Unique Paper Code 206
Revised 0 of 15

Financial AccountingDecember 2022

B.Com (Hons) · 5 questions

Duration: 3 HoursMaximum Marks: 90

Reworded by Kunji from the printed paper. The original paper belongs to the University of Delhi. See DU's question bank.

Before you start

  1. Most asked here. Branch accounts (11 papers), Not-for-profit organisations (10 papers), Inventory valuation and AS 2 (10 papers). These come back almost every year, so learn them first. The asked N× note beside each part counts the DU papers that set its topic.
  2. Pace. Two minutes a mark: about 36 minutes for each 18-mark question, with nothing spare in 3 hours. Pick your side of each OR before you start writing.
  3. Keep score. Every part opens a worked answer checked against the books. Turn the key when you have revised it; the boxes at the top fill in, on this device.

1.

18 marks
· ~36 min
(a)True/False with reasonsasked 8×Attempt any six: state, with reasons, whether each statement below is true or false. (i) Accounting performs just one function, i.e. the maintenance of systematic accounting records. (ii) Expense incurred for keeping…(9)
(b)Short notes: prior period items; money measurement conceptasked 4×Write short notes on any two of these : (i) Items of Prior Period (ii) Money measurement concept (iii) As per Ind AS10, "Event Occurring after Balance Reporting Period" (4.5×2)(9)

2.

18 marks
· ~36 min
(a)Plant, Accumulated Depreciation and Disposal Accounts (change of method)asked 10×On 1st January 2019, a new plant was purchased by Ms. Kavita Rao for ₹ 3,00,000 and a further sum of ₹ 20,000 was spent on its installation. On 1st July 2020, a new plant was purchased for ₹ 1,60,000. On 15th September,…(12)
(b)Closing inventory: group method and item-by-item methodasked 10×Neelkanth Ltd gives you these details of its inventory for the year 2023-24. By (a) Group method; (b) Item by item method, find out the value of the closing inventory:(6)
OR
(a)PPE; impairment loss; features of AS-2asked 10×Briefly explain the following : (i) What Property, Plant and Equipment means (ii) Impairment Loss as per AS 26 (iii) The features of AS 2(12)
(b)FIFO: closing inventory, cost of goods sold and profit for a monthasked 10×Kaveri Fuels is a leading petrol distributor. When the books are closed at the end of each month, a detail inventory of petrol is taken. At the end of month this information is available : Closing inventory 1.30 lakh…(6)

3.

18 marks
· ~36 min
(a)NPO restaurant: Trading Account with I&E and Balance Sheet extractsasked 10×Shimla Golf Club gives you the information below about its restaurant for the year ended 31st March, 2024 : For the year ended 2023-24, prepare the Restaurant Trading A/c and show the extract of the Income and…(6)
(b)NPO: sports materials consumed and their presentationasked 10×An NPO gives the information below for the year ended 31st March, 2024. Based on this information, calculate the amount of stationary consumed and present the items within the NPO's financial statements for the year…(6)
(c)NPO: subscription income and its presentationasked 10×The following information was obtained from the Secretary of the Jolly Riders Club: Prepare : (i) a statement/account that shows the Subscriptions income for the year ended 31.3.2024 and (ii) show how the relevant items…(6)
OR
Final accounts of a sole proprietor from a trial balance with GSTasked 10×The Trial Balance of Mr. Harish Chandra at 31st March 2024 is given below . After taking the following information into consideration, prepare the Trading and Profit and Loss Account for the year that ended 31st March,…(18)

4.

18 marks
· ~36 min
Branch Accounts (Stock & Debtors System, invoice price)asked 11×Shivalik Traders Ltd. has two branches at Dehradun and Haldwani. Goods are invoiced to the branches at cost plus 50%, and goods are transferred by/to another branch at its cost. The following information is available…(18)
OR
Branch Account (Debtors system) at invoice price, with an imprest floatasked 11×The H.O. supplies goods to Cuttack branch at 20% profit on invoice price. H.O. pays all expenses directly (except petty expenses). Such petty expenses are paid by those branches that are allowed to keep a petty cash…(18)

5.

18 marks
· ~36 min
Departmental accounts with an inter-departmental transferasked 6×M/s. KP Enterprise had two departments, Cloth and Readymade Clothes. The firm itself made the Readymade Cloths out of cloth supplied by the cloth department at its usual selling price. Using the figures below, prepare…(18)
OR
(a)Finance lease: classification and unearned finance incomeasked 7×Orion Ltd. Availed a lease form Vega Ltd. The lease terms and conditions are as under: (i) The lease period is 3 years in the beginning of the year 2023, for equipment costing ₹ 12,00,000 with an expected useful life of…(12)
(b)Operating lease versus finance leaseasked 7×Distinguish between an operating lease and a finance lease.(6)

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