Tuesday, June 28, 2016
PUNJAB
TECHNICAL UNIVERSITY, JALALNDHAR
EXAMINATION-
MAY 2014,B.COM-PROFESSIONAL SECOND SEMESTER
BCOP
201: ADVANCED ACCOUNTING
Time
Allowed :3 hours
Instruction
:
1. Section
A is compulsory and consists of 10 questions 2 marks each.
2. Section
B includes sex questions out of which the candidate is required to attempt any four questions. each question is
of 10 marks.
Section –A
1. Write
down the steps to be taken for converting single entry books into double entry
books.
2. Give
four points of distinction between Receipts and Payment account and income and Expenditure Account.
3. P
purchased a TV set on hire purchase system. The cash price of Tv was Rs. 7,200.
He agrees to pay Rs.200 at the time of agreement to pay four quarterly
instalments of Rs.2,000 each. Calculate interest for each quarter.
4. Pass
the required journal entries in the books of landlord/lassoer with the given
information; Royalty—Rs.8,000 and minimum rent is Rs.10,000(when the short
working can be recouped in next two years only).
5. What
are the rules applicable in the absence of an agreement to the contrary among
the partners under Indian partnership Act, 1932?
6. A
partner makes drawings of Rs. 1,000 per month. What would be the amount of
interest @ 15% P.A if the drawing is made:
a. In
the beginning of every month:
b. At
the end of every month.
7. Preeti
,Mona and Nisha shares profits in the ratio of 3:2:1. The profits of the last three years were
Rs.1,40,000, Rs,84,000 and Rs, 1,06,00
respectively . These profits were shared equally among partners wrongly.
Pass the necessary journal entry to correct the error.
8. A
and B are partners in firm sharing profits in the ratio Rs, 5:3 They Admit c into partnership fir 3/10th
share in profits , which he takes 2/10th from a and B.C brings in cash 3,000 as premium in cash
out of his share of Rs. 7,800 Journalize.
9. A,B
and C are partners sharing profit& losses in ratio 5:4:3 C retires and his share is taken up by A & B in
ratio of 2:1 Calculate new profit sharing ratio.
10.
What is order of
payment at the time of dissolution of a partnership firm?
Section B
1. On 1.1.2011 X.
Television dealer, bought 5 television sets from Dolphin Television
company on hire purchases basis, The cash price of each of each set was
Rs.20,000. It was agreed that Rs.25,000 should be paid immediately and the
balance in three instalments of Rs.30,000 each at the end of each year. The
television company charges interest @10% p.a . The buyer depreciates television
sets at 20% p.a with the diminishing balance method. X paid cash down and two instalments but failed
to pay the last instalment. Consequently, the television company repossessed
three sets leaving two sets with the buyer and adjusting the value on the basis
of 30% deprecation P.a on the written down value. The sets repossessed were
sold by the television company for Rs,30,00 after necessary repairs amounting
to Rs. 5,000 on 30th June 2014.
Open the necessary
ledger accounts in the books of X.
2. The
following is the balance sheet of Rama Stores on 31st March,2013
|
Liabilities
|
Amount
|
Assets
|
Amount
|
|
Capital
|
10,00,000
|
Fixed assets
|
4,00,000
|
|
Trade creditors
|
1,40,000
|
Stock
|
3,00,00
|
|
Profit & loss A/c
|
60,000
|
Debtors
|
1,50,000
|
|
|
|
Cash at bank
|
3,50,000
|
|
Total
|
12,00,000
|
Total
|
12,00,000
|
The
management estimates the purchases and sales for the year 31st
March, 2014 as under:
|
|
Upto 28.02.2014
|
March 2014
|
|
Purchases
|
14,10,000
|
1,10,000
|
|
Sales
|
19,20,00
|
2,00,00
|
It was decided to
invest Rs. 1,00,000 in purchases of fixed assets, which are depreciated @ 10%
on cost. The time lag for payment to trade creditors for purchase and receipt
from sales is one month. The business earns a gross profit of 30% on turnover.
The expenses against gross profit amount to 10% of the turnover. The amount of depreciation is not included in
these expenses.
You are required to
draft a balance sheet as at 31st
March , 2014 assuming that creditors are all trade creditors for purchases and
debtors for sales and there is no other item of current assets and
liabilities apart from stock and cash
at bank balance .
3. Explain
the following:
a. Show
the treatment of “ Entrance fees” while preparing final accounts of a non –
trading firm
b. Distinguish
between normal loss and abnormal Loss.
4. Differentiate
between the following:
a. Fixed
and fluctuating Capital .
b. Dissolution
of partnership and Dissolution of partnership firm.
5. The
partners of a firm distributed the profits for the year ended 31st
march, 2014 Rs. 90,000 in the ratio of 3:2:1 without providing forth following
adjustments “
a. A
and C were entitled to a salary of Rs, 1.500 per annum.
b. B
was entitled to a commission Rs.45,00.
c. B
and C had guaranteed a minimum profit of Rs, 35,000 per annum top A.
d. Profit
was to be shared in the ratio of 3:3:2
Pass the
necessary journal entry for the above adjustments salon with the adjust
profits & losses account in the book
firm.
6. A,B
and C are equal partners of a trading firm. The capital of the firm is Rs.
60,000 held equally by the partners , the firm has taken out a policy of life
Assurance for Rs. 18,000 on the joint lives of an annual premium of Rs.1,000
debited to P & L A /c. Under the partnership deed:
i.
A and B were entitled
to be credited at the close, of each year with partnership salaries of each
year with partnership salaries of 1,800 and Rs.1,600 respectively.
ii.
In the event of death
of a partner, goodwill was to be valued at one year ;s the average profits of
the years preceding the year of death.
iii.
Partners were to be
charged 5% interest on their drawings and the same rate was to be allowed while
calculating interest on their capital irrespective of the period
B
dies on 31st December 2013. His drawings 2013 amounted to Rs. 2,000,
The profits of the three years preceding the were: 2010_RS. 2,000.
8,000:2011_rs. 24,400 and 2012_loss pf Rs.5,400. Profits for the year 2013 Rs.
9,000. Prepare B’s Executor’s A/c.
