PROBLEMS ON CASE STUDY

Mr Biswajeet wants to invest a sum of Rs.50,000 in a fixed deposit. He visits

your branch and sought the maturity value for different period depending
Case 1 on the rate of interest before taking a decision to invest.

Question No 1 What is the maturity value after 5 years if the rate of interest is 7.75% pa
Right Option Rs.72620
Wrong option 1 Rs.67720
Wrong option 2 Rs.58720
Wrong option 3 Rs.75620

Question No 2 What is the maturity value after 4 years if the rate of interest is 7.25%
Right Option Rs.66154
Wrong option 1 Rs.65145
Wrong option 2 Rs.64135
Wrong option 3 Rs.64514

Question No 3 What is the maturity value after 3 years if the rate of interest is 6.75%
Right Option Rs.60824
Wrong option 1 Rs.60284
Wrong option 2 Rs.60348
Wrong option 3 Rs.60842

Question No 4 What is the maturity value after 2 years if the rate of interest is 6.25%
Right Option Rs.56445
Wrong option 1 Rs.56544
Wrong option 2 Rs.55445
Wrong option 3 Rs.55544

Question No 5 What is the maturity value after 1 year if the rate of interest is 5.75%
Right Option Rs.52875
Wrong option 1 Rs.52578
Wrong option 2 Rs.52758
Wrong option 3 Rs.52675
 Kamala wants to receive Rs.2,00,000 after 5 years. Discount Rate is 7% pa.
Calculate the amount that she has to invest based on the question given
Case 2 below:
 Question No 1 What is the amount to be deposited if the amount to be received after 5
years.
Right Option Rs.142597
Wrong option 1 Rs.142957
Wrong option 2 Rs.142795
Wrong option 3 Rs.142975

Question No 2 What is the amount to be deposited if the amount to be received after 4

years
Right Option Rs.152579
Wrong option 1 Rs.152759
Wrong option 2 Rs.152975
Wrong option 3 Rs.152795

Question No 3 What is the amount to be deposited if the amount to be received after 3

years
Right Option Rs.163259
Wrong option 1 Rs.163529
Wrong option 2 Rs.162925
Wrong option 3 Rs.162825

Question No 4 What is the amount to be deposited if the amount to be received after 2

years
Right Option Rs.174688
Wrong option 1 Rs.174865
Wrong option 2 Rs.174358
Wrong option 3 Rs.174595

Question No 5 What is the amount to be deposited if the amount to be received after 1

year
Right Option Rs.186916
Wrong option 1 Rs.186196
Wrong option 2 Rs.186996
Wrong option 3 Rs.186916

Case No.3
M/S Pioneer Ltd is providing you the trial balance, prepare Trading, profit & Loss Account,
Balance sheet for the year ending 31 March 2020 and answer the following questions
 

Particulars Amount (Dr) Amount (Cr)

Opening Stock 1,20,000
Purchases 4,52,000
Purchase Returns 25,200
Wages 43,300
Power & fuel cost 45,600
Salaries 46,800
Interest paid 42,800
General expenses 39,600
Sales 6,56,500
Sales Return 20,000
Rent Received 27,600
Capital 2,80,000
Drawings 22,000
Long term Loans 2,00,000
Cash at Bank 2,47.000
Bills payable 1,88,000
Plant & Machinery 2,88,000
Cash in hand 10,200

TOTAL 13,77,300 13,77,300

Adjustments
1. Closing stock as on 31st Mar 2020 Rs.2,25,000

2. Provide depreciation on Plant & Machinery at 10%

Question What is the Gross Profit of the company ?

No 1
Right Rs.2.25.800
Option
Wrong Rs.2,94,600
option 1
Wrong Rs.2,97,100
option 2
Wrong Rs.2,52,800
option 3

Questio What is the Net Profit of the company ?

n No 2

Right Rs.95,400  
Option
Wrong Rs.59,400
option
1
Wrong Rs.96,500
option
2
Wrong Rs.97,400
option
3

Questio What is the closing Balance of Capital as on 31 st Mar 2020

n No 3
Right Rs.3,53,400
Option
Wrong Rs.3,83,660
option
1
Wrong Rs.3,81,660
option
2
Wrong Rs.3,61,960
option
3

Questio What is the Total of Credit side of Balance sheet ?

n No 4
Right Rs.7,41,400
Option
Wrong Rs.9,74,000
option
1
 Wrong Rs.11,97,000
option
2
Wrong Rs.6,61,400
option
3

Questio If the closing stock is 352500, what would be the Gross Profit
n No 5
Right Rs.3,53,300
Option
Wrong Rs.3,83,800
option
1
Wrong Rs.5,51,300
option
2
Wrong Rs.3,51,800
option
3

Case No.4

1. From the following trial balance, prepare the Trading and Profit and Loss Account for the
year ending 31st march 2021, and the balance sheet as on that date.and answer the
following questions

Capital 41000
Drawing 6100
Loan 4000
Sundry creditors 45000
Cash in hand 250
Cash at bank 4000
Sundry debtors 40500
Patents 2000
Plant and Machinery 20000
Land and Building 26000
Purchase 35000
Opening stock 23500
Carriage inwards 1100
Wages 27000
Trade Expenses 5600
Salary 3400
Rent and taxes 2500
Postage 1200
Sales 123400
 Advertising 3000
Insurance 4800
Printing and stationery 1000
General expenses 5800
Carriage outwards 600
Discounts 1400 2100
Bad debts 750
215500 0

The stock as on 31st March 2021 is Rs.37500.

Question What is the Gross Profit of the company?

No 1
Right Rs.74,300
Option
Wrong Rs.75,600
option 1
Wrong Rs.77,100
option 2
Wrong Rs.76,300
option 3

Questio What is the Net Profit of the company?

n No 2

Right Rs.46,350  
Option
Wrong Rs.46,400
option
1
Wrong Rs.46,500
option
2
Wrong Rs.45,400
option
3

Questio What is the closing Balance of Capital as on 31 st Mar 2021?

n No 3
Right Rs.81,250
Option
Wrong Rs.81,260
option
1
Wrong Rs.81,600
 option
2
Wrong Rs.85,960
option
3

Questio What is the Total of Credit side of Balance sheet?

n No 4
Right Rs.1,30,250
Option
Wrong Rs.1,31,300
option
1
Wrong Rs.1,29,250
option
2
Wrong Rs.1,30,600
option
3

Questio If the closing stock is 35,250, what would be the Gross Profit?
n No 5
Right Rs.72,050
Option
Wrong Rs.75,050
option
1
Wrong Rs.73,090
option
2
Wrong Rs.72,750
option
3

Case No.5

Aggregate Demand (AD) is also called as Gross Domestic Product (GDP).

All households of a country together spent an amount of Rs.2500 crore towards their consumption
and Private industries which manufacture goods and services have invested an amount of Rs.1500
crore towards investment. In addition to the above the Govt has spent some amount towards
welfare of the people which is also called as Govt. demand for Goods and Services to an extent of
Rs.750 crores. The country has exported to an extent of Rs.500 crores and imported Rs.400 crores
during a particular year.

Question Aggregate Demand is expressed as

No 1
Right AD=C+I+G+Nx
Option
Wrong AD=C-I+G-Nx
option 1
Wrong AD=G-I-Nx+C
option 2
Wrong AD=G+I-Nx-C
option 3

Question Aggregate Demand is Rs.

No 2

Right Rs.4,850 crore

Option
Wrong Rs.1,260 crore
option 1
Wrong Rs.4,600 crore
option 2
Wrong Rs.5,960 crore
option 3

Question Aggregate Demand excluding Nx

No 3
Right Rs.4,750 crore
Option
Wrong Rs.4,570 crore
option 1
Wrong Rs.4,960 crore
option 2
Wrong Rs.4,350 crore
option 3

Question If the Govt spending is increased by Rs.250 crore (750+250), what would be the AD?
No 4
Right Rs.5,100 crore
Option
Wrong Rs.4,250 crore
option 1
Wrong Rs.4,350 crore
option 2
Wrong Rs.4,400 crore
option 3

Question If the Export Income is increased by Rs. 350 crore, what would be the AD?
No.5
Right Rs.5,200 crore
 Option
Wrong Rs.5,350 crore
option 1
Wrong Rs.4,150 crore
option 2
Wrong Rs.5,850 crore
option 3

Case No.6

In the Four Sector Model- Circular flow of Income,

a. the Household received the payments as follows:

1. Land Rs.10,000 crore
2. Labour Rs.25,000 crore
3. Capital Rs.50,500 crore
4. Entrepreneurship Rs.11,500 crore
b. The Firms have invested on technology Rs.15,000 crore
c. The Govt spending Rs.15,250 crore
d. The exports Rs.15,950 crore
2. a. The households’ savings in the Bank Rs.12,500 crore
b. The payment towards Taxes to Govt is Rs.15,575 crore
c. Amount spent on Foreign goods Rs. 9,250 crore

Based on the above data, answer the following questions

Question What is the Net Circular Flow of Income

No.1
Right Rs.1,05,875 crore
Option
Wrong Rs.1,08,750 crore
option 1
Wrong Rs.1,09,250 crore
option 2
Wrong Rs.1,10,750 crore
option 3

Question What is the total amount of Leakages?

No.2
Right Rs.37,325 crore
Option
Wrong Rs.35,550 crore
option 1
Wrong Rs.41,500 crore
option 2
Wrong Rs.35,850 crore
option 3
 Question What is the total of Injections?
No.3
Right Rs.46,200 crore
Option
Wrong Rs.45,350 crore
option 1
Wrong Rs.48,150 crore
option 2
Wrong Rs.52,850 crore
option 3

Question If the Export Income is increased by Rs. 350 crore, what would be the Nx?
No.4
Right Rs.7,050 crore
Option
Wrong Rs.7,650 crore
option 1
Wrong Rs.6,950 crore
option 2
Wrong Rs.5,850 crore
option 3

Question If the labour income receipt is Rs.50,000 crore, what is the Net total Circular Flow of
No.5 Income?
Right Rs.1,30,875 crore
Option
Wrong Rs.1,40,750 crore
option 1
Wrong Rs.1,44,150 crore
option 2
Wrong Rs.1,35,850 crore
option 3

Case No.7

Meenakshi who is from Madhurai has taken a 55 inch ultra-modern TV from Reliance Electronics for Rs.
50,000 and she agreed to pay in 6 equal monthly instalments with ROI at 12% pa. Please answer the
following questions

Question What is the formula for calculating EMI?

No.1
Right r ( 1+r )n
Option P
[ n
( 1+r ) −1 ]
Wrong r ( 1+r )n
option 1 P+
[ ( 1+r )n−1 ]
Wrong r ( 1+r )n
option 2 P−
[
( 1+r )n−1 ]
Wrong r ( 1+r )n
option 3 P
[ ( 1+r )n +1 ]
Question Based on the above problem, calculate and What is the EMI ?
No.2
Right Rs.8,627.42
Option
Wrong Rs.8,872.42
option 1
Wrong Rs.8,737.42
option 2
Wrong Rs.8,957.42
option 3

Question What is the interest for the first month?

No.3
Right Rs.500
Option
Wrong Rs.509
option 1
Wrong Rs.498
option 2
Wrong Rs.534
option 3

Question Out of total EMI, how much amount goes towards reduction in instalment for the first
No.4 month
Right Rs.8,127.42
Option
Wrong Rs.8,197.48
option 1
Wrong Rs.8,172.42
option 2
Wrong Rs.8,237.48
option 3

Question What is the total payment made by Meenakshi?

No.5
Right Rs.51,764.52
Option
Wrong Rs.50,764.52
option 1
Wrong Rs.50,000
option 2
Wrong Rs.52,784.25
option 3