NEB Class 12 · Past paper
The complete NEB Class 12 2072 exam paper for Accountancy, all 22 questions with solved model answers.
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Write any three advantages of a public limited company.
Advantages of a public limited company (any three): 1. Limited liability: The liability of members is limited to the face value of the shares they hold, so their personal property is safe. 2. Large capital: It can raise a large amount of...
Differentiate between issued capital and subscribed capital.
Issued capital is that part of the authorised (registered) capital which the company actually offers to the public for subscription. Subscribed capital is that part of the issued capital which has actually been taken up (subscribed) by t...
State any three objectives of Financial Statement Analysis.
Objectives of financial statement analysis (any three): 1. To assess the profitability and earning capacity of the business. 2. To judge the liquidity (short-term solvency) and long-term solvency of the firm. 3. To measure the operationa...
Write the meaning of gross profit ratio along with the formula.
Gross profit ratio is a profitability ratio that shows the relationship between gross profit and net sales, expressing gross profit as a percentage of sales. It indicates the margin available to cover operating expenses. $$\text{Gross Pr...
Mention any three limitations of cost accounting.
Limitations of cost accounting (any three): 1. It is expensive, as it requires additional records, staff and forms. 2. It is not exact, since it uses estimates and assumptions such as apportionment of overheads. 3. It is complex, involvi...
Write the meaning of fixed cost with a suitable example.
Fixed cost is that cost which remains constant in total within a given period and range of output, irrespective of changes in the volume of production. Per unit fixed cost, however, falls as output rises. Example: factory rent, salary of managers, insurance premium of building.
Mention any three essentials of material control.
Essentials of material control (any three): 1. Proper coordination among the departments dealing with purchase, receipt, storage and use of materials. 2. Proper purchasing of the right quantity of the right quality at the right time and ...
Clarify the meaning of overhead cost with a suitable example.
Overhead cost is the total of all indirect costs, that is indirect material, indirect labour and indirect expenses, which cannot be conveniently identified with and charged directly to a particular unit of product. Example: factory rent,...
The following information relating to shares are given: (i) Issued 10,000 shares of Rs.100 each (ii) Applications were received for all the shares @ Rs.50 each (iii) All allotment calls were made and money duly received except a holder holding 100 shares failed to pay at the rate of Rs.50 per share. Required: Journal entries for application and allotment.
Application Rs.50 and allotment Rs.50 per share (total Rs.100). A holder of 100 shares failed to pay allotment money (Rs.50 each). Journal entries Particulars Dr (Rs.) Cr (Rs.) --------- Bank A/c ................................. Dr 5,00...
A company issued 20,000 shares of Rs.100 each at Rs.90 per share payable: on Application Rs.20; on Allotment (including discount) Rs.30; on First and Final call Rs.40. Applications were received for 30,000 shares and allotment was made as under: 12,000 applicants - full; 16,000 applicants - 8,000 shares; 2,000 applicants - nil. Money overpaid on applications was utilised towards sum due on allotment. Applicants of 100 shares failed to pay the first and final call money and these shares were forfeited. Required: (i) Entries for allotment (ii) Entries for first and final call (iii) Entry for forfeiture.
Shares of Rs.100 issued at Rs.90 (Rs.10 discount). Allotment Rs.30 includes discount Rs.10, so allotment towards capital = Rs.40? No: shares are issued at Rs.90, so total received = 90 (20 app + 30 allot + 40 call) and Rs.10 is discount....
A company Ltd. issued 10,000 shares of Rs.100 each at a discount of 10% to purchase the following assets and liabilities: Land and Building Rs.8,00,000; Machinery Rs.1,00,000; Bills payable Rs.50,000. Required: Journal entries for purchase of assets and liabilities.
B company Ltd. issued 5,000, 5% debentures of Rs.100 each at a discount of 10%, to be redeemed at a premium of 10% after 10 years. Required: Journal entries for issue and redemption of debentures.
The Trial Balance of a company as on Chaitra 31: Debit - Opening stock 20,000; Purchases 4,09,000; Machinery 1,50,000; Debtors 1,10,000; Carriage 15,000; Cash in hand 25,000; Discount 1,000; Salaries 30,000 (Total 7,60,000). Credit - Sales 5,25,000; General reserve 10,000; Share capital 1,50,000; Profit and Loss account 75,000 (Total 7,60,000). Additional: (i) Depreciate machinery 10% (ii) Prepaid salaries Rs.1,000 (iii) Proposed dividend @ 10%. Required: (i) Adjustment entries (ii) Work sheet.
Adjustments: $$ \begin{aligned} \text{Depreciation} &= 10% \text{ of } 1{,}50{,}000 \ &= \text{Rs.}15{,}000 \end{aligned} $$ Prepaid salaries Rs.1,000; $$ \begin{aligned} \text{Proposed dividend} &= 10% \text{ of } 1{,}50{,}000 \ &= ...
The Trial Balance of Co. Ltd. as on 31 Chaitra last year: Debit - Machinery 5,00,000; Opening stock 1,00,000; Salaries 50,000; Purchases 4,00,000; Wages 80,000; Debtors 1,40,000; Discount 10,000; Insurance 15,000; Rent 20,000; Investments 50,000; Carriage 10,000; Cash balance 70,000 (Total 14,45,000). Credit - Sales 6,00,000; Share capital 4,00,000; Reserve fund 1,00,000; Creditors 75,000; Commission 20,000; 10% Debentures 2,00,000; Profit and Loss Appropriation account 50,000 (Total 14,45,000). Additional: (i) Closing stock Rs.2,50,000 (ii) Wages outstanding Rs.10,000 (iii) Prepaid insurance Rs.5,000 (iv) Provision for tax Rs.20,000 (v) Dividend proposed at 5%. Required: (i) Trading Account (ii) Profit and loss account (iii) Profit and loss appropriation account (iv) Balance Sheet.
Trading Account Dr Rs. Cr Rs. ------------ To Opening stock 1,00,000 By Sales 6,00,000 To Purchases 4,00,000 By Closing stock 2,50,000 To Wages (80,000 + 10,000) 90,000 To Carriage 10,000 To Gross Profit c/d 2,50,000 Total 8,50,000 Total...
The following information are provided: Current assets Rs.2,00,000; Current ratio 2:1; Inventory turnover 5 times; Inventories Rs.70,000; Share capital Rs.5,00,000; Profit and loss account Rs.50,000; 10% debentures Rs.2,00,000. Required: (i) Current liabilities (ii) Sales amount (iii) Debt-equity ratio (iv) Debt to total capital ratio.
(i) Current Liabilities: $$ \begin{aligned} \text{Current ratio} &= CA / CL \ &= 2 \ CL &= \frac{2{,}00{,}000}{2} \ &= \text{Rs.}1{,}00{,}000 \end{aligned} $$ (ii) Sales amount: $$ \begin{aligned} \text{Inventory turnover} &= \text{Sa...
The following figures are extracted from the two years' Balance Sheet of a company (1st year / 2nd year): Share capital 3,00,000 / 3,50,000; 10% Debentures 1,50,000 / 1,00,000; Profit and Loss Account 40,000 / 80,000; Goodwill 12,000 / 10,000. Additional: (i) Dividend paid for 2nd year Rs.25,000 (ii) Depreciation charged Rs.15,000 (iii) Fixed assets purchased during second year Rs.60,000. Required: (i) Funds from operation (ii) Funds flow statement.
(i) Funds From Operation Particulars Rs. ------ Closing balance of P&L A/c 80,000 Add: Goodwill written off (12,000 - 10,000) 2,000 Add: Depreciation 15,000 Add: Dividend paid 25,000 Less: Opening balance of P&L A/c (40,000) Funds from O...
The Balance Sheet of a company for two years (Year 1 / Year 2): Liabilities - Share capital 4,00,000 / 8,00,000; 10% Debentures 2,00,000 / 1,20,000; Creditors 1,60,000 / 2,00,000; Bills payable 80,000 / 40,000; Profit and Loss A/c 1,60,000 / 2,40,000. Assets - Machinery 4,00,000 / 6,40,000; Investments 1,20,000 / 1,80,000; Inventories 3,20,000 / 4,00,000; Debtors 1,20,000 / 80,000; Cash 40,000 / 1,00,000. Additional: (i) Sales for 2nd year Rs.12,00,000 (ii) Cost of goods sold Rs.8,00,000 (iii) Operating expenses Rs.1,60,000 (iv) Machinery purchased Rs.4,00,000 (v) Machinery sold Rs.60,000 (vi) Dividend paid Rs.56,000 (vii) Redemption of debentures with premium Rs.84,000. Required: Cash flow statement.
Cash Flow Statement (Direct Method) Particulars Rs. Rs. --------- A. Operating Activities Cash received from customers (12,00,000 + 40,000 dec. debtors) 12,40,000 Less: Cash paid to suppliers (8,00,000 + 80,000 inc. stock - 0 net change ...
The following information are provided in respect to material: Annual requirement 50,000 units; Purchase price per unit Rs.20; Ordering cost per order Rs.500; Carrying cost 10% of inventory value. Required: Economic Order Quantity.
The following information relating to wages: Output per hour 4 units; Wage rate per unit Rs.5; Working time for a month 180 hours. Required: Total wage for the month.
Total output for the month = Output per hour $\times$ Hours worked $$ \begin{aligned} &= 4 \times 180 \ &= 720 \text{ units} \end{aligned} $$ Under the piece rate system, total wage = Output $\times$ Rate per unit $$ \begin{aligned} &= ...
The store transactions of a certain material during the month of Chaitra: Chaitra 1 Opening stock 500 units @ Rs.20; Chaitra 5 Purchased 1,000 units @ Rs.22; Chaitra 6 Issued 800 units; Chaitra 10 Purchased 600 units @ Rs.21; Chaitra 12 Returned to stores 20 units; Chaitra 15 Issued 1,000 units; Chaitra 18 Purchased 500 units @ Rs.20. Required: Store ledger under First-In-First-Out method.
Return to store on Chaitra 12 (20 units) relates to material issued on Chaitra 6, valued at the last issue rate Rs.22, and is placed at the head of the queue under FIFO. Store Ledger (FIFO Method) (amounts in Rs.) Date Receipt (Qty/Rate/...
A company showed the following details of its production cost for the previous year: Direct materials Rs.4,00,000; Direct wages Rs.2,00,000; Factory overhead Rs.1,00,000; Office overhead Rs.70,000. The company wants to estimate the total cost and selling price for next year. The costing department estimated the cost for: Direct materials Rs.50,000; Direct wages Rs.30,000; Profit 20% of sales. (Factory overhead is absorbed on the basis of direct wages and office overhead on the basis of factory cost.) Required: (i) Cost sheet of previous year (ii) Tender sheet.
(i) Cost Sheet - Previous Year Particulars Rs. ------ Direct materials 4,00,000 Direct wages 2,00,000 Prime Cost 6,00,000 Add: Factory overhead 1,00,000 Factory Cost 7,00,000 Add: Office overhead 70,000 Total Cost 7,70,000 Overhead rates...
The Net profit as shown by the financial account is Rs.2,00,000. On reconciliation, the following details were ascertained: (i) Selling overheads were not recorded in the cost account Rs.20,000 (ii) Closing stock - Cost account Rs.50,000, Financial account Rs.75,000 (iii) Goodwill written off shown in financial account was Rs.5,000 (iv) Tax paid Rs.30,000. Required: Reconciliation statement of cost and financial account.
Reconciliation Statement (starting from Financial Profit) Particulars (+) Rs. (-) Rs. --------- Net Profit as per Financial Account 2,00,000 Selling overheads not charged in cost account 20,000 Goodwill written off (in financial account ...
Adjustments: Prepaid salaries Rs.1,000; $$ \begin{aligned} \text{Proposed dividend} &= 10% \text{ of } 1{,}50{,}000 \ &= ...
(i) Current Liabilities: (ii) Sales amount: $$ \begin{aligned} \text{Inventory turnover} &= \text{Sa...
Total output for the month = Output per hour Hours worked Under the piece rate system, total wage = Output Rate per unit $$ \begin{aligned} &= ...