This document contains sample accounting problems and questions related to financial and management accounting. It includes questions about analyzing transactions, detecting and correcting errors in a trial balance, preparing adjusted trial balances, analyzing trends using financial ratios, explaining cash flow analysis and preparing cash flow statements, and differentiating between absorption and marginal costing methods.
This document contains sample accounting problems and questions related to financial and management accounting. It includes questions about analyzing transactions, detecting and correcting errors in a trial balance, preparing adjusted trial balances, analyzing trends using financial ratios, explaining cash flow analysis and preparing cash flow statements, and differentiating between absorption and marginal costing methods.
This document contains sample accounting problems and questions related to financial and management accounting. It includes questions about analyzing transactions, detecting and correcting errors in a trial balance, preparing adjusted trial balances, analyzing trends using financial ratios, explaining cash flow analysis and preparing cash flow statements, and differentiating between absorption and marginal costing methods.
This document contains sample accounting problems and questions related to financial and management accounting. It includes questions about analyzing transactions, detecting and correcting errors in a trial balance, preparing adjusted trial balances, analyzing trends using financial ratios, explaining cash flow analysis and preparing cash flow statements, and differentiating between absorption and marginal costing methods.
Download as DOCX, PDF, TXT or read online from Scribd
Download as docx, pdf, or txt
You are on page 1/ 4
MB0041 FINANCIAL AND MANAGEMENT ACCOUNTING
1 Analyze the following transaction under traditional approach. 18.1.2011 Received a cheque from a customer, Sanjay at 5 p.m. Rs.20,000 19.1.2011 Paid Ramu by cheque Rs.1,50,000 20.1.2011 Paid salary Rs. 30,000 20.1.2011 Paid rent by cheque Rs. 8,000 21.1.2011 Goods withdrawn for personal use Rs. 5,000 25.1.2011 Paid an advance to suppliers of goods Rs. 1,00,000 26.1.2011 Received an advance from customers Rs. 3,00,000 31.1.2011 Paid interest on loan Rs. 5,000 31.1.2011 Paid instalment of loan Rs. 25,000 31.1.2011 Interest allowed by bank Rs. 8,000
Analysis of transaction with accounts involved-nature of account-affects
and debit/credit
Solved SMU Assignment and Project
Contact: [email protected] Ph: +91 - 9873669404 2 The trial balance of Nilgiris Co Ltd., as taken on 31st December, 2002 did not tally and the difference was carried to suspense account. The following errors were detected subsequently. a) Sales book total for November was under cast by Rs. 1200.
b) Purchase of new equipment costing Rs. 9475 has been posted to
Purchases a/c. c) Discount received Rs.1250 and discount allowed Rs. 850 in September 2002 have been posted to wrong sides of discount account. d) A cheque received from Mr. Longford for Rs. 1500 for goods sold to him on credit earlier, though entered correctly in the cash book has been posted in his account as Rs. 1050. e) Stocks worth Rs. 255 taken for use by Mr Dayananda, the Managing Director, have been entered in sales day book. f) While carrying forward, the total in Returns Inwards Book has been taken as Rs. 674 instead of Rs. 647. g) An amount paid to cashier, Mr. Ramachandra, Rs. 775 as salary for the month of November has been debited to his personal account as Rs. 757. Pass journal entries and draw up the suspense account.
Journal entries of all the transactions
Suspense account with Conclusion
3 From the given trial balance draft an Adjusted Trial Balance
Adjustments: 1. Charge depreciation at 10% on Buildings and Furniture and fittings. 2. Write off further bad debts 1000 3. Taxes and Insurance prepaid 2000 4. Outstanding salaries 5000 5. Commission received in advance1000 Preparation of ledger accounts Preparation of trial balance
4 Compute trend ratios and comment on the financial performance of Infosys Technologies Ltd. from the following extract of its income statements of five years.
Preparation of trend analysis
Preparation of trend ratios Conclusion
5 Give the meaning of cash flow analysis and put down the objectives of cash flow analysis. Explain the preparation of cash flow statement. Meaning of cash flow analysis Objectives of cash flow analysis Explanation of preparation of cash flow analysis
6 Write the assumptions of marginal costing. Differentiate between absorption costing and marginal costing. Assumptions of marginal costing (all 7 points) Differences of marginal and absorption costing (Includes all 8 points)
