File Details:

Questions:

1. Find Rahul's income for 2015-16 following the accrual basis of accounting.
2. Explain any three external users of financial information.
3. Explain capital expenditure and capital receipts with examples.
4. Explain the importance of cash flow statement to management.
5. Differentiate between equity shares and preference shares.
6. State the objectives of working capital management.
7. Explain Explicit Cost and Implicit Cost.
8. Describe various accounting conventions and concepts.
9. Prepare Trading and Profit and Loss Account for the year ended 31 March, 2016 and a balance sheet as at that date considering the given adjustments.
10. Calculate the Current Ratio, inventory turnover ratio, and working capital turnover ratio using the provided data.
11. Pass the necessary journal entries for the provided transactions, post them into ledger, and prepare Trial Balance using balance method.
12. Define capital structure and explain the factors determining capital structure.
13. Discuss the crucial areas in receivables management including credit policies, credit terms, and collection policies.
14. Calculate Economic Order Quantity (EOQ), number of orders per annum, and time between two consecutive orders using the given data.
15. Write short notes on debentures and factors influencing the composition of working capital.