Gauhati University Question Papers
ADVANCED FINANCIAL ACCOUNTING (May-June’ 2013)
(MAJOR)
Full Marks: 80
Time Allowed: 3 hours
Answer either in
English or Assamese
The figures in the
margin indicate full marks for the questions
1.
Answer as directed: 1x10=10
a) Which
of the following is maintained by a bank under double entry principle?
1) Bills
Register.
2) Bills
discounted and purchase ledger.
3) Bills
for Collection Register.
4) Safe
deposit Vault Register.
b) A
bank is required to show ‘Investment in India’ under _____ classifications.
(Fill in the blank selecting the correct option from below:
1) Two.
2) Four.
3) Five.
4) Six.
c) From
the point of view of the insurance company which led had gone for reinsurance,
the amount of claim to be borne by the reinsurer is termed as _____. (Fill in
the blank)
d) Any
Interim Bonus paid by an insurance company to the policyholders is shown in
_____ Account. (Fill in the blank)
e) Write
one feature of ‘cum-interest’ in the context of Investment Account.
f) What
is Stock Salvage in the context of ‘Insurance claim’?
g) Write
the meaning of ‘Consolidated Fund of India’.
h) In
case of Union (Central Government) the ‘Contingency Fund’ remains at the
disposal of:
1) President
of India.
2) Prime
Minister.
3) Finance
Minister.
4) Reserve
Bank of India.
i)
There are _____ important Parliamentary
Committees formed by Parliament for control of Public Expenditure.
(Fill in the blank selecting the correct answer from below:
1) 3
2) 5
3) 7
4) 9
j)
Write one objective of Committee on Public
Undertakings (COPU).
2.
Answer the following: 2x5=10
a) Mention
the classification of Bank’s Sub-standard Advances along with the required rate
of Provision.
b) Explain
the meaning of ‘Non-banking Assets’ of a bank.
c) Explain
the meaning of ‘Re-insurance claim’ of an insurance company.
d) Mention
the accounting treatment of the following items in the accounts of General
Insurance Company.
1) Contribution
of fire brigade.
2) Legal
charges.
e) Mention
any four objectives of Government Accounting.
3.
(a) Explain the features of Government Accounting. 5
Or
Explain the general principles of Government Accounting. 5
(b) Mention briefly the system of Financial Administration
in India. 5
Or
Write a note on Government Accounting Standards Advisory
Board. 5
(c) A fire occurred on 30.04.2013 in the premises of Soma
Ltd. The information available from the books of the company is as below:
|
|
Rs.
|
|
(a) Income/Expenses
from 01.04.2013 to 30.04.2013:
Sales
Cost of Goods sold
Purchases
Direct labour and expenses
(b) Value of
Inventory on 01.04.2013
(c) Salvage value of
stock
|
7,00,000
5,50,000
5,70,000
30,000
80,000
5,000
|
You are required to calculate the amount of claim to be
lodged in case of loss of inventory assuming whole of inventory was insured. 5
Or
Describe the procedure to be followed to lodge claim before
insurance company for indemnification of loss of stock due to fire. 5
(d) Rohit purchased 500, 10% Debentures of Star Cement Ltd.
from Mr. Mohit on 01.06.2012 @ Rs. 95.00 cum-interest. Interest is payable on
30th June and 31st December each year. Record this
transaction in the books of Rohit and Mohit on 01.06.2012. 5
Or
Distinguish between cum-interest and ex-interest in the
context of investment account. 5
4.
From the following information, prepare the Profit and Loss Account of Yes Bank
Ltd. for the year ended 31.03.2013:
|
|
Rs.
|
|
Establishment Expenses
Rent & Rates
Interest on Loan
Interest on Current
Accounts
Interchange Fee paid
Rebate in bills
discounted on 1.4.2012
Interest on Cash
Credit Accounts
Interest of Fixed
Deposit Accounts
Interest on Savings
Bank Deposits
Commission charged
to customers
Discount on bills
discounted
Interest on
Overdrafts
Auditor &
Director’s Fees
ATM Charges
Transfer to Central
Government
Miscellaneous
Operating Expenses
|
50,000
15,000
3,00,000
30,000
400
25,000
4,00,000
3,00,000
70,000
20,000
1,00,000
70,000
20,000
2,000
5,000
50,000
|
You
are also required to show the amount carried over to Balance Sheet of the Bank.
10
Or
Write
short note on:
a) Conditions
for recognition of an advance/Loan as Non Performing Assets.
b) Rebate
on Bills Discounted. 5+5=10
5.
Prepare Revenue Account of India Life Insurance Ltd. for the year ended on 31st
March, 2013 from the following information:
|
|
Rs.
|
|
Life Fund as on
01.04.2012
First Year Premium
Renewal Premium
Outstanding Premium
31.03.2013
Re-insurance premium
Interest, Dividends
and Rent (Gross)
Loss on sale of
Investment.
Fair Value change
(Credit)
Consideration for
Annuities Granted
Transfer Fees
Fines and Fees
Interest on late
payment of Premium
Commission on Direct
Business
Commission on
Reinsurance Accepted
Commission on
Reinsurance Ceded
Medical and Audit
Fees
Printing and
Stationary
Operating Expenses
Claims Paid:
By Death
By Maturity
Re-insurance claims
covered
Annuities paid
Net liability on all
contracts:
On 31.03.2012
On 31.03.2013
|
61,00,000
2,00,000
5,00,000
20,000
40,000
1,00,000
2,000
3,000
50,000
1,000
5,000
7,000
15,000
7,000
4,000
11,000
6,000
70,000
1,20,000
2,10,000
30,000
25,000
20,00,000
30,00,000
|
Transfer
30% of surplus to shareholders’ Account and 10% of surplus to the Catastrophe
Reserve and carry forward the balance amount. 10
Or
Prepare
a Balance Sheet of Trust General Insurance Company in FORM B-BS as per the
statutory requirement showing columns for schedule No. Current year and
Previous year with imaginary figures. 10
6.
On April 1, 2012 Assam Company held Rs. 2,00,000, 6% Debentures of IDBI Bank
which appeared in the books at Rs. 1,93,000. Interest is payable on April 31
and October 31 each year. On July 1, 2012, additional debentures of Rs. 50,000
of IDBI bank were bought at Rs. 98 cum-interest. On December 31, 2012, Rs.
50,000 Debentures were sold at Rs. 101 cum-interest.
You
are required to show the Investment Account for the period ending on March 31,
2013. 10
Or
a) What
is Investment Accounting? Give the classification of Investment as per AS-13. 2+3=5
b) Explain
the features of Investment Account;. 5
7. A
fire occurred on 30th September, 2012 in the premise of M/s ABC Ltd.
From the following information, calculate the amount of claim to be lodged with
the insurance company for the loss of stock.
|
|
Rs.
|
|
Stock at Cost:
On 01.01.2011
On 01.01.2012
Purchases during
2011
Sales during 2011
Purchases during
01.01.2012 to 30.09.2012
Sales during
01.01.2012 to 30.09.2012
|
45,000
35,000
2,00,000
3,00,000
3,00,000
4,40,000
|
Consider
that
a)
In 2012 the cost of purchases has risen by 20%
over the levels prevailed in 2011.
b)
In 2012 the selling prices have gone up by 10%
over the levels prevailed in 2011.
c)
Salvage value of stock Rs. 3,000. 10
Or
Explain
the following terms used in insurance claims:
a) Average
Clause.
b) Consequential
loss.
c) Insurance
claim.
d) Period
of indemnity.
***
Post a Comment
Kindly give your valuable feedback to improve this website.