Financial Accounting & Analysis (MGT 211)

Tribhuvan University · Financial Accounting & Analysis (BBS 1st Year) · 2083 BS — 19 questions — a free old question paper on Goodone.club’s exam-paper archive.

  1. Define the business entity concept of accounting. [2 marks]
  2. Write about the accrual basis of accounting. [2 marks]
  3. What is a periodic inventory system? [2 marks]
  4. Give the meaning of current liabilities. [2 marks]
  5. What is stock dividend? [2 marks]
  6. Following information are provided: I. Started business with cash Rs. 100,000 and bank balance Rs. 150,000. II. Good costing Rs. 20,000 sold on credit at a profit of 10%. Required: Account of value added. [2 marks]
  7. You are provided the following information: Interest received Rs. 20,000; Wages and salaries Rs. 30,000; Dividend paid Rs. 10,000; Income tax paid Rs. 12,000; Depreciation Rs. 30,000; Net profit Rs. 15,000. Required: Amount of value added. [2 marks]
  8. Following transactions are given: January 10: Sold to ABC Furniture House: 2 sets Sofa Set @ Rs. 20,000 each; 10 Chairs for Rs. 10,000 (Trade Discount @ 10%). January 25: Sold to XYZ Furniture House: 10 Tables @ Rs. 1,500 each; 10 Chairs @ Rs 1,000 each with trade discount @ 5%. Required: Sales book. [2 marks]
  9. On 1st Baishak, A grocery shop borrowed Rs. 300,000 from a bank by signing a 6-months, 8% note payable. It paid the principal and interest at due date. Required: Journal entries for issue and retirement of note. [2 marks]
  10. A Company issued Rs. 200,000 face value bond at discount of Rs 20,000. The unamortized discount was Rs. 5,000 and the bond contains a call provision of Rs. 102. Required: Gain or loss on early redemption of bond. [2 marks]
  11. The following information is provided: Quick assets Rs. 450,000; Inventory Rs. 350,000; Current liabilities Rs. 300,000; Total capital employed Rs. 10,00,000; 10% Debenture Rs. 400,000; Fixed assets Rs. 600,000. Operating profit of the year Rs.120,000 being 20% of Sales. Income tax is 25%. Required: a. Net profit b. Quick ratio c. Debt to total capital ratio d. Stock turnover ratio e. Return on shareholder's equity f. Net profit margin g. Total assets turnover ratio. [1+6x1.5=10] [10 marks]
  12. A company provides you the following information related to the inventories for the month of Asadh. Asadh 1: Beginning inventory 500 units @ Rs.10 each; Asadh 10: Purchased 1,000 units @ Rs.14 each; Asadh 15: Sold 1,200 units @ Rs.15 each; Asadh 20: Purchased 500 units @ Rs.12 each; Asadh 27: Purchased 200 units @ Rs.10 each; Asadh 31: Sold 500 units @ Rs.20 each. Required: a. Cost of goods sold and ending inventory under LIFO and FIFO method. b. Income statement under both methods, assuming operating expenses Rs. 4,000 and estimated tax @ 25%. [6+4=10] [10 marks]
  13. (a) A company purchased a machine on January 1, 2023 for Rs. 90,000 and spent Rs. 10,000 on its installation. The company writes off depreciation @ 10% p.a. on straight line method. At the end of June 2025, the company sold the machine at Rs. 90,000. The books are closed on 31st December every year. Required: Machinery account for the first three years. [5] (b) Differentiate between capital and revenue expenditures. [5] [10 marks]
  14. (a) On Chitra 2081, Bank Statement disclosed a balance of Rs.10,000 and Cash Book showed the balance of Rs.8900. i) Undeposited cheque Rs. 3,000 ii) Outstanding cheque Rs. 4,000 iii) Notes receivable and interest collected by the bank Rs.1,000 and Rs. 200 respectively iv) A customer's cheque for Rs.1,000 was returned by the bank due to insufficient fund v) Bank charge Rs.100 for the service provided by the bank. Required: a. Bank Reconciliation Statement as on 31st Chaitra b. Bank balance to be reported on company's balance sheet as on 31st Chaitra [4+1] (b) Differentiate between accounting an... [10 marks]
  15. Write down the meaning and types of lease. Also, point out the criteria for identifying capital lease. [10] [10 marks]
  16. Define source of documents. Write down the objectives of the source of documents. [3+7=10] [10 marks]
  17. Following are the transaction of a company. a. Started business with cash Rs. 100,000 and bank balance Rs. 400,000. b. Purchased office equipment for Rs. 100,000 and paid 25% cash and balance through cheque. c. Purchased merchandise goods for Rs. 50,000 on account. d. Sold merchandise goods on account for Rs. 170,000. e. Received a cheque from customer Rs. 145,000 in full settlement of Rs. 150,000. f. Paid Rs. 45,000 to supplier by issuing a cheque after deducting 10% discount. g. Rs. 12,000 was paid for insurance premium. h. Paid electricity bill Rs. 15,000. i. Paid office salary Rs. 20,000.... [15 marks]
  18. The Following are the financial statement of a company: Balance Sheet (Liabilities | Last Year | Current year || Assets | Last Year | Current year): Share capital 150,000 300,000 | Fixed assets 250,000 360,000 Pref. share capital 60,000 90,000 | Investment 60,000 75,000 10% bank loan 75,000 30,000 | Sundry debtors 45,000 60,000 Accounts payable 40,000 30,000 | Inventories 30,000 75,000 Retained earnings 30,000 75,000 | Cash at bank 15,000 30,000 Prov. for dividend 15,000 30,000 Prov. for tax 30,000 45,000 Total 400,000 600,000 | Total 400,000 600,000 Income Statement for the current year: Sale... [15 marks]
  19. Describe the users of accounting information. Why do they need such information? Explain. [5+10] [15 marks]