surplus funds of around Rs. 18 lacs in the stock market. The
advisor advised to invest in Deepika Tubes ltd. and charged Rs. 5,000 as
brokerage. Accordingly investing company bought 5000 shares of Deepika
Tubes ltd,@ Rs. 350 per share from BSE through stock broker. Brokerage of
0.5% was charged. Determine cost of investment.
07
OR
Q3. (a) Explain the difference between Reserves and Provisions. 07
(b) Perform Horizontal Analysis on Profit and Loss Account of Golmaal ltd for
the year ending on 31st March, 2018 & Interpret the variables
(Rs in ?000)
Particulars 2017 2018
Income
Sales 210 270
Expenditure
Employee Cost 30 55
Fuel 10 25
Audit Fee 80 90
Total Expenditure 120 170
EBDIT 90 100
Depreciation 15 15
EBIT 75 85
Interest 8 5
EBT 67 80
Tax 50 50
PAT 17 30
07
Q4. (a) Draw the format of Corporate Profit and Loss account and explain the main
Schedules in it.
07
3 | P a g e
(b) Jagga Jasoos ltd. purchase a machinery, of which details are furnished as
under, you are required to determine cost of machine.
QUOTATION
Invoice Price Amount (Rs.)
List Price 55 lacs
Less Trade Discount 01 Lacs
54 Lacs
Add Sales tax and Excise duty 6 Lacs
60 Lacs
Credit Available on excise duty included above Rs. 4 Lac
Transportation charges Rs. 25000
Installation charges Rs. 75000
07
OR
Q4. (a) Explain the process to be undertaken for shifting the method of depreciation
for an organization.
07
(b) Perform Common sized Analysis on Balance Sheet of Kaal ltd for the year
ending on 31st March, 2018 & Interpret the variables
Particulars 2017 2018
LIABILITIES
Equity 40 42
Reserves & Surplus 500 520
Long Term Debt 90 100
Current Liabilities
Bill Payable 20 10
Provisions 40 20
Total Liabilities 690 692
ASSETS
Fixed Assets
Machine 200 250
Furniture 100 100
Gross Block 300 350
Less : Acc.
Depreciation
50 50
Net Block 250 300
Investments 140 200
Current Assets
Stock 200 92
Debtors 100 100
Total Assets 690 692
07
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Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1) ? EXAMINATION ? SUMMER 2018
Subject Code:2810001 Date: 30/04/2018
Subject Name: ACCOUNTING FOR MANAGERS (AFM)
Time: 10:30 AM TO 1:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q1. (a) Multi choice Questions: 06
1 Valuation of Intangible asset is associated with?
A. AS 6 B. AS 2
C. AS 1 D. AS 26
2 Rate of depreciation as per Appendix I ? Rules 5 of Income Tax Act for
computer is?
A. 10% B. 15%
C. 60% D. 25%
3 ?The owner is treated as creditor to the extent of his capital?, is an assumption
of which concept?
A. Monetary Unit B. Business Entity
C. Going Concern D. Cost Concept
4 Which variable does not have debit balance under Trial Balance?
A. Goods Stolen B. Carriage Inward
C. Carriage Outward D. Loose Tools
5 International Accounting Standards Committee (IASC), was established in
which year?
A. 1973 B. 1974
C. 1975 D. 1976
6 _________helps in understanding the level of working capital and its
movement.
A. Cash Flow Statement B. Funds Flow Analysis
C. Financial Statement Analysis D. ABC Analysis
Q1. (b) Explain the terms: 04
1. Going Concern
2. Contingent Liabilities
3. Management Accounting
4. Book Value
Q1. (c) Explain qualitative characteristics of Financial Accounting. 04
Q2. (a) Discuss the steps in Accounting Process with appropriate illustrations. 07
(b) Journalize the transactions in the books of ?Baaghi ltd?
1. LIC Premium of Rs. 2000 paid by Cheque.
2. Sold goods of Rs. 1000 to shraddha on credit
3. Goods of Rs. 4000 were destroyed by fire.
4. Sold goods of Rs. 8000 at 5% trade discount to Tiger on credit
07
2 | P a g e
5. Purchase furniture of Rs. 45000 for personal use from shakti furniture.
6. Received commission of Rs. 1000 from Arti
7.Goods of Rs, 25000 were distributed as free samples for advertisements.
OR
(b) Cost of Raw material is Rs. 100, Market price of Raw Material is Rs. 110.
Selling expenses is Rs.20. What shall be the valuation of inventory as per AS
2.
07
Q3. (a) What is Trial Balance? Explain how it ensures arithmetical accuracy. 07
(b) Sonakshi Textiles ltd. sought the advice of an investment advisor for
deployment of surplus funds of around Rs. 18 lacs in the stock market. The
advisor advised to invest in Deepika Tubes ltd. and charged Rs. 5,000 as
brokerage. Accordingly investing company bought 5000 shares of Deepika
Tubes ltd,@ Rs. 350 per share from BSE through stock broker. Brokerage of
0.5% was charged. Determine cost of investment.
07
OR
Q3. (a) Explain the difference between Reserves and Provisions. 07
(b) Perform Horizontal Analysis on Profit and Loss Account of Golmaal ltd for
the year ending on 31st March, 2018 & Interpret the variables
(Rs in ?000)
Particulars 2017 2018
Income
Sales 210 270
Expenditure
Employee Cost 30 55
Fuel 10 25
Audit Fee 80 90
Total Expenditure 120 170
EBDIT 90 100
Depreciation 15 15
EBIT 75 85
Interest 8 5
EBT 67 80
Tax 50 50
PAT 17 30
07
Q4. (a) Draw the format of Corporate Profit and Loss account and explain the main
Schedules in it.
07
3 | P a g e
(b) Jagga Jasoos ltd. purchase a machinery, of which details are furnished as
under, you are required to determine cost of machine.
QUOTATION
Invoice Price Amount (Rs.)
List Price 55 lacs
Less Trade Discount 01 Lacs
54 Lacs
Add Sales tax and Excise duty 6 Lacs
60 Lacs
Credit Available on excise duty included above Rs. 4 Lac
Transportation charges Rs. 25000
Installation charges Rs. 75000
07
OR
Q4. (a) Explain the process to be undertaken for shifting the method of depreciation
for an organization.
07
(b) Perform Common sized Analysis on Balance Sheet of Kaal ltd for the year
ending on 31st March, 2018 & Interpret the variables
Particulars 2017 2018
LIABILITIES
Equity 40 42
Reserves & Surplus 500 520
Long Term Debt 90 100
Current Liabilities
Bill Payable 20 10
Provisions 40 20
Total Liabilities 690 692
ASSETS
Fixed Assets
Machine 200 250
Furniture 100 100
Gross Block 300 350
Less : Acc.
Depreciation
50 50
Net Block 250 300
Investments 140 200
Current Assets
Stock 200 92
Debtors 100 100
Total Assets 690 692
07
4 | P a g e
Q5.
Below are the data from the books of Padmavat ltd. :
Annual Sales (all credit) Rs. 36,00,000
Sales to Net worth 2.5 times
Total Debts to Net worth 80%
Current liabilities to Net worth 25%
Current Ratio 3:1
Inventory Turnover Ratio (based on sales) 6 times
Average collection period 40 days in a year of 360 days
Fixed Assets to Net worth 1.05 : 1
Share Capital to Reserves and Surplus 1:0.8
Prepare the Balance Sheet as on that date based on above information.
14
OR
Q5. From the given ?Trial Balance? of ?Secret Superstar Ltd. ?as on 31-3-2017.
Prepare Profit and Loss Account & determine Net Profit /Loss
Particulars Debit (Rs.) Credit (Rs.)
Carriage Out ward 1620
Goods burnt into fire and its loss 2550 4530
Bad debt and Bad debt Reserve 1800 10,000
Insurance Premium (Rs. 3000 paid for the
year ended 31-7-2017)
7000
12% Investment and Its Interest (1-1-2017) 20,000 400
Salary and Wages (1:3) 16000
Opening Stock of Stationery 1000
Stationery Purchased 2000
Advertisement Expenses and Goods
distributed as sample
2000 1500
Personal A/c 50000 30600
Discount 5000 10000
Bad Debt Return 1000
Apprentice Premium (Received for 2.5
years from 1-1-2017)
6000
Brokerage 5000
Adjustments:
1. Make Provision 10% on Bad Debt Reserve
2. Advertisement Material on hand is 10%, while 1/3 Advertisement
Balance is transferred to next year
14
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This post was last modified on 19 February 2020