U/ID 22201/UCZA/UCWA/

UCYA/UCXB/URMA/UCVB

MAY 2012

Time : Three hours

Maximum : 100 marks

SECTION A (10 3 = 30 marks)

Answer any TEN questions.
All questions carry equal marks.
1.

Explain the meaning of term journal.

"Sk' G G?
2.

What are the subsidiary books?

xn HkP G G?
3.

What do you understand by Income and Expenditure account?

&\U PnUS G G?
4.

Yoghesh & Co. purchased a lorry on 1.1.2005. The cost of the

lorry was Rs. 5,00,000. Its estimated life was 5 years. The scrap
value of this lorry after 5 years is Rs. 50,000. Show the lorry
account for 5 years.

P & P 1.1.2005 A \US Ex J [Qx.

\US Ev AhUP . 5,00,000 Auh B P 5
BskP BS. 5 BskUS S Auh Gv .
50,000. 5 BskPUS \US Ev PnUP PmkP.
5.

State any two differences between single entry system and

double entry system.

J v US Cmh v US E Hu
Csk kP ?
6.

Write a note on Independent Branch.

ua\U QP S P.

7.

Explain the objectives of departmental account.

x PnUSP |UP[P USP.

8.

Ram purchase a machine on hire purchase system. He pays

Rs. 10,000 down and Rs. 8,000, Rs. 7,000 and Rs. 6,000. Of the
end of 1st year, 2nd year and 3rd year respectively. Interest is
charged at 10% per annum. Calculate the price of the machine.

C hP Pu J Cvzu [SQ.
A Ehiz uPP . 10,000 . 8,000, . 7,000
. 6,000 usk Cv, Csh Bsk
Cv

Bsk

Cv

\zxQ. Bsk JUS 10% mi ` \kQx.

Cvzv AhUP PnUQkP.
9.

A and B are partners sharing profits and losses in the ratio of

3 : 2. They admit C for 1/5th share in the profit. Calculate the
new profit sharing ratio.
A B TmhP u[Px Czu 3 : 2 G Quzv

Qx PQP. AP C G 1/5 [S zvS

\zxU PQP. APh v C Quzu
PnUQkP.
10.

What is meant by insolvency of partners?

TmhP |i { G G?
11.

Write a note on joint life policy.

Cn B vmhn S P.
2
U/ID 22201/UCZA/UCWA/
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12.

Prepare capital account of Gokul fluctuating method based on

the following data :
Rs.
Capital on 1.1.2007

8,00,000

Drawings during 2007

1,60,000

Interest on drawings

4,000

Share of profits for 2007

84,000

Interest on capital

48,000

Salary

72,000

[Px PS u PnUQ (k
) uUP.
.
u C 1.1.2007

8,00,000

2007& BsiP Gk

1,60,000

Gk x mi

4,000

2007& Bsk C Q

84,000

u u mi

48,000

72,000
SECTION B (5 6 = 30 marks)
Answer any FIVE questions.
All questions carry equal marks.

13.

What is an account? What are its classes?

PnUS G G? Au PP ?
14.

Explain variance types of subsidiary books.

P xn HkP USP.
3

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

15.

Pass journal entries for the following transaction :

(a)

Rajan commenced business with Rs. 2,00,000.

(b)

Purchased machinery for cash Rs. 80,000.

(c)

Paid salary Rs. 1,000.

(d)

Purchased stock on credit Rs. 10,000.

(e)

Depreciation of machinery Rs. 4,000.

(f)

Sold stock give for cash Rs. 50,000.

RUPsh |hiUPPUPP Smk vP uP.

(A) . 2,00,000 UPzxh Bzv
(B) . 80,000 UPzvS Cv [Pmhx
(C) \ PkUPmhx . 1,000
(D)

Ph . 10,000US \USP [Pmh

(E) Cvzv u . 4,000

(F) \US UP . 50,000.
16.

Janakiraman keep his book by single entry method. His position

on 31.12.2005 was as follows :
Cash Rs. 10; Bank Rs. 990; Stock Rs. 10,000; Sundry debtors
Rs. 20,000; Furniture Rs. 3,000; Sundry creditors Rs. 6,000.
His position as on 31.12.2006 was as follows : Cash Rs. 2,000;
Bank Rs. 10,000; Stock Rs. 10,000; Sundry debtors Rs 20,000;
Furniture Rs. 3,000; Sundry creditors Rs. 6,000.
Janakiraman draw Rs. 7,000 for his personal use. He introduced
Rs. 3,000 by way of additional capital.
Prepare a statement of profit and loss for the year.
4

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

Q ux HkP J v zvUQ.
31.12.2005 A Ax {x UP . 10 [Q . 990
\UQ . 10,000 PhP . 20,000. AP
. 3,000 Phu . 6,000.
31.12.2006 A Ax {x UP . 2,000 [Q
. 10,000 \UQ . 10,000 PhP . 20,000
AP . 3,000 Phu . 6,000.
Q ux \u \US Gkzux . 7,000 v uP
. 3,000 uk \u.
h i C |mh AUP u \P.
17.

On 1st January 2004 Kannan purchased a machinery under life

purchase system. Rs. 3,000 to paid on delivery and the balance
in 5 instalment of Rs. 6,000 each payable annually on 31st
December. The cash price of the machine was Rs. 30,000.
Calculate the amount of interest paid for each year.

1, 2004 Psn J Cvzu hP Pu

[Q. . 3,000 Eh PkUPkQx.
vzuP 5 unP . 6,000 J Bsk
i\ 31& PkUPh sk Cvzv AhUP
. 30,000. J Bsk PkUP si miz uP
PnUQkP.
18.

Dass & Co. took a lease on 1st January 2005 costing Rs. 30,000
for a period of 5 years and of proposed to depreciate under
annuity method charging 5% interest. Reference to the annuity
table show that to depreciate Re. 1 by annually method over
5 years charging, 5% is equivalent to Re. 0.230975 annually.
Show the lease a/c for 5 years.

u & P 5 BskPUS . 30,000US , 2005& J

SzuP Gkzux. Bsk uP Bsk mi 5%US
u }UP i \mhx. 5% Bsk mi Quzv
5 BskP . 1 }UP J Bsk }UP six
. 0.230975 G Bskz uP k PmkQx.
5 BskPUP SzuP PnUP u \P.
5

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

19.

Raja & Co. opened a branch at Madurai on 1.1.2009. From the

following particulars prepare Madurai Branch Account.
Rs.
Goods sent to Madurai branch

30,000

Cash sent to branch for :

Rent

3,600

Salaries

6,000

Other expenses

2,400

Cash received from the branch

48,000

Stock on 31st December

4,600

Petty cash in hand on 31st December

80

1.1.2009 A C & P x J Q
x[Qx. [Px x QU PnUP
2009&B BskUS u \P.
.
x QUS A \US

30,000

QUS A UP
hP

3,600

6,000

Cu \P

2,400

Qx mh UP
31 i\ \UQ

48,000
4,600

31 i\ ] UP

80
6

U/ID 22201/UCZA/UCWA/
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20.

A fire occurred in the premises of a trader on 10.4.2008. From

the following particulars ascertain amount of claim in respect of
loss of stock.
Rs.
Stock on 1.1.2008

2,50,000

Transactions for the period 1.1.2008 to 10.4.2008 :

Purchases

10,00,000

Wages

2,00,000

Manufacturing expenses

1,00,000

Sales

15,00,000

The gross profit ratio is 15% the stock salvaged was estimated at
Rs. 75,000.

10.4.2008 A J oP zv w zx
Hmhx. [Px \UQPP Pk
uP PnUQkP.
.
1.1.2008 A \UQ

2,50,000

1.1.2008 u 10.4.2008 |hiUPP

Pu

10,00,000

2,00,000

Ezv \P

1,00,000

15,00,000

zu C Qua\ 15% mPmh \US . 75,000&US

vk \mkx.
7

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

SECTION C (2 20 = 40 marks)
Answer any TWO questions.
All questions carry equal marks.
21.

The following are the balances extracted from the books of

Mr. Pandian as on 31.3.04. Prepare Trading Account, P/L a/c,
Final Account.
Rs.

Rs.

Drawings

40,000 Capital

5,00,000

Cash at bank

17,000 Sales

1,60,000

Cash in hand

60,000 Sundry creditors

Wages

10,000

Purchases

20,000

Stock (1.4.03)

3,60,000

Building

1,00,000

Sundry debtors

44,000

Bills receivable

29,000

Rent

4,500

Commission

2,500

General expenses

8,000

Furniture

5,000

Suspense account

5,000
7,05,000

45,000

7,05,000

Adjustment :
(a)

Closing stock Rs. 40,000 valued on 31.3.04.

(b)

Interest on capital at 6% as to be provided.

(c)

Interest on drawings at 5% as to be provided.

(d)

Depreciate building at 10% per annum.

(e)

Write bad debts Rs. 1,000.

(f)

Outstanding wages Rs. 500.

8

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

R
PkUPmk
si
Hmi
E
CPx 31.3.04&UP , C |mh CvU
PnUP u \P.
.

Gk

40,000 u

5,00,000

[Q UP

17,000

1,60,000

P UP

60,000 Phu

10,000

Pu

20,000

\UQ (1.4.03)

3,60,000

Pmih

1,00,000

PhP

44,000

uS ^mk

29,000

hP

4,500

2,500

xa \P

8,000

AP

5,000

Azx P/S

5,000
7,05,000

45,000

7,05,000

\UPmk vP :
(A) Cv \UQ 31.3.04 . 40,000
(B) umi u mi 6% EUSP
(C) Gk u mi 5% EUSP
(D)

Pmihzv x u hzvS 10 \uQu JxUSP.

(E) UPh GxP . 1,000

(F) Pkh si T . 500.
9

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

22.

Rama purchased business on 1.1.09 with a capital of Rs. 25,000.

He immediately bought furniture for Rs. 4,000. During the year
he borrowed Rs. 5,000 from his wife and introduced a further
capital of Rs. 3,000. He has withdrawn Rs. 600 at the end of each
month for family expenses. From the following particulars
obtained from his books, you are required to prepare Trading
and P/L A/c and Balance Sheet as on 31.12.09.
Rs.
Sales (including cash sales of Rs. 30,000)
Purchases (including cash purchases of Rs. 10,000)

1,00,000
75,000

Carriage

700

Wages

300

Discount allowed

800

Salaries

6,200

Bad debts

1,500

Trade expenses

1,200

Advertisement

2,200

Rama has used goods worth Rs. 1,300 for private purposes and
paid Rs. 500 to his son which is not recorded anywhere. On
31.12.09 his debtors, were worth Rs. 21,000. Creditors Rs. 15,000
and Stock Rs. 10,000; Furniture to be depreciated at 10% p.a.

uh oPzu 1.1.09 A . 25,000 uh

uh[Q. EhiP . 4,000US zxn mP
[Q. Chzv u h . 5,000 Ph [Q
Tku uP . 3,000&zu APkzvQ. ux Ska
\S J u Cv . 600&I GkUQ. Ax
Hmi RUPsh [Px 31.12.09&UP ,
C |mhU PnUS C{U S uUP.
.
(UP . 30,000 Ah[Qx)
Pu (UP Pu . 10,000 Ah[Qx)
10

1,00,000
75,000

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB

.
EyUS T

700

300

Azu ui

800

6,200

UPh

1,500

a \P

1,200

2,200

uh \u |UPP . 1,300 v mP
kzxQ. uh PUS . 500
\zxQ. C G[S v. 31.12.09& Ah
PhP v . 21,000. Phu . 15,000
\UQ . 10,000 zxn mPUSz u
10% JxUSP.
23.

The following purchases were made by a business house having

three departments:
Dept. A 1,000 units
Dept. B 2,000 units

at a total cost of Rs. 1,00,000

Dept. C 2,400 units

Stocks on 1st January were :
Dept. A 120 units
Dept. B 80 units
Dept. C 152 units
Sales were :
Dept. A 1020 units at Rs. 20 each
Dept. B 1920 units at Rs. 22.50 each
Dept. C 2496 units at Rs. 25 each
The rate of gross profit is same in each case.
Prepare Departmental Trading Account.
11

U/ID 22201/UCZA/UCWA/
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 xPU Psh J oP {. Pu
RUPsh \Qx :
x A 1,000 ASP
x B 2,000 ASP

zu v . 1,00,000

x C 2,400 ASP
xP 1 \ \UQ :
x A 120 ASP
x B 80 ASP
x C 152 ASP
:
x A 1020 ASP J . 20 u
x B 1920 ASP J . 22.50 u
x C 2496 ASP J . 25 u
xP zu Qu J xU PnUPz
u \P.
24.

A and B sharing profits in proportion of 3/4 and 1/4 showed the

following as their Balance Sheet as on 31.12.04.
Liabilities
Creditors
General Reserve

Rs.

Assets

37,500 Cash at Bank

4,000 Bills receivable

Rs.
22,500
3,000

As Capital

30,000 Debtors

16,000

Bs Capital

16,000 Stock

20,000

Office furniture

1,000

Land & Building 25,000

87,500
12

87,500

U/ID 22201/UCZA/UCWA/
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They admit C into partnership on 1st January 2005 on the

following term :
(a)

That C pays Rs. 10,000 as his capital for a fifth share in

the future profit.

(b)

That a goodwill account be raised in the books the new firm

at a value of Rs. 20,000.

(c)

That stock and furniture be reduced by 10% and a 5%

provision for doubtful debts be created on debtors.

(d)

That the value of land and building be appreciated by 20%.

(e)

That the capital account of partners be re-adjusted on the

basis of their profit sharing ratio and any additional
amount be debited or credited to their current account.
Prepare profit and loss adjustment a/c, capital account and
opening balance sheet of new firm.

A& B& u[Ph Qu[P 3/4 1/4 G

Quzv zxU PQ. 31.12.04 A APx

C{U S.
UP
Phu

\zxUP

37,500 [Q UP

.
22,500

xUP

4,000 ..^mk

3,000

A & u

30,000 PhP

16,000

B & u

16,000 \UQ

20,000

AP AP

1,000

{ Pmih

25,000

87,500

87,500

13

U/ID 22201/UCZA/UCWA/
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1.1.05& AP C G v TmhP R
{uP i \UQ.
(A) C ux GvP zv Iv J [QPP, .
10,000&zu ux uPPa \zu sk.
(B) v {zv | PnUP Hmi . 20,000 BP
EzxP.
(C) \UQ v, AP v 10% SUP
sk 5%&I PhP x JxUSP.
(D)

{ Pmihzv v 20% EzxP.

(E) TmhP u PnUP APx C |mh Quzv

\ \P. TkuP uP |hU PnUQ
\P.
C |mh \Pmk P/S, u PnUSP v
{zv v C {U S uUP.

14

U/ID 22201/UCZA/UCWA/
UCYA/UCXB/URMA/UCVB