A A SN-451 | Semester B.Com. Examination, November/December 2017 (F+R) (CBCS) (2014 — 15 and Onwards) Commerce Paper — 1.3: FINANCIAL ACCOUNTING —1 Time : 3Hours Max. Marks : 70 Instruction : Answer should be written completely either in English or in Kannada, SECTION-A 1. Answerany five sub-questions. Each sub-question carries two marks. (5x2=10) a) What do you mean by Accounting Standards ? b) Mention any two objectives of Financial Accounting. ) Bring out the meaning of short Working with an example. d) Whatis single entry system ? €) State two features of hire purchase system. f) Whats Realisation Account ? g) Mention the two methods of purchase consideration. SECTION-B. Answerany three questions. Each question carries sixmarks. (8x6=18) 2. Describe any three advantages and three limitations of Financial Accounting. 3, Prepare an analytical table of royalties from the following details : a) Minimum Rent %20,000p.a. b) Royalty % 2.00 per ton of ore raised c) Short workings are recoverable during the first 3 years of the lease only d) The output for the first 4 years was 2013 : 2,000 tons, 2015 : 15,000 tons, 2016: 20,000 tons P10.SN = 451 a AN A A 4. Ms. Venya purchases a motor car on hire purchases system. Calculate cash price of the motor car from the following. Down payment 7 20,000 ; 1** yearly installment % 28,000 ; 2"4 yearly installment % 36,000 ; 3 yearly installment 33,000 ; Rate of interest 10 % p.a. 5. Calculate the total purchases from the following information. Particulars Rs. Opening Balance of creditors 3,000 Cash paid to creditors 90,000 Goods returned to creditors 15,000 Acceptances issued to creditors 90,000 Discount allowed by creditors 2,000, Closing balance of creditors 6,000 Cash purchases during the period amounted to Rs. 50,000/- 6. Caloulate the amount of purchase consideration from the following : The purchasing Co., has agreed to issue 30,000 equity shares off 10 each ata premium of 10 %, 1,000, 8 % preference shares of % 100 each at par, 1,000, 6 % debentures of % 100 each at a discount of 10 % and pay cash equal to 25,000. SECTION-—C Answerany three questions. Each question carries 14 marks. (3x14=42) 7. On 1-1-2012 Deeksha and Company purchased a machinery under hire purchase ‘system. The cash price was? 17,000 payable as under, ¢ 2,000 on signing the agreement and the balance in 3 installments of < 5,000 each together with interest at 8 % p.a. On 31% of December each year the asset is depreciated at 10 % p.a. on original cost method. Prepare necessary Ledger Accounts in the books of Deeksha and Co., under asset accrual method. 8. Ms. Monika patented an Automatic Door Closer and granted to Ms. Suraksha the licence to manufacture and sell the Door Closers for 10 years on the following terms. a) Suraksha to pay a Royalty of € 5 for every door closer sold with a minimum rent of % 2,500 p.a. b) Stiraksha could set off the short workings arising in any year against surplus royalties payable in the next 2 years.‘Ane ae SN - 451 c) From the second year onwards the dead rent is agreed upon at % 2,000 instead of 2,500 and all other terms being unchanged. The other details are : Year Sales (units) 2013 100 2014 200 2015 300 2016 500 Show ledger accounts in the books of Suraksha and Co., including minimum rent account. 9. Mr. Ridhansh, a general goods merchant does not maintain his books of accounts systematically. However the following information could be ascertained from his books of accounts for the year ended 31° March 2016. Assets and Liabilities Balances 1-4-2015 — 31-3-2016 z z Plant and machinery 63,000 63,000 Stock of goods 28,000 24,500 Sundry debtors 7,000 40,500 Sundry creditors 17,500 16,310 Balance at bank 14,000 16,110 Cash Transactions during the year ended 31-3-2016 : Particulars z Wages paid 21,000 Sundry expenses 8,250 Advertisement expenses 3,920 Rent paid 8,750 Purchase expenses 8,610 Cash collected from debtors 2,88,750 Cash paid to creditors 2,25,190 Drawings 10,920 Mr. Ridhansh drew goods worth 2,730/- from the business during the year for his household purposes. The purchase retums and sales returns during the year amounted to® 7,000/- and? 3,500/- respectively. The plant and machinery have to be depreciated at 5 %. Prepare Trading and Profit and Loss A/c for the year ended 31° March 2016 and also Balance Sheet on the same date.SN - 451 + (AN 0 40. Ram and Prem are partners havings profit sharing ratio of 2 : 1 and their Balance Sheet as on 31-3-2017 was as follows : Liabilities z Assets rz Creditors 40,000 Cashinhand 300 Billspayable 10,000 _ Bills receivable 5,000 Ram'sioan 20,000 -—Debtors 60,000 Ram’scapital 30,000 _—_Less: Reserve 3.000 57,000 Prem'scapital 20,000 Stock 43,700 Reservefund 6,000 —- Machinery 20,000 1,26,000 1,26,000 They agreed to sell the business to a Limited Co. and the Co., to take over the assets and liabilities as follows : Machinery at® 16,000, Stock at 35,000, Debtors at 50,700. B/R at% 5,000 and Goodwill at® 6,000. The company agreed to take over Creditors att 38,000 and B/P at = 10,000. The expenses of realisation amounted to 300. The firm received % 40,000 of the purchase price in & 10 fully paid equity shares and the balance in cash. Distribute the shares as per original capital ratio. Prepare the necessary Ledger Accounts in the books of the firm. 14. a) From the following details drawn from the books of Pradeeksha, you are required to ascertain the opening stock : z Purchases made during the year 22,000 Sales made during the year 33,000 Closing stock 2,000 Wages, Freight 500 Indirect expenses 700 Rate of gross profit on cost 50% Return inwards 3,000 Return outwards 2,000 b) Calculate the amount of Interest included in each instalment of hire purchase system. Cash price & 1,50,000, Down payment % 45,000, 3 annual instalment of % 60,000, % 45,000, 30,000 respectively payable at the end of each year.‘00 a & SN - 451 sae eas deer- 2 1. namncide 5 wa-agpen eugox. Bs wa-gan 2 oer. (6x2=10) a) degad janet aockde>? b) aroma cers cnajenaie ach encigerivst, Ben. 0) dood ngs ogra, noms mmedeiod shout Sen. d) eg ashacd wey ncciderd? e) mar tawyn8 gad ada vBperiday 30%. f) ABeEMd smd aowdend? g) dOeO vidodrao, PomboBoinn ad@d sears, BA. aupnt- 0 cinema 3 serert ewgor, wa gayi 6 eoeried. (x6=18) 2. Bama cys sed eaoteortey soap ahadd doariday ator, 3. Si8dded Oadrived coumd Deas Hupbay doinor: a) eal mer ssirg civ. 20,000 b) cous deo, 2.00 a} art c) 8008 eusppidcitay reed tied actos Sar rivd, sing, toomtdotnoach dg) dade meg akirne moped 2013 : 2,000 tsaiayid> 2014: 5,000 taxorie 2015 : 15,000 tsxtgrie 2016 : 20,000 tari 4, gexb3 ama, Hacindd mda mart sewyAzor aigfSatdd, sdoedacied, ot BS ARcrivod w mos arch eisorday sordtoBow0. siroorid aro da. 20,000 ; acie sare dod de. 28,000 ; adedie mars FOB dn. 36,000 ; saadse moard dos Ae. 33,000 ; wa, dd mars de 10.SN - 451 6 ‘An 5. 30NS stretodod em sivesd“‘2.t30, Adv Beek O¥ "oddady BorddtotBowd. datorivd aa. nee, Bary edoris 203 3,000 moorion tats, sricts 90,000 moron arabs, mad add 15,000 Beats wom andr 90,000 Parieed wero 2,000 Barly woga Bey 6,000 Beira arin 200c0 ag 0,000 6. 3: dens Daiireod Doed weloddaly gorddtBo0o. 2OcAG Howto do, 10 abssdetehosd 30,000 momina, Secrive Be. 10 abedxs0 BoA, Deas 1,000, Ze.8 Galea ays decbrivey sdoadeidos de. 100 09 acted. 1,000, 8. 6 dia. 100 snsdeielods moigiieay Be. 10 d Bodncts UIs, Nea abe) arta de. 25,000. Qyen- 2 81 Bens oinajmctio 3 seen eugon, Ya aleyi 14 woeited, (3x14=42) 7. 1-1-2012 Boe Oeg, shay doatnoskn tock ocbagahy mar karkotod siasabo, Docarwd. arta v3 daa. 17,000 aay saads Devs, da. 2,000 aay wwe sed aha) ever wesstay, seco mpard tosbrive, de, 5,000 cov moar é Be, 8 deta Bad Bocbdymd. cchogaty g3 ae 31 axowot Fe. 10 oddae, wowse® mH OeSobO, Asse andenrayao. Bet, abe) dombobayde, enjandd aod aodawn eRobal soocda Hadad, Ang smadrivy dodnoe, 8. Beads atache owed eeloeain sist doco Eamets aletlotsa Bmodich, Beads Ade, nowwasion wcay Soinoxss sey Snobs aidgy 10 anim? we sédod Awowdnd eqadd shed Dade: a) abdy, Samus Bo doco’ dood da. § dams Tons kecdaicd ade Pha, war ward de. 2,500. b) abdes) todd evekiste sivods2 akiende, abetyplo conmdOod aeomned Bnauma.‘IMO 7 ‘SN - 451 c) adaiée siirood thal marobey de. 2,500 waOA da. 2,000 ond Drabaad, ued cinaie Nwogs vcore, wes Oadried: er toot (ser) (units) 2013 100 2014 200 2015 300 2016 500 abd, sha eoatho aqecia, dal umariow smdob ela ways amodrive doinon, |. Se0derat maine, msDdcin, xf sym Syriday soodRA Ar &AY, vad ead ayede, atnus'e 31, 2016 go dodod aintadosy oxaddsc. BR shay wmeemoried Babdeton 1-4-2015 — 31-3-2016 x z mpd abe obese 63,000 63,000 maRQH) 28,000 24,500 muTRoe) 7,000 10,500 Gane 17,500 16,310 tm 08" ange bo 14,000 16,110 ahus'e 31,2016 § arid adenoid: storied dared, Bed mss 21,000 8d dederid 8,250 wotoeoodd aes, 3,920 Mar mss 8,750 Boge auderted 8,610 adoeinvon ads sik 2,88,750 Barlert tka, cindy 2,25,190 Ros weer 10,920 2,730 Cand BPead xddorivay ge ooo Aose say mymndd Adtoriday, weadeoBdd. Doe soamws corte Anois sae es Gr. 7,000 aoa) Be. 3,500. “mis abs ocbognd sheet Sed 5 dab, Raee, anetr3t, 20168 sand sey ene ae Saad ware ey tumeno siygtsa Bodnar,SN - 451 £ A 10. doa? adap Bead? coutainday 2:1 ddanedd, Bortdavys sermdd wey aad By wee wes, 31-3-2017 3Q, 33 deb ad: meme reo Ba. eRe. da. ane 40,000. are Fone, 300 Barrier Board 10,000 werderd woot 5,000 martdaid me 20,000 stoedrieo 60,000 Tardad wom? 30,000 avers tag, 3,000 57,000 entrdad worsme 20,000 caged 43,700 DAE 29H 6,000 chodasaiscro 20,000 1,26,000 1,26,000 wai say aymd ores, tot Aabaes sow anda way Deaded. Bomdotat og ade asemorive) Bs tedodos Sriaskageo eeayeic, cxsostgeateticartes a. 16,000, nica 8m.35,000, aizedrido 0.50, 700, woederas BooBriso Ua, 5,000 sey abana ce. 6,000. goxtnadsaicd Bara 38,000 carer Erastages waned. Zontiend wears ce. 10,000 , Daluesioss aes, dx. 300. ‘Senedd 40) 000 ta.nvar, dary o8 somdaay, Bo: 10 wiedodo per Aomeend MANA, decsrdee weratbencis and Beaicogcon seit. Seconda memdori wad aheo women x Banca, Bors. mowomedort 7 Royo BYwIO engand ae, stride sosnoa. 11. a) WOed aowwantc Agereor Feadoar ssens Axcreon, dea) x mgcore Ades Forbioect30 : ae. Barong g Aad doco 22,000 Bar megs Anad xnovtse 33,000 08a ACB 2,000 Be0, maTme3e eg, 500 Seosen Debden 700 Ano os moans adew eielodiadred Be.50 weevod Ade 3,000 BAT ved ACB 2,000 b) moan Ravyoe aids wa dotts wads wher ategete dordtotewo, Artch 3S desi 150,000, xooorigens’ da. 45,000, 3 marddodrkad de. 60,000, die. 45,000 say cho, 90,000 gadann a8 asirc! Baxdecbo mositenroaich.