DISTANCE EDUCATION
B.B.A. (Banking) DEGREE EXAMINATION,
DECEMBER 2017.
FINANCIAL ACCOUNTING
(2005 onwards)
Time Three hours Maximum 100 marks
SECTION A — x 8 40 marks)
Answer any FIVE questions.
1. What is a Journal? Explain the rules for journalizing
transactions.
2. Prepare trading account of Archana for the year ending
31.12.2015 from the following
Rs.
Opening stock 80,000
Purchases 8,60,000
Freight inward 52,000
Wages 24,000
Sales 14,40,000
Purchase returns 10,000
Sales returns 3,16,000
Closing stock 1,00,000
Import duty 30,000
3. Explain the different types of cash book.
Sub. Code
15
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4. How can an Avenge due date determined?
5. What is an entrance fee? How do you treat it in the Final
Accounts of a Non-Trading concern?
6. Explain goodwill treatment in the books of account on
admission of a new partner.
7. X Ltd invited application for 10,000 equity shares of
Rs. 10 each payable Rs. 3 on application Rs. 6 on
allotment (including Rs. 2 premium) and Rs. 3 on 1st and
final call. The issue was over subscribed by 1000 shares.
All sums due were received expect the call money on 500
shares which were forfeited. Pass entries.
8. What are Non- performing assets?
SECTION B — × 15 60 marks)
Answer any FOUR questions.
9. Prepare Three column cash book of Mrs. Eswari from the
following transactions and balance the cash book on 30th
June 2003.
2013 Rs.
June 1 Cash in hand 50,000
Bank overdraft 15,000
3Paid into bank 25,000
5Parthiban settled his account for Rs. 3,750 by
giving a cheque for 3,690
8Parthiban's cheque sent to bank for collection
10Cash withdrawn from bank 8,000
14Parthiban's cheque returned dishonoured
15Received from Ramesh a currency note for
Rs. 5,000 and gave him change for it
18Paid rent 500
20Bank charges as per pass book 150
30Deposited into bank all cash in excess of
Rs. 5,000
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10. Journalise the following in the books of Murugas and Co.
2015 Rs.
March 5 Sold on credit to Stitaram and Co 325
March 8 Purchased on credit from Hari 1,200
March 10 Purchased for cash from Mohan 300
March 15 Sold to Gopal Bros. on Credit 125
March 18 Returned to Hari 200
March 20 Purchased From Kassal and Co. 500
11. Explain the term Bills of Exchange and the treatment.
12. Distinguish between Receipts and Payments Account and
Income and Expenditure Account.
13. Following is the Balance Sheet of Ramu and Raghu as on
1.4.2014
Liabilities Rs. Assets Rs.
Ramu's capital 50,000 Sundry assets 80,000
Raghu's capital 40,000 Bank 10,000
Creditors 20,000 Goodwill 20,000
1,10,000 1,10,000
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Ramu and Raghu share profits and losses equally. Rasu
is admitted on 1.4.2014. He contributes Rs. 50,000 as his
capital but cannot bring any amount for goodwill which is
valued at Rs. 35,000. The new profit sharing ration is
3:2:2. Journalise and show Balance /sheet after Rasu's
admission.
14. X Ltd invited application for 10,000 equity shares of
Rs. 10 each payable Rs. 3 on application Rs. 6 on
allotment (including Rs. 2 premium) and Rs. 3 on 1st and
final call. The issue was over subscribed by 1000 shares,
All sums due were received expect the call money on 500
shares which were forfeited. Pass entries.
15. Give a proforma of profit and loss Account of Banking
company.