KAKARAPARTI BHAVANARAYANA COLLEGE (AUTONOMOUS)

(Sponsored by S.K.P.V.V. Hindu High Schools Committee) Kothapeta, Vijayawada FINANCIAL ACCOUNTING-I (CFA 101A) Date: 13/08/2013 Time: 10 a.m. 11.30 a.m. Max. Marks: 40 Section A Answer any TWO from the following 2x5 = 10

1. Define Accounting and give main features, objectives and functions of accounting 2. Discuss the main systems of recording business transactions. 3. Define Computerised accounting and give main features and advantages of computerized accounting. 4. What are the steps in creation of vouchers in computerized accounting Section B Answer any THREE from the following 3x10 = 30

1. Journalise the following transactions and prepare trial balnce in the books of M/s Kohil & Co. 2013 Jan-1 Started business with cash Rs.100,000, with bank balance Rs.20,000 and with a machinery costing Rs.75000 Jan 1 Paid in to bank Rs.50,000 Jan 2 Goods Purchased for cash 30,000 Jan 3 purchased furniture and paid through cheque Rs.10,000 Jan 5 sold goods for cash Rs.54,000 to Kamesh & Sons Jan 8 goods sold to Ajay & Sons Rs.70,000 Jan 10 paid office rent Rs,10000 Jan 15 sold goods to M/s Bharat Electricals Ltd. Rs,75,000 Jan 29 cheque deposited into bank Rs,1000 Jan 30 salaries paid Rs.15000 2. Rolly was carrying on business as a cloth dealer. On 1st July, 2013 his assets were: Furniture & Office equipment Rs.2500, Stock of cloth Rs.25000, cash in hand Rs.1200, Bank balance Rs.8500; amount due from Bitto Rs.1200; amount due from Gopan Rs.1500. On the other hand he owed Rs. 2000 to Minoo and Rs.1450 to Pappu. His Transactions during July, 2013 are as follows: 1 Sold cloth on credit to Gifloo Rs. 500 2 Purchased cloth from Amboo on credit Rs.2000 3 paid rent by cheque Rs.3000 5 received cheque from Bitto Rs. 11800 and allowed him a discount Rs.200 6 paid stationary and postage Rs.500 8 drawn cash for private use Rs.2500 12 Bitto cheque returned dishonoured by bank which charges Rs.5 for expenses 18 cash sales Rs.30000 20 paid income tax Rs, 2000 22 purchased government securities Rs. 30000

purchased two table fans for Rs. 1200 each from M/s Seetarama Electricals one electric fan was stolen bought a horse for Rs.25000 and carriage for 12000 for delivering goods to customers. 28 exchanged old furniture for new: price of new furniture Rs.600; value of old Furniture Rs.200 (Cost Rs.350); balance paid in cash 31 stock lost by fire Rs.10000 31 the horse bought on 27th July died, and its carcass was sold for Rs. 1000 Journalise the above transactions in the books of Rolly Ltd for the month ending July, 2013. 3. Enter the following transactions of Prakash Arts in Double Column Cash Book. 2013 July -1 Balance of cash in hand 1600 2 Paid to Mohan (discount allowed Rs.20) 780 3 Cash Sales 4000 4 sale of old news papers 500 4 Paid for duplicator 8000 4 Withdrawn from Bank 4000 5 Received from Anand (in full settlement of his debt Rs.6000) 5700 6 sale of old furniture 950 7 Received from Ram (Discount allowed Rs.150) 4000 7 Paid wages 500 7 Received from Raja against debt previously written off 150 4. Enter the following transactions in triple column cash book June 1 cash in hand Rs.15700, cash at bank Rs.25400, and capital account Rs.41100 2 bought goods for cash for Rs.4100 4 purchased goods from Meena & Co. for Rs.5800 less 10% trade discount 7 sold goods to Bedi & co for Rs.8900 less 20% trade discount 9 withdraw Rs. 500 from bank for private use 12 sold goods to Amjad Khan for Rs. 6400 15 Rs.5000 paid to Meena & Co. in full settlement of their account 18 goods worth Rs.400 returned by Amjad Khan 20 Received Rs. 4000 from Amjad Khan 21 Purchased goods from Shiv Dayal & Co. for Rs. 8700 23 Rs.6000 paid to Shiv Dayal & Co.by cheque; discount allowed Rs.300 24 purchased furniture for Rs.800 from Manjeet Furniture House on credit 26 paid into bank Rs. 2200 28 Amjad Khan declared insolven; a first and final dividend of 50 paisa in a rupee is received from him 29 goods worth Rs.600 returned to Shiv Dayal & Co. 30 Interest on Capital provided Rs. 411 30 goods worth Rs. 400 taken by the proprietor for his personal use 30 paid Rs.500 for advertisement by cheque 30 paid salaries Rs.1800 30 cash sales Rs. 21800 30 paid into bank Rs.20000 30 bought 100 shares in Hind Mill Ltd. at Rs.11 per share brokerage paid Rs,25 30 received Rs.5900 from Bedi & Co., discount allowed Rs.100

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