{"id":962,"date":"2021-04-27T05:41:16","date_gmt":"2021-04-27T05:41:16","guid":{"rendered":"https:\/\/bcisnotes.com\/fourthsemester\/?p=962"},"modified":"2021-04-27T05:41:16","modified_gmt":"2021-04-27T05:41:16","slug":"financial-accounting-i-spring-2016-pokhara-university-bba-bba-bi-bba-tt-bcis-bhcm","status":"publish","type":"post","link":"https:\/\/bcisnotes.com\/fourthsemester\/financial-accounting-i-spring-2016-pokhara-university-bba-bba-bi-bba-tt-bcis-bhcm\/","title":{"rendered":"Financial Accounting I || Spring, 2016 || Pokhara University || BBA\/BBA-BI\/BBA-TT\/BCIS\/BHCM"},"content":{"rendered":"

Financial Accounting I – Spring, 2016<\/h2>\n

This is the question set along with answers Financial Accounting I Spring 2016, which was taken by the Pokhara University.<\/p>\n

Pokhara University \u2013 Financial Accounting I \u00a0Spring 2016<\/strong><\/p>\n\n\n\n\n\n\n
Level:\u00a0 Bachelor<\/td>\nSemester \u2013Spring<\/td>\n\u00a0Year: 2016<\/td>\n<\/tr>\n
Program:BBA\/BBA-BI\/BBA-TT\/BCIS\/BHCM<\/td>\n\u00a0Full Marks: 100<\/td>\n<\/tr>\n
Course: Financial Accounting I<\/td>\n\u00a0 Pass Marks: 45<\/td>\n<\/tr>\n
\u00a0\u00a0\u00a0\u00a0 Time:\u00a0 3hrs.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

Section “A”<\/strong><\/p>\n

Very Short Answer Questions<\/strong><\/p>\n

Attempt all the questions.<\/p>\n

    \n
  1. \n
      \n
    1. What is Financial Accounting?<\/li>\n
    2. What do you understand by NSF cheques?<\/li>\n
    3. What are revenues?<\/li>\n
    4. Explain the Business Entity Concept of accounting.<\/li>\n
    5. Describe Cash equivalents.<\/li>\n
    6. What do you mean by source document?<\/li>\n
    7. White the purpose of trial balance.<\/li>\n
    8. A company started with Rs.500000 capital. At the end of the year, it has Rs.600,000 total assets Rs.50,000 liabilities and during the year, it earned Rs.200,000 net profit. Find the amount of dividend distributed during the year.<\/li>\n
    9. Prepare closing entry for the following revenue.
      \nServie revenue Rs.250,000 Interest received Rs.20,000 Dividend received Rs.10,000<\/li>\n
    10. Determine the cash flow from operating activities using the indirect method from the following items of the income statement and comparative balance sheet of a company:
      \nNet Profit for the year Rs.200,000
      \nDepreciation Expenses Rs.20,000
      \nGain on sale of investment Rs.10,000
      \nIncrease in account receivable Rs.15,000
      \nDecrease in Inventories Rs.25,000<\/p>\n

      Section “B”<\/b>
      \nDescriptive Answer Questions<\/b>
      \nAttempt any six<\/strong> questions.<\/li>\n

    11. Presented below the trial Balance of ABC Co. as of Dec 31, 2015.
      \nABC Co. Ltd. Trial Balance, 31st<\/sup> Dec. 2015
      \n\"\"
      \n\"\"Additional Information:<\/strong>
      \nSalaries are 80% selling and 20% administrative.
      \nRs.15,000 of note payable are payable next year.
      \nGas and oil expenses are selling expenses.
      \nRetained Earnings at the beginning was Rs.67,800.
      \nRequired:<\/strong>
      \na) Income Statement for the end of December 31, 2015.
      \nb) Statement of retained earnings for the end of December 31, 2015.
      \nc) Prepare a balance sheet on December 31, 2015.<\/li>\n
    12. Pokhara Architects incorporated as licensed architects on April 1. 2013. During the first month of its operation, the following transaction occurred:
      \nApril 1: Recruited a receptionist in terms of Rs.5,000 per month salary.
      \nApril 2: Owners contributed Rs.250,000 cash to incorporate the business.
      \nApril 3: Purchased office supplies of Rs.5,000 from Spring Supplier
      \nApril 5: Signed promissory note at bank At the rate of 6% payable at end of three years from today Rs.15,000.
      \nApril 7: The completed blueprint of a carport and billed client of Rs.50,000.
      \nApril 15: Paid loan Rs.6000 and interest of Rs.75.
      \nApril 16: Received Rs.10,000 from Customer.
      \nApril 21: Paid Amount due Rs.3,000 to Spring Supplier.
      \nApril 30: Paid Rs.5,000 to the receptionist for the month\u2019s salary.Required:<\/strong>
      \nJournalize the transaction and post to respective T accounts and then prepare the trial balance of Pokhara Architects dated on April 30, 2013.<\/li>\n
    13. XYZ variety, a leading service firm providing a variety of services in the western region. A trail Balance on 30thAshad 2072, before recording any adjusting entries, provided as follows:
      \nXYZ Variety
      \nUnadjusted Trial Balance
      \n30th<\/sup>Ashad 2072\"\"\"\"Adjustments:<\/strong>
      \na) Depreciate fixed assets by 10%
      \nb) Supplies in hand Rs.2,000
      \nc) Outstanding office expenses Rs.2,000
      \nd) Prepaid salaries Rs.3,000
      \ne) Provision for bad debts 5%
      \nRequired:<\/strong>
      \na) Adjusting Entries.
      \nb) Prepare a 10-column worksheet.<\/li>\n
    14. The following information has been assembled for the purpose of preparing April 30, 2015, Bank reconciliation statement of XYZ co.
      \ni.<\/strong> The Balance in cash as reported as of April 30, 2015, Bank statement is Rs.5654.98, and as company\u2019s book rivals same as Rs.4,165.66.
      \nii.<\/strong> XY co. made a deposit of Rs.865 on April 30 that is credited by the bank on the 3rd of May.
      \niii.<\/strong> The cheques issued on April 15 worth Rs.236.77 and Rs.116.80 were presented for payment only on May 5th, 2015.
      \niv<\/strong>. XYZ co rents some excess storage space in one of its warehouses, and the tenant pays its monthly rent directly to the bank for deposit in XYZ Co.\u2019s account. The bank statement indicates that a deposit of Rs.1,500 was made during the month of April.
      \nv<\/strong>. Interest earned on the chequing account and added to XYZ co.\u2019s account during April is 11.75.
      \nvi.<\/strong> A Customer cheque for Rs.15 was returned with the bank statement marked \u201cNSF\u201d.
      \nvii<\/strong>. Comparison of cheque counterfoils with the bank statement showed that cheque of Rs.56 paid to the supplier was recorded by the Company\u2019s accountant as a cheque of Rs.560.
      \nRequired:<\/strong>
      \nPrepare a bank reconciliation statement for ZYZ co. as of 30th April. And also pass necessary journal entries. How much cash would be presented on the balance sheet on 30th April?<\/li>\n
    15. What do you understand by the annual report of a company? Briefly explain the major components of an annual report.<\/li>\n
    16. What are financial statements? Describe their objectives.<\/li>\n
    17. What is the qualitative characteristic of accounting information? Explain.<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n

      Section “C”
      \nCase Analysis
      \nRead the scenario and answer the question that follows.<\/em><\/b><\/b><\/b><\/b><\/p>\n