#1
| |||
| |||
![]()
Can you please give me the Company Secretary Foundation previous year question papers as it is very urgent for me?
|
#2
| |||
| |||
![]()
As you want to get the Company Secretary Foundation previous year question papers so here is the information of the same for you: Company Secretary Foundation previous year question papers 1. Which one of the following is the oldest and simplest form of organisation ? (A) Functional organisation (B) Committee organisation (C) Line and staff organisation (D) Line organisation. 2. Which one of the following shows a big picture of what a company wants to achieve in future ? (A) Vision statement (B) Mission statement (C) Value statement (D) Quality statement. 3. Which among the following is one of the largest .Job providers. in India ? (A) Network marketing (B) Business process outsourcing (C) Medical tourism (D) Film industry. 4. Which one of the following is treated as a separate legal entity different from its members ? (A) Sole proprietorship (B) Hindu undivided family (C) Partnership (D) Limited liability partnership. 5. Value system of an organisation have an impact on its : I. Objectives II. Policies III. Practices IV. Profit The correct option is . (A) I and II only (B) I, II and III only (C) II, III and IV only (D) I, II III and IV. 6. Which one of the following is a great concern for E-COMMERCE ? (A) Speed (B) Quality (C) Security risk (D) Maintenance cost. 7. Why co-operative marketing society is formed ? (A) To protect the interest of general consumers (B) To sell the product of small farmers and producers (C) To protect the interest of small producers (D) To provide financial support to the members. PAPER.1 (Q. No. 1 to 50) BUSINESS ENVIRONMENT AND ENTREPRENEURSHIP PART.A BUSINESS ENVIRONMENT 8. The definition of Micro, Small and Medium Enterprises (MSMEs) in India is based on . (A) Total sales of the unit (B) Investment in machines and equipments (C) Market coverage (D) Export turnover. 9. Which one of the following is not a part of Porter's generic strategy ? (A) Focus (B) Cost leadership (C) Differentiation strategy (D) Market segmentation. 10. Which one of the following is not a part of 'marketing mix'? (A) Planning (B) Product (C) Price (D) Place. 11. The abbreviation .BIFR. with reference to sick companies in India means . (A) Board for Indian Financial Reserves (B) Board for Industrial and Financial Resources (C) Board for Industrial and Financial Reconstruction (D) Board for International Fund Reserves. 12. Which among the following are the key drivers of globalisation ? (A) Government action, exchange rates, competition and socio-demographic factors (B) Market convergence, competition, exchange rates and cost advantages (C) Cost advantages, government action, economic cycles and competition (D) Market, cost, competition and government policies. 13. In marketing, a distinctive group of consumers is known as . (A) A class (B) A segment (C) An emerging market (D) None of the above. 14. Which one of the following is a push factor influencing the internationalisation of a company ? (A) Difficulty in finding skilled staff in the home country (B) The need to be close to key resources (C) Low-cost labour in other countries (D) Financial incentives from governments in emerging markets. 15. Foundation of public enterprises in India was laid down by . (A) Indira Gandhi (B) Jawaharlal Nehru (C) Dr. Rajendra Prasad (D) Dr. S. Radhakrishnan. 16. What is the meaning of maxim ultra vires ? (A) An accomplished act (B) Within the powers (C) Beyond the powers (D) With the guilty mind. 17. Which kind of precedent from the following creates and applies a new rule of law ? (A) Declaratory (B) Persuasive (C) Absolutely authoritative (D) Original. 18. Notice for calling a statutory meeting of a company should be given within a period of not less than . (A) 21 clear days (B) 14 clear days (C) 7 clear days (D) None of the above. 19. In a company maximum time difference between two board meetings is . (A) 3 months (B) 4 months (C) 6 months (D) 5 months. 20. Which one of the following company must hold statutory meeting ? (A) Private company (B) Public company having share capital (C) Government company (D) Public company not having share capital. 21. In a company who conceives the idea of the business ? (A) Promoters (B) Auditors (C) Directors (D) Shareholders. 22. .Voidable. contract means . (A) Parties are incompetent to contract (B) Free consent of the parties is missing (C) Consideration is inadequate (D) The object of contract is expressly declared void by the act itself. 23. An agreement in restraint of marriage . (A) Is voidable at the option of the promisor (B) Is voidable at the option of the promisee (C) Is expressly declared as void (D) Cannot be enforced as there is no privity of contract. 24. For acceptance to be considered as valid it must . (A) Be absolute (B) Be unqualified (C) Be both absolute and unqualified (D) Be conditional. 25. A person whose behaviour arouses misunderstanding that he is a partner in the firm but actually he is not, is called . (A) Nominal partner (B) Dormant partner (C) Ostensible partner (D) Partner by estoppel. PART.B BUSINESS LAWS 26. Which one of the following cannot be claimed as a matter of right by a partner ? (A) To have access to books of account (B) To take part in the conduct of the business (C) To share the profits (D) To receive remuneration. 27. The phrase quantum meruit literally means . (A) As much as earned or reasonable remuneration (B) The fact in itself (C) A contract for sale (D) As much as is gained. 28. According to Section 25 of the Indian Partnership Act, 1932, the liability of a partner is . (A) Joint (B) Several (C) Joint and several (D) None of the above. 29. The relationship of partnership arises out of . (A) An Agreement (B) Statute (C) Operation of law (D) Both an agreement and statute. 30. A contract of sale of goods under Section 4 of the Sale of Goods Act, 1930 comprises of . (A) Executory contract of sale (B) Executed contract of sale (C) Both executory and executed contracts of sale (D) None of the above. 31. An unpaid seller of goods has a right . (A) Against the buyer only (B) Against both the buyer and the goods (C) Against the goods only (D) None of the above. 32. A bill of exchange contains a/an . (A) Unconditional undertaking (B) Unconditional order (C) Conditional undertaking (D) Conditional order. 33. Which one of the following is not an example of material alteration as per section 87 of the Negotiable Instruments Act, 1881 ? (A) Alteration of the date of instrument (B) Alteration of the sum payable (C) Alteration in the time of payment (D) Crossing of instrument. 34. A cheque is a . (A) Promissory note (B) Bill of exchange (C) Hundi (D) None of the above. 35. Who among the following is not a party to a cheque ? (A) The drawer (B) The acceptor (C) The drawee (D) The payee. 36. The word .Entrepreneur. has its origin from . (A) Latin word (B) French word (C) German word (D) Indian word. 37. Albert S. Humphery was the originator of . (A) SWOT Analysis (B) Industry Analysis (C) GE Model (D) BCG Matrix. 38. Components of creativity do not include . (A) Expertise (B) Creative thinking (C) Motivation (D) Self efficacy. 39. Which one of the following is correct about business plan ? (A) Business plan is necessary only for big companies (B) Business plan lays down the best growth path and strategy (C) Business plan is substitute for strategic planning (D) Business plan should emphasize on ideas and concept only. 40. Which one of the following is not a method of environmental scanning ? (A) SWOT Analysis (B) Industry Analysis (C) GE Model (D) PESTLE Analysis. 41. Who coined the statement ..sell dreams, not products.. ? (A) Joseph Schumpeter (B) Jacob Viner (C) Alfred Marshall (D) Steve Jobs. 42. Expansion into new line of business is . (A) Strength of the firm (B) Weakness of the firm (C) Opportunity of the firm (D) Threat of the firm. 43. According to the Porter's Five Forces Model, which one of the following is not a competitive force for a firm ? (A) Substitute products (B) Buyer's power (C) Supplier's power (D) Unique selling proposition. 44. Primary task for running a successful venture is . (A) Identification of opportunity (B) Developing a plan (C) Conceiving an idea (D) Arrangement of resources. PART.C ENTREPRENEURSHIP 45. ..What to achieve and till when.. is explained by _________ of an organization. (A) Objectives (B) Mission (C) Goal (D) Vision. 46. Which one of the following is not the characteristics of entreprenurship ? (A) Innovation (B) Organising skills (C) Indifferent approach (D) Risk taking. 47. Which one of the following is true about investment cost per job? (A) Investment costs per job are high in large and medium industries. (B) Investment costs per job are high in small scale enterprises. (C) Investment costs per job are high in micro enterprises. (D) Investment costs per job are higher in micro enterprises than small scale enterprises. 48. A company engaged in alcohol manufacturing merged with a cigarette manufacturing firm. What type of merger is this ? (A) Horizontal merger (B) Product extension merger (C) Market extension merger (D) Vertical merger. 49. In a business environment, which one of the following is not a political factor? (A) Tax policy (B) Employment laws (C) Environment regulations (D) Exchange rate. 50. Cantillon referred entrepreneurs as one of the classes of ________ who are financially independent aristocrat. (A) Landowners (B) Employees (C) Entrepreneurs (D) Investors. 51. The concept of 'zero base budgeting' was introduced in 1970 by . (A) Joseph L. Massie (B) Lester R. Bittel (C) Peter Pyhrr (D) Peter F. Drucker. 52. Functions of administration are . (A) Executive and governing (B) Policy making and implementation (C) Legislative and determinative (D) None of the above. 53. Which one of the following acronym did 'Luther Gulick' coin using initial letters of management's functions? (A) POSBRD (B) POSDBRD (C) POSDCORB (D) POCDSORB. 54. Mathematical approach to management is closely related to . (A) Empirical approach of management (B) Inter personal behaviour approach of management (C) Corporate approach of management (D) Decision theory approach of management. 55. Under ______ organization, there is a clear demarcation between thinking and doing. (A) Line and staff (B) Functional (C) Matrix (D) Project management. 56. Performance appraisal means systematic process of measuring and evaluation of _______ of each employee by a person trained for merit rating. (A) Personality/Performance (B) Intelligence (C) Mental health/vigour (D) Participation. 57. Ranking Method of performance appraisal can conventionally be applied when the number of employees is . (A) Large (B) Small (C) Both (A) and (B) above (D) None of the above. 58. Who among the following suggested the method of goal setting approach for performance appraisal which is also called 'Management by Objectives' ? (A) Peter F. Drucker (B) Douglas McGregor (C) Newmann and Summer (D) Henri Fayol. 59. Which one of the following is called the Siamese twins of management? (A) Planning and organizing (B) Co-ordination and co-operation (C) Directing and controlling (D) Planning and controlling. PAPER.2 (Q. No. 51 to 100) BUSINESS MANAGEMENT, ETHICS AND COMMUNICATION (This Question Paper is supplied in English Medium only) PART.A BUSINESS MANAGEMENT 60. Which one of the following control techniques provides basis for collective actions to be taken to improve future performance? (A) Internal audit (B) Standard costing (C) Break-even analysis (D) Statistical control. 61. Which one of the following involves assessing potential threats and finding ways to avoid those threats? (A) Crisis management (B) Total quality management (C) Administrative management (D) Risk management. 62. The traditional control techniques are . (A) Budgetary control and CPM (B) PERT and CPM (C) Zero base budgeting and management audit (D) Budgetary control and standard costing. 63. Premises signify ___________ within which planning will take place. (A) Planning assumptions (B) Planning deviations (C) Planning resources (D) None of the above. 64. The fundamental assumption of ________ is that full advantage of employee potential can be utilised by motivating them to accept organizational objectives. (A) Theory-X (B) Equity theory (C) Monistic theory (D) Theory-Y. 65. While appraising performance of people, it is assumed that people usually differ in . (A) Their tasks (B) Their behaviour (C) Their abilities and aptitude (D) Their ways of actions. 66. How many principles of management have been suggested by Henri Fayol? (A) 10 (B) 14 (C) 12 (D) 16. 67. Entrepreneur's role of a disturbance handler, allocator of resources and negotiator's role are ______ roles that the manager has to perform. (A) Interpersonal (B) Decisional (C) International (D) None of the above. 68. According to decision theory approach, which one of the following is the core of management? (A) Leadership (B) Decision-making (C) Motivation (D) Planning. 69. Management is an art because it involves use of . (A) Experience and intelligence (B) Creativity and personalization (C) Skills and knowhow (D) None of the above. 70. Which one of the following is the first and primary step in the planning process? (A) Premising (B) Determining alternative courses (C) Evaluating alternatives (D) Establishing objectives. PART.B BUSINESS ETHICS 71. The idea of business ethics caught the attention of academics, media and business firms by the end of . (A) First World War (B) Second World War (C) Cold war (D) None of the above. 72. Providing information to law enforcement or regulatory agencies about a business' illegal or improper activities by its employees. is known as . (A) Ethical wrong (B) Whistle blowing (C) Ethical dilemma (D) Ethical wonder. 73. Which one of the following is not correct about business ethics? (A) Business ethics is a universal and absolute concept (B) Business ethics is based on well accepted moral and social values (C) Business ethics is a code of conduct which businessmen should follow while conducting their normal activities (D) Business ethics give protection to customers and other social groups related to a firm. 74. To be successful, business ethics and training program need to . (A) Be focused on personal opinion of employees (B) Be limited to higher management (C) Educate employees on formal ethical frameworks and models of ethical decision-making (D) Promote the use of emotions in making tough ethical decisions. 75. When a firm charges different prices from different groups of customers, it may be accused of . (A) Cultural relativism (B) Money laundering (C) Facilitating payments (D) Price discrimination. 76. Codes of conduct and codes of ethics . (A) Are formal statements that describe what an organisation expects of its employees (B) Become necessary only after a company has been in legal trouble (C) Are designed for top executives and managers and not for regular employees (D) Rarely become an effective component of the ethics and compliance program. 77. Which one of the following is not the primary elements of a strong organisational compliance program? (A) A written code of conduct (B) An ethics officer (C) Significant financial expenditures (D) A formal ethics training program. 78. Businesses must first be responsible to . (A) Employees (B) Customers (C) Owners (D) Bankers. 79. The Sarbanes.Oxley Act, 2002 was enacted and passed in USA to . (A) Punish those who committed accounting frauds in the late 1990s (B) Improve corporate profits (C) Help laid-off employees get their jobs back (D) Help restore confidence in corporate America. 80. Most companies begin the process of establishing organisational ethics programs by developing . (A) Ethics training programmes (B) Codes of conduct (C) Ethics enforcement mechanisms (D) Hidden agendas. 81. Communication by the CEO of the organisation to the purchase officer is an example of . (A) Upward communication (B) Downward communication (C) Horizontal communication (D) Informal communication. 82. Which one of the following is grammatically correct? (A) I bought three dozens bananas (B) I bought three dozen bananas (C) I bought three dozens banana (D) I bought three dozen banana. 83. Don't worry we are prepared __________ anything. Which one of the following is the correct preposition to fill-in the blank space ? (A) By (B) From (C) To (D) For. 84. Which one of the following serves as a road map for the meeting? (A) Addendum to the notice (B) Agenda (C) Quorum (D) Notice. 85. Crosswise communication is also known as ___________ communication. (A) Vertical (B) Horizontal (C) Diagonal (D) None of the above. 86. If you want to reduce miscommunication, you should : (X) Start assuming (Y) Talk to people (Z) Improve your working environment The correct option is . (A) (X) and (Y) (B) (Y) and (Z) (C) (X) and (Z) (D) All of the above. 87. Which one of the following method is used frequently by an organisation to decide its strategic goals? (A) Group discussion (B) Brain storming (C) Interview (D) None of the above. 88. Which one of the following is not true about a job interview? (A) In a job interview, one needs to study about the job, the company and industry (B) Memorise and rehearse the answers to the probable questions in the interview (C) Reach at the interview venue about 10-15 minutes early (D) Bring an extra copy of resume at the time of interview. PART.C COMMUNICATION 89. Which one of the following is not a barrier to communication? (A) Incorrect choice of medium (B) Difference in status (C) Trust level (D) Open communication channel. 90. A remedy for all diseases or difficulties is called . (A) Panacea (B) Concrete (C) Numismatics (D) Philistine. 91. Ram scored overall 99% marks. No other students of his class could do this. On the basis of his performance we may say — (A) Ram is an intelligent student of his class (B) Ram is more intelligent student in his class (C) Ram is the most intelligent student of his class (D) Ram is one of the more intelligent boys of his class. 92. The quality of expressing much in few words is known as — (A) Exigency (B) Brevity (C) Apprises (D) None of the above. 93. The place where an aeroplane is housed is known as — (A) Shed (B) Yard (C) Cold storage (D) Hangar. 94. A person who seeks to promote the welfare of poor by donating money is known as — (A) Benefactor (B) Philanthropist (C) Collaborator (D) Ornithologist. 95. The Latin phrase mutatis mutandis stands for — (A) With the necessary changes (B) A way of doing something (C) A deadlock (D) Privilege entails responsibility. 96. The term 'subjudice' means . (A) Not to be considered by judiciary (B) Under judicial consideration (C) Prohibited by law (D) None of the above. 97. Which one of the following is correct about office notes? (i) Office notes are a form of internal communication between two different departments (ii) Office notes are put up by sections or departments to higher authorities (iii) The actual layout of the office note is same for all the companies The correct option is . (A) (i) and (ii) only (B) (ii) and (iii) only (C) (i) and (iii) only (D) All of the above. 98. Match the parts of communication process to their respective definition : 1. Receiver (i) It decodes the message to determine the meaning of the message sent 2. Feedback (ii) An idea or an argument initially originates from here. 3. Medium (iii) After this process one cycle of interpersonal communication is completed. 4. Sender (iv) It may be in the form of a letter or report, fax or telegram, telephone or email The correct option is . (A) 1(i), 2(iii), 3(iv), 4(ii) (B) 1(iii), 2(i), 3(iv), 4(ii) (C) 1(iv), 2(iii), 3(i), 4(ii) (D) 1(ii), 2(i), 3(iv), 4(iii). Contact Details: The Institute Of Company Secretaries Of India ICSI House, Plot No.22, Lodi Road, Institutional Area, New Delhi, Delhi 110003, 011 4150 4444 India Map Location:
__________________ Answered By StudyChaCha Member Last edited by AdityaV; February 16th, 2015 at 12:29 PM. |
#3
| |||
| |||
![]()
As you want to get Company Secretary Foundation previous year question paper so here I am giving you some questions of that paper: Cash purchases are made of goods at the list price of `40,000 at a trade discount @ 5% and a cash discount @ 2%; cash payable is — (a) `40,000 (b) `38,000 (c) `37,240 (d) `38,800. At the end of an accounting year, total debtors are `1,00,000. Provision for bad debts and for discount on debtors are made @ 5% and 2% respectively. The amount of provision for discount on debtors will be — (a) `2,000 (b) `5,000 (c) `1,900 (d) `1,950. The primary record of a credit purchase of a fixed asset is made in — (a) Cash book (b) Sales book (c) Purchases book (d) Journal proper. A firm took an insurance policy against fire for `50,000. The policy contained an average clause. A fire occurred. On the date of fire, goods costing `75,000 were available in the stores. Goods salvaged totalled `15,000. The insurance company will admit a claim for — (a) `75,000 (b) `60,000 (c) `50,000 (d) `40,000. Closing stock is shown in the trial balance. When preparing the final accounts of a business concern, the closing stock is shown — (a) Only on the assets side of balance sheet (b) Only on the credit side of trading account (c) On the credit side of trading account as well as on the assets side of balance sheet (d) Nowhere. Company Secretary Foundation Question Papers 1. (a) Explain any two of the following : (i) Financial statements (ii) Petty cash book (iii) Cash system of accounting. (5 marks each) (b) State, with reasons in brief, whether the following statements are true or false : (i) A bank reconciliation statement is prepared at the end of an accounting period only. (ii) At the time of receiving the goods, the consignee treats the consignor as a creditor. (iii) Trade discount is not recorded in the books of account. (iv) Interest on capital and salary to proprietor are incomes and hence are shown on the credit side of profit and loss account of the proprietary firm. (v) If the date of payment of a bill after taking into account the days of grace falls on a holiday, the payment of the bill is to be made on the following working day. (2 marks each) 2. (a) Re-write the following sentences after filling-in the blank spaces with appropriate word(s)/figure(s) : (i) When the bank column of the columnar cash book shows a credit balance, it means that there is a bank ____________. (ii) Acceptance of a bill of exchange is an acknowledgement of ____________. (iii) ____________ account is prepared at the time of dissolution of a firm. (iv) Real account usually shows a ____________ balance. (v) When goods are returned to a supplier, a ____________ note is sent to him. FINANCIAL ACCOUNTING (vi) Joint venture account is a ____________ account prepared to find out profit or loss of the joint venture. (vii) ____________ is the amount which a non-trading concern receives as per the will of a deceased person. (viii) Promissory note contains an unconditional ____________ to pay a certain sum of money to a certain person or to his order after the specified period of time. (1 mark each) (b) Distinguish between any two of the following : (i) ‘Reserve’ and ‘provision’. (ii) ‘Bill of exchange’ and ‘promissory note’. (iii) ‘Sale’ and ‘consignment’. (4 marks each) 3. (a) Write the most appropriate answer from the given options in respect of the following : (i) For a non-trading concern, subscription received in advance is — (a) An income (b) An expense (c) An asset (d) A liability. (ii) A manager is entitled to a commission @ 5% on profits before deducting such commission. In an accounting year, gross profit is `96,000 while selling and office expenses, other than commission to manager, totalled `12,000. Manager’s commission for the year will be — (a) `4,000 (b) `4,200 (c) `4,800 (d) `4,562. (iii) If an amount written off as a bad debt is recovered subsequently, it will be — (a) Debited to the debtor’s personal account (b) Credited to the debtor’s personal account (c) Debited to bad debts recovered account (d) Credited to bad debts recovered account. 153/2 (iv) Cash purchases are made of goods at the list price of `40,000 at a trade discount @ 5% and a cash discount @ 2%; cash payable is — (a) `40,000 (b) `38,000 (c) `37,240 (d) `38,800. (v) At the end of an accounting year, total debtors are `1,00,000. Provision for bad debts and for discount on debtors are made @ 5% and 2% respectively. The amount of provision for discount on debtors will be — (a) `2,000 (b) `5,000 (c) `1,900 (d) `1,950. (vi) The primary record of a credit purchase of a fixed asset is made in — (a) Cash book (b) Sales book (c) Purchases book (d) Journal proper. (vii) A firm took an insurance policy against fire for `50,000. The policy contained an average clause. A fire occurred. On the date of fire, goods costing `75,000 were available in the stores. Goods salvaged totalled `15,000. The insurance company will admit a claim for — (a) `75,000 (b) `60,000 (c) `50,000 (d) `40,000. (viii) Closing stock is shown in the trial balance. When preparing the final accounts of a business concern, the closing stock is shown — (a) Only on the assets side of balance sheet (b) Only on the credit side of trading account (c) On the credit side of trading account as well as on the assets side of balance sheet (d) Nowhere. (1 mark each) (b) Explain any two of the following statements : (i) No transaction can break the accounting equation. (ii) Receipts and payments account is a summary of cash book. (iii) Columnar cash book is a combination of cash account and bank account. (4 marks each) 4. A, B and C were equal partners. The following was their balance sheet as on 31st March, 2012 : Liabilities ` Assets ` Sundry creditors 1,20,000 Cash 12,000 Bills payable 66,000 Sundry debtors 2,16,000 Capital accounts : Stock 2,28,000 ` Furniture 48,000 A 3,36,000 Buildings 3,90,000 B 2,52,000 C 1,20,000 7,08,000 8,94,000 8,94,000 They agreed to take D into partnership with effect from 1st April, 2012 on the following terms : (i) D will be given one-fourth share in future profits. (ii) D to bring in cash `2,00,000 as capital and `1,80,000 as share in goodwill, the entire amount of `3,80,000 be credited to D’s capital account and no goodwill account be raised. (iii) Old partners to withdraw in cash one-half of their shares of goodwill. (iv) Stock and furniture be depreciated by 10%. (v) A provision of 5% on sundry debtors be made for doubtful debts. (vi) Value of buildings be raised to `4,50,000. (vii) Amount of sundry creditors be reduced by `6,000 as this amount is not payable by the firm. Prepare revaluation account and all the partners’ capital accounts. Also draw the initial balance sheet of the new firm as on 1st April, 2012. (16 marks) 5. (a) Ravi and Kavi entered into a joint venture to purchase and sell new year gift items. They agreed to share the profits and losses equally. On 4th November, 2011, Ravi purchased goods worth `2,00,000 and spent `12,000 in sending the goods to Kavi. He also paid `4,000 for insurance. On the same date, Ravi drew a bill of exchange upon Kavi for `2,00,000 at 2 months. On 7th November, 2011, he got the bill discounted at 18% per annum. Kavi spent `6,000 on cartage, `10,000 as rent and `10,000 on advertisement. He sold all the gift items for `4,00,000 after retaining gift items worth `4,000 for his personal use. He sent a cheque to Ravi for the amount due on 8th January, 2012. You are required to prepare — (i) memorandum joint venture account; and (ii) joint venture with Kavi account in the books of Ravi. (8 marks) (b) While preparing a trial balance, an accountant found a difference of `1,980. The difference was placed on the credit side of a newly opened suspense account. Later on, the following errors were discovered : (i) Sales amounting to `600 were posted to purchases account. (ii) Goods were sold to Raman for `3,300 and to Mohan for `4,500. But they were recorded in sales book as sales to Raman `4,500 and to Mohan `3,300. (iii) Goods returned by Mohan worth `2,520 were recorded in the sales book. (iv) An amount of `1,500 spent on repairs of old plant purchased stood debited to repairs account. (v) Goods returned to Krishna worth `1,590 were recorded in the purchases book. However, the account of Krishna was correctly debited. (vi) Ashok owed us `1,200, but by mistake the amount was included in creditors. Rectify the abovementioned errors by passing journal entries and prepare the suspense account. (8 marks) 6. Avdesh commenced business on 1st April, 2011 with a capital of `9,00,000. He immediately purchased furniture of `4,80,000. During the year, he received from his uncle a gift of `60,000 and he borrowed from his father a sum of `1,00,000. He had withdrawn `12,000 per month for his personal expenses. Avdesh did not maintain any books of account. However, the following information is available : `’000 Sales (including cash sales of `6,00,000) 2,000 Purchases (including cash purchases of `2,00,000) 1,500 Carriage inwards 14 Wages 6 Discount allowed to debtors 24 Salaries 124 Bad debts written off 22 Trade expenses 24 Advertisements 44 He used goods worth `26,000 for his personal use and paid `10,000 to his son for examination and college fees. On 31st March, 2012, his debtors were `4,20,000 and creditors were `3,00,000, stock in trade was valued at `2,00,000. Furniture was to be depreciated @ 10% per annum. Prepare the trading and profit and loss account for the year ended on 31st March, 2012. (16 marks) 7. (a) On 30th June, 2011, an accidental fire destroyed a major part of the stocks in the godowns of Viki Associates. Stock costing `30,000 could be salvaged but not their store ledgers. A fire insurance policy with an average clause was in force under which the sum insured was `3,50,000. From available records, the following information was made available : (i) Total sales invoices during the period April, 2011 to June, 2011 amounted to `30,20,000. An analysis showed that goods of the value of `3,00,000 had been returned by the customers before the date of fire. (ii) Opening stock as on 1st April, 2011 was `2,20,000 including stocks of the value of `20,000 being lower of cost and net value subsequently realised. (iii) Purchases between 1st April, 2011 and 30th June, 2011 were `21,00,000. (iv) Normal gross profit rate was 33 3 1 % on sales. (v) A sum of `30,000 was incurred by way of the fire fighting expenses on the date of fire. Prepare a statement showing the insurance claim recoverable. (8 marks) (b) On 31st December, 2011, the debit bank balance according to cash book of a trader was `6,000. On comparison with the pass book, the following information was gathered : (i) A cheque for `5,000 deposited with the bank on 28th December, 2011 was credited in pass book on 2nd January, 2012. (ii) On 29th December, 2011, a cheque for `3,000 was issued to a supplier. The cheque was presented to bank for payment on 3rd January, 2012. (iii) Insurance premium of `4,000 was paid by bank, but not yet recorded in the cash book. (iv) A cheque of `3,000 received from Ramesh was entered in the bank column of the cash book, but was omitted to be deposited in the bank. (v) Bank charges of `100 were not shown in cash book. (vi) Bank interest allowed by bank, `150 had not been entered in cash book. Prepare the bank reconciliation statement as on 31st December, 2011. (8 marks) 8. (a) SPL Ltd., which depreciates its machinery @ 10% per annum according to diminishing balance method, had on 1st April, 2011 a balance of `9,72,000 in its plant and machinery account. During the year ended 31st March, 2012, the plant and machinery purchased on 1st April, 2009 for `1,20,000 was sold for `80,000 on 1st October, 2011 and a new machinery costing `1,40,000 was purchased and installed on the same date; installation charges being `10,000. The company wants to change its method of depreciation from diminishing balance method to straight line method with effect from 1st April, 2009 and adjust the difference before 31st March, 2012, the rate of depreciation remaining the same as before. Show the machinery account for the year ended 31st March, 2012. (b) Calculate the amount of stationery used for the accounting year ended 31st March, 2012 : ` Stock of stationery on 1st April, 2011 6,000 Creditors for stationery on 1st April, 2011 4,000 Advance paid for stationery, brought forward from the year ended 31st March, 2011 400 Amount paid for stationery during the accounting year ended 31st March, 2012 21,600 Stock of stationery on 31st March, 2012 1,000 Creditors for stationery on 31st March, 2012 2,600 Advance paid for stationery as on 31st March, 2012 2,600
__________________ Answered By StudyChaCha Member |