What is Financial Accounting? Describe its nature and scope.
What is ratio analysis? Explain the following ratios: Current ratio, Liquid ratio, Operating Ratio and Operating Profit ratio, Net profit ratio, Return on investment.
Distinguish between Stock and Inventory and explain with an example Economic Order Quantity.
Explain the nature and scope of Financial Accounting. What is the difference between Management Accounting and Financial Accounting?
Define financial management and write a note on the need of financial management.
Write short notes on any three of the following: Accounting Standards in India, Double Entry System, Break-even analysis, Cost of debt, Cash Management, Inventory Management.
Define Financial Accounting. Explain the nature and scope of Financial Accounting. Differentiate between Financial Accounting and Management Accounting.
Explain the concept and various components of working capital. What factors would you consider in planning the working capital requirements of a firm?
Based on the trading results provided, calculate P/V Ratio, Fixed Cost, Break-Even Point, profit for a given sales figure, and the sales needed for a desired profit.
Define Financial Accounting. Explain the nature and scope of Financial Accounting. Differentiate between Financial Accounting and Management Accounting.
Calculate the following based on the provided information: Break-Even Point in units, Sales volume to earn a specified profit, and additional units required to increase the profit by a given amount.
What is the relevance and significance of Cost of Capital? How can you determine the cost of equity capital in a growth firm?
What are the basic concepts of financial accounting? Explain their importance.
Prepare a flexible budget for the production at 80% and 100% activity based on the provided data regarding raw materials, direct labour, direct expenses, factory expenses, and administration expenses.
From the given balance sheets of X Ltd., propose a schedule of changes in working capital and a statement of flow of fund.
What is Voyage Account? Why is it prepared? How is profit ascertained in case of Incomplete Voyage?
From the following figures of Abdulla of Kanpur, prepare a Statement of Affairs and a Deficiency Account as at 31 March, 2017. Assume specified realizations for assets and details provided for liabilities.
Show the Machinery Account and B's Account in the books of A based on given hire-purchase agreement.
Explain the cost concept, revenue recognition concept, accounting period concept, conservation convention, and consistency convention.
Prepare the Trading and Profit & Loss Account for the year ended 31st March, 2016 and Balance Sheet as on that date taking into account the provided adjustments.
Write notes on capital gearing, debentures, cost of capital, and objectives of cash management.
Analyse transactions and determine the nature of accounts, specifying which account will be debited and which will be credited according to the traditional approach.
Describe the factors influencing the composition of working capital.
What is the need and significance of Depreciation? Differentiate, with suitable examples, between Straight Line Method and Diminishing Balance Methods of charging depreciation.
What are the objects of preparing a balance sheet? Distinguish between a balance sheet and a trial balance.
A Ltd. took loans from a Bank and deposited debentures as collateral security. Pass the necessary Journal entries and prepare Balance Sheet in the books of A Ltd.
What are the different types of the Cash Book? How is each one of these balanced?
Chandra Ltd. purchased a second-hand machine for Rs. 8,000 on 1st April, 2008. They spent Rs. 3,500 on its overhaul and installation. Depreciation is written off 10% p.a. on the original cost. On 30th June, 2011, the machine was found to be unsuitable and sold for Rs. 6,500. Prepare the Machinery Account from 2008 to 2011, assuming that accounts are closed on 31st December.
Ankit Ltd. issued 8,000 equity shares of Rs. 10 each, payable as Re. 1 on application, Rs. 3 on allotment, Rs. 2 on first call and the balance on final call. But Ranu, who holds 100 equity shares, did not pay first and final call amount on these shares and Subhash, who holds 60 shares, did not pay final call amount. All other amounts were duly received. Pass the necessary Journal entries in the books of the company.
What do you mean by Trial Balance? Explain the errors which are not disclosed by the Trial Balance.
Swati Ltd. whose books are closed on 31st Dec., purchased a machinery for Rs.50,000 on 1st Jan. 2002. Additional machinery was acquired for Rs. 10,000 on 1st July 2003 and for Rs. 16,000 on 1st January 2006. Certain machinery purchased for Rs. 10,000 on 1st July 2003 was sold for Rs. 5,000 on 30th June 2005. Show machinery account for 5 years writing off depreciation at 10% per year on written down value.
Define Goodwill. Explain the various methods of its valuation.
PLtd. acquired 75% of shares of A Ltd. on 31st Dec 2019 when the P & L a/c was 6000(Cr). Later on A Ltd. purchased all the shares of B Ltd. on 31st Dec 2020, when the profit of B Ltd. was 4,800(Cr). Prepare the consolidated balance sheet.
What do you mean by goodwill? Discuss in brief the various methods of valuation of goodwill.
A company went into voluntary liquidation. Rs. 3,50,000 were realized from its assets. It does not include that amount which is received by selling those securities, which are with secured creditors. Following was the position: Rs. Share capital: 1,000 shares of Rs. 100 each. Fully secured creditors (Rs. 40,000 were received on securities) 35,000 Preferential creditors 6,000 Unsecured creditors 1,40,000 Debentures having a floating charge on the assets of the company 2,50,000 Liquidation expenses: 5,000 Remuneration of liquidator 7,500. Prepare the final statement of account of liquidator.
What accounting entries are made in the books of Amalgamating company and Amalgamated company?
