Lab Practice Manual Version-2.0

ITT Lab Practice Manual
Hands-On Practical Training (HOT) for ITT Course
Version 2.0 January 2014
IT Directorate
The Institute of Chartered Accountants of India
New Delhi
Table of Contents
A. Introduction ................................................................................................................................. 3
B. MS-Word 2010 ............................................................................................................................ 3
Shortcut Keys ........................................................................................................................... 3
Lab Exercises ........................................................................................................................... 7
Case Studies ........................................................................................................................... 28
CS1: Inventory Valuation using Weighted Average method ................................................. 28
CS2: Confirmation of Balances using Mail Merge.......................................................... 31
CS3: GAIL Annual Report ..................................................................................................... 32
C. MS-Excel 2010 ......................................................................................................................... 34
Shortcut keys .......................................................................................................................... 34
Lab Exercises ......................................................................................................................... 40
Excel Tips............................................................................................................................... 70
Case Studies ........................................................................................................................... 82
CS1: Break Even Analysis/ Marginal Costing Case Study .................................................... 82
CS2: Depreciation Case Study – SLN, WDV, SYD, DB, DDB. ........................................... 93
D. MS-Access 2010 ……………………………………………………………………….105
Case Studies………………………………………………………………………………..105
CS1: A simple example on Library to understand the concept of Databases,
Forms and Reports creation ……………………………………………………………….107
CS2: ITT Students Database Management………………………………………………...109
CS3: To introduce One-to-Many relationship concept……………………………………116
For Practice………………………………………………………………………………..117
E. Accounting Software . ........................................................................................................... 120
Shortcut Keys ....................................................................................................................... 120
Lab Exercises ....................................................................................................................... 125
A. INTRODUCTION
This ITT Lab Practice Manual aims to bring greater Hands-On Practical Training (HOT) orientation to
the ITT Course being conducted at the ITT Centers of the Institute. This manual contains case
studies and examples compiled by the ITT Department of Board of Studies. ITT Centers are
advised to make use of these HOT examples as a part of the training to be provided to the
Students and also arrange to contribute similar case studies/ examples by each faculty
member every month, for incorporation in the next version. The ITT Faculty Members are also
requested to provide views and suggestions to be included in revised HOT, based on their
experience in use of this manual, in their monthly submission of such practical examples.
B. MS-WORD-2010
2010 Word processors like MS-Word 2010 in MS-Office enable us to present our letters and
reports in a presentable form. While, we as accountants and auditors are primarily concerned
with the financial/ accounting analysis and reporting, it is often essential for us to also provide
reports and documents which are presentable, where MS-Word processor is very useful. For
example, this practice guide giving practical hands-on training exercises has been developed
using this software. Some of the typical useful facilities of word processors are as follows:
• Producing professional-looking documents;

• Comprehensive set of tools for creating and formatting documents;
• Rich reviewing, commenting, and comparison capabilities to help the users to
quickly gather and manage feedback from colleagues, and also create reports etc.
• Advanced data integration ensuring that documents stay connected to important sources of
business information. For example, we can integrate financial data in MS-Excel 2010 files
into a report, which is updated every time you open the word file for latest updated data.
This compilation will help students in getting a hands-on experience on the software which
will enable them in making good-quality professional documents.
Shortcut Keys
The following is a compilation of MS-Word Short Cut keys for performing typical tasks in MS-Word,
which can be used to quickly accomplish tasks without having to go through tedious menu options.
Shortcut key Description

CTRL+SHIFT+A Format all letters as capitals
ALT+F10 Application Maximize
ALT+F5 Application Restore
ALT+CTRL+1 Apply Heading1 style
CTRL+SHIFT+N Apply Normal style
CTRL+SHIFT+L Apply List Bullet style
CTRL+B or CTRL+SHIFT+B Bold
CTRL+SHIFT+F5 Opens the Bookmark dialog box
CTRL+PAGE DOWN Go to Next page
CTRL+PAGE UP Go to Previous page
CTRL+E Center Paragraph
SHIFT+F3 Change Case
ALT+F4 Close or Exit
CTRL+SHIFT+ENTER Insert a Column Break
CTRL+C or CTRL+INSERT Copy
CTRL+SHIFT+C Copy Format
CTRL+X or SHIFT+DELETE Cut
BACKSPACE Delete one character to the left
DELETE Delete one character to the right
CTRL+BACKSPACE Delete one word to the left
CTRL+DELETE Delete one word to the right
ALT+SHIFT+F7 Translate to a different language
CTRL+W or CTRL+F4 Closes the active window
CTRL+F10 Document Maximize
ALT+CTRL+S Document Split
ALT+SHIFT+C Remove the document window split
CTRL+SHIFT+D Double Underline
CTRL+SHIFT+END Select till End of Document
CTRL+END Go to End of Document
END Go to End of Line
SHIFT+END Select till End of Line
ALT+CTRL+D Insert Endnote
F8 Extend Selection
CTRL+F Opens the Find dialog box
CTRL+D or CTRL+SHIFT+F Opens the Font dialog box
CTRL+SHIFT+P Select Font Size
ALT+CTRL+F Insert Footnote
SHIFT+F5 or ALT+CTRL+Z Go Back
CTRL+G or F5 Opens the Go To dialog box
CTRL+SHIFT+. or CTRL+SHIFT+> Grow Font
CTRL+] Grow Font One Point
CTRL+T Hanging Indent
ALT+SHIFT+R Copy the header or footer used in the previ-
ous section of the
F1 Opens Word Help
CTRL+K Insert a Hyperlink
CTRL+M Indent
CTRL+I or CTRL+SHIFT+I Italic
CTRL+J Justify Paragraph
CTRL+L Left align Paragraph
SHIFT+DOWN Select Line Down
SHIFT+UP Select Line Up
ALT+F8 Opens the Macros dialog box
ALT+SHIFT+K Preview a Mail Merge
ALT+SHIFT+E Edit a Mail Merge data document
ALT+SHIFT+N Merge a Document
ALT+SHIFT+M Print the merged document
ALT+SHIFT+F Insert a merge field
ALT+SHIFT+I Mark a Citation
ALT+SHIFT+X Mark an Index Entry
ALT+SHIFT+O Mark a Table of Contents Entry
F10 Shows Key tips
CTRL+N Opens a new Word document
TAB in a table Moves to Next Cell
ALT+F7 Moves to Next Misspelling
CTRL+O or CTRL+F12 or
ALT+CTRL+F2 Opens the Open dialog box
ALT+CTRL+O Switch to Outline view
ALT+CTRL+P Switch to Print Layout view
ALT+CTRL+N Switch to Draft view
CTRL+ENTER Insert a Page Break
SHIFT+PAGE DOWN Page Down Extend
SHIFT+PAGE UP Page Up Extend
CTRL+DOWN Paragraph Down
CTRL+SHIFT+DOWN Paragraph Down Extend
CTRL+UP Paragraph Up
CTRL+SHIFT+UP Paragraph Up Extend
CTRL+V or SHIFT+INSERT Paste
CTRL+SHIFT+V Paste Format
CTRL+ALT+V Opens the Paste Special dialog box
SHIFT+TAB in a table Moves to Previous Cell
CTRL+P or CTRL+SHIFT+F12 Opens the Print dialog box
CTRL+F2 or ALT+CTRL+I Print Preview
F7 Opens Spelling and Grammar dialog box
CTRL+Y or F4 or ALT+ENTER Redo or Repeat
SHIFT+F4 or ALT+CTRL+Y Repeat Find
CTRL+H Replace
CTRL+SHIFT+E Turns Track Changes on or off
CTRL+R Right align Paragraph
CTRL+S or SHIFT+F12 or
ALT+SHIFT+F2 Saves the document
F12 Opens the Save As dialog box
CTRL+A Select All
CTRL+SHIFT+8 Toggles the display of paragraph marks
ALT+SHIFT+A Expand or collapse all text or headings
CTRL+SHIFT+, or CTRL+SHIFT+< Shrink Font
CTRL+[ Shrink Font One Point
CTRL+SHIFT+K Format letters as small capitals
CTRL+1 Change Line Spacing to 1
CTRL+5 Change Line Spacing to 1.5
CTRL+2 Change Line Spacing to 2
CTRL+0 Add or remove one line space preceding a
paragraph
CTRL+SHIFT+HOME Select till start of document
CTRL+HOME Go to Start of Document
HOME Go to Start of Line
SHIFT+HOME Select till Start of Line
CTRL+SHIFT+S Opens the Apply Styles dialog box
CTRL+= Subscript
CTRL+SHIFT+= Superscript
SHIFT+F7 Thesaurus
CTRL+U or CTRL+SHIFT+U Underline
CTRL+Z or ALT+BACKSPACE Undo
SHIFT+LEFT Select one character to the left
SHIFT+RIGHT Select one character to the right
CTRL+LEFT Go to the beginning of word
CTRL+SHIFT+LEFT Select till the beginning of word
CTRL+RIGHT Go to the end of word
CTRL+SHIFT+RIGHT Select till the end of word
ALT+SHIFT+D Insert today’s date
ALT+SHIFT+T Insert current time
CTRL+F1 Hide or show the Ribbon
CTRL+SPACEBAR Remove paragraph or character formatting
CTRL+SHIFT+G Opens the Word Count dialog box
CTRL+ALT+M Insert a Comment
CTRL+F9 Insert a Field
SHIFT+ENTER Insert a Line Break
CTRL+HYPHEN Insert an Optional Hyphen
CTRL+SHIFT+HYPHEN Insert a non-breaking hyphen
CTRL+SHIFT+SPACEBAR Insert a non-breaking space
ALT+CTRL+C Insert the copyright symbol
ALT+CTRL+R Insert the registered trademark symbol
ALT+CTRL+T Insert the trademark symbol
ALT+CTRL+. Insert an ellipsis
ALT+5 on the numeric
keypad (with NUM LOCK off) Select an entire table
CTRL+TAB in a table Insert tab character in a cell
CTRL+SHIFT+W Underline words but not spaces
Lab Exercises
Exercise 1
Creating and managing a document
1. Create a new Word document.

2. Save the document with the name ―communication.docx‖.
3. Enter the following text in the document:
―Communication cannot be effective unless, the receiver listens with due attention or participation.
It further shows that communication is a joint responsibility of both the sender and the receiver.
Participative listening is an essential condition of effective comunication. One cannot be an
effective speaker unless one is a good listener. It must, first of all, be made clear that listening is a
deliberate effort. It is not the same as hearing. When we hear, we do not have to make any effort.
But for listening, we have to train our ears and ask ourselves why we want to listen to somebody.
While listening we must discriminate, evaluate, appreciate and react.‖
Fig. 1.1: Adding text
4. Correct the spelling mistake in the paragraph.

5. Delete this sentence from the paragraph: ―One cannot be an effective speaker unless one is a
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good listener.‖
6. Display the spaces and end of paragraph.
7. Change the word ―train‖ in the paragraph to the word ―equip‖, without using ―Find and
Replace‖ feature.
8. Underline the word ―communication‖ in the first line.
9. Change the italicized text in the paragraph from italics to bold.
10. Right align the paragraph.
11. Enter this sentence in the document such that it is between the first and second
sentence: ―Communication begins with listening.‖
12. Close the document.
13. Rename the document with the name ―Ch1Ex1.docx‖.
14. Open Word 2010. Now open ―Ch1Ex1.docx‖ in it using keyboard shortcut.
Fig. 1.2: Final Output
Exercise 2
Working with Lists
1. Create and save a new Word document.

2. Enter the following text:
―There are three different types of accounts:
• Personal account
• Real account
• Nominal account‖
3. Change the font of third point to Script MT Bold and font size to 16. Also apply the
Engrave effect.
4. Using Format Painter tool, copy the formatting from third point and use it within
second point.
5. Sort the list alphabetically in ascending order.
6. Leave two blank lines after the list.
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7. Define a new multilevel list style (with three levels) as
I ……………………………..
1. …………………………
a. ..…………………
8. Now create a sample list as:
―
I. Accounting
1. Voucher
a. Contra Voucher
b. Payment Voucher
c. Receipt Voucher
2. Financial Statements
a. Cash Flow Statement
b. Fund Flow Statement
c. Ratio Analysis
d. Bank Reconciliation Statement
II. Economic systems
1. Market economy
2. Mixed economy
3. Planned economy
4. Traditional economy‖
Exercise 3
Paragraph Features and Editing
1. Open the document ―Ch1Ex1.docx‖.

2. Hide the spaces and end of paragraph.
3. Left-align the paragraph.
4. Increase the character spacing of the paragraph by 1.8 points.
5. Change the measurement units to centimeters.
6. Bring the right margin of the text by 1 cm from the page margin.
7. Create a negative indent of 1 cm on the text.
8. Apply Emboss effect to the first sentence.
Fig. 3.1: Interim Output
9. Find and highlight all occurrences of the word ―communication‖.

10. Replace all odd occurrences of the word ―communication‖ with the word ―conversation‖.
11. Change the font of embossed text in the document with Comic Sans MS font, using
―Find and Replace‖ feature.
12. Change all white spaces with tabs, using ―Find and Replace‖ feature.
13. Copy the paragraph and paste it such that the same paragraph appears twice in the document.
14. Add ‗Outside Borders‘ to the first paragraph.

15. Print the document in Landscape orientation.
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Hints:
1. Click the Office Button, go to Word Options. On Advanced tab, go to Display.

2. From the Page Setup group of the Page Layout ribbon, click Margins. Select Custom
Margins from the drop-down list. Increase the value in the Right margin text box by 1.
3. In the Paragraph group on the Page Layout ribbon, click the down arrow in the Indent
- Left box.
4. Click on More >> Click in the Find what text box, and then click on Font in the Format
drop-down list. Select Emboss.
5. Click on More >> Click in the Find what text box, click on No Formatting (to remove previous
formatting selection done in instruction 9) and then click on Special and select White Spaces.
6. Click anywhere in the paragraph and then apply Border scheme.
Exercise 4
Update a predefined style

2. Change the style of the document to ‗Emphasis‘.
―There once was a man who had a sister, his name was Mr. Fister. Mr. Fister‘s sister sold sea
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shells by the sea shore. Mr. Fister didn’t sell sea shells, he sold silk sheets. Mr. Fister told his
sister that he sold six silk sheets to six shieks. The sister of Mr. Fister said I sold six
shells to six shieks too!‖
4. Justify the complete text, using keyboard.
5. Enter the following text in the document after leaving a blank line:
―Peter Piper picked a peck of pickled peppers, A
peck of pickled peppers Peter Piper picked. If
Peter Piper picked a peck of pickled peppers,
How many pickled peppers did Peter Piper pick?‖

6. Select the first paragraph and underline it.
7. Update the style ‗Emphasis‘ to match selection. (Now you can see that the poem also
gets underlined.)
Exercise 5
Creating a new style and modifying it

―Accountancy is the art of communicating financial information about a business entity to users
such as shareholders and managers. The communication is generally in the form of financial
statements that show in money terms the economic resources under the control of management.
It is the branch of mathematical science that is useful in discovering the causes of success and
failure in business. The principles of accountancy are applied to business entities in three
divisions of practical art, named accounting, bookkeeping, and auditing.‖
3. Select all the text in the document.
4. Change the font to Algerian and font size to 11. Change character spacing to ‗Expanded‘.
5. Save selection with name ―Stylish‖ as a new quick style. Remove selection.
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Fig. 5.1: New style “Stylish” created
6. Modify the style (only for the current document) such that the font is changed to Verdana.
Fig. 5.2: Style “Stylish” modified
Exercise 6
Using Templates
1. Open Word.
2. Create a new document based on some ‗Resume‘ template.
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Fig. 6.1: Sample Resume template
Note:
This is just one of the several templates available in Word. Student can choose any of the
predefined templates.
3. Now create your resume by filling in the details.

Hints:
1. Click the Office Button, click on New. Choose any of the template and click on Create.
Exercise 7
Working with Tables

2. Insert a table of student data containing fields – Student ID, Name, Marks.
Student ID Name Marks
Fig. 7.1: Table inserted

3. Enter details of 4 students (Student ID – 1, 2, 4, 5) in the table.

1 Shivani 75
2 Raj 80
4 Rashmi 67
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5 Roshni 84
Fig. 7.2: Four records added in the table
4. Enter detail of one more student (Student ID – 3) between the second and third student

1 Shivani 75
2 Raj 80
3 Amar 72
4 Rashmi 67
5 Roshni 84
Fig. 7.3: One record added in between the table
5. Delete all the table borders leaving only the external table boundaries.
6. Delete the detail of second student (Student ID – 2).

1 Shivani 75
3 Amar 72
4 Rashmi 67
5 Roshni 84
Fig. 7.4: Table borders removed and one record deleted from the table
7. Sort the table by marks in descending order.

5 Roshni 84
2 Raj 80
1 Shivani 75
4 Rashmi 67
Fig. 7.5: Table sorted by marks
8. Convert this table to text with commas in place of column boundaries.
Fig. 7.6: Table converted to text

9. Convert back the text to table with three columns.

5 Roshni 84
2 Raj 80
1 Shivani 75
4 Rashmi 67
Fig. 7.7: Text converted back to table
10. Merge the details of first two students of the table.
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5 Roshni 84
2 Raj 80
1 Shivani 75
4 Rashmi 67
Fig. 7.8: Two records merged
11. Split the merged cells in three columns.

5 84 Raj
Roshni 2 80
1 Shivani 75
4 Rashmi 67
Fig. 7.9: Two records merged
12. Apply a table style to the table.

5 84 Raj
Roshni 2 80
1 Shivani 75
4 Rashmi 67
Fig. 7.10: Table style added
Note: This is just one of the table styles. Student may apply any of the available table styles.
13. Split the table leaving the last row in second table.

5 84 Raj
Roshni 2 80
1 Shivani 75
4 Rashmi 67
Fig. 7.11: Table splitted
14. Insert a Quick Table in the document.
ITEM NEEDED
Books 1
Magazines 3
Notebooks 1
Paper pads 1
Pens 3
Pencils 2
Highlighter 2
Fig. 7.12: Quick Table inserted
Note: This is just one of the tables. Student may choose any of the available quick tables.
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Exercise 8
Illustrations

2. Download picture of a computer from the Internet and save it on Desktop.
3. Insert the downloaded picture and resize it.
4. Replace the picture with a new one downloaded from Internet or taken from Sample Pictures.
5. Insert any picture from the Clip Art gallery.

6. Fill the picture with some color and apply a 3-D effect to it.
7. Insert a star shape from the gallery. Enter the following text in the shape:
―
• Clip Art
• WordArt
• SmartArt‖
8. Delete the picture inserted from the Clip Art gallery.
9. Insert a SmartArt graphic with the shape of ‗Continuous Cycle‘ showing the steps: Transactions,
Posting, Ledger, Final Accounts, and Analysis.
Exercise 9
Organization Chart

2. Create an organization chart for the following reporting hierarchy (using SmartArt graphics):
Designation Reporting to
Application Systems Analysts Application Systems Development Manager
Application Programmers Application Systems Development Manager
DA/DBA Information Processing Manager
Quality Assurance Professionals Information Processing Manager
Security Professionals Information Processing Manager
Computer Operators Information Processing Manager
Application Systems Development IS Manager
Manager
Information Processing Manager IS Manager
IS Manager Top Management / Board of Directors
Exercise 10
Charts

2. Make a bar graph for the data, showing different bars for each region:
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Model East West North South
Mm555 560 640 840 750
Mm600 670 340 980 860
Mm800 630 550 330 730
Mm766 490 720 200 180
Mm755 890 440 590 300
Fig. 10.1: Bar graph

3. Give the command so that the graph shows the values along with each of the bars.
4. Format the figures so as to show the numbers as 0.00.
5. Insert the chart title: ―Region-wise sales of different models‖ above the chart.
Fig. 10.2: Data labels added to the graph
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6. Insert titles as the following:
(a) X-AXIS – SALES FIGURE
(b) Y-AXIS – MODEL NAME
Fig. 10.3: Titles inserted

7. Change the graph to ―Stacked column in 3-D‖ graph.
Fig. 10.4: Bar graph converted to “Stacked column in 3-D” graph.
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8. Append the following data for the region Central and update the graph, so as to
cover Central region also.
Model Central
Mm555 900
Mm600 650
Mm800 320
Mm766 870
Mm755 670
Fig. 10.5: Data for Central region added

Hints:
1. Select the chart, right-click and select Add Data Labels.
2. Select the chart, right-click, select Format Data Labels and navigate to Number tab.
Exercise 11
Links, Headers and Footers

2. Insert a built-in equation of ―Binomial Theorem‖.
3. Insert a caption to this equation.
4. Download and insert picture of a computer.
Fig. 11.1: Picture inserted

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5. Create a new Word document and write description of a computer in it.
6. Create hyperlink from this picture to the new document.
7. Press ―Enter‖ key repeatedly till the cursor is on second page.
8. Write the text ―Google‖ containing hyperlink to the website ―www.google.com‖.
9. Assign a bookmark with name ―search‖ to the text written in previous instruction.
10. Now go to the top of the document and go to bookmark named ―search‖.
11. Insert a cross-reference to the equation inserted in instruct
12. Now go to the equation using the cross
13. Create different headers for odd and even pages. Write text ―Odd‖ in odd page
header and ―Even‖ in even page header.
Note: The picture taken is just an example.
Hints:
1. Select Insert caption from the Captions group in the References ribbon.
Exercise 12
Text

2. Insert a text box.
3. Enter the following text in the text box: ―Peter
Piper picked a peck of pickled peppers, A
peck of pickled peppers Peter Piper picked. If
Peter Piper picked a peck of pickled peppers,
How many pickled peppers did Peter Piper pick?‖
Resize the text box accordingly such that all the text is not visible.
Peter Piper picked a peck to pickled peppers,

A peck of pickled peppers Peter Piper picked
If Peter Piper picked a peck of pickled
Fig. 12.1: Text box inserted and text added
4. Insert another text box and create a link from the first text box to the second. Now the
extra text will automatically move to the second text box.
Peter Piper picked a peck of If Peter Piper picled a peck of
pickled peppers, pickled peppers,
A peck of pickled peppers Peter How many pickled peppers did
Piper picked. Peter Piper pick?
Fig. 12.2: Text boxes linked
5. Insert the name of the author of the document using Quick Parts feature.
6. Enter the following paragraph in the document:
―Software has been targeted as a growth sector in India. Besides the industry‘s own potential
21
for exports, software also plays the crucial role in information technology (IT), use of
which is fast becoming the key for competitiveness in any industry. Hence, for the
growth of IT industry as well as the other industries, a rapid growth of software
industry, both in terms of size and quality is absolutely essential.‖
7. Insert Drop Cap (In margin) in the paragraph.
8. Insert a signature line with your name and current date, to the document.
9. Insert current date and time in the top-right corner of the document such that it
changes dynamically whenever the document is opened.
10. Create a new embedded object (bitmap image) as icon.
11. Write the formula of area and perimeter of circle as Area = _______ and Perimeter = _______
(using Symbol option).
12. Insert a WordArt with text ―Word Art‖ and WordArt style 15. Rotate it left by 90_.
13. Insert the following equation for finding the second derivative in the document.
Hints:
1. Enable Show sign date in signature line in Signature Setup dialog box.
If Invalid signature is written in the signature line, then right-click on the signature. Select
Signature Details and click on Click here to trust this user’s identity. Click Close.
Exercise 13
References Ribbon
1. Open the file ―Ch3Ex1.docx‖.

2. Apply heading styles in the chapter such that the following Table of Contents can be
produced. Now insert a Table of Contents such that it can be updated automatically
with a single mouse click.
Fig. 13.1: Table of Contents

3. Insert captions to the figures of keyboard, mouse, monitor and printer such that the
following Table of Figures can be produced. Now insert a Table of Figures.
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Fig. 13.2: Table of Figures
4. Insert four citations at different places in the chapter.

5. Create a Table of Authorities after marking the citations.
Fig. 13.3: Table of Authorities

6. Insert a bibliography at the end of the chapter.
Fig. 13.4: Bibliography

7. Mark index entries for the words ―key‖, ―printer‖, ―screen‖ and ―sound‖ in the chapter.
(While marking, mark all the entries of a given word.)
8. Insert an index at the end of the chapter.
Fig. 13.5: Index

9. Insert a footnote for ―Plotter‖ heading with the text ―There are two types of plotters:
Drum plotter and Flat-bed plotter.‖
10. Now insert a subsequent footnote for the word ―speakers‖ in section 1.2.4 with the text ―A
speaker is an electro-acoustic transducer that converts an electrical signal into sound.‖.
11. Now change the number format of the footnotes to ―A, B, C, …‖.
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12. Delete the first footnote.
Note:
The Table of Authorities and bibliography are just samples. The student may insert any
other citations also.
Hints:
1. If all heading levels are not displayed in the Table of Contents, then change the
number of heading levels so that all get displayed. Also modify the way heading
levels are displayed in the table of contents, if required, to match the style given.
Exercise 14
Proofing Text
1. Open the file ―Ch3Ex2.docx‖.

2. Check the spelling mistakes using ―Spelling and Grammar‖ option. Substitute with
correct words wherever required.
3. Find the synonyms of the word ―comprehend‖ using ―Thesaurus‖ option.
4. Specify that whenever ―IT‖ is typed, it is replaced by ―Information Technology‖, using
AutoCorrect feature. Check this by typing ―IT‖ in the document. (Press Enter or
Spacebar after the text.)
5. Write the text ―The four suits of playing cards are: ‖. Now insert the symbols of all
suits of playing cards, using AutoCorrect feature.
6. Add a comment to the previous sentence with the text ―club suit, diamond suit, heart
suit, spade suit‖. Also respond to this comment with the text ―Response‖.
7. Write this text into symbols: ―Cube root of 8 is 2‖.
8. Check word count of the document. Verify the number of lines by counting manually also.
9. Enable translation screen tip for translation to French.
Hints:
1. Select Word Options from the Office Button. Click on Proofing and then go to
AutoCorrect Options. In Math AutoCorrect tab, select the check box Use Math
AutoCorrect rules outside of math regions. Now to insert symbol of club suit, for
instance, write \clubsuit. Do the same for other suits.
2. Write \cbrt.
Exercise 15
Tracking changes

―Online learning attempts to bridge the distance gap in learning. Online education exists to meet
the needs of trainers and students separated by physical distance. Physical location of the trainer
or training institution becomes immaterial to acquiring knowledge and skills. Online learning can
be the primary or a supplemental means of learning. Essentially by bridging this gap, online
learning increases access to learning. Many in this category are those who want to
24
learn while working. They may be unable to attend on-campus classes. With online
learning, workers can keep their jobs and at the same time, develop their knowledge and
skills. It could also be for the development of new job skills or training for a new job.
Online learning makes education available to many who are outside the formal or
traditional education system. It therefore provides opportunities for individuals and
corporate learners by increasing access to education and training.‖
3. Enable Track Changes feature.
4. Exchange seat with your immediate neighbor. Allow him/her to modify the text after
changing the user name.
5. View the changes done by your neighbor. Accept or reject each change.
6. Now make the document read-only.
Hints:
1. Click the Office Button. From the Prepare tab, select Mark as Final.
Exercise 16
Comparing, Combining and Splitting documents

―The term wireless networking refers to technology that enables two or more
computers to communicate using standard network protocols, but without network
cabling. Although any technology that does this could be called wireless networking,
the term generally refers to wireless LANs (WLAN). A WLAN is a grouping of network
components connected by electromagnetic (radio) waves instead of cables.
A wireless LAN basically consists of: the network backbone; end-user devices such
as data collection units, handheld computers and laptops; wireless LAN access
points; wireless cards; and software that will help you manage the network.
A single access point can support a small group of users and can function within a
range of less than 100 to several hundred feet. Access points can connect WLAN to
a wired LAN, allowing wireless computer access to LAN resources, such as file
servers or existing Internet Connectivity.‖
3. Exchange seat with your immediate neighbor. Allow him/her to modify the text after
saving the document with a different name.
4. Compare the two documents and view the changes made by your neighbor.
5. Now combine the two documents. Save the combined document with a new name.
6. Split the combined document in two parts.
Exercise 17
Macros and Saving as PDF file

2. Create a macro with the name ―Emp_Table‖ such that whenever ―Ctrl+;‖ is pressed, a table
with 5 columns and 10 rows, gets inserted in the document. Column headings should be
Emp_ID, EMP_Name, Emp_Address, Emp_Phone_No and Emp_Basic_Salary.
25
3. Now run the macro by pressing ―Ctrl+;‖. The table should get inserted.
4. Create a macro with the name ―Smiley‖ assigned to the smiley face – shaped button.
The macro should be such that when the smiley button is clicked, a smiley face gets
inserted in the document.
5. Now click the smiley button. The smiley face should get inserted.
6. Delete the macro ―Emp_Table‖.
7. Zoom the document to 250% of its normal size.
8. Hide the ruler.
9. Save the document as PDF file.
Hints:
1. Start recording a macro with the key sequence ―Ctrl+;‖. Then insert the required table
(with the given headings) and then stop recording.
Exercise 18
Themes and Margins

2. Create a new document theme (select theme colors, fonts and effects), save it with
your name and use it in the document.
―A Theme is defined as a set of unified design elements that provides a look for Word
document by using color, fonts, and graphics and organizes an appropriate balance of
colors. Themes have a palette of twelve colors. Theme effects are sets of lines, fills, and
special effects for shapes, graphics, charts, SmartArt, and other design elements.‖
Make the word ―Theme‖ in the first sentence a hyperlink to the
web page http://www.word07.com/themes.htm.
The created theme must get reflected in the above entered text.
4. Change the page setup as follows:
Top Margins : 2‖
Left Margins : 2‖
Gutter : 0.5‖
Gutter position : Top
Exercise 19
Page Formatting

“Direct Tax: A direct tax is one paid directly to the government by the persons on
whom it is imposed. Examples include some income taxes, some corporate taxes,
and transfer taxes such as estate tax and gift tax.
Indirect Tax: An indirect tax is a tax collected by an intermediary from the person who bears
26
the ultimate economic burden of the tax. Examples include sales tax, VAT, or GST.‖
3. Insert a page break between the two topics, using keyboard shortcut.
4. Change the orientation of the text on the second page, to Landscape.
5. Remove the space and insert an optional hyphen between the words ―Direct‖ and ―Tax‖.
6. Insert line numbers in front of each line in the document. Line numbers should restart
from 1 in the second page.
7. Insert a watermark with the text ―ICAI‖ written diagonally.
8. Change the background color of the document to ‗light blue‘.
Hints:
1. Press ―Ctrl + Enter
Exercise 20
Exercise 20:- Create a new word document and generate a letter, format are given
below
Print
The Institute of Chartered
Accountants of India
Branch Name: --------------------------

Address: - -------------------------------
----------------------------------------------
Phone: ------------------------------------
E-mail: ------------------------------------
NO. Dated: _____________________

ICAI/ITT/Reg.No.
Mr/ Ms. ----------------------
Address: -------------------------
Phone: - _______________
Dear Student,
This has reference to your application for registration to the Information Technology
Training course of 100 Hours. Your IT Training shall commence as follows, considering
your preferences for ITT Centres and timings and availability of seats at the ITT Centre:-
ITT Centre Start Date Timings

Details
Name:-
_______
Venue:-
You are required to report for training at the aforesaid centre 10 minutes prior to scheduled
starting of the session. While every effort has been made to allot IT Training batches of the
choice exercised by the student, there may be difference in the timings actually allotted due
to administrative exigencies.
27
In case you fail to attend the class on the very first day, the seat may be allotted to
some other student in waiting and your name may not be considered for immediate
next batch due to limited seat availability.
You are required to study the “Guidelines for ITT Course Students available overleaf”
for strict compliance in letter and spirit, to avoid delays in securing ITT Course completion
certificate.
You are required to bring (a) this letter (b) Colour Passport Size Photograph and (C)
Identity Card issued by the Institute or other photo identity issued by Government
agency (Voter ID Card, Driving License, Passport)when you report for training and in
your visits to the IT Training Centre for classes and Module / Online Test.
Thanking you,
Yours faithfully,
(Name)
Chairman / DCO Head / Convenor
Exercise 21
Envelopes

2. Create an envelope with the delivery
address ―ICAI,
A-94/4,
Sec-58,
Noida‖
3. Change the envelope size to Monarch.
4. Print the envelope.
Exercise 22
Mail Merge
1. Add the following contacts in Microsoft Office Outlook:
Name E-mail Address City

Shivani Aggarwal shivani.aggarwal@icai.org Delhi
Amar Arora amar.arora@icai.org Chandigarh
Akash Gupta akash.gupta@icai.org Delhi
Nidhi Khurana nidhi.khurana@icai.org Delhi
Ravinder Sehgal ravinder.sehgal@icai.org Delhi
Deepti Sinha deepti.sinha@icai.org Bangalore
2. Create and save a Word document. Write the following e-mail in the document:
―
27
Dear <student name>
The schedule for online examination of Information Technology Training is:
Date: May 25, 2010
Time: 10:00 a.m.
Venue: Lab 1
You are required to be seated before the commencement of the examination. No late
entries will be allowed.‖
3. Change the font color of the
text ―Date: May 25, 2010
Time: 10:00 a.m.
Venue: Lab 1‖
to red and font size to 14.
4. Use the student name from Outlook contacts (take only those students in recipient list
who are studying in Delhi) and make it a mail merged field. Change its font color to blue.
5. Send the e-mail to all the students who are studying in Delhi. The subject of the e-
mail should be ―Schedule of online examination‖.
Note:
The contact list is just an example. Student shall take valid e-mail ids so that they can
verify that the e-mails have been sent.
Hints:
1. Filter recipient list based on ―City equals to Delhi‖. Then add greeting line.
Case Studies
CS1: Inventory Valuation using Weighted Average method
Calculate the weighted average price and also the value of closing inventory by filling in
the table (given in file ―CS1.docx‖) with the required formula.
Date Receipts Issues Balance

Mar. Qty Rate Rs. Amount Qty Rate Amount Qty Rate Amount
Units Rs. Units Rs. Units Rs. Rs.
2 900 5.00
5 600
10 400 5.50
11 300 5.50
15 400
19 200 6.00
26 800 4.75
31 600
Solution:
28
Under weighted average price method, cost of goods available for sale during the period is
aggregated and then divided by number of units available for sale during the period to
calculate weighted average price per unit. Thus
Total cost of goods available for sale during the period

Weighted average price per unit =
Total number of units available for sale during the period

Mar. Qty Rate Rs. Amount Qty Rate Amount Qty Rate Amount
Units Rs. Units Rs. Units Rs. Rs.
2 900 5.00
5 600
10 400 5.50
11 300 5.50
15 400
19 200 6.00
26 800 4.75
31 600
We can number the rows of the table as 1, 2, 3, ... and the columns as A, B, C, … The
following example table will demonstrate how MS-Word refers the cells in a table.
A1 B1 C1
A2 B2 C2
A3 B3 C3
Fig. 1.1: “Table Tools”

Now click on Formula option. The Formula dialog box will appear.
Fig. 1.2: “Formula” dialog box
29
Here we can type in the required formula in the Formula box or select a formula from the
Paste function drop-down list.
Note: Make sure that there is a ‗=‘ sign before the formula.
We can also select a number format from the Number format drop-down list.
Now enter the following formula in the respective cells with the specified number formats.
Cell Formula Number Format

D3 PRODUCT(B3, C3) #, ##0
H3 B3 #, ##0
H4 H3 – E4 #, ##0
H5 H4 + B5 #, ##0
H6 H5 + B6 #, ##0
H7 H6 – E7 #, ##0
H8 H7 + B8 #, ##0
H9 H8 + B9 #, ##0
H10 H9 – E10 #, ##0
I3 C3 #, ##0.00
J3 D3 #, ##0.00
F4 I3 #, ##0.00
G4 PRODUCT(E4, F4) #, ##0
I4 I3 #, ##0.00
J4 PRODUCT(H4, I4) #, ##0
I5 SUM(J4, D5) / H5 #, ##0.00
I6 SUM(J5, D6) / H6 #, ##0.00
F7 I6 #, ##0.00
G7 PRODUCT(E7, F7) #, ##0
I7 I6 #, ##0.00
I8 SUM(J7, D8) / H8 #, ##0.00
I9 SUM(J8, D9) / H9 #, ##0.00
F10 I9 #, ##0.00
G10 PRODUCT(E10, F10) #, ##0
I10 I9 #, ##0.00
J10 PRODUCT(H10, I10) #, ##0
30
Table 1.1: Formula and Number formats
Output:

Mar. Qty Rate Amount Qty Rate Amount Qty Rate Amount
Rs. Units Rs. Rs. Units Rs. Rs. Units Rs. Rs.
2 900 5.00 4,500 900 5.00 4,500
5 600 5.00 3,000 300 5.00 1,500
10 400 5.50 2,200 700 5.29 3,703
11 300 5.50 1,650 1,000 5.35 5,350
15 400 5.35 2,140 600 5.35 3,210
19 200 6.00 1,200 800 5.51 4,408
26 800 4.75 3,800 1,600 5.13 8,208
31 600 5.13 3,078 1,000 5.13 5,130
CS2: Confirmation of Balances using Mail Merge
(Excerpt from http://en.wikipedia.org/wiki/Mail_merge)
Mail merge is a software function describing the production of multiple documents from a single
template form and a structured data source. This helps to create personalized letters and pre-
addressed envelopes or mailing labels for mass mailings from a word processing document which
contains fixed text, which will be the same in each output document, and variables, which act as
placeholders that are replaced by text from the data source. The data source is typically a
spreadsheet or a database which has a field or column matching each variable in the template.
When the mail merge is run, the word processing system creates an output document for each row
in the database, using the fixed text exactly as it appears in the template, but substituting the data
variables in the template with the values from the matching columns.
Assignment:
Send letters to four companies asking for confirmation of their account balances using Step by
Step Mail Merge Wizard. Use file ―DataSrc.xlsx‖ as the data source and file ―CS2.docx‖ as the
document containing the letter. The final output is given in file ―Final CS2.pdf‖.
The format of the letter should be:
To,
The Manager
<Address of the company>
E-mail: <E-mail id>
Dear <First Name of the Manager>,
Dated: April 8, 2010
31
Sub: Confirmation of Accounts
For 1-Apr-2010
Given below are the details of your Accounts as standing in my/our Books of Accounts for
the above mentioned period.
Kindly return 3 copies stating your I.T. Permanent A/c No., duly signed and sealed, in
confirmation of the same. Please note that if no reply is received from you within a
fortnight, it will be assumed that you have accepted the balance shown below.
Date Particulars Debit Date Particulars Credit Amount

Amount
1-Apr-2010 Sales – 1 15,000.00 1-Apr-2010 Bank 12,000.00
sales made on Ch. No.:
1-Apr 372846
1-Apr-2010 Sales – 2 25,000.00 1-Apr-2010 Bank 5,600.00
1-Apr-2010 Sales – 3 14,000.00 Ch. No.:
783762
1-Apr-2010 Bank 8,900.00
Ch. No.:
648369
54,000.00 26,500.00
Closing Balance 27,500.00
54,000.00 54,000.00
I/We hereby confirm the above.
Yours faithfully,
Solution:
Steps
1. Open the file ―CS2.docx‖.

2. Start Step by Step Mail Merge Wizard.
3. Select Letters as the document type.
4. Proceed through the wizard by clicking Next.
5. When it asks for the recipient selection, select the option Use an existing list and
browse to the file ―DataSrc.xlsx‖.
6. After finishing the mail merge process, select the option Edit individual letters to
create a document containing all the letters.
CS3: GAIL Annual Report
1. Create the Annual report of GAIL (Gas Authority of India Limited) as given in ―Final
CS3. pdf‖.
32
2. Link the balance sheet given in file ―Balance Sheet.xlsx‖ to this report such that
whenever any change is made in the Excel file, it is also reflected in the report.
3. Add a cover page to the report.
4. Also apply a watermark of GAIL logo in the report.
5. Save the report in PDF format.
Solution:
Steps
1. Open the file ―CS3.docx‖.

2. Do all the necessary text formatting, make bullet points, tables etc. as specified in file
―Final CS3.pdf‖. Specify headings in ―Heading 1‖ style and all other text in ―Normal‖ style.
3. Add a cover page with the given title and GAIL logo. The student may use any of the
available cover pages.
4. (Student is required to download GAIL logo from the Internet.)
5. Apply header mentioning the title and year of the report; and footer mentioning the
page number.
6. Apply watermark of GAIL logo which has been downloaded.
7. Create the charts.
8. To add a secondary axis to the chart, select the data series to be placed on the secondary axis.
Navigate to the Format ribbon. Now, in the Current Selection group at the far left,
make sure that the drop-down selection is showing the name of the selected series.
Click Format Selection. This will display the following dialog box as shown in Fig. 3.1.
Fig. 3.1: Adding a secondary axis to the chart
33
Click the Secondary Axis radio button and then click Close. To change the range of
an axis in the chart, select that axis, right-click on it and click on Format Axis.
9. Make the diagram in the section ―Five Year Profile‖ using text boxes and shapes.
10. Link the Excel file ―Balance Sheet.xlsx‖ in the section ―Annual Accounts‖. After
linking, open the Excel file; change a figure there and save it. Now update the link in
the report by right-clicking on the balance sheet. Verify that the figure is changed.
11. Add table of contents such that it can be updated automatically with a single mouse-click.
12. Mark index entries and create index.
Source: GAIL 21st Annual Report, 2004-2005.
C. MS-EXCEL 2010
Electronic Spreadsheets like MS-Excel 2010 are perhaps one of the most useful tools for
Accountants for their financial analysis and reporting requirements. Excel 2010 provides
simple and easy interface to undertake requisite computations. Excel 2010 also provides
readymade financial and other functions, simulation facility etc. The case studies and
exercises given below will provide thorough practice on financial functions and computations.
Shortcut keys
(a) Function Keys
Shortcut key Functionality

F1 Displays the Microsoft Office Excel Help task pane
F2 Edits the active cell, putting the cursor at the end
F3 Displays the Paste Name dialog box
F4 Repeats the last command or action, if possible
F5 Displays the Go To dialog box
F6 Switches between the worksheet, Ribbon, task pane, and Zoom controls.
In a worksheet that has been split, it also includes the split panes.
F7 Displays the Spelling dialog box
F8 Turns extend mode on or off
F9 Calculates all worksheets in all open workbooks
F10 Turns key tips on or off
F11 Creates a chart (on a chart sheet) using the highlighted range
F12 Displays the Save As dialog box
(b) SHIFT + Function Keys

Shift + F2 Inserts or edits a cell comment
Shift + F3 Displays the Insert Function dialog box
Shift + F4 Repeats the last Find, the same as Find Next
Shift + F5 Displays the Find dialog box
34
Shift + F6 Switches between the worksheet, Zoom controls, task pane, and Ribbon
Shift + F8 Enables the user to add a nonadjacent cell or range to a selection of
cells by using the arrow keys
Shift + F9 Calculates the active worksheet
Shift + F10 Displays the (Shortcut) menu for the selected item
Shift + F11 Inserts a new worksheet
Shift + F12 Displays the Save As dialog box
(c) CTRL + Function Keys

Ctrl + F1 Displays or hides the Ribbon
Ctrl + F2 Displays the Print Preview window
Ctrl + F3 Displays the Name Manager dialog box
Ctrl + F4 Closes the selected workbook window
Ctrl + F5 Restores the window size of the selected workbook window
Ctrl + F6 Moves to the next open workbook or window
Ctrl + F7 Performs the Move window command when the window is not maximized
Ctrl + F8 Performs the Size window command when the window is not maximized
Ctrl + F9 Minimizes the workbook window to an icon
Ctrl + F10 Maximizes or restores the selected workbook window
Ctrl + F11 Inserts a new macro sheet
Ctrl + F12 Displays the Open dialog box
(d) Other + Function keys

Alt + F1 Creates a chart (on a chart sheet) using the highlighted range
Alt + F2 or Alt +
Shift + F2 Displays the Save As dialog box
Alt + F4 or Alt +
Shift + F4 Closes all the workbooks (saving first) and exits Excel
Alt + F8 Displays the Macro dialog box
Alt + F11 Toggles between the Visual Basic Editor window (in which one can
create a macro using VBA) and the Excel window
Alt + Ctrl + F9 Calculates all worksheets in all open workbooks
Alt + Shift + F1 Inserts a new worksheet
Ctrl + Shift + F3 Displays the Create Names from Selection dialog box
Ctrl + Shift + F12 Displays the Print dialog box
(e) CTRL + Number Keys

Ctrl + 0 Hides the selected columns
35
Ctrl + 1 Displays the Format Cells dialog box
Ctrl + 2 Toggles bold on the current selection
Ctrl + 3 Toggles italics on the current selection
Ctrl + 4 Toggles underlining on the current selection
Ctrl + 5 Toggles the strikethrough of text on the current selection
Ctrl + 6 Alternates between hiding objects, displaying objects, and displaying place-
holders for objects
Ctrl + 8 Toggles the display of outline symbols
Ctrl + 9 Hides the selected rows
(f) CTRL + Alphabet Keys

Ctrl + A Selects the entire worksheet
Ctrl + B Toggles bold on the current selection
Ctrl + C Copies the current selection to the clipboard
Ctrl + D Copies the contents and format of the first cell in the selection downwards
Ctrl + F Displays the Find dialog box
Ctrl + G Displays the Go To dialog box
Ctrl + H Displays the Replace dialog box
Ctrl + I Toggles italics on the current selection
Ctrl + K Displays the Insert Hyperlink dialog box for new hyperlinks or the Edit Hy-
perlink dialog box for selected existing hyperlinks
Ctrl + L Displays the Create Table dialog box
Ctrl + N Creates a new blank workbook
Ctrl + O Displays the Open dialog box
Ctrl + P Displays the Print dialog box
Ctrl + R Copies the contents and format of the leftmost cell in the selection to the right
Ctrl + S Saves the active file
Ctrl + U Toggles underlining on the current selection
Ctrl + V Pastes the contents of the clipboard at the insertion point
Ctrl + W Closes the selected workbook window
Ctrl + X Cuts the current selection to the clipboard
Ctrl + Y Repeats the last command or action, if possible
Ctrl + Z Undo the last command or action
(g) Other Shortcuts

Ctrl + Shift + A Inserts argument names and parentheses when the insertion point is to the
right of a function name in a formula
Ctrl + Shift + F or
Ctrl + Shift + P Opens the Format Cells dialog box with the Font tab selected
Ctrl + Shift + O Selects all the cells with comments
Enter Enters the contents of the active cell and moves to the cell below
36
Shift + Enter Enters the contents of the active cell and moves to the cell above
Tab Enters the contents of the active cell and moves one cell (unlocked in a pro-
tected worksheet) to the right
Shift + Tab Enters the contents of the active cell and moves one cell (unlocked in a pro-
tected worksheet) to the left
Alt + = Enters the SUM() function in the active cell
Alt + 0128 Enters the euro symbol (€) (using Number keypad)
Alt + 0162 Enters the cent symbol (¢) (using Number keypad)
Alt + 0163 Enters the pound sign symbol (£) (using Number keypad)
Alt + 0165 Enters the yen symbol (¥) (using Number keypad)
Alt + Enter Enters a new line (or carriage return) into a cell
Ctrl + ' Enters the formula from the cell directly above into the active cell
Ctrl + ; Enters the current date into the active cell
Ctrl + Enter Enters the contents of the active cell to the selected cell range
Ctrl + Shift + : Enters the current time into the active cell
Shift + Insert Enters the data from the clipboard
Alt + Down Ar- Displays a drop-down list of the values in the current column of a range
row
Esc Cancels the cell entry
Ctrl + Tab Switches to the next tab in a dialog box
Ctrl + Shift + TabSwitches to the previous tab in a dialog box
Home Moves to the first column in the current row
End + Arrow Key Move by one block of data within a row or column
Page Down Moves one screen down in a worksheet
Page Up Moves one screen up in a worksheet
Alt + Page Down Moves one screen to the right in a worksheet
Alt + Page Up Moves one screen to the left in a worksheet
Ctrl + Home Moves to the beginning (cell ―A1‖) of a worksheet
Ctrl + End Moves to the last cell on a worksheet, in the lowest used row of the rightmost
used column
Ctrl + Arrow Key Moves to the edge of the current data region
Ctrl + Page Up Moves to the previous worksheet in a workbook
Ctrl + Page Down Moves to the next worksheet in a workbook
Scroll Lock +
Arrow Key Moves the workbook window by one cell in the corresponding direction
Scroll Lock + End Moves to the last cell in the current workbook window
Scroll Lock +
Home Moves to the first cell in the current workbook window
Scroll Lock +
Page
Down Moves you down one screen (current selection unchanged)
Scroll Lock +
Page
Up Moves you up one screen (current selection unchanged)
Ctrl + . Moves clockwise to the next corner within a selected range
37
Ctrl + Alt + Left
Arrow Switches to the next non-adjacent selection to the left
Ctrl + Alt + Right
Arrow Switches to the next non-adjacent selection to the right
= Starts a Formula
Ctrl + ` Alternates between displaying cell values and displaying formulas in the
worksheet
Ctrl + Delete Deletes text to the end of the line
Ctrl + Insert Copies the current selection to the clipboard
Ctrl + Shift + ( Unhides any hidden rows within the selection
Ctrl + Shift + ) Unhides any hidden columns within the selection
Alt Shows key tips
Alt + Shift + Left
Arrow Displays the Ungroup dialog box
Alt + Shift +
Right
Arrow Displays the Group dialog box
Alt + Backspace Undo the last action
Alt + Spacebar Displays the control menu for the Microsoft Office Excel window
Alt + - (from the
Numeric keypad) Displays the Excel application control menu
End Moves to the cell in the lower-right corner of the window when SCROLL
LOCK is turned on.
Delete Deletes the selection or one character to the right
Backspace Deletes the selection or one character to the left
Shift + Delete Cuts the selection to the clipboard
Ctrl + - Displays the Delete dialog box
Ctrl + Shift + = Displays the Insert dialog box
Ctrl + Backspace Scrolls to display the active cell
Ctrl + Shift + U Switches between expanding and collapsing of the formula bar
(h) Selecting data

Ctrl + \ Selects the cells in a selected row that do not match the value in the active
cell
Ctrl + Shift + \ Selects the cells in a selected column that do not match the value in the active
cell
Ctrl + / Selects the array containing the active cell
Alt + ; Selects the visible cells in the current selection
Ctrl + Shift + * Selects the current region around the active cell (surrounded by blank rows
and columns). In a PivotTable, it selects the entire PivotTable report.
Ctrl + [ Selects all the cells that are directly referred to by the formula in the active
cell (precedents)
38
Ctrl + Shift + [ Selects all the cells that are directly (or indirectly) referred to by the formula
in the active cell
Ctrl + ] Selects all the cells that directly refer to the active cell (dependents)
Ctrl + Shift + ] Selects all the cells that directly (or indirectly) refer to the active cell
Ctrl + Shift + Page Selects the active worksheet and the one after it
Down
Ctrl + Shift + Selects the active worksheet and the one before it
PageUp
Ctrl + Shift + Selects all the objects on a worksheet when an object is selected or selects the
Spacebar entire worksheet
Ctrl + Spacebar Selects an entire column in a worksheet
Shift + Spacebar Selects an entire row in a worksheet
Shift + Arrow Selects the active cell and the cell in the given direction
keys
Shift + Backspace Selects the active cell when multiple cells are selected
(i) Extending data

Ctrl + Shift +
Arrow Key Extends the selection to the last non-blank cell in the same column or row
as the active cell, or if the next cell is blank, extends the selection to the next
non-blank cell
Ctrl + Shift + End Extends the selection to the last used cell on the worksheet
Ctrl + Shift + Extends the selection to the beginning of the worksheet
Home
Shift + Arrow Key Extends the selection by one cell in that direction
Shift + Home Extends the selection to the first column
Shift + Page Extends the selection down one screen
Down
Shift + Page Up Extends the selection up one screen
End, Shift +
Arrow Key Extends the selection to the next non-blank cell in that direction
(j) Formatting data

Alt + ' Displays the Style dialog box
Ctrl + Shift + ! Applies the Number format with two decimal places, thousands separator, and
minus sign (-) for negative values
Ctrl + Shift + $ Applies the Currency format with ―$‖ sign and two decimal places (negative
numbers in parentheses)
Ctrl + Shift + % Applies the Percentage format with no decimal places
Ctrl + Shift + ^ Applies the Exponential number format with two decimal places
Ctrl + Shift + ~ Applies the General number format
Ctrl + Shift + @ Applies Time format with the hour and minute, and AM or PM
39
Ctrl + Shift + # Applies the Date format "dd-mmm-yy" to the selection
Ctrl + Shift + & Applies the outline border to the selected cells
Ctrl + Shift + _ Removes the outline border from the selected cells
Lab Exercises
Exercise 1
Build a Balance Sheet
Step 1: Create a title page.
In cell D1, type ABC CONSULTING LIMITED
In cell D2, type BALANCE SHEET
In cell D3, enter today‘s date using formulae.
Notice that the headings do not fit in the cells. To make the cells accommodate the headings,
we can widen the columns so the headings will fit. Save the spreadsheet as ―bal.xlsx‖.
Step 2: Enter data into the worksheet and navigate within the worksheet.
• Type the following text in the appropriate cells.
CELL TEXT
B4 INPUT SECTION
B6 Cash in Bank
B7 Petty Cash
B8 Marketable Securities
B9 Accounts Receivable
B10 Allowance for Bad Debts
B11 Inventory
B12 Office Supplies
B13 Prepaid Insurance
B14 Land
B15 Buildings
B16 Accumulated Depreciation—Buildings
B17 Warehouse
B18 Accumulated Depreciation—Warehouse
B19 Trucks
B20 Accumulated Depreciation—Trucks
B21 Office Equipment
B22 Accumulated Depreciation—Office Equipment
40
B23 Accounts Payable
B24 Notes Payable, Short-Term
B25 Interest Payable
B26 Income Tax Payable
B27 Liability for Payroll Taxes
B28 Notes Payable, Long-Term
B29 ABC, Capital
• Now, widen Column C to 14 characters.

• Next, input the following numerical values in the appropriate cells.
CELL VALUE
C6 7115.15
C7 400
C8 5000
C9 24100
C10 615
C11 65000
C12 1480
C13 5135
C14 10000
C15 65000
C16 9750
C17 30000
C18 5400
C19 16000
C20 9000
C21 8700
C22 3915
C23 14190
C24 25000
C25 215
C26 300
C27 1800
C28 70000
C29 97745.15
These are INR values, so we must add INR signs and decimal points.
• Next, add these titles in the appropriate cells for the Assets section of the Balance Sheet.
CELL TEXT
D4 ASSETS
D6 Current Assets
D15 Total Current Assets
D17 Noncurrent Assets
41
D27 Total Noncurrent Assets
D28 Total Assets
• Now, we will begin copying the account titles and numerical values from the input
section into the actual balance sheet.
• Point to cell B6 and copy the cell to D7.
• Now, copy the titles in cells B7 through B13 to cells D8 through D14.
• Next, copy B14 through B22 to D18 through D26.
• To improve the appearance of our balance sheet, we need to edit a few cells.
• Point to cell D7 and click the left mouse button, tap the F2 key to begin editing the
cell. Use the arrow keys to move the cursor in front of the words Cash in Bank. Insert
three spaces in front of the words. Repeat this for cell D8 through D14.
• Insert six spaces in front of Total Current Assets in cell D15.
• Edit cells D20, D22, D24, and D26 by placing the word Less: at the front of each cell.
For example, cell D20 should read Less: Accumulated Depreciation—Buildings
• Insert three spaces in front of the words in cells D18 through D26.
• Insert six spaces in front of the words in cell D27
Output:
Fig.1.1: Output
Step 3: Enter formula and copy cell contents and formula.
We have all of the titles in place for the Assets part of the balance sheet, now we must
copy to the titles for the Liabilities and Owner‘s Equity part.
42
• Go to the following cells and type in the appropriate text:
CELL TEXT
D31 LIABILITIES AND OWNER’S EQUITY
D33 Current Liabilities
D39 Total Current Liabilities
D41 Noncurrent Liabilities
D43 Total Noncurrent Liabilities
D44 Total Liabilities
D47 Owner‘s Equity
D49 Total Owner‘s Equity
D50 Total Liabilities and Owner‘s Equity
• Next, copy B23 through B27 to D34 through D38.
• Insert three spaces in front of the words in cells D34 through D38
• Insert six spaces in front of Total Current Liabilities in cell D39.
• Copy B28 to D42 and insert three spaces in front of the words in cell D42.
• Insert six spaces in front of the words in cells D43 and D44.
• Copy B29 to D48 and insert three spaces in front of the words in cell D48.
• Insert six spaces in front of the words in cell D49.
Fig.1.2: Output
• Next we must copy the numerical values from the input section to the actual balance sheet.
However, because we want the numbers in our balance sheet to change when we change
the numbers in the input section, we cannot copy them the same way we copied text.
Step 4: Copying Numerical Values
1. Plus-Point Method
To use this method, simply type a plus sign (+) in the new cell, then point to the cell where
the number currently is and click the left mouse button. You will see the current cell address
appear in the new cell. When you press enter, the numerical value will appear in the new
cell. Notice that if you move back onto the new cell, the original cell address is still there.
43
In the left column below, the destination cell addresses are listed. These are the cells
where the specified task will be performed. In the right column below, the task is listed.
For each row, this is the task we must perform on the destination cell. For tasks we have
not yet discussed, instructions on performing the task will follow the task description.
For example: In the first row, F7 is listed as the destination cell and the task is to
Copy C6. This means that you must copy C6 to F7. Using the Plus-Point Method,
you would go to cell F7, then type a plus sign and point to cell C6. Using the Type-In
Method, you would go to cell F7, then type a plus sign and type ‘C6’.
Destination Cell Task

F7 Copy C6
F8 Copy C7
F9 Copy C8
E10 Copy C9
E11 Copy C10
Underline E11: Point to E11 and click the right mouse button. Select Format Cells using a left
mouse click, and then select the Border tab using a left mouse click. Point to the bottom of the
cell within the box and click. A line should appear along the bottom of that cell. Click on OK
with a left mouse click. There should be a line along the bottom of cell E11.
F11 Using the Plus-Point Method, subtract E11 from E10. Type a +, point to
E10, type a -, point to E11. Press enter.
F12 Copy C11
F13 Copy C12
F14 Copy C13
Underline F14
F15 Using AutoSum, add F7 through F14.
To use AutoSum: Point to F7, click and hold down the left mouse button and drag down
until F7 through F15 are highlighted. Point to the  (Sigma) sign in the Standard Tool Bar and
click the left mouse button. The total of F7 through F14 will be placed in F15.
F18 Copy C14

E19 Copy C15
E20 Copy C16
Underline
E20 F20 Using the Plus-Point Method, subtract E20 from E19.
E21 Copy C17
E22 Copy C18
Underline
E22 F22 Using the Plus-Point Method, subtract E22 from E21.
E23 Copy C19
E24 Copy C20
Underline E24
44
F24 Using the Plus-Point Method, subtract E24 from E23.
E25 Copy C21
E26 Copy C22
Underline E26
F26 Using the Plus-Point Method, subtract E26 from E25.
Underline F26
Underline F27
F28 Using the Plus-Point Method, add F15 and F27.
Double Underline F28.
To Double Underline: Do this the same way you underline, except before clicking on the
bottom of the cell to place the line there, click on the double underline from the choices to
the right of the cell within the box.
F34 Copy C23

F35 Copy C24
F36 Copy C25
F37 Copy C26
F38 Copy C27
Underline F38
F42 Copy C28
Underline F42
F43 Copy F42
Underline F43
Underline F44
F48 Copy C29
Underline F48
F49 Copy F48
Underline F49
Double Underline F50
We have successfully transformed our input section into a balance sheet in proper format.
Output:
45
Fig.1.3: Output
Exercise 2
Round Function and Format Option
The Round Function rounds a number to a specified number of digits.
Syntax: ROUND(number, num_digits) where number is the number to be rounded and

num_digits specifies the number of digits to which the Number is to be rounded
The rounding options with respect to the num_digits parameter are
Greater than 0, then number is rounded to the specified number of decimal places.
Equal to 0, then number is rounded to the nearest integer.
Less than 0 or a negative value then number is rounded to the left of the decimal.
ROUNDUP(number, num_digits) here a real number is rounded up depending on the second

argument num_digits.
If num_digits > 0, then number is rounded up to the specified number of decimal
places. If num_digits = 0, then number is rounded up to the nearest integer.
ROUNDDOWN(number,num_digits) here a real number is rounded down depending on the second
46
argument num_digits.
If num_digits > 0, then number is rounded down to the specified number of decimal places.
If num_digits = 0, then number is rounded down to the nearest integer.
Using the Format Cells option:
The Number tab of the Format cells dialog box has the options Number, Currency, and
Accounting categories which allow decimal places configuration for the selected number of
cells. We can specify up to 30 decimal places.
Fig.2.1: Output
Exercise 3
Change Case & Trim
The Text functions UPPER, PROPER, LOWER and TRIM are used to convert text from
uppercase to lowercase or from lowercase to proper case to make it more readable.
47
Fig.3.1: Output
Exercise 4
IF Function
The logical IF function is used to set a particular value in a cell based on a conditional
expression. This function can be used to conduct conditional tests on values and formulas.
Syntax IF(logical_test, value_if_true, value_if_false)
• Logical_test - is an expression that can be evaluated to TRUE or FALSE.

• Value_if_true - is the value that is returned if logical_test is TRUE.
• Value_if_false - is the value that is returned if logical_test is FALSE.
Fig.4.1: Output
48
Exercise 5
MIN Function
Returns the smallest number in a set of values.
Syntax: MIN (number1, number2,….)
• Number1, number2, are 1 to 255 numbers for which you want to find the minimum value.
• Number1, Number2 can be numbers or names, arrays, or cell references that contain numbers.
• If the arguments are to include logical values and text representations of numbers in
a reference we can use the MINA function.
• Similar rules hold for the functions MAX, and MAXA.
Fig.5.1: Output
Exercise 6
Date and Time Function
Returns the sequential serial number that represents a particular date. If the cell format
was General before the function was entered, the result is formatted as a date.
Syntax: DATE(year,month,day)
• Year: The year argument can be one to four digits. The format of the argument is set
according to the date system configuration in the default operating system.
• Month: is a positive integer representing the month of the year from 1 to 12 (January to
December).
• Day: is a positive integer representing the day of the month from 1 to 31.
Syntax: DATEDIF (Date1, Date2, Output Format)
The Date1 and Date2 arguments are the two date values or cell references containing date
values. The second argument (Date2) must be greater than the first. The Output Format
argument is a character code typed inside inverted commas. The character code values are:
49
Code Description Explanation
"d" Days The number of days between Date1 and Date2.
"m" Months The number of complete months between Date1
and Date2.
"y" Years The number of complete years between Date1
and Date2.
"yd" Days excluding Years The number of days between Date1 and Date2,
as if Date1 and Date2 were in the same year.
"ym" Months excluding Years The number of months between Date1 and
Date2, as if Date1 and Date2 were in the same
year.
"md" Days excluding Months and Years The number of days between Date1 and Date2,
as if Date1 and Date2 were in the same month
and the same year
Fig.6.1: Output
Exercise 7
To prepare the Equated Monthly Installment statement
Syntax: PMT(rate,nper,pv,fv,type) - Calculates the payment for a loan based on constant

payments and a constant interest rate.
Rate is the interest rate for the loan.
Nper is the total number of payments for the loan.
Pv is the present value, or the total amount that a series of future payments is worth now (Principal).
Fv is the future value, (Cash balance) to attain after the last payment is made. If fv is
omitted, it is assumed to be 0 (zero), that is, the future value of a loan is 0.
Type: is the number 0 (zero) payment due at the beginning of the loan period or number
1(one) indicates payments due at the end of the loan period.
Syntax: PPMT (rate, per, nper, pv, fv, type) - Returns the payment on the principal for a given
period for an investment based on periodic, constant payments and a constant interest rate.
Rate is the interest rate per period.
Per specifies the period and must be in the range 1 to nper.
Syntax: IPMT (rate, per, nper, pv, fv, type) - Returns the interest payment for a given period
for an investment based on periodic, constant payments and a constant interest rate.
Rate is the interest rate per period.
Per is the period for which you want to find the interest and must be in the range 1 to nper.
50
Limit sanctioned Rs.13925000
Total monthly instalments 48
Rate of interest 11.25% p.a.
EMI =PMT (11.25%/12,48,13925000)
Table 7.1:Loan Data
Principal =PPMT(11.25%/12,(first instalment-cell reference),48,13925000)

Interest =IPMT(11.25%/12,(first instalment-cell reference),48,13925000)
Table 7.2: Loan Principal and Interest Function

Output:
Instalment # Due date for Instalment (Rs) Principal (Rs) Interest (Rs)
payment
1 1-Nov-07 3,61,592 2,31,045 1,30,547
2 1-Dec-07 3,61,592 2,33,211 1,28,381
3 1-Jan-08 3,61,592 2,35,397 1,26,194
4 1-Feb-08 3,61,592 2,37,604 1,23,988
5 1-Mar-08 3,61,592 2,39,832 1,21,760
6 1-Apr-08 3,61,592 2,42,080 1,19,512
7 1-May-08 3,61,592 2,44,350 1,17,242
8 1-Jun-08 3,61,592 2,46,640 1,14,951
9 1-Jul-08 3,61,592 2,48,953 1,12,639
10 1-Aug-08 3,61,592 2,51,287 1,10,305
and so on…
47 1-Sep-11 3,61,592 3,54,906 6,686
48 1-Oct-11 3,61,592 3,58,233 3,358
TOTAL 1,73,56,416 1,39,25,000 34,31,406
Table 7.3: Loan Sheet
Exercise 8
Validation of a given PAN number
1. Length of the PAN number = LEN (C3)

2. Name the vectors:
ALPHA – I6:I31
NUMERIC – K6:K14
Second Verification Composition formulae are:
3. First alphanumeric digit of the PAN number = LEFT (PAN number, 1)
4. Right most alphanumeric digit of the PAN number = RIGHT (PAN number, 1)
5. To verify the alphanumeric digit of the PAN number belongs to the ALPHA vector =
LOOKUP (=LEFT (PAN number, 1), ALPHA, ALPHA)
51
6. To verify the result of the lookup function =
ISERROR (=LOOKUP (=LEFT (PAN number, 1), ALPHA, ALPHA))
Fig.8.1: Formulae for verification

Output:
Fig.8.2: Validation -Output
52
Exercise 9
Find the rank of an ITT student
Find the rank of all the students based on the following class data.
Fig.9.1:Data Sheet
1. Round the average marks to the nearest integer down.

2. If average marks and marks in module1, module2, project and online examination
are all more than 60, then the student can be declared as ITT qualified.
3. Grade is assigned as:
Average Marks Grade

>=70 a
>=60 b
>=50 c
<50 d
Table 9.1:Grade Data
4. Use Rank () function for computing rank of ITT qualified students. If a student has
failed, just write ―n/a‖.
Output:
Fig.9.2: Output
53
Exercise 10
Using functions to perform calculations on the table
Step 1: Prepare a report on the subscription rates and % saving up to 10 years under given
conditions.
• There are 4 issues per month.

• Each issue costs Rs.15.
• For a subscription >= 2 years, the discount is 15% on the yearly cost.
• For a subscription >=5 years, the discount is 18% on the yearly cost.
• For a subscription more than 7 years, the discount is 22% on the yearly cost.
Year/s No. of issues You Pay You Save % Saving

1
2
Table 10.1: Discount Chart
Step 2: Share of trade for modern self-service outlets in the year 2001, 2002, 2003 in
different countries:
Country Number of outlets counted % Increasein % Increase in

2002 2003
2001 2002 2003
Singapore 81,000 83,000 86,000
Malaysia 42,289 45,900 49,898
Philippines 43,212 43,532 40,233
India 2,321 4,673 7,900
Sri Lanka 3,799 4,234 9,676
Table 10.2: Share of Trade
Calculate the shown columns and highlight the countries where the trade has a significant
increase of more than 25% in the year 2002 and 2003.
Step 3: The advertisement revenue of leading newspapers in Mumbai:
Brand Name Hindustan Times Indian Express The Hindu The Times of India
Adidas 41,700 95,343 7,302 28,800
Britannia 37,69,241 1,17,488 23,799 99,480
Samsung 19,29,550 7,84,055 1,33,639 13,48,832
MRF 2,38,470 58,874 11,641 1,41,764
Table 10.3: Advertisement Revenue
I. Calculate the total advertisement revenue for the newspapers.
II. Calculate the total advertisement expenditure made by a brand.
III. Show the % of expenditure made by a brand with different newspapers.
54
Exercise 11
Creating and formatting Chart
Step 1: Plot a graph (3D-bar) showing the average sales of different commodities in a shop.
Commodity Jan’04 Feb’04 March’04 April’04

Shampoo 10,899 13,999 45,677 19,343
Face Cream 90,898 1,23,455 9,89,234 14,56,787
Hair oil 5,684 10,891 16,878 89,343
Toothpaste 23,456 1,23,456 79,898 23,23,450
Bath Soaps 9,00,123 8,45,670 15,11,300 19,33,710
Liquid Soaps 23,345 91,800 10,817 16,750
Table 11.1: Data Sheet
Fig.11.1: 3-D Bar Chart

Step 2: The sampling viewership count for the year 2003 has resulted in the following graph.
The sampling total was 1,25,89,214 people.
i. Number of people who watched Sahara Samay.

ii. Calculate the average viewership for the three best channels
55
Fig.11.2: 3-D Pie Chart
Step 3: Automobile average sales over 3 year period
Automobile/ 2000 2001 2002 2003 Total Average

Year
Toyota 21,785 28,022 25,040 30,740
Mahindra 7,057 9,262 12,674 32,090
Tata 27,999 25,250 24,754 29,321
Qualis 12,356 32,890 14,564 38,200
Total
Average
automobile
sales
Table11.2: Automobile Data
I. Show the average sales over 4 years for each automobile on a histogram.
II. Show the total average automobile sales for a year on a pie chart.
Output-I
56
Fig.11.3: Histogram Chart- Average Sales over four years
Output-II
Fig.11. 4: Pie Chart-Average Sales of year -2000
Exercise 12
Adding security to the document created
1. Enter a password to open the spreadsheet ―bal.xlsx‖.

2. Change the save option of the file using the following steps:
I. Change the save Auto recover Information every 5 minutes.
II. Change the default file location to C: \Users\....\Desktop.
III. Enable background error checking.
IV. Change the dictionary language to English (Hindi).
V. Enable Show Developer tab in the Ribbon.
57
Fig.12.1: Excel Options-Dialog Box
3. Protect the sheet and enter the unprotect password.
Fig.12.2: Excel Protect Sheet

4. Protect the workbook structure.
Fig.12.3: Excel Protect Workbook Sheet
58
Exercise 13
Calculate Total Marks and Percentage
Use percentage format to show percentage with % symbol.
Names Roll No. English Maths Science Total Marks Percentage

Kunal 4 64.00 100.00 89.00
Akanksha 8 64.00 86.00 87.00
Kishore 11 65.00 96.00 68.00
Akash 15 65.00 56.00 89.00
Manish 7 94.00 42.00 65.00
Sunil 2 68.00 35.00 98.00
Names Roll No. English Maths Science Total Marks Percentage

Mansi 9 21.00 76.00 98.00
Sanjay 5 44.00 88.00 56.00
Rajeev 14 55.00 67.00 47.00
Saurabh 13 45.00 87.00 37.00
Rajesh 15 55.00 85.00 25.00
Akash 12 29.00 29.00 95.00
Vishal 6 84.00 46.00 23.00
Deepa 10 35.00 66.00 45.00
Table 13.1: Excel Data Sheet

Output:
Fig.13.1: Output Sheet
59
Exercise 14
Implement the formulae for calculating VAT
Fig.14.1: Data Sheet

1. Calculate VAT and Net Sales (Sales + VAT) using the relative cell references with
the formula. E.g. (=C4 * C24)
2. Also use Excel built in functions for calculating Total Sales, Average Sales, Maximum
Sales, and Minimum Sales.
Fig.14.2: Formulae Sheet

3. Calculate VAT and Net Sales (Sales + VAT) using the absolute cell references with the
formula. E.g (=C4 * C$24)
60
Fig.14.3: Excel Protect Sheet
4. Calculate Vat 1, Vat 2 and Vat 3 using absolute cell references.
VAT 1= 7.5% VAT 2 = 10% VAT 3 =12.5%
Fig.14.4: Output Sheet
Exercise 15
To compute the Net Tax payable for an individual
Mr. X a resident assessed, his date of birth is 2nd Jan 1980. He is a govt. employee. He resides in
Madras. He receives the following emoluments during the previous year ending March 31, 2010:
61
Basic salary Rs. 3,00,000 per annum
House rent allowance Rs. 50,000 per annum
Dearness allowance 20% of basic salary
Commission 2% of basic salary as per contract
Entertainment allowance Rs. 10,000 per annum
Medical allowance Rs. 16,000 per annum
City compensation allowance Rs. 6,000 per annum
He paid house rent Rs. 35,000. He contributes Rs. 35,000 in recog-
nized provident fund, Subscription to
NSC, VIII issue Rs. 15,000.
Tax Deducted at source Rs. 2,500 per month
Solve the above problem using the following format:
Name Hemant Bhatia

DOB 12-12-1991 Age
Gender M
Salary Information
Basic Pay
DA
HRA
City Compensation Allowance
MA
Commission
Entertainment allowance
Any other Allowances
Gross Income Rs.
Deductions:
Provident Fund
NSC, VIII issue
House Rent Paid
Total Deductions
Net Taxable Income Rs.
Table 15.1: Format Sheet

1. Implement the formulas for calculating Gross income, Total Deductions, Net taxable income.
2. Calculate the tax liability of Mr. X in the given format using function if ( ) wherever
applicable.
Tax
Surcharge
Education Cess
Higher Education
Cess
TOTAL TAX
62
Less: TDS
NET TAX
Table15.2: Tax Liab ility
Use the following Tax slab for Tax calculations :
Net Income Income Tax rate Surcharge Education Cess Higher Educa-
Range tion Cess
Up to Rs Nil Nil Nil Nil`
1,60,000
Rs. 1,60,000 – 10% of (Total Nil 2% of Income 1% of Income
Rs.3,00,000 Income – Rs. Tax Tax
1,60,000)
Rs. 3,00,000 – Rs. 14,000 + Nil 2% of Income 1% of Income
Rs. 5,00,000 20% of (Total Tax Tax
Income – Rs.
3,00,000)
Rs. 5,00,000 – Rs. 54,000 + Nil 2% of Income 1% of Income
Rs. 10,00,000 30% of (Total Tax Tax
Income – Rs.
5,00,000)
Above Rs. Rs. 2,04,000 + 10% of Income 2% of (Income 1% of (Income
10,00000 30% of (Total Tax Tax + Surcharge Tax + Surcharge
Income – Rs.
10,00,000)
Table 15.3: Tax Calculations
Output:
Fig.15.1: Output sheet
63
Exercise 16
To compute the consolidated sales and employee-wise commission
Consider the following sales for the month of May:
DATE EMPLOYEE PRODUCT SALES COMMISSION

02-06-2008 Kunal A Rs. 1,800.00 Rs. 90.00
02-06-2008 Sahil A Rs. 1,500.00 Rs. 75.00
03-06-2008 Namit A Rs. 2,500.00 Rs. 125.00
05-06-2008 Raman A Rs. 3,500.00 Rs. 175.00
06-06-2008 Kamal A Rs. 4,500.00 Rs. 225.00
06-06-2008 Ziya A Rs. 5,800.00 Rs. 290.00
07-06-2008 Suneet A Rs. 6,500.00 Rs. 325.00
07-06-2008 Kamal B Rs. 1,900.00 Rs. 95.00
07-06-2008 Sahil B Rs. 4,800.00 Rs. 240.00
07-06-2008 Ziya B Rs. 2,400.00 Rs. 120.00
08-06-2008 Kunal B Rs. 6,500.00 Rs. 325.00
08-06-2008 Namit B Rs. 6,800.00 Rs. 340.00
08-06-2008 Sumit B Rs. 9,500.00 Rs. 475.00
08-06-2008 Suneet B Rs. 4,800.00 Rs. 240.00
08-06-2008 Sumit C Rs. 1,800.00 Rs. 90.00
09-06-2008 Kamal C Rs. 2,300.00 Rs. 115.00
09-06-2008 Suneet C Rs. 2,100.00 Rs. 105.00
10-06-2008 Kunal C Rs. 3,500.00 Rs. 175.00
11-06-2008 Kunal A Rs. 6,500.00 Rs. 325.00
`11-06-2008 Ziya C Rs. 3,500.00 Rs. 175.00
Table 16.1: Excel Data Sheet
Create the sales for the month of May, June and July on different Excel sheets using the
above sample data, using the Consolidate option on the Data ribbon.
Fig.16.1: Data Ribbon- Data-Consolidate

Compute the consolidated sales (product wise) and commission (Employee wise) on a
different sheet.
Output:
a. Consolidated Sales Product Wise
64
Fig.16.2:Consolidated Data
b. Consolidated Sales and Commission Employee Wise
Fig.16.3:Employee-wise Consolidation
Exercise 17
Using lookup function
For the given phone book data, implement the following queries:
1. Use lookup function to find out the city of F.

2. Use lookup function to find out the country of R.
3. Use Array option in lookup function to find out the country of R.
4. Use Array option in lookup function to find out the phone number of T.
5. Check if lookup function is case
6. e.g.: try to lookup the phone number of A and the phone number of a.
7. Try to lookup the city of B (B not available in the list).
8. Try to lookup the city of E (E not available in the list).
9. Try to lookup the city of G (G not available in the list).
10. Lookup the name of the person having the phone number 12345678.
11. Use Array function in Lookup to look up the name of the person having the phone number
12345678.
12. Lookup the name of the person having the phone number 12355678 (not available in the list).
13. Lookup the name of the person having the phone number 74185500.
PHONEBOOK
Name Phone City Country
A 12345678 City1 Country1
C 87654321 City2 Country2
65
F 12365487 City3 Country3
R 32145678 City4 Country4
T 52413876 City5 Country5
G 74185263 City6 Country6
Table 17.1: Phonebook Data

Name the vector ranges to be used in the lookup function respectively.
Vector A3:A8 = Name Vector B3:B8 = phone
Vector C3:C8 = city Vector D3:D8 = country Array = phonebook
Output for query 1:
Here the lookup function refers to the Name vector (highlighted in blue border) and the city vector
(highlighted in green border).
Fig.17.1: Lookup City of F
Exercise 18
Using Vlookup function
Partno. Units of Rate Category Location Reorder Reorder Supplier

Measure- Level qty
ment
111 nos 6500 A Stores 1 2000 100 A
222 kgs 80 C Stores 2 500 75 H
333 metres 20 C Stores 3 500 60 Y
444 kgs 300 B Stores 1 900 40 B
555 kgs 750 B Stores 1 800 40 C
666 nos 55 C Stores 2 500 50 E
777 nos 90 C Stores 1 500 30 G
Table 18.1: Data Sheet

From the above given PARTLIST data prepare a purchase order sheet as shown in the output.
66
Fig.18.1: List: Data Validation for Data Entry
Hints:
1. Name the vector name Partlist for the data array.

2. Part No: Set the validation condition as shown in the Data Validation dialog box.
3. The vlookup formula in the respective columns are:

• Unit Rate =VLOOKUP(B17,Partlist,3)
• Units =VLOOKUP(B17,Partlist,2)
• Location =VLOOKUP(B17,Partlist,5)
• Supplier=VLOOKUP(B17,Partlist,8)
• Order Qty=VLOOKUP(B17,Partlist,7)
• Total Amount=Order Qty * Unit Rate
Output:
Fig.18.2: Purchase Order
67
Exercise 19
Payroll Assignment
1. Create a Payroll for the month of Mar ‗2004.
Emp No. Employee Name Basic Salary Joining Date

1 P SUSHMA Rs. 15380.00 17/031975
2 P SUSHMA Rs. 6,700.00 17/03/2000
3 P. JANAKI Rs. 8,980.00 15/06/1973
4 CHHAYA Rs. 8,980.00 15/06/1978
5 ASHA SACHDEV Rs. 7,800.00 25/06/1967
2. Insert a new column ―Dearness Allowance‖ at the end and calculate it as 35.33% of Basic
Salary.
3. Insert a new column ―House Rent Allowance (HRA)‖ and calculate it as 13% of Basic Salary.
4. Insert two more columns such as Spl. Allowance (Rs. 2000.00), PF deduction (12% of Basic
Salary).
5. Last column is of Net Salary which is Basic Salary + DA +HRA+ Spl. Allowance - PF
deduction.
6. Sort the database in ascending order of basic salary.
7. Format Emp. No, Emp. Name, etc. in italics.
8. Save this sheet as ―MAR‖.
9. Format Joining Date as ―dd.mm.yy‖.
10. Save the file as ―Payroll‖.
11. Display the current date and time.
12. Try the following functions.
• Now()
• Today()
• Lower()
• Left()
• Proper()
Exercise 20
Annual Report
1. Create the following, Company‘s Annual Report.
Name Job Salary Joining Date

Prumi Analyst 12000 31/12/99
Suman Officer 12000 02/11/98
Sushma Sys. Admin 15000 03/10/97
Chayya Manager 12000 04/05/00
68
2. The heading (i.e. Company’s Annual Report) should be centered.
3. Format the table.
4. Insert one column at the end and give the title as ―Bonus‖. Bonus is 15% of salary.
5. Calculate the average salary of the company.
6. Save this sheet as ―Annual Report‖.
7. Sort the database in ascending order of Salary.
8. Rename the sheet as ―Salary Report‖.
9. Display the current date and time.
• Upper()
• Sqrt()
• Sum()
• Max()
• Min()
Exercise 21
Employee Data Management
1. Make an employee database having the following fields:

Emp-id
Name Dept.
Name Title
Birth Date
Basic Salary
2. Add five records to the database.
3. Save the file with the name as ―Employee‖ in the ―C:\Training\XL‖. (It should have
password while opening the file).
4. Rename the Worksheet as ―March Details‖.
5. Add the following as the third record in the database.
Name – SURJIT
Department Name – EDP
Title – Manager
Birth Date – 10th Oct.; 1952. Basic Salary – 15000/00
6. Change the spelling of the name as ―SURJEET‖ for the previous record.
7. Generate the Employee-Id automatically.
8. Make the labels bold and in blue color.
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9. Format salary as 2 decimal, currency.
10. Calculate commission as 20% of Basic Salary, P.F. as 10% of Basic Salary and
calculate Gross and Net Salary.
• Average()
• Count()
• Upper()
• Concatenate()
• Right()
Excel Tips
1. Selecting cells that contain only text

a. Press F5, or choose Edit, Go To…;
b. In the Go To dialog box, click Special.
c. In the Go To Special dialog box, select Constants
d. Click OK.
Fig.1.1: Go To Special
2. To apply formatting only to cells containing text, use the Conditional Formatting technique:
a. Select a range of cells containing text.

b. From the Format menu, select Conditional Formatting.
c. In Condition 1, select Formula Is from the dropdown list.
d. In the Formula Box, enter the formula: =ISTEXT(A1)
e. Click Format.
f. Select the desired format from the Format Cells dialog box, and then click OK.
g. Click OK to close the Conditional Formatting dialog box
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Fig.1.2: Conditional Formatting
3. To change the formatting from Text to Date, use the Text to Columns technique:
a. Select the column formatted as date.
b. Select Data -> Convert Text to Table (in Data Tools Group).
c. Select the Fixed width option button and click Next.
d. Click Next.
e. Select the Date option button in the Column data format section, and click Finish.
Fig.1.3: Convert Text to Columns Wizard

4. To color rows based on text criteria:
a. Select a set of cells in the region.
b. From the Format menu, select Conditional Formatting.
c. In Condition 1, select Formula Is, and type =$D1=‖profit‖.
d. Click Format, select the Font tab, select a color, and then click OK.
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e. In Condition 2, select Formula Is, and type =$D1=‖Bills‖.
f. Repeat step 4, select a different color than you selected for Condition 1, and then click
OK.
g. In Condition 3, select Formula Is, and type =$D1=‖Loss‖.
h. Repeat step 4, select a different color than you selected for Condition 1 and
Condition 2, and then click OK twice.
Fig.1.4: Conditional Formatting- Criteria based Color

5. Calculating the Average for Numbers Meeting Specified Criteria
a. To calculate the average of all prices in column A that are higher than 200.
b. Use the IF and AVERAGE functions in the following Array formula-
{=AVERAGE(IF(A2:A7>B2,A2:A7))}
Fig.1.5: Nested Functions

6. Rounding Numbers that Meet Specified Criteria
a. Rounding numbers in column A to zero decimal places
b. With the criteria except for those that have ―5‖ in the first decimal place
c. Use the IF, MOD, and ROUND functions in the following formula-
= IF(MOD(A2,1)=0.5,A2,ROUND(A2,0))
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7. Avoid error displays in formulas
a. To avoid the error messages in a formula
b. Using the IF() function to check for an error.
c. Try out the formula which displays a blank if the division results in an
error. =IF(ISERROR(A1/B1),‖‖,A1/B1)
d. The original formula serves as the argument for the ISERROR() function, and it
repeats as the last argument of the IF() function-
=IF(ISERROR(OriginalFormula),‖‖,OriginalFormula)
8. Criteria based Formula
a. List of Define Names
b. Parts =Sheet1!$A$2:$A$10
c. Price =Sheet1!$C$2:$C$10
d. Quantity=Sheet1!$B$2:$B$10
e. The cell E2 contains: A880Q
f. Formula in cell F2:{=SUM(IF(Parts=E2,Price*Quantity,0))}
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9. Create A Drop-Down List Of Possible Input Values
To avoid and to minimize errors during user input, use Excel‘s data validation feature to add
a drop-down list without having to write any macros. Data validation is to ensure that a cell
entry is of the proper data type (text, number, or date) and within the proper numeric range.
The drop-down list produced with the feature appears when a user clicks the cell.
• Type the list of valid entries in a single column.
• Select the cell or cells that will display the list of entries.
• Choose Data, Validation, and select the Settings tab.
• From the Allow drop-down list, select List.
• In the Source box, enter a range address or a reference to the items that you
entered in step 1.
• Make sure the ‗In-cell dropdown‘ box is selected.
• Click OK.
If your list is short, you can skip step 1 and type the list entries directly in the Source
box in step 5, separating items with a comma.
The Data Validation dialog box has two other tabs. Click Input Message to add a
prompt that will appear when a user selects a cell. Click Error Alert to specify a
custom error message if the user’s entry is invalid.

10. Split a Worksheet
For easier viewing of parts of a worksheet we can split a worksheet into multiple
resizable panes.
a. Select the cell in the worksheet where the data is to be viewed in concurrence.
b. Click the Split button on the View tab.
c. Notice the split in the screen by which we can manipulate each part separately.
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Fig.1.9: Split View
11. Freeze Rows and Columns
We can select a particular portion of a worksheet to stay static while we work on
other parts of the sheet.
This is accomplished through the Freeze Rows and Columns Function.
a. Click the Freeze Panes button on the View tab.
b. Either select a section to be frozen or click the defaults of top row or left column.
c. To unfreeze, click the Freeze Panes button
d. Click Unfreeze.
Fig.1.10: Freeze Panes

12. Hide Worksheets
a. Select the tab of the sheet to be hidden
b. Right-click on the tab
c. Click Hide
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13. To unhide a worksheet
a. Right-click on any worksheet tab
b. Click Unhide
c. Choose the worksheet to unhide

14. Set Print Titles
The print titles function allows to repeat the column and row headings at the beginning of
each new page to make reading a multiple page sheet easier to read when printed.
a. Click the Page Layout tab on the Ribbon
b. Click the Print Titles button
c. In the Print Titles section, click the box to select the rows/columns to be repeated
d. Select the row or column
e. Click the Select Row/Column Button
f. Click OK
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15. Print a Range
To print a portion of a worksheet using the Print Range function:
a. Select the area to be printed.
b. Click the Print Area button on the Page Layout tab.
c. Click Select Print Area
16. Create a Header or Footer
a. Click the Header & Footer button on the Insert tab.
b. This will display the Header & Footer Design Tools Tab.
c. To switch between the Header and Footer, click the Go to Header or Go to
Footer button.
Fig.1.14: Header & Footer Tools

d. To insert text, enter the text in the header or footer.
e. To enter pre-programmed data such as page numbers, date, time, file name or
sheet name, click the appropriate button.
f. To change the location of data, click the desired cell.
17. Basic Sort
A basic descending or ascending sort based on a column of data in a worksheet:
a. Highlight the cells to be sorted.
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b. Click the Sort & Filter button on the Home tab.
c. Click the Sort Ascending (A-Z) button or Sort Descending (Z-A) button.
Fig. 1.15: Sort & Filter

18. Custom Sorts
To sort on the basis of more than one column:
a. Click the Sort & Filter button on the Home tab
b. Choose the column on which the first sort is to be performed.
c. Click Add Level.
d. Then choose the next column to be sorted.
e. Click OK.
Fig.1.16: Custom Sort

19. Filtering
Filtering allows displaying only data that meets certain criteria. To filter:
a. Click the column or columns that contain the data to be filtered.
b. On the Home tab, click on Sort & Filter.
c. Click Filter button.
d. Click the Arrow at the bottom of the first cell.
e. Click the Text Filter.
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f. Click the Words you wish to Filter.
g. To clear the filter click the Sort & Filter button.
h. Click Clear.
Fig.1.17: AutoFilter
20. Filter records to unique records
a. Select the range containing records (column A in the Fig.1.19).
b. From the Data menu, select Filter, and then Advanced Filter.
c. In the Advanced Filter dialog box, select Copy to another location.
d. In the Copy to box, select a cell, select Unique records only and click OK (ensure that
the List range is correct before clicking OK).
e. The unique records are in cells H2:H9 (see Fig.1.19.).
Fig.1.18: Advanced Filter
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21. Using Paste Special Dialog box -Copying Values between
Worksheets To copy results of a formula but not the formula itself:
a. Select the range of cells containing the values to be copied.
b. Click the Copy button on the toolbar.
c. Select the destination worksheet /cell to paste the values.
d. Select the paste special menu option. The paste special dialog box opens.
e. In the paste special dialog box click the values /values with number format option
Fig.1.19: Paste Special Menu
Fig.1.20: Paste Special Dialog Box

22. Transpose
The paste special dialog box helps to transpose data from rows to columns, and vice versa.
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Fig. 1.21: Paste Special Menu (Transpose)
23. HLookup
Hlookup refers to Horizontal lookup. Its purpose is to look up a value or text
horizontally across a row. When the value is found, it will return a value in another
row that corresponds to the column of that value. The table presents the ages in the
top row and the left column presents the height. In the table are the weight range that
corresponds to the age and the height as shown below:
Fig.1.22: Data Table

Using the formula, we can lookup the age (6 mths) across row 1. We will find 6 mths in column
formula can return any value below column E, depending on the value given in the formula.
a. Select a blank cell.
b. Enter the formula =Hlookup(―6 mths‖,$B1:$G6,4,false).
c. The formula check for the value ―6 mths‖ in the 1st row $B1:$G1.
d. The horizontal position (Column E) will be captured.
e. The number 4 in the formula indicates that the result to return, when the value
―6 moths‖ is found, is in row 4 (the result returned is 7.8).
f. The false that follows is a switch, to indicate that the exact match value is to be
found. Without the false, it will return the closest value that is greater than the
value to be found
24. Using Offset function in a sum function
a. The offset function such that it is referenced to the cell C1.
b. The formula in the base cell A1‖=OFFSET(A1,0,2,1,1)‖.
c. The offset function to stay in the same row
d. Then number 2 to indicated to move 2 columns to the right of the base cell A1 (Column
A is numbered 0)
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e. The last two numbers are 1 to indicate that the offset function to point to one single cell
C1.
f. The result will show the value in cell C1, i.e. the number 43.
g. Enclose the offset function with a sum function =sum(OFFSET(A1,0,2,1,1)).
The result continues to show 43.
h. To sum the range C1:C2, the formula is =sum(OFFSET(A1,0,2,2,1)) The result is 75.
Fig.1.23: Offset Function

25. Viewing Data Form Records
Viewing excel data through a data form, in excel 2010 the Form button is added to the Quick
Access Toolbar.
a. Click the arrow next to the Quick Access Toolbar, and then click More Commands
b. In the Choose commands from box, click All Commands.
c. In the list box, select the Form button , and then click Add.
Fig.1.24: Data Form

Case Studies
CS1: Break Even Analysis/ Marginal Costing Case Study
Marginal Costing – An Introduction
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Marginal Cost Statement or Cost-Volume-Profit (CVP) is a form of cost accounting in managerial
economics for short-run decision making – whether to produce or not in the short run. Excerpts
from Wikipedia on Marginal Cost and Break Even Analysis are available in Annexure A & B
respectively of this Case Study, for a ready reference and better understanding of this case study.
Marginal Costing Case Study – An Introduction
This Case Study aims to introduce the use of MS-Excel as a tool for financial analysis/ reporting
requirements, and in the process learn to:
• Develop typical financial statement

• Define formulae to undertake calculations including absolute cell references
• Replicate formulae – use a formulae for multiple similar calculations
• Use Sum (Sigma) Function of MS-Excel and last, but not the least
• Explore simulation with MS-Excel
Template & Final Statement
We have included with this case study a template in the folder ―Case Study Files‖ giving
you the structure of the required statement as follows:
Fig. 1.1: Template & Final Statement

Formulae/ Functions Used
The formulae/ functions used in this Case Study are available in the following screen shot:
83
Fig. 1.2: Formula
Case Study - Steps
We shall be taking the following steps to undertake the required calculations for this case study:
1. Sales Revenue:
a. Select Cell D6 by either clicking on it using the Mouse or by using the direction keys
(Left/ Right/ Up/ Down Keys), as the cell in which we wish to undertake the
next operation.
b. Press the Equal-To key (=) to indicate that you wish to enter a formulae in this cell.
c. Select Cell B6 containing Sales Quantity as the first value to be used in the
formulae, using the Mouse or Arrow Keys
d. Press the Star (*) key (Shift +8) to indicate that the previous value has to be
multiplied with the next value.
e. Select Cell C6, the cell containing the Sales Rate, as the next value to be used in the
formulae to calculate Sales Revenue
f. Press <Enter> Key to make MS-Excel Calculate the Sales Revenue.
g. If you now change either the Sales Quantity or the Sales Rate at the respective
cells, you would find that the Sales revenue in this cell automatically changes.
2. Direct Material Cost Calculation
(Left/ Right/ Up/ Down Keys), as the cell in which we wish to undertake the
next operation.
b. Press the Equal-To key (=) to indicate that you wish to enter a formulae in this cell.
c. Select Cell C8 containing Direct Material Unit Rate as the first value to be used
in the formulae, using the Mouse or Arrow Keys
d. Press the Star (*) key (Shift +8) to indicate that the previous value has to be
multiplied with the next value.
e. Select Cell C8, the cell containing the Sales Quantity, as the next value to be used in
the formulae to calculate Sales Revenue
f. Press the Function Key Number 4 (F4) to make this cell reference as Absolute or fixed,
such that when we replicate this formulae for next two values, this reference does not
84
change.
g. Press <Enter> Key to make MS-Excel Calculate the Sales Revenue.
An explanation about Relative Cell References and Absolute Cell References
would be provided by the Faculty emphasizing the utility of using cell
references in typical statements.
3. Replicating Direct Material Cost formulae for Direct Labor and Direct Expenses
(Left/ Right/ Up/ Down Keys), as we wish to replicate the formulae in this cell
for the next two cells.
b. Press Ctrl+C (While keeping the Control Key depressed, press the C Key) to copy the
formulae given in the currently selected cell.
c. Select Cells D9 and D10 by either using the Mouse or Direction Keys. In case of mouse
selection, click on cell D9 and drag till Cell D10. In case you wish to select cells using
arrow keys, press Down Arrow Key once, then press Full Stop (.) to indicate a range for
selection and press the Down Arrow Key again. In either case, you would find the area
D9..D10 highlighted.
d. Press Ctrl+V (While keeping the Control Key depressed, press the V Key) to PASTE
the copied formulae to respective cells.
e. Voila – the Direct Labor and Direct Expenses have been computed, using the process
defined in earlier cell
4. Total Variable Cost
a. Select Cell D11, as we wish to calculate the Total Variable Cost in this cell.
b. Yes, we can press = sign and specify that the Direct Material, Direct Labor and
Direct expenses to be added one by one! What if there are dozens, hundreds
and thousands of values – Impossible! Fortunately, MS-Excel has the Sum
Function, which comes in handy for this job.
c. Click on Sigma Sign in the Standard Bar, to indicate that Summation has to be
undertaken:
d. MS-Excel automatically selects the Sum Range as D8..D10, which is what we

require to compute the Total Variable Cost.
e. Press <Enter> Key to make MS-Excel Calculate the Total Variable Cost.
5. Unit Variable Cost – Please follow the steps given in earlier step for computing Total
Variable Cost for Unit Variable Cost in Cell C11.
6. Total Contribution
a. Select Cell D12 as this is the cell in which we have to compute Total Contribution
b. Total Contribution is Sales Revenue less Total Variable Cost.
c. Press the Equal-To key (=) to indicate that you wish to enter a formulae in this cell.
85
d. Select Cell D6 containing Sales Revenue as the first value to be used in the
formulae, using the Mouse or Arrow Keys
e. Press the Minus Key (-) key to indicate that the next value has to be subtracted
from previous value.
f. Select Cell D11, the cell containing Total Variable Cost, as the value to be
subtracted from revious value.
g. Press <Enter> Key to make MS-Excel Calculate the Total Contribution.
7. Contribution Per Unit: Please follow the steps given in earlier step for computing
Total Contribution, for Contribution per Unit.
8. Profit/ (Loss): Profit or Loss is Contribution less Fixed Cost.
9. Break Even Point: Break Even Point is computed by dividing the Fixed Cost with Contribution
Per Unit.
10. Break Even Sales: Break Even Sales are computed by multiplying Break Even Point with
Selling Price.
Simulation – What-IF Analysis
Electronic Spreadsheets like MS-Excel are great tools to undertake Simulation or What-IF Analysis
as they recalculate all computations/ formulae defined in the worksheet in the event of any
change in the data values. In our endeavor to explore this facility as a part of this case
study, you are required to undertake the following simulations using the final statement:
1. The Sales Manager has given a proposal to the Management to consider reduction
of Selling Price by 10%, which is expected to increase Sales Revenue by 20%. Do
you recommend this proposal considering the effect on BEP and expected Profit?
2. The Sales Manager has given a proposal to the Management to consider increase the Selling
Price by 5%, which is not expected to have any effect on Sales Revenue. Do you
recommend this proposal considering the effect on BEP and expected Profit?
3. What would be the Break Even Point (BEP) and Break Even Sales (BES) with following Data:
Selling Price: Rs.120; Sales: 1,500 Units. Fixed Cost: Rs.25,000/-; Per Unit Direct Costs:
Material: Rs.6/-, Labour: Rs.14/- and Direct Expenses: Rs.10/- each. Case Study Assignment
1. Compute Percentage for Variable Cost, Contribution, Fixed Cost and Profit/ Loss.
2. Prepare the Structure of Marginal Cost Statement, as available in the Sample
File yourself.
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Annexure A
Break Even Analysis
The Break-Even Point is where Total Costs equal Sales. In the Cost-Volume-Profit Analysis model,
Total Costs are linear in volume.
In economics & business, specifically cost accounting, the break-even point (BEP) is the
point at which cost or expenses and revenue are equal: there is no net loss or gain, and
one has ―broken even‖. A profit or a loss has not been made, although opportunity costs
have been paid, and capital has received the risk adjusted, expected return.
For example, if a business sells less than 200 tables each month, it will make a loss, if it
sells more, it will be a profit. With this information, the business managers will then need to
see if they expect to be able to make and sell 200 tables per month.
If they think they cannot sell that much, to ensure viability they could:
1. Try to reduce the fixed costs (by renegotiating rent for example, or keeping better
control of telephone bills or other costs)
2. Try to reduce variable costs (the price it pays for the tables by finding a new supplier)
3. Increase the selling price of their tables
Any of these would reduce the break-even point. In other words, the business would not
need to make so many tables to make sure it could pay its fixed costs.
Computation
In the linear Cost-Volume-Profit Analysis model, the break-even point (in terms of Unit Sales
(X)) can be directly computed in terms of Total Revenue (TR) and Total Costs (TC) as follows:
87
Where:
• TFC is Total Fixed Costs,

• P is Unit Sale Price, and
• V is Unit Variable Cost.
The Break-Even Point can alternatively be computed as the point where Contribution equals Fixed
Costs. The quantity (P-V) is of interest in its own right, and is called the Unit Contribution Margin C): it is
the marginal profit per unit, or alternatively the portion of each sale that contributes to Fixed Costs Thus
the break-even point can be more simply computed as the point where Total Contribution
= Total Fixed Cost:
In currency units (sales proceeds) to reach break-even, one can use the above calculation and
multiply by Price, or equivalently use the Contribution Margin Ratio (Unit Contribution Margin
over Price) to compute it as:
R=C Where R is revenue generated, C is cost incurred i.e.
Q X P(Price per unit)=FC + Q X VC(Price per unit)
Q X P - Q X VC=FC
Q (P-VC)=FC or
Q=FC/P-VC=Break Even Point
Application
The break-even point is one of the simplest yet least used analytical tools in management. It helps to
88
provide a dynamic view of the relationships between sales, costs and profits. A better
understanding of break-even, for example, is expressing break even sales as a percentage of
actual sales-can give managers a chance to understand when to expect to break even (by
linking the percent to when in the week/month this percent of sales might occur).
The break-even point is a special case of Target Income Sales, where Target Income is 0
(breaking even).
Annexure B
Cost-Volume-Profit Analysis
Cost-Volume-Profit (CVP), in managerial economics is a form of cost accounting. It is a

simplified model useful for elementary instruction and for run decisions.
Cost-volume-profit (CVP) analysis expands the use of information provided by breakeven analysis.
A Critical part of CVP analysis is the point where total revenues equal total costs (both fixed and
variable costs). At this breakeven point (BEP), a company will experience no income or loss. This
BEP can be an initial examination that precedes more detailed CVP analysis
Cost-volume-profit analysis employs the same basic assumptions as in breakeven analysis. The
assumptions underlying CVP analysis are:
The behavior of both costs and revenues is linear throughout the relevant range of activity. (This
assumption precludes the concept of volume discounts on either purchased materials or

sales.) Costs can be classified accurately as either fixed or variable. Changes in activity
are the only factors that affect costs.
All units produced are sold (there is no ending finish goods inventory). When a company
sells more than one type of product, the sales mix (the ratio of each product to total sales)
will remain constant.
The components of Cost-Volume-Profit Analysis are:
• Level or volume of activity

• Unit Selling Prices
• Variable cost per unit
• Total fixed costs
• Sales mix
Assumptions
CVP assumes the following:
• Constant sales price;
89
• Constant variable cost per unit;
• Constant total fixed cost;
• Constant sales mix;
• Units sold equal units produced.
These are simplifying, largely linearizing assumptions, which are often implicitly assumed
in elementary discussions of costs and profits. In more advanced treatments and practice,
costs and revenue are nonlinear and the analysis is more complicated, but the intuition
afforded by linear CVP remains basic and useful.
One of the main methods of calculating CVP is Profit volume ratio: which is (contribution /
sales)*100
• contribution stands for Sales minus variable costs. Therefore it
gives us the profit added per unit of variable costs.
Model
Basic graph of CVP, demonstrating relation of Total Costs, Sales, and Profit and Loss
The assumptions of the CVP model yield the following linear equations for total costs and
total revenue (sales):
Total Costs = Fixed Costs + Unit Variable Cost × Number of Units
Total Revenue = Sales Price × Number of Units
These are linear because of the assumption of constant costs and prices, and there is no
distinction between Units Produced and Units Sold, as these are assumed to be equal.
Note that when such a chart is drawn, the linear CVP model is assumed, often implicitly.
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In symbols:
TC = TFC + V × X
TR = P × X
Where
• TC = Total Costs
• TFC = Total Fixed Costs
• V = Unit Variable Cost (Variable Cost per Unit)
• X = Number of Units
• TR = S = Total Revenue = Sales
• P = (Unit) Sales Price
Profit is computed as TR-TC; it is a profit if positive, a loss if negative.
Break down
Costs and Sales can be broken down, which provide further insight into operations.
Decomposing Total Costs as Fixed Costs plus Variable Costs
One can decompose Total Costs as Fixed Costs plus Variable Costs:
TC = TFC + V × X
Decomposing Sales as Contribution plus Variable Costs.
Following a matching principle of matching a portion of sales against variable costs, one
can decompose Sales as Contribution plus Variable Costs, where contribution is ―what‘s
left after deducting variable costs‖. One can think of contribution as ―the marginal
contribution of a unit to the profit‖, or ―contribution towards offsetting fixed costs‖.
In symbols:
TR =P×X
= ((P - V) + V) × X
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= (C + V) × X
=C×X+V×X
where
• C = Unit Contribution (Margin)
Profit and Loss as Contribution minus Fixed Costs
Subtracting Variable Costs from both Costs and Sales yields the simplified diagram and
equation for Profit and Loss.
In symbols:
Diagram relating all quantities in CVP
These diagrams can be related by a rather busy diagram, which demonstrates how if one subtracts
Variable Costs, the Sales and Total Costs lines shift down to become the Contribution and Fixed Costs
lines. Note that the Profit and Loss for any given number of unit sales is the same, and in particular the
break-even point is the same, whether one computes by Sales = Total Costs or as contribution =
Fixed Costs.
Mathematically, the contribution graph is obtained from the sales graph by a shear, to be precise
92
where V are Unit Variable Costs.
Applications
CVP simplifies the computation of break-even point in break-even analysis, and more
generally allows simple computation of Target Income Sales. It simplifies analysis of short
run trade-offs in operational decisions.
Limitations
CVP is a short run, marginal analysis: it assumes that unit variable costs and unit revenues are
constant, which is appropriate for small deviations from current production and sales, and
assumes a neat division between fixed costs and variable costs, though in the long run all
costs are variable. For longer-term analysis that considers the entire life-cycle of a product,
one therefore often prefers activity-based costing or throughput accounting.
CS2: Depreciation Case Study – SLN, WDV, SYD, DB, DDB
Depreciation – An Introduction
Depreciation is the reduction in the cost of an asset used for business due to usage,
passage of time, wear and tear, technological obsolescence, depletion, inadequacy, rot,
rust, decay and the like. While preparing the final accounts, a provision is made for such
reduction in value or reduced from the cost of the asset.
Excerpts from Wikipedia on Depreciation are available in Annexure A of this Case Study,
for your ready reference and better understanding of the subject and this case study.
Depreciation Case Study – An Introduction
This Case Study aims to introduce the use of MS-Excel as a tool for financial analysis/
reporting requirements, and in the process learn to:
• Develop typical financial statement

• Define formulae to undertake calculations including absolute cell references
• Replicate formulae – use a formulae for multiple similar calculations
• Use Sum (Sigma) Function of MS-Excel and last, but not the least
• Explore simulation with MS-Excel
Apart from learning to compute depreciation using SLN, WDV, SYD, DB & DDB methods,
we shall learn to use following MS-Excel facilities in financial analysis/ reporting:
• Defining Range Names for easy reference

• Comma Formatting
93
Template & Final Statement
We have included with this case study a template (MS-Excel File) giving you the structure
of the required statement as follows:
Range Names
Microsoft Excel enables one to give names to a part of the worksheet for easy reference
and use. You are hence able also get the contents of a cell by name, rather than giving its
coordinates – Cost in place of C5; which makes your work easier, in case you have to
refer to that cell again and again for various requirements. As a part of this case study,
please give the following range names for the cells specified:
Sr. Cell Cell Name

1 C5 Cost
2 D5 Scrap Value
3 E5 Life
4 F5 WDV_Rate
MS-Excel Financial Functions – An Introduction
Electronic Spreadsheets like MS-Excel are used in a big way for a number of financial
computations, for which many of such requirements, readymade facility is available in the
form of Functions. We shall be exploring the financial functions to undertake depreciation
calculations, as a part of this case study.
Depreciation Calculations using Straight Line Method – SLN Function
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The MS-Excel Function to compute Depreciation under the Straight Line Method is named SLN, as
follows, which requires three data elements – Cost, Salvage Value and Life:
1. Major Formulae/ Functions: The major formulae/ functions used for computing
Straight Line Method, in this Case Study are available in the following screen shot:
2. Formulae/ Function Replication: Electronic Spreadsheets like MS-Excel make our job of
making required calculations easy by replicating formulae/ functions already defined. As a
part of the computation under SLN Method, following formulae replications are required:
a. Book Value for Remaining Years: Replicate the formulae for finding book value
of asset in second year in Cell B10 to the 3rd, 4th, and 5th Year.
b. Straight Line Depreciation: Replicate the formulae for computing depreciation under
SLN Method in Cell C9 to the 2nd, 3rd, 4th, and 5th Year
Depreciation Calculations using Written Down Value Method – WDV
The MS-Excel Function to compute Depreciation under the WDV is Declining Balance Method
(DB) which gives almost similar results as required under WDV method. Yes it works but
there are some Accountants and Auditors, who insist on requiring exact results as per the
Indian WDV requirements. This would require a little effort, but is definitely achievable, as
we shall see. In the process, we shall learn to make greater use of MS-Excel.
1. Rate of Depreciation under WDV Method: The Rage of Depreciation under WDV
Method is computed as per the following formulae:
WDV Rate of Deprecation = 1 – (Scrap Value/ Cost of Asset) 1/n, where n is life
of asset. The following screenshot provides the MS-Excel formulae for the same:
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2. Major Formulae/ Functions: The major formulae/ functions used for computing Depreciation
under the WDV Method, in this Case Study are available in the following screen shot:
3. Formulae/ Function Replication: As in the case of Depreciation Calculation under

SLN Method, we need to replicate the following formulae:
a. Book Value for Remaining Years: Replicate the formulae for finding book value
of asset in second year in Cell D10 to the 3rd, 4th, and 5th Year.
b. WDV Depreciation: Replicate the formulae for computing depreciation under SLN
Method in Cell D9 to the 2nd, 3rd, 4th, and 5th Year
Depreciation Calculations under Sum of Years Digits Method - SYD
The MS-Excel Function to compute Depreciation under the Sum of Years Digits Method
is SYD, which requires three inputs – Cost, Scrap Value, Life and Year for which
Depreciation has to be computed, as can be seen from the following screenshot:
• Major Formulae/ Functions: The major formulae/ functions used for computing
Depreciation under the WDV Method, in this Case Study are available in the
following screen shot:
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Formulae/ Function Replication: As in the case of Depreciation Calculation under SLN
Method, we need to replicate the following formulae:
a. Book Value for Remaining Years: Replicate the formulae for finding book value of
asset in second year in Cell F10 to the 3rd, 4th, and 5th Year.
b. WDV Depreciation: Replicate the formulae for computing depreciation under SLN Method in
Cell G9 to the 2nd, 3rd, 4th, and 5th Year
Depreciation Calculations under DB & DDB Methods
The process for computing Depreciation under the DB and DDB methods is the same as that
for SLN and SYD methods. That is your next assignment, as a part of this Case Study.
Simulation - What-IF Analysis
Simulation – What-IF Analysis Electronic Spreadsheets like MS-Excel are great tools to undertake
Simulation or What-IF Analysis as they recalculate all computations/ formulae defined in the worksheet
in the event of any change in the data values. In our endeavor to explore this facility as a part of this
case study, you are required to undertake the following simulations using the final statement:
• Cost: Rs.55,000/-, Scrap Value: Rs.5,000/- and Life: 5 Years.
Cost: Rs.25,000/-, Scrap Value: Rs.5,000/- and Life: 5 Years.
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Case Study Assignment
• Cost: Rs.55,000/-, Scrap Value: Rs.5,000/- and Life: 10 Years.
Cost: Rs.1,05,000/-, Scrap Value: Rs.5,000/- and Life: 20 Years.
Annexure A
Depreciation
Depreciation is a term used in accounting, economics and finance to spread the cost of an
asset over the span of several years.
In common speech, depreciation is the reduction in the cost of an asset used for business purposes
during certain amount of time due to usage, passage of time, wear and tear, technological outdating or
obsolescence, depletion, inadequacy, rot, rust, decay or other such factors. In accounting, however,
depreciation is a term used to describe any method of attributing the historical or purchase cost of an
asset across its useful life, roughly corresponding to normal wear and tear. It is of most use when
dealing with assets of a short, fixed service life, and which is an example of applying the matching
principle per generally accepted accounting principles. Depreciation in accounting is often mistakenly
seen as a basis for recognizing impairment of an asset, but unexpected changes in value, where seen
as significant enough to account for, are handled through write-downs or similar techniques which
adjust the book value of the asset to reflect its current value.
The use of depreciation affects the financial statements and in some countries, it also affects the taxes
of companies and individuals. The recording of depreciation will cause an expense to be recognized,
thereby lowering stated profits on the income statement, while the net value of the asset (the portion of
the historical cost of the asset that remains to provide future value to the company) will decline on the
balance sheet. Depreciation reported for accounting and tax purposes may differ substantially.
Depreciation and its related concept, amortization (generally, the depreciation of intangible assets), are
non-cash expenses. Neither depreciation nor amortization will directly affect the cash flow of a
company, as both are accounting representations of expenses attributable to a given period. In
accounting statements, depreciation may neither figure in the cash flow statement, nor be ―added back‖
to net income (along with other items) to derive the operating cash flow. Depreciation recognized for tax
purposes will, however, affect the cash flow of the company, as tax depreciation will reduce taxable
profits; there is generally no requirement that treatment of depreciation for tax and accounting purposes
be identical. Where depreciation is shown on accounting statements, the figure usually does not match
the depreciation for tax purposes.
Because of its non-standardized derivation, depreciation is a key component of EBITDA, a metric

used to gauge the worth of a company independent of tax-jurisdiction effects and capitalization
structure. Salvage value is the estimated value of an asset at the end of its useful life. In
accounting, the salvage value of an asset is its remaining value after depreciation. This is also
known as residual value or scrap value. It is the net cash inflow that occurs when the asset is
liquefied at the end of its life. Salvage value can be negative if the residual asset requires special
treatment to terminate—for example, used nuclear materials or CRT’s containing lead.
In economics, depreciation is the decrease in the economic value of the capital stock of a firm, nation
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or other entity, either through physical depreciation, obsolescence or changes in the demand
for the services of the capital in question. If capital stock is C0 at the beginning of a period,
investment is I and depreciation D, the capital stock at the end of the period, C 1, is C0 + I - D.
Accounting
A company needs to report depreciation accurately in its financial statements in order to

achieve two main objectives:
• matching its expenses with the income generated by means of those expenses, and
• ensuring that the asset values in the balance sheet are not overstated. (An asset
acquired in Year 1 is unlikely to be worth the same amount in Year 5.)
Depreciation is an attempt to write-off the cost of Non Current Asset over its useful life. The word write-
off means to turn it into an expense. For example, an entity may depreciate its equipment by 15% per
year. This rate should be reasonable in aggregate (such as when a manufacturing company is looking
at all of its machinery), and consistently employed. However, there is no expectation that each
individual item declines in value by the same amount, primarily because the recognition of depreciation
is based upon the allocation Mof historical costs and not current market prices.
Accounting standards bodies have detailed rules on which methods of depreciation are
acceptable, and auditors should express a view if they believe the assumptions underlying
the estimates do not give a true and fair view.
Recording depreciation
For historical cost purposes, assets are recorded on the balance sheet at their original cost; this is
called the historical cost. Historical cost minus all depreciation expenses recognized on the asset since
purchase is called the book value. Depreciation is not taken out of these assets directly. It is
instead recorded in a contra asset account: an asset account with a normal credit balance, typically
called ―accumulated depreciation‖. Balancing an asset account with its corresponding accumulated
depreciation account will result in the net book value. The net book value will never fall below the
salvage value, meaning that once an asset is fully depreciated, no further expenses will be taken
during its life. Salvage value is the estimated value of the asset at the end of its useful life. In this
way, total depreciation for an asset will never exceed the estimated total cash outlay (depreciable
basis) for the asset. The exception to this is in many priceregulatedm industries (public utilities)
where salvage is estimated net of the cost of physically removing the asset from service.
(Decommissioning a nuclear power plant is a nontrivial expense.) If the expected cost of removal
exceeds the expected raw (or gross) salvage, then the net of the two (called net salvage) may be
negative. In this case, the depreciation recorded on the regulated books may exceed the depreciable basis.
Companies have no obligation to dispose of depreciated assets, of course, and many fully
depreciated assets continue to generate income.
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Recording a depreciation expense will involve a credit to an accumulated depreciation account.
The corresponding debit will involve either an expense account or an asset account that represents
a future expense, such as work in progress. Depreciation is recorded as an adjusting journal entry.
A write-down is a form of depreciation that involves a partial write off. Part of the value of the
asset is removed from the balance sheet. The reason may be that the book value (accounted
value) of the fixed asset has diverged from the market value and causes the company a loss.
An example of this would be a revaluation of goodwill on an acquisition that went bad.
Methods of depreciation
There are several methods for calculating depreciation, generally based on either the
passage of time or the level of activity (or use) of the asset.
Straight-line depreciation
Straight-line depreciation is the simplest and most-often-used technique, in which the company
estimates the salvage value of the asset at the end of the period during which it will be used to generate
revenues (useful life) and will expense a portion of original cost in equal increments over that period.
The salvage value is an estimate of the value of the asset at the time it will be sold or disposed of; it
may be zero or even negative. Salvage value is also known as scrap value or residual value.
Straight-line method:
For example, a vehicle that depreciates over 5 years, is purchased at a cost of US$17,000,
and will have a salvage value of US$2000, will depreciate at US$3,000 per year: ($17,000 −
$2,000)/ 5 years = $3,000 annual straight-line depreciation expense. In other words, it is the
depreciable cost of the asset divided by the number of years of its useful life.
This table illustrates the straight-line method of depreciation. Book value at the beginning
of the first year of depreciation is the original cost of the asset. At any time book value
equals original cost minus accumulated depreciation.
book value = original cost − accumulated depreciation Book value at the end of year
becomes book value at the beginning of next year. The asset is depreciated until the book
value equals scrap value.
Book value at Depreciation Expense Accumulated Book value at end

beginning of year Depreciation of year
$17,000 (original cost) $3,000 $3,000 $14,000
$14,000 $3,000 $6,000 $11,000
$11,000 $3,000 $9,000 $8,000
$8,000 $3,000 $12,000 $5,000
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$5,000 $3,000 $15,000 $2,000 (scrap value)
If the vehicles were to be sold and the sales price exceeded the depreciated value (net
book value) then the excess would be considered a gain and subject to depreciation
recapture. In addition, this gain above the depreciated value would be recognized as
ordinary income by the tax office. If the sales price is ever less than the book value, the
resulting capital loss is tax deductible. If the sale price were ever more than the original
book value, then the gain above the original book value is recognized as a capital gain.
If a company chooses to depreciate an asset at a different rate from that used by the tax
office then this generates a timing difference in the income statement due to the difference
(at a point in time) between the taxation department‘s and company‘s view of the profit.
Declining-balance method
Depreciation methods that provide for a higher depreciation charge in the first year of an asset‘s
life and gradually decreasing charges in subsequent years are called accelerated depreciation methods.
This may be a more realistic reflection of an asset‘s actual expected benefit from the use of the
asset: many assets are most useful when they are new. One popular accelerated method is the
declining-balance method. Under this method the book value is multiplied by a fixed rate.
Annual depreciation = depreciation rate * book value at beginning of year
The most common rate used is double the straight-line rate. For this reason, this technique
is referred to as the double-declining-balance method. To illustrate, suppose a business
has an asset with $1,000 original cost, $100 salvage value, and 5 years useful life. First,
calculate straight-line depreciation rate. Since the asset has 5 years useful life, the
straight-line depreciation rate equals (100% / 5) 20% per year. With double-declining-balance
method, as the name suggests, double that rate, or 40% depreciation rate is used.
The table below illustrates the double-declining-balance method of depreciation. Book

Value at the beginning of the first year of depreciation is the Original Cost of the asset. At
any time Book Value equals Original Cost minus Accumulated Depreciation.
book value = original cost − accumulated depreciation
Book value at the end of year becomes book value at the beginning of next year. The
asset is depreciated until the book value equals salvage value, or scrap value.
Book value at Depreciation Depreciation Accumulated Book value at

beginning of rate expense depreciation end of year
year
$1,000 (original 40% $400 $400 $600
cost)
$600 40% $240 $640 $360
$360 40% $144 $784 $216
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$216 40% $86.40 $870.40 $129.60
$129.60 $129.60 - $100 $29.60 $900 $100 (scrap
value)
The salvage value is not considered in determining the annual depreciation, but the book
value of the asset being depreciated is never brought below its salvage value, regardless
of the method used. The process continues until the salvage value or the end of the
asset‘s useful life, is reached. In the last year of depreciation a subtraction might be
needed in order to prevent book value from falling below estimated Scrap Value.
Since declining-balance depreciation does not always depreciate an asset fully by its end
of life, some methods also compute a straight-line depreciation each year, and apply the
greater of the two. This has the effect of converting from declining-balance depreciation to
straight-line depreciation at a midpoint in the asset‘s life.
Activity depreciation
Activity depreciation methods are not based on time, but on a level of activity. This could
be miles driven for a vehicle, or a cycle count for a machine. When the asset is acquired,
its life is estimated in terms of this level of activity. Assume the vehicle above is estimated
to go 50,000 miles in its lifetime. The per-mile depreciation rate is calculated as: ($17,000
cost - $2,000 salvage) / 50,000 miles = $0.30 per mile. Each year, the depreciation expense is
then calculated by multiplying the rate by the actual activity level.
Sum-of-years’ digits method
Sum-of-years‘ digits is a depreciation method that results in a more accelerated write-off

than straight line, but less than declining-balance method. Under this method annual depreciation
is determined by multiplying the Depreciable Cost by a schedule of fractions.
Depreciable cost = original cost − salvage value
Book value = original cost − accumulated depreciation
Example: If an asset has original cost of $1000, a useful life of 5 years and a salvage
value of $100, compute its depreciation schedule.
First, determine years‘ digits. Since the asset has useful life of 5 years, the years‘ digits
are: 5, 4, 3, 2, & 1. Next, calculate the sum of the digits. 5+4+3+2+1=15
The sum of the digits can also be determined by using the formula (n2+n)/2 where n is
equal to the useful life of the asset. The example would be shown as (52+5)/2=15
Depreciation rates are as follows: 5/15 for the 1st year, 4/15 for the 2nd year, 3/15 for the
3rd year, 2/15 for the 4th year, and 1/15 for the 5th year.
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Book value at Total depre- Depreciation Depreciation Accumulated Book value at
beginning of ciable cost rate expense depreciation end of year
year
$1,000 (origi- $900 5/15 $300 ($900 * $300 $700
nal cost) 5/15)
$700 $900 4/15 $240 ($900 * $540 $460
4/15)
$460 $900 3/15 $180 ($900 * $720 $280
3/15)
$280 $900 2/15 $120 ($900 * $840 $160
2/15)
$160 $900 1/15 $60 ($900 * $900 $100 (scrap
1/15) value)
Units-of-production depreciation method
Under the units-of-production method, useful life of the asset is expressed in terms of the
total number of units expected to be produced:
Suppose, an asset has original cost $70,000, salvage value $10,000, and is expected to
produce 6,000 units.
Depreciation per unit = ($70,000−10,000) / 6,000 = $10
10 x actual production will give you the depreciation cost of the current year.
The table below illustrates the units-of-production depreciation schedule of the asset.
Book value at Units of pro- Depreciation Depreciation Accumulated Book value at

beginning of duction cost per unit expense depreciation end of year
year
$70,000 1,000 $10 $10,000 $10,000 $60,000
(original cost)
$60,000 1,100 $10 $11,000 $21,000 $49,000
$49,000 1,200 $10 $12,000 $33,000 $37,000
$37,000 1,300 $10 $13,000 $46,000 $24,000
$24,000 1,400 $10 $14,000 $60,000 $10,000 (scrap
value)
Depreciation stops when book value is equal to the Scrap Value of the asset. In the end
the sum of accumulated depreciation and scrap value equals to the original cost.
Units of time depreciation
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Units of time depreciation are similar to units of production, and are used for depreciation
equipment used in mine or natural resource exploration, or a case where amount the asset
is used is not linear year to year. A simple example can be given for construction
companies, where some equipment is used only for some specific purpose. Depending on
the number of projects, the equipment will be used and depreciation charged accordingly.
Group depreciation method
Group depreciation method is used for depreciating multiple-asset accounts using straight-line-
depreciation method. Assets must be similar in nature and have approximately the same useful lives.
Asset Historical Salvage value Depreciable Life Depreciation

cost cost per year
Computers $5,500 $500 $5,000 5 $1,000
Composite depreciation method
The composite method is applied to a collection of assets that are not similar, and have different
service lives. For example, computers and printers are not similar, but both are part of the office
equipment. Depreciation on all assets is determined by using the straight-line-depreciation method.
Asset Historical Salvage value Depreciable Life Depreciation

cost cost per year
Computers $5,500 $500 $5,000 5 $1,000
Printers $1,000 $100 $ 900 3 $ 300
Total $ 6,500 $600 $5,900 4.5 $1,300
Composite life equals the total depreciable cost divided by the total depreciation per year.
$5,900 / $1,300 = 4.5 years.
Composite depreciation rate equals depreciation per year divided by total historical cost.
$1,300 / $6,500 = 0.20 = 20%
Depreciation expense equals the composite depreciation rate times the balance in the asset account
(historical cost). (0.20 * $6,500) $1,300. Debit depreciation expense and credit
accumulated depreciation.
When an asset is sold, debit cash for the amount received and credit the asset account for its original
cost. Debit the difference between the two to accumulated depreciation. Under the composite method
no gain or loss is recognized on the sale of an asset. Theoretically, this makes sense because the
gains and losses from assets sold before and after the composite life will average themselves out.
To calculate composite depreciation rate, divide depreciation per year by total historical cost. To
calculate depreciation expense, multiply the result by the same total historical cost. The result, not
surprisingly, will equal to the total depreciation Per Year again.
Common sense requires depreciation expense to be equal to total depreciation per year, without first
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dividing and then multiplying total depreciation per year by the same number.
Source: http://en.wikipedia.org/wiki/Break-even
D. MS-ACCESS 2010
MS-Access 2010 is a part of the MS-Office 2010 suite of office productivity software and is primarily
geared to manage data as a Database. This compilation provides practical case studies on use of MS
Access using Case Studies and simple examples to help students to have a practical hands-on training
(HOT) on the use of database.
Case Studies
CS1: A simple example on Library to understand the concept of Databases, Forms and
Reports creation
We shall learn to create a Database, Forms and Reports for managing books in a Library,
in this case study. This is a preliminary case study on using MS-Access.
Assignment 1: Creating Databases
• The library at a college XYZ recently received a large collection of new books and would like
to keep better track of the titles. The library is still using an antiquated method for cataloging
most of its books. You have been asked to create following databases (using Design View)
named BOOKS DETAILS containing the following fields:
Field Name Type Field Size
Catalog number AutoNumber Long Integer
Title Text 70
Author Text 25
Copyright date Date
Create a blank database named the BOOKS DETAILS which will serve as a model for the
library‘s entire collection; the database will make search, tracking, and inventory functions
much easier.
• Add a new field using the Datasheet View in the BOOKS DETAILS Table.
Publications Text 15
Solution: On start of MS Access, click New Blank Database and provide File Name
―BOOKS DETAILS‖ as shown in Fig. 1.1 followed by Fig. 1.2.
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Fig.1.1: Step 1 in creating database BOOKS DETAILS Table
Fig. 1.2: Step 2 in creating database BOOKS DETAILS Table
The following Fig.1.3 depicts the table structure of BOOKS DETAILS in Design View
Switch to Datasheet View and enter the records in the table. Your printed database table should be
similar in the format to the one shown here in Fig. 1.4 (not intended to be the final answer).
Right click the row/column to explore the options that can be implemented on the data records. Like
• Delete record number 2.

• Insert a new record / Insert a new column.
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• Adjust row/column height/width.
Solution: The following Fig. 1.4 depicts the table structure in Design View.
Fig. 1.4: “BOOKS DETAILS” Table

Table 1.1 displays the options that can be applied either on a row or on a column.
Table 1.1: Options available in Row/Column on right-click of the mouse

Assignment 2: Creating Form
Create a form for the table BOOKS DETAILS and add the following:
• Two in-built buttons ―Go to First Record‖ and ―Go to Last Record‖.
• 3 more records leading to a total of 8 records in the table.
Solution: Click on Create >> Form as shown in Fig. 1.5.
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Fig. 1.5: “BOOKS DETAILS” Table
The final Form view of the table is as shown in Fig. 1.6.
Fig. 1.6: Books Details Form

Assignment 3: Creating Report
Create a report to present the data recorded in the table ―BOOKS DETAILS‖.
Solution: Click on Create >> Report. The Report format of the Table BOOKS DETAILS is
shown in Fig. 1.7.
Fig. 1.7: “BOOKS DETAILS” Report
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CS2: ITT Students Database Management
We shall learn the process of creating and using a MS - Access database to manage data of ITT
Students and in the process explore and learn to use various features and facilities of MS-Access.
Assignment 1: Database Creation
You are a database designer who has to perform following assignments:
A. Table of Students enrolled in different ITT Courses organized by the Institute.
• The table should be named as ICAI_Students and must contain the following fields:

Student’s Registration Num- AutoNumber Long Integer
ber
Scheme Enrolled In Text 5
First Name Text 25
Last Name Text 20
Date of Birth Date
Father’s Name Text 30
Mother’s Name Text 30
Permanent Address Text 100
Mailing Address Text 100
Landline Number Text 20
Mobile Number Text 15
Email Address Text 25
Students’ Registration Number should be made Primary Key.
Create a blank database.
Solution: The following Fig(s) 2.1(a) and Fig. 2.1(b) show the table structure in Design view.
Fig. 2.1(a): Table in a Design View
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Add the following new field:
Gender Text 6
Solution: Fig. 2.1 (b) shows how a new field can be added in an existing database.
Fig. 2.1(b): Adding new field “Gender” in the Table ICAI_Students
B. Table of ITT centers and the students enrolled in the centers across country.
The table should be named as ITT_Centers and must contain the following fields:
Centre Code be the Primary Key.
Centre Code Text 5
Centre Name Text 15
Centre Region Text 10
Centre Address Text 50
Student’s Registration Number AutoNumber Long Integer
Batch Commencement Date Date
Batch Completion Date Date
Certificate Issued date Date
Solution: Fig. 2.2 shows the Design View of the Table ITT_Centers.
Fig. 2.2: Design view of ITT_Centers

C. Table of Students’ Marks obtained in Information Technology Training.
The table should be named as Students_ITTResult and must contain the following fields:
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Student’s Registration Number be the Primary Key.

Student’s Registration Number AutoNumber Long Integer
Marks in Module I Number Integer
Marks in Module II Number Integer
Attendance % Number Integer
Marks in Online Examination Number Integer
Assignment 2: Creating Forms
• Create a form for each of the tables naming ICAI_Students, ITT_Centers and
Students_ITTResult and bold the form title. Add the following textboxes in the form of
Students_TTResult and calculate these field values using following formulas.
Field Name Type
Total Marks Obtained Number
Percentage in Aggregate Number
Result Status Text
Hints:
Total Marks Obtained = Marks in Module I + Marks in Module II + Marks in Online Examination
Percentage in Aggregate = (Total Marks/500)*100
Result Status = If Percentage in Aggregate > 59, Result status is ―Pass‖, else ―Fail‖.
Also in the property sheet, the above three fields should be disabled, so that no data can
be entered through user in these fields.
Solution: It is not advisable to store the calculated fields through form in a table.
Also, by default the report would generate only the fields that are independent to each
other. For example – In the report corresponding to the table Students_ITTResult, by
default the fields Total Marks Obtained, Percentage in Aggregate and Result Status would
be missing as their values are calculated fields and are not stored in the database. So to
generate the complete view of the Students_ ITTResult report, the labels and the text
boxes corresponding to these calculated fields need to be incorporated manually, and the
required expressions for each of the field need to be calculated in the Control Source
property of each. For example - Value in text box ―Result Status‖ can be calculated using
the following steps:
a. Choose Control Source.
b. Expression Builder window gets opened as shown in Fig. 2.3.
c. Enter the following expression and save it:
IIF (([Percentage In Aggregate] > 59), ―PASS‖, ―FAIL‖)
Disable the Total Marks Obtained, Percentage in Aggregate and Result Status textboxes.
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Fig. 2.3: Form View Students_ITTResult
Enter a minimum of 20 records in each of the table, wherein Total Marks Obtained, Percentage In
Aggregate and Result Status fields of the table Students_ITTResult are to be calculated on the
basis of the parameters Marks in Module I, Marks in Module II and Marks in Online Examination.
Solution: The Fig. 2.4 below shows one of the forms ―ICAI_Students‖ corresponding to the
Table ICAI_Students. Similarly, create forms corresponding to the tables ―ITT_Centers‖ and
―Students_ITTResult‖.
(Property Sheet can be opened by pressing the key F4.)
Fig. 2.4: Form View of the Table ICAI_Students

Assignment 3: Creating Reports
• Create and print the reports for each of the tables created above.
Solution: One of the reports format generated corresponding to the Table ITT_Centers is shown in
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Fig. 2.5: ITT_Centers Report
Assignment 4: Establishing Relationships between Tables
• Define One-to-One relationship between the following:

a. ICAI_Students table and ITT_Centers; and
b. ITT_Centers table and Students_ITTResult
Enforce referential integrity in these relationships and Save.
Solution: Fig. 2.6 shows one-to-one relationship between the tables.
Fig. 2.6: One-to-One Relationship between Tables
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Assignment 5: Creating Queries
• Create the following queries from the tables:
S.No Query Name/Mode To Display/Criteria

A Query 1/Using Simple Query Student’s Registration Number, First Name, Last
Wizard Name, Scheme Enrolled In, Centre Code, Centre
Name, Centre Region, Centre Address
B Query 2/Using Query Design Student’s Registration Number, First Name, Last
Name, Scheme Enrolled In ―IPCC‖, Centre Code,
Centre Name, Centre Region, Centre Address
Print a copy of each query.
Solution A: Fig(s) 2.7 (a),(b) and (c) are the intermediate steps while generating the Query 1.
Fig. 2.7 (a): Step 1- Choosing Fields Fig. 2.7 (b): Step 2- Naming the Query
Fig. 2.7 (c): Step 3- Resultant of Query 1
Solution B: Using Query Design, we follow the steps shown in Fig. 2.8 (a) and (b).
Fig. 2.8(a): Step 1
114
Fig. 2.8(b): Step 2- Resultant Display
CS3: To introduce One-to-Many relationship concept
Assignment 1: Creating Databases
Create the following tables having following fields:

Customer Table

CustomerId Number Integer (Primary Key)
Cust_Name Text 30
Address Text 25
City Text 15
State Text 15
Zip Number Long Integer
Transactions Table

TransactionId AutoNumber Integer (Primary Key)
CustomerId Number Integer
Transaction_Type Text 7
Date of Transaction Date
Time of Transaction Time
Transaction Amount Number Long Integer(4 decimal places)
Accounts Table

CustomerId Number Integer (Primary Key)
Account Number Number Long Integer
Account Type Text 7
OpeningDate Date
Balance Number Long Integer (4 decimal plac-
es)
Solution:
115
Fig. 2.9: Design View of Customer Table
Fig. 2.10: Datasheet View of Customer Table

Similarly, prepare design view and datasheet view for Accounts and Transactions Table.
Assignment 2: Establishing Relationship
Establish one-to-many relationships between the following tables:
• Customer & Accounts

• Customer & Transactions
Solution: A customer can have many accounts and a customer can make many
transactions, so one-tomany relationship can be established between Customer-Accounts
and Customer-Transactions Table as shown in Fig. 2.11.
Fig. 2.11: One-to-many relationship between Tables]
116
Assignment 3: Creating Main Form and Sub form
Create the following forms
a. Main form - Customer and Sub-form - Accounts

b. Transactions Form
Solution: Create the two forms for the tables Customer and Accounts separately. Right
click the Main form ―Customer‖ in the Navigation Pane and choose the Design view. Drag
the Accounts form to the Customer Form as shown in Fig. 2.12.
Also, disable CustomerID, Scroll bars, Record navigation properties in the Accounts Form in the
Property sheet.
Fig. 2.12: Main Form “Customer” and Sub-form “Account”

Assignment 4: Report Generation
Generate a report that displays all the transactions w.r.t the customers.
A report must display the following:
CustomerId, Customer Name, Account Number, Transaction Type, Date of Transaction,

Transaction Amount and the summary report of all the transactions on the basis of each customer.
For Practice
1. With reference to Case Study II, do the following:

a. Display Students’ Registration Number, First Name, Last Name, Scheme Enrolled In
117
―PCC‖, Centre Code, Centre Name, Centre Region, Centre Address, Marks in Module I,
Marks in Module II, Marks in Online Examination, Total Marks Obtained.
b. Display Students‘ Registration Number, First Name, and Last Name of all the IPCC
Male students.
c. Display Students’ Registration Number, First Name, Last Name, Centre Code, Centre
Region and Centre Address of all the students whose attendance is more than 60%.
2. a. Create the Travel_Details table with the following data structure:

Tour Number AutoNumber Long Integer
Resort Text 20
Hotel Text 15
Days Number Long Integer
Prices From Currency 2 Decimal Places
Set Tour Number field as Primary Key in both the tables.
b. Enter the following records in the table.
Tour Number Resort Hotel Days Prices From

1 Goa Hillwoods 8 100
2 Pune Startrue 10 123
3 Delhi Park 2 120
4 Noida Spark 4 89
5 Noida Style 3 99
6 Jaipur Peer 2 95
7 Udaipur Smile 7 111
8 Goa Tasla 12 120
9 Goa Storm 9 135
10 Pune Sprinkle 10 85
c. Create forms and reports of the table
d. Do the following:
• Display Tour Number, Hotel, Days and Prices From of the records where
the Resort is Goa.
• Display all the records where the Prices From > 100.
3. a. Create the following tables with the following data structures:
(i) Emp_PersonalDetails

Employee ID Auto Number Long Integer
First Name Text 25
Last Name Text 20
Gender Text 6
Date of Birth Date
118
Father’s Name Text 30
Mother’s Name Text 30
Permanent Address Text 100
Mailing Address Text 100
Landline Number Text 20
Mobile Number Text 15
Email Address Text 25
Spouse Name Text 25
Number of Children Auto Number Long Integer
(ii) Emp_OfficialDetails

Employee ID AutoNumber Long Integer
Designation Text 25
Date of Joining Date
Basic Pay Currency 2 places decimals
b. Establish one-to-one relationship between the two tables and Save.
c. Generate forms for each of the following table and enter at least 10 records in each.
d. Also, calculate the following new fields in the form Emp_OfficialDetails using the
following formulas:
Field Name Type
HRA Currency
DA Currency
Child Education Allowance Currency
Gross Salary Currency
HRA = 0.20 * Basic Pay
DA = 0.50 * Basic Pay
Child Education Allowance = 500*Number of Children (From Emp_PersonalDetails
Table) Total Salary = Basic Pay + HRA + DA + Child Education Allowance
e. Generate reports for each of the following table.
f. Do the following:
• Display Employee ID, First Name, Last Name, Designation and Basic Pay
of all the employees.
• Display Employee ID, First Name and Last Name of all the Female employees.
• Display Employee ID, First Name and Last Name of all the employees having
Basic Pay > 5,000.
• Sort the records on the basis of the name in the ascending order.
• Display the records of all the employees who joined after 1st January, 2000.
119
E. ACCOUNTING SOFTWARE
Accountants typically need to use accounting software for their financial accounting, auditing
and reporting requirements, and hence included as a part of the ITT course. Tally is one of the
popular Accounting Software/ Package used in India, hence it is a part of the ITT course.
We start the coverage of this software with a listing of useful shortcut keys followed by
case studies for typical accounting requirements.
Shortcut Keys
(i) Function Keys
Shortcut key Functionality Availability

F1 To select a company At all masters menu screen
F1 To select the Accounts Button At the Accounting Voucher creation and al-
teration screen
F2 To change the current date At almost all screens in TALLY At the F11:
To select company inventory Features screen
features
F3 To select the company To At almost all screens in TALLY At the F11:
select Company Statutory & Features screen
Taxation features
F4 To select the Contra voucher At Accounting / Inventory Voucher creation
and alteration screen
F5 To select the Payment voucher At Accounting / Inventory Voucher creation
F6 To select the Receipt voucher At Accounting / Inventory Voucher creation
F7 To select the Journal voucher At Accounting / Inventory Voucher creation
F8 To select the Sales voucher At Accounting / Inventory Voucher creation
F9 To select the Purchase voucher At Accounting / Inventory Voucher creation
F10 To select the Reversing Journal At Accounting / Inventory Voucher creation
voucher and alteration screen
F11 To select the Functions and At almost all screens in TALLY
Features screen
F12 To select the Configure screen At almost all screens in TALLY
(ii) CTRL + Function Keys

Ctrl + F1 To select Payroll vouchers for At Accounting/Inventory Voucher creation or
alteration alteration screen
120
Ctrl + F8 To select the Credit Note At Accounting / Inventory Voucher creation
Ctrl + F9 To select the Debit Note At Accounting / Inventory Voucher creation
Ctrl + F10 To select the Memorandum At Accounting / Inventory Voucher creation
(iii) ALT + Function Keys

Alt + F1 To close a company At all menu screens
To view detailed report At almost all report screens
To explode a line into its details At almost all screens in TALLY
To select Inventory vouchers to At the Inventory/Payroll voucher creation or
alter alteration screen.
ALT + F2 To change the period At almost all screens in TALLY
ALT + F3 To select the company info At Gateway of Tally screen
menu To create/alter/shut a
Company
ALT + F4 To select the Purchase Order At Accounting / Inventory Voucher creation
Voucher Type and alteration screens
ALT + F5 To select the Sales Order At Accounting / Inventory Voucher creation
To view monthly and quarterly At almost all report screens in TALLY
report
ALT + F6 To select the Rejection Out At Accounting / Inventory Voucher creation
To change the Sales Order
Voucher Type
ALT + F7 To select the Stock Journal At Accounting / Inventory Voucher creation
To accept all the Audit lists At Tally Audit Listing screen
ALT + F8 To select the Delivery Note At Accounting / Inventory Voucher creation
To view the Columnar report At Ledger Voucher screen
ALT + F9 To select the Receipt Note At Accounting / Inventory Voucher creation
ALT + F10 To select the Physical Stock At Accounting / Inventory Voucher creation
ALT + F12 To filter the information based At almost all report screens
on monetary value
(iv) CTRL + Alphabet Keys
121
Ctrl + A To accept a form – wherever At almost all screens in TALLY, except where
you use this key combination, a specific detail has to be given before accept-
that screen or report gets ac- ing.
cepted as it is.
Ctrl + B To select the Budget At Groups/Ledgers/Cost Centres/ Budgets/
Scenarios/Voucher Types/Currencies (Ac-
counts Info) creation and alteration screen
Ctrl + C To select the Cost Centre At Groups/Ledgers/Cost Centres/Budgets/
To select the Cost Category Scenarios/Voucher Types/Currencies (Ac-
At Stock Groups/ Stock Categories/ Stock
Items/ Reorder Levels/ Godowns/ Voucher
Types / Units of Measure (Inventory Info)
creation/alteration screen
CTRL+ E To select the Currencies At Groups/Ledgers/Cost Centres/Budgets/
CTRL + G To select the Group At Groups/Ledgers/Cost Centres Budgets/
CTRL + I To select the Stock Items At Stock Groups/ Stock Categories/ Stock
Types / Units of Measure (Inventory Info)
CTRL + L To select the Ledger At Groups/Ledgers/Cost Centres/Budgets/
To mark a Voucher as Optional Scenarios/Voucher Types/Currencies (Ac-
At the creation and alteration of Vouchers
CTRL + O To select the Godowns At Stock Groups/ Stock Categories/ Stock
Types / Units of Measure ( Inventory Info)
CTRL + Q To abandon a form – wherever At almost all screens in TALLY.
you use this key combination,
it quits that screen without
making any changes to it.
CTRL + R To repeat narration in the same At creation/alteration of voucher screen
voucher type
CTRL + S Allows you to alter Stock Item At Stock Voucher Report and Godown
master Voucher Report
CTRL + U To select the Units At Stock Groups/ Stock Categories/ Stock
Types / Units of Measure ( Inventory Info)
CTRL + V To select the Voucher Types At Groups/Ledgers/Cost Centres/ Budgets/
To toggle between Invoice and Scenarios/Voucher Types/ Currencies (Ac-
Voucher counts Info) creation and alteration screen
At creation of Sales/Purchase Voucher screen
122
v) ALT + Alphabet Keys

ALT + A To Add a voucher At List of Vouchers – adds a voucher after the
To Alter the column in colum- one where you positioned the cursor and used
nar Report this key combination.
Alters the column in all the reports which can
be viewed in columnar format
ALT + C To create a master at a voucher At voucher entry and alteration screens, at a
screen (if it has not been al- field where you have to select a master from
ready assigned a different func- a list. If the necessary account has not been
tion, as in reports like Balance created already, use this key combination to
Sheet, where it adds a new create the master without quitting from the
column to the report) voucher screen.
To access Auto Value Calcula- At all voucher entry screens in the Amount
tor in the amount field during Field
voucher entry
ALT + D To delete a voucher At Voucher and Master (Single) alteration
To delete a master To delete a screens. Masters can be deleted subject to
column in any columnar Report conditions.
(if it has not been already as- All the reports screen which can be viewed in
signed a different function, as columnar format
explained above)
ALT + E To export the report in ASCII, At all reports screens in TALLY
Excel, HTML or XML format
ALT + I To insert a voucher At List of Vouchers – inserts a voucher be-
To toggle between Item and fore the one where you positioned the cursor
Accounting invoice and used this key combination. At creation of
sales and purchase invoice
ALT + K To select the Keyboard Con- At almost all screens in TALLY
figuration
ALT + L To select the Language Con- At almost all screens in TALLY
figuration
ALT + M To Email the report At all reports screens in TALLY
ALT + N To view the report in automatic At all the reports where columns can be
Columns Added
ALT + O To upload the report at your At all reports screens in TALLY
website
ALT + P To print the report At all reports screens in TALLY
ALT + R To Register Tally To remove a At almost all screens in TALLY At all reports
line in a report screens in TALLY
ALT + S To bring back a line you re- At all reports screens in TALLY
moved using Alt + R
ALT + U To retrieve the last line which At all reports screens in TALLY
is deleted using Alt +R
ALT + V To bring Stock Journal Screen At Invoice screen
from Invoice screen
ALT + W To view the Tally Web browser At all reports screens in TALLY
123
ALT + X To cancel a voucher in Day At all voucher screens in TALLY
Book /List of Vouchers
(vi) Other Shortcuts

ALT + 2 To Duplicate a voucher At List of Vouchers – creates a voucher similar
to the one where you positioned the cursor and
used this key combination
Ctrl + ALT + B To check the Company Statu- At all the menu screens
tory details
Ctrl + ALT + I To import statutory masters At all the menu screens
CTRL + ALT + Rewrite data for a Company From Gateway of Tally screen
R
CTRL + ALT + Advanced Configuration At Gateway of Tally
F12
PgUp Display previous voucher dur- At voucher entry and alteration screens
ing voucher entry/alteration
PgDn Display next voucher during At voucher entry and alteration screens
voucher entry/alteration
ENTER To accept anything you type You have to use this key at most areas in TAL-
into a field LY.
To accept a voucher or master At the receivables report – press Enter at a
To get a report with further depending bill to get transactions relating to this
tails of an item in a report bill (e.g., original sale bill, receipts and pay-
ments against this bill, etc.)
ESC To remove what you typed into At almost all screens in TALLY
a field
To come out of a screen
To indicate you do not want to
accept a voucher or master
SHIFT +EN- Collapse next level details At Voucher Register screen and Trial Balance
TER To explode a line into its de- report In almost all reports:
tails At a Group/Stock Group/Cost Category/
Godown/Stock Category –displays Sub Groups
and Ledgers/Stock Items/Cost Centres/Second-
ary Godowns/Secondary Stock Categories
At a Voucher – displays its entries and narra-
tion
At a Stock Item – displays its godowns and
batch details
At Voucher Register screen – displays the next
level details
At Trial Balance report – displays the next level
details
CTRL +ENTER To alter a master while making At voucher entry and alteration screens
an entry or viewing a report At all reports
124
Lab Exercises
Exercise 1
Recording Financial Transactions
M/s. ABC & Company started business in 2009. Create a company in the name of M/s.
ABC & Co. and pass necessary vouchers to record the following transactions.
S.No. DATE PARTICULARS

1 07-04-2013 Salary paid by cash Rs. 1,000
2 10-04-2013 Cash Sales for Rs. 1,000 RprodA 200 kgs @ Rs. 5.00
3 18-04-2013 Cash drawn from IB Cheque No. 031267 Rs. 75,000/-
4 01-06-2013 Cash deposited in CB Rs. 20,000/-
5 16-06-2013 Payment through Central Bank Cheque No. 609606 for Auditor
fees Rs. 1,000/-
6 08-07-2013 Payment through bank [IB] Cheque No. 0314195 for purchase of
Lpro SS50 tons @ Rs.125
7 15-07-2013 Bank Purchases [IB] Cheque No. 0314368 Lpro-SS 50 tons @
Rs. 125
8 01-08-2013 Cheque deposited in IB for sales of RprodA 400 kgs @ Rs. 5
9 10-08-2013 Cash Sales of RprodA 200 kgs @ Rs.5
10 31-08-2013 Cash Sales of Npro-SS 100 kgs @ Rs. 26.50
11 11-09-2013 Cash received as ‘Commission’ Rs. 1,500
12 30-09-2013 Cash sales of Lpro-SS 50 tons @ Rs. 125 & Npro-SS 150 kgs @
Rs. 26.50
13 01-10-2013 Enter the details here as a sales order: Vimal Nath & Co. likes to
order Npro-LS 500 kgs @ Rs. 6. Also give discount of 2%.
14 11-10-2013 Cash received as ‘Commission’ Rs. 2,000
15 15-10-2013 Do invoice entry for the sales order dated 01/10/2013
16 21-10-2013 Cash sales of Npro-LS 200 kgs @ Rs. 6
17 01-11-2013 Enter the following as sales order: Alpha Industries would like to
order Npro-SS 100 kgs @ Rs. 26.50
18 1-12-2013 Do invoice entry for the sales order
19 1-12-2013 Purchase by Mehta Industries Lpro-SS 50 tons @ Rs.125
20 15-12-2013 Raise a debit note for the same
21 15-12-2013 Purchase by Bimanlal Agencies Npro-SS 150 kgs @ Rs. 26.50
22 21-12-2013 Prepare credit note for rejection of Npro-SS 50 kgs @ Rs. 26.50
by Alpha Industries
23 30-12-2013 Raise a debit note for the same
24 31-12-2013 Sales to Alpha Industries Npro-SS 300 kgs @ Rs. 26.50
25 02-01-2014 Sales to Vimal Nath & Co. Npro-SS 600 kgs @ Rs. 26.50
26 02-01-2014 Cash receipt of rent Rs. 1,000
27 03-01-2014 Cash receipt of interest on investment Rs. 1,500
28 25-01-2014 Sales to Vimal Nath & Co. Npro-SS 300 kgs @ Rs. 26.50; Lpro-
SS 50 tons @ Rs.125
125
29 31-01-2014 Sales to Alpha Industries Npro-SS 150 kgs @ Rs. 26.50
30 01-02-2014 Second purchase to Abeeth Industries 3,000 kgs @ Rs. 15
31 01-02-2014 Credit note for Vimal Nath Npro-SS 400 kgs @ Rs.26.50
32 01-02-2014 Purchase order for Bimanlal Agencies Lpro-SS 50 tons @ Rs.
125
33 03-02-2014 Second Sales to Acrobat 1,500 kgs Rs.15
34 03-02-2014 Purchase order for Mehta Industries Lpro-SS 50 tons @ Rs. 125
35 05-02-2014 Enter the above as purchases
36 05-02-2014 Purchase by Bimanlal Agencies Npro-SS 300 kgs @ Rs.26.50
37 10-02-2014 Purchase by Mehta Industries Npro-SS 150 kgs @ Rs. 26.50
38 01-03- 2014 Cash Sales of Npro-SS 500 kgs @ Rs. 26.50
39 04-03-2014 Cash Sales of Lpro-SS 100 tons @ Rs. 125
40 04-03-2014 Purchase by Bimanlal Agencies: Npro-SS 150 kgs @ Rs. 26.50;
Lpro-SS 100 tons @ Rs. 125; RprodA 100 kgs @ Rs. 5; Carriage
Inward Rs. 25
41 12-03-2014 Cash Sale of Scrap wastages Rs. 5,000
Exercise 2
Recording Financial Transactions and Depreciation
M/s. Evergreen Traders is running a business from 1.4.2009 and keeps his books of accounts in
Tally with accounts only. You are required to record the following transactions in the books of M/s.
Evergreen Traders:

1 1.4.2013 Received cash as Capital for Rs. 2,00,000/-
2 2.4.2013 Cash deposited in I.O.B. for Rs. 1,00,000/-
3 2.4.2013 Credit Purchases from Charles Co. as per Inv. No. 12 for Rs.
75,300/-
4 2.4.2013 Credit purchases from James Co. as per Inv. No. 253 for Rs.
50,500/-
5 3.4.2013 Credit purchases from Donold Co. as per Inv. No. 325 for Rs.
60,000/-
6 4.4.2013 Purchase Return from Charles Co. for Rs. 10,000/-
7 4.4.2013 Purchase Return from Donold Co. for Rs. 25,000/-
8 5.4.2013 Cash purchases from Victor Co. for Rs. 35,600/-
9 5.4.2013 Credit Sales to James Traders as per Inv. No. 001 Rs. 1,25,000/-
10 5.4.2013 Credit sales to Victor Traders as per Inv. No. 002 Rs. 1,75,000/-
11 5.4.2013 Credit Sales to Smith Traders as per Inv. No. 003 for Rs. 75,000/-
12 6.4.2013 Cash sales as per Inv. No. 004 for Rs. 1,00,000/-
13 6.4.2013 Returns from Victor Traders for Rs. 25,000/-
14 7.4.2013 Returns from Smith Traders for Rs. 15,000/-
15 8.4.2013 Payments made by Cash
Furniture Rs. 25,000/-
Salaries Rs. 50,000/-
126
Wages Rs. 30,000/-
Rent Rs. 25,000/-
Electricity charges Rs. 12,000/-
Electricity Deposit Rs. 10,000/-
16 10.4.2013 Stationeries purchased from Wilson co. for Rs. 2,000/- on credit
Depreciate Furniture @ 10% using Straight Line Method.
Exercise 3
Recording Multiple Financial Transactions in Vouchers
M/s. Dennis Motors started a business from 1/4/2009 and entered into following
transactions which need to be recorded in its books:

1 1.4.2013 Received capital by cash Rs. 20,00,000
2 2.4.2013 Cash deposited in ICICI bank Rs. 12,00,000
3 4.4.2013 Purchase order given to Raj Motors (Order No. 101)
Kinetic Honda - 5 nos. @ Rs. 35,000/- each
TVS – Victor - 3 nos. @ Rs. 46,800/- each
Yamaha - 5 nos. @ Rs. 42,900/- each
4 5.4.2013 Purchase the stocks from Raj Motors
5 9.4.2013 Purchase order given to Naveen Motors (Order no: 102)
Pulsar - 5 nos. @ Rs. 50,000/- each
Hero Honda Passion - 5 nos. @ Rs. 48,500/- each
Hero Honda Ambition - 5 nos. @ Rs. 46,700/- each
TVS – Scooty - 10 nos. @ Rs. 24,000/- each
6 10.4.2013 Purchase the stocks from Naveen motors
Pulsar - 5 nos. @
Rs. 50,000/- each
(-) Cash Discount 5% on total purchase.
7 11.4.2013 Sales order given by RS Motors Company
8 12.4.2013 Credit sales to RS Motor Company
(+) TNGST 7% on total sales
127
9 14.4.2013 Credit sales to KJ Motors
Pulsar - 2 nos. @ Rs. 53,000/- each
10 18.4.2013 Credit sales to JGJ Motors
Yamaha - 1 no. @ Rs. 45,000/-
11 20.4.2013 Cash sales to Sheeba Motors
(-) Cash discount 3%
12 22.4.2013 Received cash from RS Motors - Rs. 1,25,000
13 24.4.2013 Received cheque from KJ Motors - Rs. 2,25,000
14 25.4.2013 Paid cheque to Raj Motors - Rs. 2,50,000
15 27.4.2013 Paid cheque to Naveen Motors - Rs. 1,00,000
16 28.4.2013 Paid cheque to JGJ Motors - Rs. 1,50,000
17 30.4.2013 Payments made by cash Rs.
Telephone charges - 5,000
Salary - 10,000
Stationery - 1,000
Furniture - 20,000
Electricity Charges - 2,500
Exercise 4
Depreciation
Best & Co. started a business of Home appliances from 1.4.2009 and maintains the
accounts in Tally with Inventory.

1 1.4.2013 Received capital by cash Rs. 7,00,000/-
2 1.4.2013 Cash deposited in P.N.B. Rs. 3,00,000/-
3 1.4.2013 Credit purchases from Brown Traders as per Inv. No. 12
Samsung color T.V. 10 Nos. @ Rs. 25,000/- each
Ceiling fan 100 Nos. @ Rs. 8,00/- each
Table fan 100 Nos. @ Rs. 1,000/- each
Mixi 100 Nos. @ Rs. 1,500/- each
Grinder 100 Nos. @ Rs. 2,000/- each
4 1.4.2013 Cash Purchases Brown Traders as per Inv. No. 16
Samsung color T.V. 1 No. @ Rs. 24,000/-
5 2.4.2013 Credit sales to Rosewood Traders as per Inv. No. 001
128
Plus TNGST 4% on total sales
6 2.4.2013 Cash Sales as per Inv. No. 002
Plus 4% TNGST on total sales
7 2.4.2013 Cheque No. 1233123 issued to Brown Traders 70% of Purchase
value
8 2.4.2013 Received Cheque No. 525252 of Bank of India from Rosewood
Traders 80% of Sale value
9 2.4.2013 Payments made by cash
Paid to Petty cash Rs. 3,000/-
Computer Rs. 25,000/-
Salaries Rs. 32,000/-
Wages Rs. 23,500/-
Carriage Inwards Rs. 12,500/-
Carriage Outwards Rs. 7,500/-
Telephone Deposit Rs. 15,000/-
Rent Rs. 10,000/-
Electricity charges Rs. 5,800/-
10 2.4.2013 Payments made by Petty Cash
Conveyance Rs. 700/-
Staff Welfare Rs. 500/-
Postages Rs. 300/-
Stationery Rs. 700/-
11 2.4.2013 Journal
Depreciate Computers @ 25%.
Exercise 5
Recording Financial Transactions in Books of Accounts
Nagpur Garments have started a business of readymade garments from 1.4.2009. Following
are the transactions entered during 2013-2014, which need to be recorded in their books.
S.No. DATE PARTICULARS AMOUNT VOUCHER

TYPE
1 1.4.2013 Capital introduced in business by proprietor in 1,00,000 Receipt
cash
129
2 2.4.2013 Cash deposited in SBI, Ramdaspeth for opening 5,000 Contra
current account no. 521
3 5.4.2013 Cash deposited in SBI current account no. 521 80,000 Contra
4 10.4.2013 Garments purchased from R.D. Distributors on
credit 40,500 Purchase
5 2.5.2013 Sold garments to Mr. J.N. Shah on cash 6,800
Sale
6 2.5.2013 Purchased garments from Milton Dresses by 9,500 Purchase
paying Cash
7 1.6.2013 Sold garments to S.M. Bakare on credit 26,800
Sale
8 2.6.2013 Cash withdrawn from SBI current account no. 20,000 Contra
521
9 1.7.2013 Paid vide ch. no. 636251 to R.D. Distributors 21,000 Payment
10 2.7.2013 Received vide ch. no. 995588 of Bank of India 15,000 Receipt
from S.M. Bakare
11 1.8.2013 Paid for purchase of files for office 540 Pay-
ment
12 2.8.2013 Purchased furniture on credit from Vishal Furni-
tures 40,200 Journal
13 1.9.2013 Paid to ICICI Life Insurance towards annual 6,200 Payment
premium of proprietor vide ch. no. 636252
14 2.9.2013 Office taken on rent, paid towards office deposit 25,000 Payment
to Mr. M.C. Patel vide ch. no. 636253
15 1.10.2013 Amount transferred from Proprietor‘s saving ac- 75,000 Receipt
count no. 220 maintained with SBI Ramdaspeth
current account no. 521
16 2.10.2013 Cash received from S.M. Bakare 5,000 Receipt
17 1.11.2013 Rent paid 4,000 Payment
18 16.11.2013 Paid cash to Vishal Furnitures 10,000 Payment
19 2.12.2013 Sales made in cash 25,000 Sale
20 2.12.2013 Loan taken from Mr. M.M. Joshi vide ch. no. 1,00,000 Receipt
253652 of Bank of Rajasthan
21 1.1.2014 Salary paid vide ch. no. 636254 10,000 Payment
22 2.1.2014 Octroi paid in cash 1,250 Payment
23 2.2.2014 Advance tax paid 5,000 Payment
24 1.3.2014 Amount deposited in savings account of propri- 10,000 Payment
etor vide ch. no. 636255
25 31.3.2014 Provision to be made for telephone expenses 2,348 Journal
26 31.3.2014 Interest @ 12% p.a. to be credited to M.M. Joshi
Journal
27 31.3.2014 Charge depreciation on furniture @ 10% p.a. for Journal
one year
130
Exercise 6
Inventory Management
Enter opening stock in Tally as follows:

Name of Group Quantity Unit Rate Value Godown
Item
Onida 21" Onida 7 no. 8,920 62,440.00 Colva
Onida 25" Onida 5 no. 13,440 67,200.00 Calangute
Samsung Samsung 9 no. 12,500 112,500.00 Miramar
25"
Samsung Samsung 3 no 24,500 73,500.00 Colva
29"
Gold Metals 512.368 gm 1,280 655,831.04 Miramar
Silver Metals 6.892 kg 19,240 32,602.08 Miramar
Copper Metals 5.690 Kg 5,500 31,295.00 Colva
Raymond Cloth 540.22 mtr 467 252,282.74 Colva
Eleganza
Raymond
Royal Cloth 890.88 mtr 612 545,218.56 Calangute
Total 1,932,869.42
Enter following purchase and sales transactions in Tally:
Date Party Stock Item Qty Unit Rate Value Godown

Purchases:
01/04/2013 Onida Elec- Onida 21" 10 no. 9,000 90,000.00 Miramar
tronics Ltd.
01/05/2013 Onida Elec- Onida 25‖ 12 no. 15,500 1,86,000.00 Colva
tronics Ltd.
02/06/2013 Samsung In- Samsung 8 no. 16,800 1,34,400.00 Calangute
dia Pvt. Ltd. 25"
02/07/2013 Samsung India Samsung 20 no. 22,400 4,48,000.00 Miramar
Pvt. Ltd. 29"
01/08/2013 BPL Electron- BPL 21" 23 no. 11,200 2,57,600.00 Calangute
ics Ltd .
01/09/2013 Cash BPL 25" 32 no. 18,500 5,92,000.00 Miramar
01/10/2013 Raymond Ltd. Raymond 890 mtr 450 4,00,500.00 Miramar
Eleganza
02/11/2013 Raymond Ltd. Raymond 1,020 mtr 630 6,42,600.00 Miramar
Royal
01/12/2013 Cash Gold 250 gm 1,390 3,47,500.00 Colva
01/01/2013 Cash Silver 2.380 kg 19,880 47,314.40 Calangute
01/02/2013 Raymond Ltd. Raymond 650 mtr 730 4,74,500.00 Calangute
Star
01/03/2013 Cash Milk 120 ltr 18.50 2,220.00 Miramar
02/03/2013 LG India Ltd. LG 21" 25 no. 8,900 2,22,500.00 Colva
131
Sales:
01/04/2013 Pardesi Trad- Onida 21" 12 no. 9,500 1,14,000.00 Colva
ing Co.
02/05/2013 Quality Elec- Onida 25" 13 no. 16,500 2,14,500.00 Calangute
tronics
02/06/2013 Quality Elec- Samsung 10 no. 17,770 1,77,700.00 Miramar
tronics 25"
01/07/2013 Cash Samsung 15 no. 24,580 3,68,700.00 Miramar
29"
01/08/2013 Ajay Vijay & BPL 21" 12 no. 13,500 1,62,000.00 Calangute
Co.
01/09/2013 Noor & Ali BPL 25" 10 no. 21,000 2,10,000.00 Miramar
Co.
01/10/2013 Milton Dresses 250 mtr 510 1,27,500.00
Raymond Colva
Eleganza
01/11/2013 Milton Dresses 150 mtr 680 1,02,000.00
Raymond Colva
Royal
02/12/2013 Laxmi Parvati Gold 150 gm 1,420 2,13,000.00 Miramar
& Co.
01/01/2014 Cash Silver 1.000 kg 20,500 20,500.00 Calangute
01/02/2014 Hakim Munim Raymond 200 mtr 800 1,60,000.00 Calangute
& Co. Star
02/03/2014 Cash Milk 50 ltr 21.00 1,050.00 Miramar
02/03/2014 Cash LG 21" 10 no. 9,800 98,000.00 Colva
Manufacturing Journal Entries
31/05/2009 Gold ring manufactured by using 10 gm gold, 4 gm silver and 1 gm copper.

Total weight of ring was 15 gm.
Transfer Entries
31/05/2009 Raymond Royal transferred 500 mtr from Miramar to Colva godown.
31/05/2009 3.5 kg silver transferred from Miramar to Calangute godown.
132
Exercise 7
Security Controls
ABC Ltd. has installed multi-user Tally Gold software. There are 9 employees in accounts
department. The names of employees, their designation and responsibilities are as follows:
S.No. Name of Employee Designation Responsibilities

1 Aditya , C.A. Finance Manager Overall responsibility of accounts and
finance function, reporting to top man-
agement, statutory compliances, etc.
2 Shahrukh Accounts Manager Getting data entered by accounts execu-
tive and operators, compilation of data,
supervision over operators, Preparation
of VAT, TDS, Service Tax Challans
and Returns, Providing information to
Finance Manager.
3 Saif Accounts Manager Getting data entered by accounts execu-
tive and operators, compilation of data,
supervision over operators, Preparation
of VAT, TDS, Service Tax Challans
and Returns, Providing information to
Finance Manager.
4 Rani Accounts Executive Data Entry, Checking of data, Provid-
ing information to Accounts Manager.
5 Priti Accounts Executive Data Entry, Checking of data, Provid-
6 Bipasha Accounts Executive Data Entry, Checking of data, Provid-
ing information to Accounts Manager,
7 Kareena Accounts Executive Data Entry, Checking of data, Provid-
8 Jony Data Entry Operator Data Entry
9 Rajpal Data Entry Operator Data Entry
Following are the Directors of the company:
• Shri Yash Chopra, Director Accounts & Finance

Shri Subhash Ghai , Director Marketing
Shri Rajkumar Santoshi, Director Operations
Shri Vidhu Vinod Chopra, Director
133
Exercise 8
Create ledgers along with proper grouping in Tally.ERP 9
and check the Balance Sheet
D. C. Garments
Trial Balance As On 31st March 2013
Sr. No. Ledger Name Description Debit Credit

1 Capital Owner's money invested in business
10,40,670
2 SBI Car Loan Loan taken for purchase of car
against mortgage of car 6,70,540
3 T. Asin Loan taken from friend for business
without any security 4,00,000
4 SBI Cash Credit Loan taken for working capital
against security of Stock and Debtors 5,43,990
5 Kareena Fabrics Our supplier, we have purchased
Ltd. dresses from this company on credit 97,200
and money is still payable
134
6 VAT Payable VAT for the year payable to Govern-
(2012-13) ment 15,230
7 BSNL Office telephone bill payable to
BSNL for March 2011 2,540
8 Office Office place owned by and used by
business 16,03,280
9 Land Land at wardha road, purchased as
investment 8,65,000
10 A.B. Corp Shares Amount invested in shares of the
company 50,000
11 Reliance Mutual Amount invested in mutual fund
Fund 25,000
12 Sohail Khan Temporary loan given to brother
without any security 75,000
13 Telephone De- Deposit kept with BSNL for office
posit telephone connection 5,000
14 S. Mallika Our customer, we have sold goods
to her on credit and money is still 92,900
receivable
15 SBI Current Ac- Current account in the name of busi-
count ness maintained with SBI 34,290
16 Cash
19,700
Total 27,70,170 27,70,170
Answer : Balance Sheet Total = 27,70,170
Exercise 9
Enter following trasactions in Tally and prepare Profit & Loss
Account and Balance Sheet
We have started a new busienss in the name Nagpur Garments, of trading in readymade
garments. Following are the trasactions entered during 2012-13
Date Particulars Amount

1 01.04.12 Capital Introduced in Business by proprietor in cash 1,00,000
2 02.04.12 Cash deposited in State Bank of India, Ramdaspeth for open- 5,000
ing current account no. 521
3 01.05.12 Cash Deposited in State Bank of India current account no. 521 80,000
4 02.05.12 Garments purchased from R.D. Distributors on credit 40,500
5 02.05.12 Sold garments to Mr. R.P. Shah on cash 6,800
6 02.05.12 Purchased garments from Milton Dresses by paying cash 9,500
7 01.06.12 Sold garments to S.M. Bakare on credit 26,800
8 02.06.12 Cash withdrawn from SBI Current Account no. 521 20,000
9 01.07.12 Paid vide ch. No. 636251 to R.D. Distributors 21,000
135
10 02.07.12 Received vide ch. No. 995588 of Bank of India from S.M. 15,000
Bakare
11 01.08.12 Paid for purchase of files for office 540
12 02.09.12 Purchased furniture on credit from Vishal Furnitures 40,200
13 01.10.12 Paid to ICICI Life Insurance towards annual premium of pro- 6,200
prietor vide ch.no. 636252
14 02.10.12 Office taken on rent, paid towards office deposit to Mr. M. C. 25,000
Patel vide ch.no. 636253
15 01.10.12 Amount transferred from Proprietor's saving account no 220 75,000
maintained with SBI Ramdaspeth to SBI Ramdaspethcurrrent
account no 521
16 02.10.12 Cash received from S.M. Bakre 5,000
17 01.11.12 Rent paid in cash 4,000
18 02.11.12 Paid cash to vishal furniture. 10,000
19 02.12.12 Sales made in cash 25,000
20 01.12.12 Loan taken from Mr. M.M. Joshi vide ch. No. 253652 of Bank 1,00,000
of Rajasthan
21 01.01.13 Salary paid vide ch. No. 636254 10,000
22 02.01.13 Octroi paid in cash 1,250
23 02.02.13 Advance tax paid in cash 5,000
24 01.03.13 Amount deposited in savings account of proprietor vide Ch. 10,000
No. 636255
25 31.03.13 Provision to be made for telephone expenses 2,348
26 31.03.13 Interest @ 1% per month to be credited to M.M. Joshi
27 31.03.13 Charge depreciation on furniture @ 10% p.a. for one year
Answer : Net Loss 17558
Balance Sheet Total 314858
Indirect Expenses 24908
Exercise 9
Inventory Exercise 2: Enter following purchases
and sales transactions with inventory
Note : Solve Inventory exercise 1 & 2 in same company. Do not create a new company for exercise
2
Date Type of Pur- Stock Item Quantity Unit Rate Value

chase/Sales
Purchases :
01/04/2013 Onida Elec- Onida 21" 10 no. 9,000 90,000
tronics Ltd.
01/05/2013 Onida Elec- Onida 25" 12 no. 15,500 1,86,000
tronics Ltd.
136
02/06/2013 Samsung Samsung 8 no. 16,800 1,34,400
India Pvt. 25"
Ltd.
02/07/2013 Samsung Samsung 11 no. 22,400 2,46,400
India Pvt. 29"
Ltd.
01/08/2013 BPL Elec- BPL 21" 23 no. 11,200 2,57,600
tronics Ltd .
01/09/2013 Cash BPL 25" 32 no. 18,500 5,92,000
01/10/2013 Raymond Raymond 890 Mtr. 450 4,00,500
Ltd. Eleganza
02/11/2013 Raymond Raymond 1,020 Mtr. 630 6,42,600
Ltd. Royal
01/12/2013 Cash Gold 250 gm 1,390 3,47,500
01/01/2014 Cash Silver 2.380 kg 19,880 47,314
01/02/2014 Raymond Raymond 650 Mtr. 730 4,74,500
Ltd. Star
01/03/2014 Cash Milk 120 ltr. 18.5 2,220
02/03/2014 LG India LG 21" 25 no. 8,900 2,22,500
Ltd.
Total 36,43,534
Sales :
01/04/2013 Pardesi Onida 21" 12 no. 9,500 1,14,000
Trading Co.
02/05/2013 Quality Onida 25" 13 no. 16,500 2,14,500
Electronics
02/06/2013 Quality Samsung 10 no. 17,770 1,77,700
Electronics 25"
01/07/2013 Pardesi Samsung 15 no. 24,580 3,68,700
Trading Co. 29"
01/08/2013 Vedoms BPL 21" 12 no. 13,500 1,62,000
01/09/2013 Vedoms BPL 25" 10 no. 21,000 2,10,000
01/10/2013 Milton Raymond 250 Mtr. 510 1,27,500
Dresses Eleganza
Dresses Royal
02/12/2013 Cash Gold 150 gm 1,420 2,13,000
01/01/2014 Cash Silver 1 kg 20,500 20,500
Dresses Star
02/03/2014 Cash Milk 50 ltr. 21 1,050
02/03/2014 Cash LG 21" 10 no. 9,800 98,000
Total 19,68,950
Verification :
Check total value of closing stock in Stock Summary Report.
It must be equal to 37,76,408.62
137

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ITT Lab Practice Manual

Hands-On Practical Training (HOT) for ITT Course

Version 2.0 January 2014

• Producing professional-looking documents;

Shortcut key Description

1. Create a new Word document.

Fig. 1.1: Adding text

4. Correct the spelling mistake in the paragraph.

Fig. 1.2: Final Output

1. Create and save a new Word document.

1. Open the document ―Ch1Ex1.docx‖.

Fig. 3.1: Interim Output

9. Find and highlight all occurrences of the word ―communication‖.

14. Add ‗Outside Borders‘ to the first paragraph.

1. Click the Office Button, go to Word Options. On Advanced tab, go to Display.

1. Create and save a new Word document.

peck of pickled peppers Peter Piper picked. If

Peter Piper picked a peck of pickled peppers,

How many pickled peppers did Peter Piper pick?‖

Fig. 4.1: Final Output

1. Create and save a new Word document.

Fig. 5.2: Style “Stylish” modified

3. Now create your resume by filling in the details.

1. Create and save a new Word document.

Student ID Name Marks

Fig. 7.1: Table inserted

Student ID Name Marks

Student ID Name Marks

Student ID Name Marks

Student ID Name Marks

Student ID Name Marks

Fig. 7.6: Table converted to text

Student ID Name Marks

Student ID Name Marks

Student ID Name Marks

Student ID Name Marks

1. Create and save a new Word document.

5. Insert any picture from the Clip Art gallery.

1. Create and save a new Word document.

1. Create and save a new Word document.

Fig. 10.1: Bar graph

Fig. 10.2: Data labels added to the graph

Fig. 10.3: Titles inserted

Fig. 10.4: Bar graph converted to “Stacked column in 3-D” graph.

Fig. 10.5: Data for Central region added

1. Create and save a new Word document.

Fig. 11.1: Picture inserted

1. Create and save a new Word document.

Peter Piper picked a peck to pickled peppers,

1. Open the file ―Ch3Ex1.docx‖.

Fig. 13.1: Table of Contents

4. Insert four citations at different places in the chapter.

Fig. 13.3: Table of Authorities

Fig. 13.4: Bibliography

Fig. 13.5: Index

1. Open the file ―Ch3Ex2.docx‖.

1. Create and save a new Word document.

1. Create and save a new Word document.

1. Create and save a new Word document.

1. Create and save a new Word document.

1. Create and save a new Word document.

Branch Name: --------------------------

NO. Dated: _____________________

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