Mgt101 Fall 2011 Final Term Feb 2012 – VU Current Paper – 08 Feb 2012

Q7) You are given the following data relating to a public limited company: Indirect expenses, Rs. 70,000; interest expense Rs. 30,000; other income, Rs.

5,000; and net profit Rs. 140,500. Required: Prepare a profit and loss account for the company to find out the gross profit.
Q6) For the year ended December 31, 2007. ABC Company reported a Net Income of Rs. 84,000. The opening and closing balances of company’s Current assets and

Current liabilities were as follow:
December 31
Current Assets: 2007 2006
Rs. Rs.
· Cash 60,000 80,000
· Accounts receivable 250,000 190,000
· Inventory 437,000 360,000
Current liabilities:
· Accounts payable 420,000 390,000
· Accrued liabilities 8,000 12,000

Required:
Determine the cash provided by Operating activities for the year if the depreciation charges were Rs. 50,000 during the year.
Q5) Calculate Net income with the help of given date for the year ended 2007 and show complete working.

Raw material Stocks on 1-1-2007
Rs. 30,000
Work in process on 1-1-2007
35,600
Finished Goods on 1-1-2007
35,400
Raw material Stocks 31-12-2007
Rs. 31,000
Work in process 31-12-2007
25,000
Finished Goods 31-12-2007
53,900
Cost of goods manufactured
543,339
Additional data
· Other expenses for the year Rs. 5,000.
· Operating expenses for the year Rs. 15,000
Sale for the year Rs. 1,500,000

Q4) Briefly discuss the followings: 1. Issuance of shares at premium 2. Cash flow statement 3. Debentures Notes to the accounts
Q3) if:
· Retain earning at the beginning Rs. 1,000
· Dividend paid 500
· Retain earning at the end 2,500

Then:
You are required to prepare statement of Retain earnings to find the amount of Net income
Q2) Differentiate between the issuance of shares at premium and issuance of shares at discount
Q1) On January 31st the finished goods Inventory of XYZ Company was Rs 500,000. During the year, manual Cost of goods manufactured was Rs. 1,900,000, sales

were Rs. 2,000,000 and Gross profit is 25% of sales.
Required:
Calculate the cost of opening finished goods inventory.

Q7) You are given the following data relating to a public limited company:

Indirect expenses, Rs. 70,000; interest expense Rs. 30,000; other income, Rs. 5,000; and net profit Rs. 140,500.

Required:
Prepare a profit and loss account for the company to find out the gross profit.
Q6) For the year ended December 31, 2007. ABC Company reported a Net Income of Rs. 84,000. The opening and closing balances of company’s Current assets and

Current liabilities were as follow:
December 31
Current Assets: 2007 2006
Rs. Rs.

Cash 60,000 80,000
Accounts receivable 250,000 190,000
Inventory 437,000 360,000
Current liabilities:

Accounts payable 420,000 390,000
Accrued liabilities 8,000 12,000

Required:
Determine the cash provided by Operating activities for the year if the depreciation charges were Rs. 50,000 during the year.
Q5) Calculate Net income with the help of given date for the year ended 2007 and show complete working.

Raw material Stocks on 1-1-2007 Rs. 30,000
Work in process on 1-1-2007 35,600
Finished Goods on 1-1-2007 35,400

Raw material Stocks 31-12-2007 Rs. 31,000
Work in process 31-12-2007 25,000
Finished Goods 31-12-2007 53,900
Cost of goods manufactured 543,339
Additional data

Other expenses for the year Rs. 5,000.
Operating expenses for the year Rs. 15,000
Sale for the year Rs. 1,500,000

Q4) Briefly discuss the followings:

Issuance of shares at premium
Cash flow statement
Debentures
Notes to the accounts
Q3) if:

Retain earning at the beginning Rs. 1,000
Dividend paid 500
Retain earning at the end 2,500

Then:
You are required to prepare statement of Retain earnings to find the amount of Net income
Q2) Differentiate between the issuance of shares at premium and issuance of shares at discount
Q1) On January 31st the finished goods Inventory of XYZ Company was Rs 500,000. During the year, manual Cost of goods manufactured was Rs. 1,900,000, sales

were Rs. 2,000,000 and Gross profit is 25% of sales.
Required:
Calculate the cost of opening finished goods inventory.

 

DOWNLOAD SOLUTION HERE
loading...