APRIL 2012 21106/SY3B

Time : Three hours Maximum : 100 marks

SECTION A — (10 × 3 = 30 marks)

Answer any TEN questions.
All questions carry equal marks.

1. What is meant by issue of shares at discount?

£[SPøÍ uÒУi°À öÁΰkuÀ GßÓõÀ GßÚ?

2. Define debenture.
PhÜmk¨£zvµ® ÁøµÂ»UPn® u¸P.

3. What is preference shares?

•ßÝ›ø© £[S GßÓõÀ GßÚ?

4. What are the methods of computing purchase consideration?

öPõÒ•uÀ ©Ö£¯ß PnURk® •øÓPÒ ¯õøÁ?

5. How do you calculate time ratio and sales ratio?

Põ» ÂQu® ©ØÖ® ÂØ£øÚ ÂQu® G¨£i PnUQkÁõ´?

6. Ram Ltd., purchased assets of Rs. 8,00,000 from Anil Ltd. It

issued equity shares of Rs. 100 each full paid up in satisfaction
of their claim. Make Journal entries to record these transactions.
µõ® {Ö©® ¹. 8,00,000&® ©v¨¦øh¯ ö\õzøu AoÀ
{Ö©zvhª¸¢x öPõÒ•uÀ ö\´ux. µõ® {Ö©® AuØPõP ÷Ási
J¸ £[S ¹. 100 Ãu® •ÊÁx® ö\¾zu¨£mh £[SPøÍ
öÁΰmhx. C¢|hÁiUøPPÐUS SÔ¨÷£mk £vÄPøÍ u¸P.

7. Vidhya Ltd has part of its share capital as 5,000 Redeemable

preference shares of Rs. 100 each. When the shares become due
for redemption, the company decided that the whole amount will
be redeemed out of a fresh issue of equal amount of equity
shares of Rs. 10 each.
Give the journal entries in the books of the company.
Âz¯õ {Ö©® ußÝøh¯ J¸ £Sv¯õÚ 5,000 £[S •uÀ EÒÍ
«m¦ •ßÝ›ø© £[SPÒ ¹. 100 Ãu® EÒÍøu «mP •iÄ
ö\´uÚº. AuØPõP ÷Ási ¹. 10 Ãu® \õuõµn £[SPøÍ ¦v¯
£[S öÁΰmk AøÚzx £[SPøͲ® «mP¨£mhx.
{Ö©® HkPÎÀ SÔ¨÷£mk £vÄPøÍz u¸P.
8. Raja Ltd., issued 5,000, 10% debentures of Rs. 50 each.
Rs.
On Application 10
On Allotment 20
On First call 15
On Final call 5
Pass journal entries upto allotment money received.
µõáõ {Ö©® ¹. 50 Ãu® 5,000, 10% PhÜmk¨ £zvµ[PøÍ
öÁΰmhx.
¹.
Âsn¨¤zvß ö£õÊx 10
JxURmiß ö£õÊx 20
•uÀ AøǨ¤ß ö£õÊx 15
CÖv AøǨ¤ß ö£õÊx 5
£[S JxURk Áøµ°»õÚ SÔ¨÷£mk £vÄPøÍ u¸P.

9. From the following particulars, determine the maximum

remuneration available to a full time director of a manufacturing
company.
The Profit & Loss Account of the company showed a net profit of
Rs. 40,00,000 after taking into account the following items :
Rs.
(a) Depreciation (including special depreciation
of Rs. 40,000) 1,00,000
(b) Provision for income tax 2,00,000
(c) Donation to political parties 50,000
(d) Ex-gratia payments to a worker 10,000
(e) Capital profit on sales of assets 15,000
R÷Ç öPõkUP¨£mkÒÍ ÂÁµ[PÎß £i J¸ EØ£zv P®ö£Û°ß
•Ê ÷|µ C¯USÚ›ß AvP£m\©õP QøhUPUTi¯ Fv¯zøu
wº©õÛUP. AUP®ö£Û°ß C»õ£ |mh PnUQß £i {Pµ C»õ£®
¹. 40,00,000 (¤ßÁ¸® uPÁÀPøÍ GkzxU öPõsh ¤ÓS) :
¹.
(A) ÷u´©õÚ® (]Ó¨¦ ÷u´©õÚ® Em£mhx ¹. 40,000) 1,00,000
(B) Á¸©õÚÁ› JxUS 2,00,000
(C) Aµ]¯À Pm]US AÎzu |ßöPõøh 50,000
(D) FȯºPÐUS AÎUP¨£mh \¾øP Pmhn® 10,000
(E) ö\õzxUPÒ ÂØÓuß ‰»® •u¼Ú C»õ£® 15,000

2 21106/SY3B
10. The following is the Balance Sheet of ABC Ltd as on 31.12.2008.
Liabilities Rs. Assets Rs.
Share capital Fixed assets 25,00,000
15,000 equity shares Bank 2,50,000
of Rs. 100 each 15,00,000
10,000 8% Redeemable
pref. shares@ Rs. 50 5,00,000
General reserve 1,00,000
Current liabilities 6,00,000
Share premium 50,000
27,50,000 27,50,000

The board decided to redeem the preference shares at a premium

of 5% for the purpose of redemption fresh issue of equity shares
is to be made to the extent it is required under the companies
act. The shortfall is met out by availing a bank loan. Pass
journal entries.
31.12.2008 AßÖ H¤] {Ö©zvß C¸¨¦ {ø»U SÔ¨¦
¤ßÁ¸©õÖ :
ö£õÖ¨¦PÒ ¹. ö\õzxUPÒ ¹.
£[S •uÀ : {ø»¯õÚ ö\õzxUPÒ 25,00,000
15,000 \õuõµn¨ £[SPÒ Á[Q 2,50,000
JßÖ ¹. 100 Ãu® 15,00,000
10,000 8% «m¦ •ßÝ›ø©¨
£[SPÒ JßÖ ¹. 50 Ãu® 5,00,000
ö£õxPõ¨¦ 1,00,000
|h¨¦ ö£õÖ¨¦PÒ 6,00,000
£[S •øÚ©® 50,000
27,50,000 27,50,000

5% •øÚ©zvÀ •ßÝ›ø© £[SPøÍ «mP AøÁ •iÄ ö\´ux.

AuØPõP {ÖÁÚ \mhzvߣi £[SPøÍ «m£uØPõP ¦v¯ \õuõµn¨
£[SPøÍ {Ö©® öÁΰmhx. £ØÓõUSøÓø¯ Á[Q Phß ‰»®
\›ö\´¯¨£mhx. SÔ¨÷£mk¨ £vÄPøÍ u¸P.
3 21106/SY3B
11. Bose Ltd was incorporated on 1st May 2006 and acquired the
business from Vel Ltd., on 1st January 2006. From the following
figures relating to the year ending 31.12.2006. Find out time
ratio and sales ratio.
(a) Total sales Rs. 12,00,000, out of which sales upto
incorporation Rs. 3,00,000.
(b) Gross profit Rs. 5,00,000.
÷© 1, 2006 AßÖ ÷£õì {Ö©® £vÄ ö\´¯¨£mhx ©ØÖ® áÚÁ›
1, 2006 AßÖ ÷ÁÀ {Ö©zvß Â¯õ£õµzøu GkzxU öPõshx.
31.12.2006&® BsiØPõÚ ö£õ¸zu £µ[PÒ RÌÁ¸©õÖ :
Põ» ÂQu® ©ØÖ® ÂØ£øÚ ÂQu® CÁØøÓ PnUQkP.
(A) ö©õzu ÂØ£øÚ ¹. 12,00,000 CvÀ {Ö©® £vÄ ö\´ux Áøµ
ÂØ£øÚ ö\´¯¨£mhx ¹. 3,00,000.
(B) ö©õzu C»õ£® ¹. 5,00,000.

12. From the following details of Ram & Co. Ltd., prepare profit and
loss appropriation a/c for the year ended 31.12.2010.
Rs.
P & L A/c credit (on 1.1.2010) 6,200
Proposed dividend 12,250
General reserve 3,000
Cash balance 5,000
Creditors 4,000
Bank loan 5,000
Net profit in 2010 60,000
RÌUPsh £µ[Pμ¸¢x µõ® Aß ÷Põ. {Ö©zvß 31.12.2010&®
|õ÷Íõk •iÁøh²® C»õ£&|mh £QºÄ PnUøP u¯õ›UPÄ®.
¹.
C»õ£&|mh P/S ÁµÄ (1.1.2010) 6,200
•ßö©õȯ¨£mh C»õ£ DÄ 12,250
ö£õx Põ¨¦ 3,000
öµõUP C¸¨¦ 5,000
PhÜ¢÷uõº 4,000
Á[Q Phß 5,000
{Pµ C»õ£® – 2010 60,000

4 21106/SY3B
 SECTION B — (5 × 6 = 30 marks)
Answer any FIVE questions.
All questions carry equal marks.

13. Ravi Ltd., issued 50,000 shares of Rs. 10 each at a discount of

10%.
Rs.
On application 3
On allotment 4
On 1 st
and final call 2
The company received 60,000 applications and the excess were
rejected. All the money was received except 1st and final call on
2,000 shares. Give journal entries in the books of the company.
µÂ Áøµ¯Ö {Ö©® 50,000 £[SPøÍ ¹. 10 Ãu® 10% ÁmhzvÀ
öÁΰmhx.
¹.
Âsn¨£zvß ö£õÊx 3
JxURmiß ö£õÊx 4
•uÀ ©ØÖ® CÖv AøǨ¤ß ö£õÊx 2

{ÖÁÚ® 60,000 Âsn¨£[PøÍ ö£ØÓx ©ØÖ® AvP©õP ö£ØÓ

Âsn¨£[PÒ {µõP›UP¨£mhx. 2,000 £[SPÐUPõÚ •uÀ
©ØÖ® CÖv AøǨ¦ £nzøu uµ ©ØÓ AøÚzx £n•®
ö£Ó¨£mhx. {ÖÁÚ HkPÎÀ SÔ¨÷£mk £vÄPøÍ u¸P.

14. X Ltd., purchased assets of Rs. 3,80,000 from Ram Traders. It

issued equity shares of Rs. 10 each fully paid in satisfaction of
their claims. What entries will be made in cash such issue is
(a) At par
(b) At a premium of 25% and
(c) At a discount of 5%.
µõ® i÷µhºì&°hª¸¢x GUì Áøµ¯Ö {Ö©® ¹. 3,80,000
©v¨¦ÒÍ ö\õzøu öPõÒ•uÀ ö\´ux. AuØPõP £[S ¹. 10 Ãu®
•ÊÁx® ö\¾zu¨£mh \õuõµn¨ £[SPøÍ öÁΰmhx.
RÌUPsh {ø»PÎÀ öÁΰk® ÷£õx uUP SÔ¨÷£mk £vÄPøÍ
u¸P.
(A) •P©v¨¤À öÁΰk® ÷£õx
(B) 25% •øÚ©zvÀ öÁΰk® ÷£õx
(C) 5% ÁmhzvÀ öÁΰk® ÷£õx.
5 21106/SY3B
15. A company wants to redeem its 10,000 6% preference share of
Rs. 10 each fully paid at 10% premium. The ledger accounts
show the following balances.
Rs.
Share premium 2,000
P & L A/c (Cr.) 10,000
The directors redeemed the shares by making minimum fresh
issue of equity shares of Rs. 10 each at a premium of 5%. Give
journal entries.
J¸ {Ö©® 6%, 10,000 •ßÝ›ø© £[SPøÍ JÆöÁõßÔß ©v¨¦
¹. 10 Ãu® •ÊÁx® ö\¾zu¨£mk¨ £[SPøÍ 10% •øÚ©zvÀ
öÁΰmhøu «mP •iÄ ö\´ux. ÷£÷µmk PnUSPÒ ¤ßÁ¸®
C¸¨¦PøÍ Põs¤zux :
¹.
£[S •øÚ©® 2,000
C»õ£&|mh P/S 10,000

5% •øÚ©zvÀ £[S JßÖ ¹. 10 Ãu® \õuõµn ¦v¯ £[SPøÍ

öÁΰmk, •ßÝ›ø© £[SPøÍ C¯USÚºPÒ «mhÚº.
SÔ¨÷£mk £vÄPøÍ u¸P.

16. Rakesh Ltd., issued 6,000, 6% debentures of Rs. 100 each at a

discount of 10% payable as follows :
Rs.
On application 40
On allotment 40 (with adjustment of discount)
On call 10
All the debentures were subscribed by the public. Pass journal
entries.
µõ÷Pè Áøµ¯Ö {Ö©® 6,000, 6% PhÜmk¨ £zvµ[PøÍ
(JÆöÁõßÔß ©v¨¦ ¹. 100) 10% ÁmhzvÀ öÁΰmhx. öuõøP
¤ßÁ¸©õÖ ö\¾zu¨£h ÷Ásk® :
¹.
Âsn¨£zvß ö£õÊx 40
JxURmiß ö£õÊx 40 (Ámh® \›Pmh¨£mhx)
AøǨ¤ß ö£õÊx 10

AøÚzx £[SPЮ ö£õx ©UPÍõÀ ö£Ó¨£mhx. SÔ¨÷£mk

£vÄPøÍ u¸P.

6 21106/SY3B
17. Raj Corporation Ltd was incorporated as on 30 th June 2010 to
purchase the business of Somu from 1.1.2010. The annual
accounts prepared on 31.12.2010 disclosed that
(a) Sales for the year was Rs. 6,00,000 of which Rs. 2,40,000
was for the first six months.
(b) The Gross profit for the year was Rs. 1,00,000.
(c) Director’s fees Rs. 10,000, Bad debts Rs. 3,000 and general
expenses Rs. 50,000.
(d) Advertising (under a contract at Rs. 1,000 p.m.) Rs. 12,000
(e) Preliminary expenses written off Rs. 2,000 and donation to
charities given by the company Rs. 3,000.
You are required to prepared a statement sharing the
profit prior to and after incorporation.
1.1.2010&°¼¸¢x ÷\õ• GߣÁ›ß Áõo£® GkzxU
öPõÒͨ£mk 30, áüß 2010&À µõä ¼ªöhm GÚ £vÄ
ö\´¯¨£mhx. 31.12.2010&À •i²® BsiØPõÚ {v{ø»
PnUSPøÍ ¤ßÁ¸® uPÁÀPÒ öu›ÂUQßÓÚ.
(A) Bsiß ÂØ£øÚ ¹. 6,00,000 CvÀ ¹. 2,40,000 •uÀ BÖ
©õu[PÐUS›¯x.
(B) Bsiß ö©õzu C»õ£® ¹. 1,00,000.
(C) C¯USÚº Pmhn® ¹. 10,000, ÁõµõUPhß Phß ¹. 3,000
©ØÖ® ö£õxa ö\»ÄPÒ ¹. 50,000.
(D) ÂÍ®£µ® (©õuzvØS ¹. 1,000 J¨£¢uzvß RÌ) ¹. 12,000.
(E) ¹. 2,000 öuõhUPa ö\»ÄPøÍ ÷£õUöPÊxP ©ØÖ® {Ö©®
uº© ìuõ£ÚzvØS öPõkzu |ßöPõøh ¹. 3,000.
£vÄ ö\´ÁuØS •ß ©ØÖ® ¤ß EÒÍ Põ»zvÀ Dmi¯
C»õ£zvøÚ Põmk® AÔUøP°øÚ }º u¯õ›UP.

18. What are the various methods of winding up a company?

{ÖÁÚ Pø»¨¤ß £À÷ÁÖ •øÓPÒ ¯õøÁ?

19. Describe the different methods of redemption of debentures.

PhÜmk¨ £zvµzøu «mS® £À÷ÁÖ •øÓPøÍ ÂÍUSP.
7 21106/SY3B
 SECTION C — (2 × 20 = 40 marks)

Answer any TWO questions.

All questions carry equal marks.

20. Lingam Ltd., Issued 10,000 shares of Rs. 100 each at 10%
premium. The payments were to be made as follows.
Rs.
On application 20
On allotment 40 (including premium)
On call 50

Applications for 20,700 share were received. one application for

700 shares was rejected. Rest were allotted on pro-rata basis. All
money were received except the call money on 100 shares. These
shares were forfeited and re-issued as fully paid at Rs. 95 per
share. Pass journal entries.
¼[P® Áøµ¯Ö {Ö©® 10,000 £[SPøÍ £[öPõßÖUS ¹. 100
Ãu®, 10% •øÚ©zvÀ öÁΰmhx. ö\¾zu¨£h ÷Ási¯ •øÓ
R÷Ç öPõkUP¨£mkÒÍx.
¹.
Âsn¨£zvß ö£õÊx 20
JxURmiß ö£õÊx 40 (•øÚ©® Em£h)
•uÀ ©ØÖ® CÖv AøǨ¦ 50

20,700 Âsn¨£[PÒ ö£Ó¨£mhÚ. J¸ Âsn¨£zvØPõÚ

700 £[SPÒ {µõP›UP¨£mhÚ. «u•ÒÍ £[SPÒ ÂQu AÍÄ
•øÓ°À JxURk ö\´¯¨£mhx. 100 £[SPÐUPõÚ Cµsk
AøǨ¦ £nzøuz uµ ©ØÓ GÀ»õz öuõøP²® ö£Ó¨£mhx. C¢u
£[SPÒ ©mk® JÖ¨¤Ç¨¦ ö\´x ¹. 95&US ©ÖöÁαk
ö\´¯¨£mhx. SÔ¨÷£mk £vÄPøÍ u¸P.

21. The Balance Sheet of Deepeka Ltd., as on 31.12.2009 was as

follows :
Liabilities Rs. Assets Rs.
Share capital : Sundry assets 9,20,000
50,000 equity shares of Bank balance 6,00,000
Rs. 10 each, fully paid 5,00,000
8 21106/SY3B
 Liabilities Rs. Assets Rs.
4,000 redeemable preference
shares of Rs. 100 each,
fully paid 4,00,000

Profit & Loss A/c 5,20,000

Creditors 1,00,000

15,20,000 15,20,000

On the above data, the preference share were redeemed at a

premium of 10%. You are required to pass journal entries and
give the amended balance sheet.
31.12.2009&® |õÒ AßÖ w¤Põ Áøµ¯Ö {Ö©zvß C¸¨¦ {ø»U
SÔ¨¦ ¤ßÁ¸©õÖ :
ö£õÖ¨¦PÒ ¹. ö\õzxUPÒ ¹.
£[S •uÀ : £Ø£» 9,20,000
ö\õzxUPÒ
50,000 \õuõµn¨ £[SPÒ Á[Q C¸¨¦ 6,00,000

£[S JßÖ ¹. 10 Ãu® 5,00,000

•ÊÁx® ö\¾zu¨£mhx
4,000 «m¦ •ßÝ›ø©
£[SPÒ, JßÖ ¹. 100
Ãu®,
•ÊÁx® ö\¾zu¨£mhx 4,00,000

C»õ£&|mh P/S 5,20,000

PhÜ¢÷uõº 1,00,000

15,20,000 15,20,000

÷©÷» SÔ¨¤mh ÷uv°À 10% •øÚ©zvÀ, •ßÝ›ø© £[SPÒ

«mP¨£mhx. SÔ¨÷£mk £vÄPøͲ® ©ØÖ® v¸zu® ö\´u
C¸¨¦ {ø»U SÔ¨ø£²® }º u¯õ›UP.

9 21106/SY3B
22. The following is the trial balance of Lakshmi Co. Ltd as at 30 th
June, 2009.
Rs. Rs.

Stock, 30 th June, 2008 75,000 –

Sales – 3,50,000
Purchases 2,45,000 –
Wages 50,000 –
Discount – 5,000
Furniture and fittings 17,000 –
Salaries 7,500 –
Rent 4,950 –
Sundry expenses 7,050 –
Profit & Loss appropriation A/c

30 th June, 2008 – 15,030

Dividends paid 9,000 –

Share capital – 1,00,000
Debtors and Creditors 37,500 17,500
Plant and Machinery 29,000 –
Cash and bank 16,200 –
Reserve – 15,500
Patents and Trade Marks 4,830 –
5,03,030 5,03,030

Prepare Trading Account, profit and loss account, profit and loss
appropriation account for the year ended 30 th June 2009 and
Balance Sheets as at that date. Take into consideration the
following adjustments :
(a) Stock on 30.6.2009 was valued at Rs. 82,000.
(b) Depreciation on fixed assets @ 10%.
(c) Make a provision for income-tax @ 50%.

10 21106/SY3B
»Uèª Áøµ¯Ö {Ö©zvß 30.6.2009&À AßÖ Põmh¨£k®
C¸¨£õ´Ä ¤ßÁ¸©õÖ :
¹. ¹.
öuõhUP \µUS (30.-6.2008) 75,000 –

ÂØ£øÚ – 3,50,000

öPõÒ•uÀ 2,45,000 –

T¼ 50,000 –

uÒУi – 5,000

AøÓP»ß ©ØÖ® ö£õ¸zxøP²® 17,000 –

\®£Í® 7,500 –

ÁõhøP 4,950 –

£Ø£» ö\»ÄPÒ 7,050 –

C»õ£&|mh £QºÄ PnUS (30.-6.2008) – 15,030

C»õ£&DÄ ö\¾zv¯x 9,000 –

£[S ‰»uÚ® – 1,00,000

PhÚõÎPÒ ©ØÖ® PhÜ¢÷uõº 37,500 17,500

ö£õÔ ©ØÖ® C¯¢vµ® 29,000 –

öµõUP® ©ØÖ® Á[Q 16,200 –

Põ¨¦ – 15,500

Põ¨¦›ø© ©ØÖ® ÁoP SÔ 4,830 –

5,03,030 5,03,030

30.6.2009&® |õÐUS›¯ ¯õ£õµ P/S, C»õ£&|mh P/S,

C»õ£&|mh £QºÄ P/S ©ØÖ® C¸¨¦ {ø»U SÔ¨¦ BQ¯ÁØøÓ
RÌPsh \›PmkuÀPøÍ P¸zvÀ öPõsk u¯õº ö\´P :
(A) 30-.6.2009 AßÖ \µUQß ©v¨¦ ¹. 82,000
(B) {ø» ö\õzvß «x 10% ÷u´©õÚ® }USP.
(C) Á¸©õÚ Á›°À 50% JxUSP.

11 21106/SY3B
23. What is underwriting? Explain the different types of
underwriting.

J¨¦Öv GßÓõÀ GßÚ? J¨¦Öv°ß £À÷ÁÖ ÁøPPøÍ ÂÁ›.

——————————

12 21106/SY3B