acsmohitshaw@gmail.

com CS Mohit Shaw

Flow Chart
How to Proceed for the 50 marks
Case Study in the Exam?

You should attempt Q1. after completing Q2. to Q6.

So that you can attempt the same with free mind and
ample time in hand.

Read the Question first and not the passage because it

is better to know the destination before starting the
journey.

After reading the question, try to understand and

analyze that in what combination of chapters, the
questions are given in the paper.

After analyzing and depicting about the specified

chapters covered, then go for reading the passage.

Note from the Author:

The 50 marks case study can be theoretical or practical
based or a combination of both. The presentation of
answer runs parallel to the content. There has to be a
balance between Quality and Quantity of answers.
 BANKING LAW AND PHACTICE
(Etective paperg.I)
Timeallowed:Shours
Maximum marks: 100
NOTE: Answer ALL euestions.

Question 1

Analysis of financiar statements-is

an imwrtant exercise. for the purpose
the trends and behaviour olalyynt of studying
u13y' Befole an analysis is
riijniiii)rrr"trrs from a teadefs point of
undeiaken,variii parameters and itemsof financial
tne
statements are restructured and rearrang"i
anatyst. This is necessa! byry:"
i-in, order of priority set by a credit
ir"pare financiatsitemiits
in order to cater to the needs or tne"liriiiri mainty
snarSitiiazis and thegovemment. Anatysis
anv reaT aniei"itiZv,ot
of
'li:1::fl:,"#;::;ryi':out i,iniistiri p,,po""
""i",
The process of restructuring of financiar
statements stans with crassification
various items as current, nin-currentiia of
nil')rr"t, or tiaonities. aiJiicturing
atso inctudes the process or titteing
transactions which, though perminei
oit iiiii ii iriiiii'riiJiting';,;
tnor"
reality. Apart from this, ihe'anaryst
iiititii"t,
may present picture other than
various
comparative balance sheet, ratio "i{o-iiJiiZixr" ,rd fundsother
analysis,
anarysis, rike,
flow, etc., to narne
a few to arrive at a considered view. "iiilio*
The foilowing exampre i:^? tir" situation
requiing your togicat concrusion as
analyst. Anaryse the situation and an
responati,i"qruti*" indicated there against.
TheoBarance sheet of si Ganesh & co. Ltd., for the years 2015
and 2016 aregiven

(Amount in Rupees)
Particulars
31-03-2015 3t-03-2016
Liabilities
Equity Share Capitat
6,00,000 12,00,000
10% Preference Share Capitat
5,00,a00 9,00,N0
Profit and Loss Account
6,00,000 8,00,m0
Long-term Loans
2,00,000 5,00,000
Creditors
1,00,000 3,00,000
Total
20,00,000 37,00,000
40

Page 7
 PP-BLprJune2O17
42
The Current Assels
a,
th" or the company in
";;;;;;;;;,1[i,8y:;:i :;: ::^s the beginnins and
at

Particulars (Amount in Rupees)

stst uaicnjod etsttvtarcidG
Bills Receivabte
25,000
Bilts payabte 15,500
10,000
Debtors 12,500
30,000
Stock-in-hand 38,800
Outstanding Expenses
t8,W 14,@a
8,N0
Z@o

(10 marks)
Answer 1(a)

Comparative Balance
Slreetas on 31.00.201s
Particulars
--- and 31.G3.2016
31st March 31st March Absolute
2015 increase or Percentage of
2016 decrease in 2016
tncrease or
decrease in 2016
Uabitities

Eguity Share CaDilat

10% prererence Share 600000 1200000
600000
Uapilal 100%
500000 900000
Profil and Loss Account 400000
600000 8O"/o
Owner,s Funds 800000
200000 33.33%
1700000 2900000
Long Term Liabitifies:
Long Term Loan
200000 500000
Current Liabilities 300000
150%
Creditors
1 00000 300000
Total 200000
2000000 200%
Asseis 3700000

Fixed Assets(Gross ',500000

Block)
2800000
Less : Depreciation
500000 800000
Net Btock
1000000 2000000
lnveslments r 000000
400000 100%
Current Assets: 500000 1 00000
250/"
lnventories
450000
Account Beceivables 650000
200000
100000 44.44%
Cash in Hand 400000
300000
50000 300%
150000
1 00000
2000/o
3700000

Page 9