Sunday, October 18, 2015

Dibrugarh University Question Paper: Advance Financial Accounting Nov' 2012

2012 (November)
Commerce (Speciality)
Course: 301
(Advance Financial Accounting)
Full Marks: 80
Pass Marks: 32
The figures in the margin indicate full marks for the questions.
1. (a) Choose the correct answer:                                             1x3=3
(i) Banking Companies are governed by the Banking Regulations Act, 1947/1948/1949.
(ii) The valuation balance sheet is prepared by the general insurance companies/the life insurance companies/ both general and life insurance companies.
(iii) Accounting for price level changes is popularly known as Inflation Accounting/Deflation Accounting.

(b) Fill in the blanks:                                        1x3=3
(i) In case of cum-interest, interest is _________ in the quoted price.
(ii) The Provincial Insolvency Act was enacted in the year ________________.
(iii) In case of Banking Companies Accounts, Contingent liabilities are shown under schedule __________.

(c) Write “True” or “False”:                                          1x2=2
(i) The investments which are made permanently for a regular income outside the business are known as trade investments.
(ii) Rebate in bills discounted is treated as a liability, if it is given in the trial balance.

2. Write brief answers (within 150 words):                                           4x4=16
(a) Explain the procedure of preparation of the valuation balance sheet.
(b) What are the lists to be prepared under the insolvency act?
(c) Explain clearly the accounting for price level changes under the CPP method.
(d) Distinguish cum-dividend and cum-interest from ex-dividend and ex-interest.

3. (a) From the following information relating to YES Bank Ltd,. Prepare a Profit and Loss Account for the year ended 31st March. 2012. Prepare under necessary schedules:                           12
Amount (In’000)
Interest/Discount on advances /bills
Income from investments
Interest from RBI
Commission, Exchange and brokerage
Profit on sale of investments
Depreciation on bank property
Director’s fees, allowance and expenses
Auditor’s fees and expenses
Legal Charges
Postage and Telegram
Interest on deposits
Interest to RBI
Payments to employees
Rent, Taxes and lighting
Printing and stationery
Advertisement and Publicity
Repairs and maintenance
Other Expenditure
Balance of Profit and Loss Account B/F
Following adjustments are to be made:
(i) Provide for Income tax (Including surcharge) @51.75%
(ii) Every year the bank transfers 20% of profit to statutory reserve and 5% of profit to revenue reserve
(iii) Dividends amounting to Rs. 10,00,000 for the year ended 31st march, 20123 are proposed by the board of directors
(b) Explain the following in respect to the Banking companies accounts:                             4x3=12
(i) Books maintained by a bank
(ii) Cash Credit and overdraft
(iii) Rebate on bills discounted

4. (a) The revenue account of life insurance corporation shows the life fund at Rs.40,94,250 as on 31st march, 2012 before taking into consideration the under mentioned items:
Consideration for annuities granted: 21,750
Agents allowance: 15,750
Reinsurance premium: 26,250
Bonus in reduction of premium: 15,000
Outstanding premium: 35, 250
Pass necessary journal entries regarding the above transactions and show the correct position of the life fund at the end of the year, 2011-12                                             11
(b) What is the life insurance revenue account? How do you prepare it?                                4+7=11
5. (a) Assets of Mr. K. Deka of Guwahati on 30th june, 2011 as shown by his books were Rs.28,000 and his liabilities were Rs.22,000. He filed his petition in the insolvency court and estimated his deficiency to be Rs. 15,000. After making the above estimate, he found that the following items were not passed through his books of accounts:
Interest @ 6% on his capital. a contingent liability of Rs.1,250 on bills discounted by him for Rs. 5,000. Amount due as wages – Rs.300; salary – Rs.200; Rent – Rs.100 and Taxes – Rs.150.
Prepare a statement of affairs and the deficiency account.                                          12
(b) Who are preferential creditors under the provincial insolvency act? Distinguish between statement of affairs and balance sheet.                                                  4+8=12
6. (a) On 1.1.2010, 6% 200 debentures of Rs.100 each of B Ltd. were held as investment by A Ltd. at a cost of Rs.18,200. Interest is payable on 31st December.
On 1.4.2010, Rs.4,000 of such debentures were purchased by A Ltd. @ Rs.98 each and on 1.1.2010, Rs.6,000 debentures were sold at Rs.96 ex-interest. On 1.12.2010, Rs. 8,000 debentures were sold @ Rs.99 cum-interest. On 31.12.2010, A Ltd. sold Rs. 10,000 debentures @ Rs.95 each.
Prepare investment account for 6% debentures of B. Ltd. in the books of A Ltd. Ignore income tax.         10
(b) Define the following:                                              5+5=10
(i) Jobbers and Brokers
(ii) Contango and Backwardation
7. (a) State the accounting principles to be followed while preparing inflation adjusted profit & loss account and inflation adjusted balance sheet.                                                               11

(b) Define Inflation Accounting. What are the limitations of Inflation Accounting?                             4+7=11


Absorption Costing (1) Accountancy (4) accounting for partnership firms (3) Accounting for Share Capital (3) accounts of non trading concern (3) advanced financial accounting (13) AHSEC (90) ahsec 11 (46) ahsec 12 (60) ahsec notes (89) AHSEC Question Papers (27) Assam Slet (10) bcfm (11) bills of exchange (6) branch accounting (3) Budgetary Control (3) Budgetary Control Notes (2) business communication (29) Business Environment Notes (7) business regulatory framewrok (47) Business Statistics Notes (23) cash flow statement (5) cbse 12 (19) cbse notes (27) commerce (13) company law (23) corporate accounting (33) corporate laws (14) cost accounting (62) cost and management accounting (34) cpt (36) cpt 200 (7) cpt notes (30) dibrugarh university (897) dibrugarh university notes (502) dibrugarh university question paper (288) dibrugarh university solved papers (197) dibrugarh university syllabus (47) direct tax law (49) eco - 01 (4) ECO - 02 (2) ECO - 03 (2) ECO - 05 (6) ECO - 06 (1) ECO - 07 (1) eco - 08 (4) eco - 09 (1) ECO - 10 (2) ECO - 11 (3) ECO - 12 (7) ECO - 13 (2) ECO - 14 (4) entrepreneurship (14) fianancial accounting (3) financial accounting (48) Financial Accounting Notes (11) financial management (18) Financial statements analysis (10) funds flow statement (3) guwahati university (305) guwahati university syllabus (54) Hire Purchase (5) Human Resource Management (14) icwai (38) icwai notes (39) ignou solved assignments (57) ignou solved question papers (63) income from house property (5) income from salary (4) Income Under the head Salaries (11) information technology (10) Installment Purchase (4) issue of shares (4) kkhsou (13) (63) Management Accounting Notes (25) MCQ (11) paper I (1) paper II (9) paper III (1) principle of business mangement (16) Principles of Marketing Notes (16) royalty accounts (3) sale of goods act (8) semester I (157) Semester II (135) semester III (64) semester IV (122) semester V (101) semester VI (66) slet (13) Slet Ne (10) Small Business Management (5) solved assignments (22) UGC - NET: Commerce (08) (14) UGC - NET: Commerce (08) Paper II (3) UGC - NET: Commerce (08) Paper III (14) ugcnet solved question papers (23) Variance Analysis Notes (1)