MGT101 Final Term Past Paper Spring 2005

MGT101 Financial Accounting · Final Term Examination – Spring 2005 · Time Allowed: 150 Minutes · INSTRUCTIONS:

The duration of this examination is 150 minutes. All questions are compulsory. This exam consists of 5 Multiple Choice Questions (MCQ's) carrying 2 marks each, 6 Short questions carrying 5 marks each and 2 Descriptive questions carrying 10 marks. You are required to show all the working of short questions as well as Descriptive questions. This examination is closed book, closed notes, closed neighbors.

The use of calculator is allowed. You may wish to pace yourself with your own watch, but the Supervisor will be the official timekeeper of the test. Failure to comply with the Supervisor's directions will result in your test being cancelled. Please comply with supervisor's directions to avoid any unpleasant event.

Q1. Total Questions: 13

Marks : 10

Q2. What is the difference between cash accounting and Accrual accounting?

Q3. Which is the best definition of Balance sheet?

Marks : 05 · Marks : 02 · o · o · o · o

An account proving the Book balances A record of closing entries A listing of balances A statement of Assets

Q4. What is meant by Subsidiary ledgers?

Marks : 05

Q5. What is meant by Prepaid expenses?

Q6. Depreciation is:

Marks : 05 · Marks : 02 · o · o · o · o

The amount spent to buy a fixed asset The salvage value of a fixed asset The part of the cost of the fixed asset consumed during its period of use by the firm The amount of money spent on replacing asset

Q7. What are the major components of a cash flow statement?

Q8. Marks : 05

Marks : 10

From the particulars given below, find out the balance, by means of a statement that would appear in the Pass Book as on 30th June, 2005.

1. Bank overdraft as per Pass book (Dr.) Rs. 1,660.
2. Amount deposited directly into bank by a debtor Rs. 200 in June but not recorded in Cash Book.
3. Interest on Overdraft Rs. 40 and the Bank charges Rs. 20 are debited in the Pass Book only.

4. Cheque deposited in June but credited by the bank in the month of

July, 2005 Rs. 800.

5. Cheque drawn in June but presented in the month of August, 2005 Rs. 20,000, Rs. 1,200 and Rs. 400.

Q9. Differentiate between Return Inwards and Return Outwards?

Q10. Which of the following is not a Cash flow in Cash flow statement?

Marks : 05 · Marks : 02 · o · o

A depreciation charge Dividend paid