Khwopa Board Exam Base 5 Model Practice Sets – 2080

Accounting
Set-01
Candidates are required to give their answers in their own words as far as practicable. The figures in the
margin indicate full marks.
Time: 3 hrs. Full Marks: 75
Attempt all the questions
Group 'A'
Very short answer questions 11 × 1 = 11
1. What is chartered company?
2. Write about paid up capital.
3. State any two items included in fixed assets.
4. What is service costing?
5. What is semi-variable overhead?
6. Write about codification of material.
7. What is piece rate system of wages payment?
8. State any two usages of computer software.
9. Proposed dividend by Rs. 10,000.
Required: Adjustment Entry
10. Following information are given:
Net income Rs. 800,000
Non-cash expenses Rs. 80,000
Decrease in current liabilities Rs. 120,000
Required:
Cash flow from operating activities using indirect method.
11. Following information are given:
Annual material requirement 80,000 kg
Economic order quantity 5,000 kg
Required: No. of orders
Group 'B'
Short answer questions 8×5=40
12. JCG Company Ltd. issued 30,000 shares of Rs. 100 each at 10% discount payable as follows:
On application Rs. 30
On allotment Rs. 40
On final call Rs. 20
Applications were received for 42,000 shares. 2,000 applicants were rejected and allotted in pro rata basis
to the remaining applicants. All call money were duly received except on final call money on 3,000 shares.
Required: Journal entry for;
a) Share application
b) Share allotment
c) Share final call 1.5+1.5+2
13. (I) Suman company issued 6,000 shares at Rs. 100 per share including premium of Rs.10 each to acquire
plant of Rs. 1,00,000, Furniture of Rs.500,000 and Stock of Rs.200,000.
Required: Entry for purchase of assets by issuing share 1+ 1
(II) A company issued 800, 13% Debentures of Rs. 1,000 each at 10% premium and redeemable after 5
years at 5% premium.
Required: Journal Entries for issue and redemption of debenture 2+ 1

14. A trial balance of a company as on 31st Ashadh is as under.

Debit Items Rs. Credit Items Rs.
Purchase 200,000 Sales 600,000
Opening Stock 100,000 Commission 20,000
Wages 40,000 Bad Debts Recovered 40,000
Salary 50,000 12% Debenture 100,000
Interest Paid 10,000 Interest & Dividend 30,000
Rent 30,000
Insurance 15,000
1
Additional information:
a) Prepaid insurance Rs. 5,000
b) Wages due Rs. 6,000
Required: a) Trading Account b) Profit & Loss Account 2+3

15. An unadjusted trial balance of a company is given below.

Items Debit (Rs.) Credit (Rs.)
Purchase 400,000
Machinery 600,000
Wages 60,000
Salaries 40,000
Debtors 100,000
Creditors 40,000
Share Capital 300,000
Interest Received 60,000
Sales 800,000
Total 1,200,000 1,200,000
Additional information:
i) Depreciate Machinery by 10%
ii) Salary payable: Rs.12,000
Required: Work sheet 5
16. Classify the overheads with features on the basis of behavior. 5
17. (I) Write the disadvantages of decentralized purchase. 2
(II) Sangam company had the following transaction during the month of June.
June1: Beginning inventory 800 units@ Rs. 20 each
June 6: Purchase 900 units@ Rs. 25 each
June18: Purchase 600 units@ Rs. 30 each
Total sales during June 1,800 units
Required: Cost of ending inventory and cost of goods sold using weighted average method under periodic
inventory system. 3
18. (I) The standard time per unit is 4 hours. The piece rate is Rs. 300 per unit and workers worked 1,600
hours in a month.
Required: Total wages of worker 2
(II) Following information are given:
i) Net Loss-shown by cost account Rs. 150,000
ii) Factory overhead over recorded in financial account Rs. 10,000
iii) Depreciation under charge in cost account Rs. 6,000
iv) Dividend received recorded in financial account Rs. 3,000
Required: Cost Reconciliation statement 3
19. Define computerized accounting system. Explain the importance of computer system in accounting.
Group 'C'
Long answer questions 3 × 8 = 24
st
20. The Trial balance of a company as on 31 Chaitra is given below:
Particulars Dr. Rs. Particulars [Link]
Opening Stock 40,000 Sales 7,50,000
Purchase 5,00,000 Share capital 4,00,000
Wages 1,66,000 12% Debentures 3,00,000
Carriage 7,000 Purchase return 40,000
Salary 60,000 Provision for bad debt 5,000
Debtors 1,00,000 Provision for tax 10,000
Machinery 6,00,000 Profit & loss account 2,80,000
Cash 80,000
Selling expense 20,000
Rent 60,000
Interest on debenture 16,000
Bad debt 16,000
Investment 1,20,000
Total 17,85,000 Total 17,85,000
2
Additional information:
i) Closing stock: Rs. 2,00,000
ii) Depreciate machinery by 20%
iii) Profit transferred to general reserve Rs. 10,000
iv) Proposed dividend 10% on share capital
Required: a) Profit or loss statement based on NFRS
b) Statement of financial position based on NFRS 4+4 = 8
21. The closing balance of different assets and liabilities are given below.
Particulars Year I (Rs.) Year II (Rs.)
Machinery 7,00,000 9,00,000
Debtors 2,10,000 2,40,000
Inventory 1,45,000 1,80,000
Creditors 80,000 1,10,000
Share capital 2,00,000 3,00,000
Expenses due 25,000 40,000
Investment 2,00,000 2,75,000
Cash 2,10,000 ?
Additional information:
i) Sales for the year Rs. 10,50,000 and cost of goods sold Rs. 8,10,000
ii) Operating expenses Rs. 2,05,000, including depreciation Rs. 65,000
iii) Machinery sold for Rs. 1,25,000 and purchased for Rs. 3,80,000
iv) Dividend paid for the year Rs. 20,000
Required: Cash flow statement under direct method 8
22. A manufacturing company showed the following details of its production cost for 5,000 units.
Raw materials:
Direct Rs. 600,000
Indirect Rs. 40,000
Wages:
Direct Rs. 400,000
Indirect Rs. 30,000
Carriage inward Rs. 10,000
Carriage outward Rs. 5,000
Factory expenses Rs. 40,000
Salaries Rs. 60,000
Insurance Rs. 12,000
Selling expenses Rs. 4 per units sold
Profit: 25% of cost price

Stock details: Opening Closing

Raw materials Rs. 60,000 Rs. 80,000
WIP Rs. 30,000 Rs. 20,000
Finished goods 1,000 units 2,000 units
Required: Cost Sheet 8
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3
Set-02
Candidates are required to give their answers in their own words as far as practicable. The figures in the
margin indicate full marks.
Time: 3 hrs. Full Marks: 75
Attempt all the questions
Group ‘A’
Very Short Answer Questions 11 × 1=11
1. Write the meaning of government company.
2. Give the meaning of convertible preference share.
3. What is fixed Assets.
4. State any two importance of cost accounting.
5. Write the meaning of direct material.
6. Write about Material Control.
7. Mention any two disadvantages of time rate system of wages payment.
8. State any two advantages of computer software.
9. Prepare adjustment entry of appreciation on land by Rs.32,000.
10. From the following information calculate cash collection from customers.
Sales Rs.900,000
Increase in Debtors Rs.50,000
11. Following information given to you:
Daily Requirements 3,000 to 5,000 kg
Re-order period 6 to 8 days
Required: Re-order Level
Group B
Short Answer Questions 8 × 5 = 40
12. A shareholder holding 600 shares out of 4,000 shares of Rs.100 each issued at 5 % discount fails to pay
final call money Rs. 40 per share. His shares were forfeited, the company reissued those forfeited shares
@ Rs. 85 as fully paid up.
Required: Journal entry for
a. Final call
b. Share forfeiture
c. Share re-issue
d. Transfer (1.5+1.5+1+1=5)
13. A. PQR Co. Ltd took over the following assets of XYZ Co. Ltd. at an agreed value of Rs.500,000:
Building Rs. 200,000
Equipment Rs. 100,000
Debtors Rs. 180,000
Required: Journal entry for purchase of assets and issue of share @Rs.100 each at 25% premium
1+1=2
B. A Co. Ltd. issued 800, 13% Debentures @Rs.1,000 each at 15% discount and redeemable at 10% discount
after 7 years.
Required: Journal entries for issue and redemption of debenture 1+2=3
14. Following Information given as:
Particulars Dr. (Rs.) Particulars Credit (Rs.)
Opening Stock 20,000 Sales Revenue 500,000
Purchase 270,000 Share Capital 400,000
General expenses 20,000 Interest and Dividend 69,000
Sales commission 16,000
Rent 40,000
Trade expenses 10,000
Salaries 9,000
Wages 7,000
Insurance 50,000
Bank Charge 16,000
Additional Information:
a. Closing stock Rs. 90,000
b. Depreciate on plant and equipment Rs.12,000
c. Rent still to be paid Rs.2,000
Required: a. Trading Account b. Profit and loss account 2+3= 5

4
15. The following is the Trial Balance of a company:
Trial Balance as on 30th Chaitra 2077
Debit Dr. (Rs.) Credit Cr. (Rs.)
Purchase 300,000 Share Capital 100,000
Wages 20,000 Sales 550,000
Salary 30,000 Creditors 20,000
Furniture 250,000 Profit and Loss Account 80,000
Debtors 150,000
Total 750,000 Total 750,000
Additional Information:
a. Outstanding Salary Rs.2,000
b. Proposed Dividend @20%
c. Depreciation on Furniture: 10%
Required: Work Sheet 5
16. Mention the objectives of cost account with its definition. 2+3
17. A. Write the meaning of bin card. 2
B. The following are the store transactions for the month of March.
March 1: Opening stock 800 units @ Rs 40
March 5: Purchase 900 units @ Rs 42
March 10: Purchase 1,000 units @ Rs. 41
March 20: Issued 1,300 units
Required: Value of closing stock and Cost of goods issued (Sold) using weighted average method under
periodic inventory system 3
18. A. A worker earned Rs.24,000 in a week of 6 working days. His working hours per day are 8 hours.
Required: Wage Rate per hour of the worker 2
B. Net profit shown by Financial Account Rs.460,000
a. Office overhead overcharged in financial account Rs.18,000
b. Income tax paid Rs.12,000 recorded only in financial account
c. Closing stock undervalued in Cost Account Rs.9,000
Required: Cost Reconciliation Statement 3
19. What is computer accounting? Explain the limitations of computer accounting. 2+3=5
Group ‘C’
Long Answer Questions 3 × 8 = 24
20. The following is the Trial Balance of a Company:
Trial Balance as on 31st December 2020
Particulars Debit (Rs.) Particulars Credit (Rs.)
Machinery 400,000 Share Capital 300,000
Opening Stock 20,000 Sales 689,000
Purchase 300,000 Interest on Investment 30,000
Debtors 200,000 Debenture 100,000
Wages 30,000 Creditors 160,000
Custom Duty 20,000
Salary 40,000
Rent 50,000
Cash 60,000
Furniture 70,000
Investment 80,000
Interest on Debenture 9,000
Total 1,279,000 Total 1,279,000
Additional information:
a. Closing Stock: Rs.60,000 b. Prepaid Rent Rs.8,000
c. Salary due for 2 months d. Provision for tax @20%
e. Depreciation on Machinery by 10%
Required: i. Statement of Profit or Loss as per NFRS
ii. Statement of Financial Position as per NFRS 4+1+3=8

5
21. The Income Statement and the balance sheet of the company are given below:
Income Statement
Particulars Debit (Rs.) Credit (Rs.)
Sales Revenue 1,200,000
Less: Cost of goods sold 700,000
Gross Profit 500,000
Less: Operating expenses:
Depreciation 160,000
Other Operating expenses 200,000
Premium on Redemption of debenture 20,000 380,000
Net Profit before other income 120,000
Add: Profit on sale of plant (Book value, 40,000) 20,000
140,000
Less: Dividend paid 40,000
Retained Profit 100,000

Comparative Balance Sheet

Liabilities Year 1 (Rs.) Year 2 (Rs.) Assets Year 1 (Rs.) Year 2 (Rs.)
Share Capital 1,100,000 1,320,000 Plant 1,200,000 1,600,000
10% Debentures 200,000 100,000 Inventories 100,000 200,000
Bills Payable 300,000 380,000 Debtors 300,000 200,000
Retained Earning 200,000 300,000 Cash 200,000 100,000
1,800,000 2,100,000 1,800,000 2,100,000

Additional information:
• Purchase of plant for Rs.600,000
• Redemption of debenture with premium Rs.120,000
Required: Cash flow statement under Indirect Method 4+1+2+1=8
22. The details of manufacturing and other costs are as follows:
Sales for the year Rs.600,000
Purchase of Raw Material Rs.180,000
Direct labour cost Rs.100,000
Factory overhead 100% of direct labour cost
Selling expenses was 5% of sales
Administrative expenses 20% of factory cost
The opening and closing balance were:
Particulars Opening Closing
Raw Material Rs.20,000 Rs.40,000
Work in progress Rs.40,000 Rs.30,000
Finished Goods Rs.36,000 Rs.24,000
Required:
(a) Prime Cost
(b) Factory cost
(c) Production Cost
d) Cost of Goods Sold
(e) Cost of Sales
(f) Net Profit 2+2+1+1+1+1
◙◙

Set-03
Candidates are required to give their answers in their own words as far as practicable. The figures in the
margin indicate full marks.
Time: 3 hrs. Full Marks: 75
Attempt all the questions Group 'A'
Very short answer questions 11 × 1 = 11
1. Define registered company.
2. What is cumulative preference share?
3. Define non-current assets.
4. Write any two limitations of financial accounting.
5. What is contract costing?
6. What do you mean by periodic inventory system?
6
7. What is labour cost control?
8. Write the short cut key of receipt voucher and payment voucher.
9. Prepared adjusting entry for profit transfer to general reserve Rs. 75,000.
10. From the following information, calculate purchase of fixed assets.
Depreciation on fixed assets Rs. 80,000
Fixed assets having book value of Rs 100,000 sold for Rs. 80,000.
Fixed assets (net): Year 2079: Rs. 800,000
Year 2080: Rs. 1200,000
11. If annual requirements are 200,000 kgs and optimum no. of order is 20 times then find the optimum
order size.
Group B
Short Answer Questions 8×5=40
12. Kamana co. ltd. was registered with 30,000 shares of subscription at the premium of Rs. 5 per share. The
money was payable as follows:
On application Rs. 30 on allotment Rs. 40
On first calls Rs. 20 and on final call balance
Applications were received for 50,000 shares. Allotment was not made to the applicants for 10,000 shares.
Rest was allotted on pro-rata basis. All calls were duly made and received except:
i. A shareholder holding 2,000 shares paid the full value of share on allotment.
ii. A shareholder holding 4,000 shares failed to pay allotment and calls money
Required: Journal entries
a. share allotment b. share first call c. share final call 2+1.5+1.5
13. A. Surya ltd. issued 10,000 15% debentures of Rs. 100 each at 95% of the par value. They are
redeemable at 110% of the par value at the end of five years.
Required: Entries for issue and redemption of debentures 3
B. Kabir ltd. purchased the following assets and liabilities whose purchase price is Rs. 17,60,000. Payment
was made by issuing shares of Rs 100 each at 10% premium.
Land and building Rs. 10,00,000 Machinery Rs. 600,000
Inventories Rs. 100,000
Creditors Rs. 60,000
Required: Journal entries for purchase of assets and liabilities 1+1
14. The following ledger balances of A company as on 31st Chaitra 2078 are as follows:
Particulars Dr. Amount Particulars Cr. Amount
Building 600,000 Share capital Rs. 100 each 10,00,000
Machinery 300,000 Creditors 120,000
5% investments 400,000 P/L appropriation a/c 80,000
Salaries 150,000 10% bank loan 100,000
Debtors 200,000 Gross profit 710,000
Cash at bank 40,000
Closing stock 320,000
Total 20,10,000 Total 20,10,000
Additional information:
i. Provide depreciation on building at 5% and machinery at 10%
ii. Provision for doubtful debt is to be made at 5% on sundry debtors
iii. Outstanding salaries Rs. 10,000
iv. The directors proposed 10% dividend on share capital.
v. Profit transfer to sinking fund Rs. 70,000.
Required: a. Profit and loss account b. Profit and loss appropriation account 3+2
15. Trial balance of A limited company as on 31st Ashadh is given below:
Particulars Debit Rs. Particulars Credit Rs.
Purchase 16,00,000 Sales 20,60,000
Land and buildings 800,000 Creditors 200,000
Bills receivable 400,000 Bank overdraft 40,000
Salaries 568,000 Reserve and surplus 100,000
Cash at bank 12,000 Equity share capital 10,00,000
Advertisement 20,000 Advance income 100,000
Prepaid expenses 100,000
Total 35,00,000 Total 35,00,000

7
Additional information:
i. Salary outstanding Rs. 40,000.
ii. Prepaid expenses expired to the extent of Rs. 75,000
iii. Appreciation on land and building by 10%.
Required: Worksheet 5
16. Define cost accounting and write the objectives of cost accounting. 2+3
17. A. Define the term store ledger and bin card? 2
B. The following store related transactions are given:
Chaitra 01: opening stock 1,300 units @ Rs. 300
Chaitra 03: Purchase 800 units @ Rs. 350
Chaitra 09: Issued 1,500 units
Chaitra 10: Purchase 450 units @ Rs. 360
Chaitra 12: Return to supplier 50 units
Chaitra 15: Issued 600 units
Chaitra 25: Stock verification surplus 50 units
Required: Store ledger under FIFO method 3
18. A. The total wages earned by Mr. Dhurba for a month of 24 working days is Rs. 38,400. The working
hours for a day is 8 hours.
Required: Wage rate per hour 2
B. The net profit shown by cost account is Rs 4,80,000. On reconciliation of financial and cost account,
following facts were located.
i. Depreciation charged in financial account Rs. 80,000 and in cost account Rs. 96,000.
ii. Income tax paid in financial account Rs. 40,000.
iii. Works overhead recovered: in financial account Rs. 120,000 and in cost account Rs. 100,000.
Required: Reconciliation statement of cost and financial accounts. 3
19. What do you understand by accounting software? Write the features of accounting features. 5

20. Lalitpur Suppliers depicts the list of accounts for the year ended 31st Ashadh 2077
Particulars Rs.
Cash and bank balance 90,000
Unexpired insurance 30,000
Office suppliers 48,000
Office machine 360,000
Furniture 24,000
Loan 60,000
Account payable 72,000
Capital stocks 270,000
Service revenue 360,000
Utility expenses 90,000
Salaries and wages 120,000
Adjustments information:
i. Salaries and wages due Rs. 24,000
ii. Closing supplies Rs. 8,000
iii. Unexpired insurance expired Rs. 6,000
iv. Depreciation on machinery Rs. 24,000
v. Income tax @ 25%.
Required: a) Statement of profit or loss as per NFRS
b) Statement of financial position as per NFRS 4+4
21. The following are the income statement and balance sheet of ABC company ltd. for the year ended 31st
Chairta.
Balance sheet as on 31st Chaitra
liabilities 2077 (Rs.) 2078 (Rs.) Assets 2077 (Rs.) 2078 (Rs.)
Share capital 500,000 700,000 Plant 630000 850000
Share premium 50,000 70,000 Debtors 330000 250000
5% debentures 400,000 200,000 Stock 90000 100000
Sundry creditors 100,000 140,000 Cash at bank 50000 110000
Retained earnings 50,000 200,000
Total 11,00,000 13,10,000 Total 11,00,000 13,10,000

8
Income Statement for the year ended 31st Chaitra 2078
Particulars Rs. Rs.
Sales 14,50,000
Less: cost of goods sold 820,000
Gross profit 630,000
Less: operating expenses
Administrative expenses 250,000
Selling and distribution expenses 48,000
Sundry expenses 44,000
Depreciation for the year 88,000
Premium on redemption of debenture 20,000
Loss on sales of plant (book value Rs. 45,000) 30,000 480,000
Net profit 150,000
Purchase of plant for the year 2078 was Rs. 353,000.
Required: Cost Flow Statement 3+2+2+1
22. A company showed the following details of its production cost for 8000 units of previous year.
Direct materials Rs. 200,000
Direct wages Rs. 120,000
Factory overheads Rs. 60,000
Administrative overheads Rs. 76,000
Selling expenses Rs. 38,000
Profit 20% of selling price
The department wants to estimate the total cost and selling price for 4000 units. It is estimated that:
i. Cost of raw materials will increase by 20%.
ii. Wages cost will be increased by 30%
iiii. Overheads are allocated as under;
iv. Factory overhead on the basis of direct wages and office overheads and selling expenses on the basis
of factory cost
Required: a. cost sheet for previous year b. tender sheet with selling price 4+4
***
Set-04
Candidates are required to give their answers in their own words as far as practicable. The figures in the
margin indicate full marks.
Time: 3 hrs. Full Marks: 75
Attempt all the questions Group 'A'
Very short answer questions 11 × 1 = 11
1. Mention any two important documents of a company.
2. Write the meaning of called up capital.
3. List out any two limitations of financial statements.
4. Write the meaning of batch costing.
5. Write the meaning of semi variable overhead.
6. Give the meaning of purchase order.
7. Mention any two disadvantages of time rate system of wages payment.
8. Define account masters.
9. Prepare adjustment entry for commission earned but not received Rs.20,000
10. Find out the cash collection from sales, if sales is Rs.50,000 during the year and increase in debtors by Rs. 4,000
11. If annual Consumption is 9,000 units & number of order is 6 times. Find out the EOQ.
Group B
Short Answer Questions: 8×5=40
12. A company forfeited 300 shares out of 6,000 issued shares @Rs.100 each at 10% discount due to non-
payment of first and final call money of Rs.30. These shares were subsequently re-issued at Rs.75 per
shares as fully paid up
Required: Entries for Share final call, forfeiture, Re-issue and Transfer 2+1+1+1
13. I. X Company purchased the following assets of Y Company at an agreed price of Rs. 450,000.
Land and building Rs.400,000, Debtors Rs.50,000
X Company paid the purchase price by issuing shares of Rs. 100 each at discount of 10%.
Required: Entry for purchase of above assets by issuing shares 2
II. P Company Ltd issued 3,000, 9% Debenture of Rs 100 each at 5% premium and redeemable at 10%
premium after 5 years.
Required: Journal entries for issue and redemption of debentures 1+1+1=3
9
14. The following is the information of Pashupati Co. Ltd. as on 31st March 2021)
Particulars (Rs.) Particulars (Rs.)
Purchase 275,000 Sales 530,000
Insurance 24,000 Interest received 5,000
Rent 10,000 Salary 36,000
Opening Stock 80,000 General Expenses 20,000
Wages 175,000 Selling Expenses 15,000
Additional Information:
i. Stock Rs. 80,000 at market price and Rs.70,000 as cost price.
ii. Depreciation on fixed assets Rs. 10,000
iii. Provision for taxation Rs.7,000
Required: a. Trading Account b. Profit and Loss Account 2+3
15. Trial balance of a company Ltd as on last year ended is as follows:
Debit Rs. Credit Rs
Purchases 8,00,000 Sales 12,00,000
Opening stock 2,00,000 Bills payable 60,000
Wages 30,000 Share capital 2,00,000
Rent 50,000 Profit and loss account 40,000
Office expenses 44,000
Cash 76,000
Fixed assets 2,00,000
Customers 1,00,000
Total 15,00,000 Total 15,00,000
Additional Information):
1. Depreciations on fixed assets:15%
2. Proposed dividend 12%
Required: 12 column worksheet 5
16. Give the meaning of cost accounting, and mention any three objectives of cost accounting. 5
17. I. Write about centralized store. 2
II. The following information is available of a manufacturing company:
Details Units Unit Cost
Beginning inventory 1,000 Rs 60
Purchases:
Baishakh 02 1,500 Rs 70
Baishakh 10 2,000 Rs 80
Baishakh 15 2,500 Rs 90
During the month of Baishakh , inventory issued (Sales) 7,000 units
Required: Cost of goods sold and cost of closing stock under simple average method using periodic
inventory system 3
18. I. Standard time to produce each unit of output is 2 hours. A worker produced 250 units during the
months. Wages rate per hour is Rs. 20.
Required: Total wages for the month 2
II. Following facts were discovered from cost and financial accounting:
a. Net profit as per financial account Rs 77,000
b. Over valuation of opening stock in cost account Rs.20,000.
c. Administrative expenses under absorbed in cost account Rs.30,000.
e. Dividend received recorded in financial account Rs. 20,000
Required): Cost reconciliation statement 3
19. Write in brief the uses of computer in accounting. 5

10
Group C
Long answer questions: 3×8=24
20. The Trial balance of a company limited as on last year is give:
Particulars Debit (Rs) Particulars Credit (Rs)
Opening stock 1,50,000 Share Capital 300,000
Wages 40,000 10% Bank Loan 150,000
Purchase 4,50,000 Commission 20,000
Rent 20,000 Creditors 60,000
Interest on bank loan 10,000 Profit and Loss account 50,000
Salaries 40,000 Sales 635,000
Furniture 100,000
Debtors 80,000
Advertisement 10,000
Carriage 5,000
Prepaid Insurance 15,000
Machinery 200,000
Cash 55,000
Goodwill 40,000
Total 1,215,000 Total 1,215,000
Additional information:
a. Stock at close: Rs.210,000.
b. Outstanding wages: Rs.5,000
c. Pre-paid Insurance expired: Rs. 10,000
d. Provision for tax: Rs. 10,000
Required: Income statement and classified Balance Sheet
Or
Statement of profit or loss and statement of financial position based on NFRS 4+4

21. The Balance Sheet and income statement of A Ltd. are given below):
Liabilities 5th year 6th year Assets 5th year 6th year
Share capital 200,000 300,000 Furniture 200,000 260,000
Debenture 150,000 130,000 Land 130,000 145,000
Creditor 140,000 150,000 Stock 180,000 200,000
Bank overdraft 120,000 110,000 Debtors 130,000 120,000
Retained earnings 140,000 160,000 Cash 110,000 125,000
Total 750,000 850,000 Total 750,000 850,000

Income Statement for the year ending 6th year

Items Rs.
Sales 7,800,000
Less: Cost of goods sold: 6,700,000
Gross margin 1,100,000
Less: Operating expenses 1,040,000
Depreciation 20,000
Premium on redemption of Debenture 1,000
Loss on sale of furniture (Book value Rs. 20,000) 5,000 1,066,000
Net income 34,000
Other information):
a. Sale of furniture for Rs. 15,000 and purchase of Furniture for Rs.100,000
b. Dividend paid for the year: Rs.14,000
Required: Cash flow statement using indirect method 4+1+2+1

11
22. Cost information for manufacturing a product is given below
Direct Material: 20,000 kgs @ Rs. 20 per kg
Direct Labour cost: 80% of cost material
Factory overhead: Rs.128,000
Administrative overhead: Rs.84,800
The following estimations were made for submitting a tender:
The estimated cost of materials is Rs.30,000 Direct labour Rs.24,000
Factory overhead are absorbed on the basis of direct labour
Administrative overheads are absorbed on the basis of factory cost
A profit of 20% on quotation price (i.e. selling price) is estimated
Required: A Statement of Cost and Tender Sheet 3+5
***

Set-05
Candidates are required to give their answers in their own words as far as practicable. The figures in the
margin indicate full marks.
Time: 3 hrs. Full Marks: 75
Attempt all the questions Group "A"
Very short answer questions 11×1=11
1. Mention any two features of public ltd. company.
2. Write any two features of preference share.
3. List any two items of current liabilities.
4. Mention any two importance of cost accounting.
5. Classify overhead according to elements.
6. Mention any two objectives of materials control.
7. State any two disadvantages of piece rate system.
8. State any two importance of computer system in accounting.
9. Prepare adjusting entry of commission received in advance Rs. 10,000.
10. From the following information calculate cash flow from operating activitiesunder indirect method.
Net Income Rs. 500,000
Non-operating incomes Rs. 10,000
Decrease in current Assets Rs. 40,000
11. Minimum and maximum consumption of materials are 50 units and 70 units respectively. The materials
are received within 4 to 6 days.
Required: Re-order level
Group "B"
Short answer questions 8×5=40
12. A limited company issued 10,000 shares of Rs. 100 each at 10% discount payable as follows:
On application Rs. 20
On allotment Rs. 40
On first and final call Rs. 30
Application were received for 30,000 shares. Out of these, applicants for 3,000 shares were allotted full,
14,000 applicants were allotted 7,000 shares and rest were rejected. Excess money on application were
utilized towards the allotment. All money were duly received except one shareholder holding 800 share
paid full value on allotment.
Required: Journal entry for 2+1.5+1.5
a) Share application
b) Share allotment
c) Share first and final call
13. I. A company purchased following assets at an agreed price of Rs. 4,00,000 :
Land & BuildingRs. 2,50,000
Furniture Rs. 1,00,000
The company paid purchase consideration amount by issuing shares of Rs. 100 each at par.
Required: Entries for purchase of assets and issue of share 1+1
II. A company Ltd. issued 8,000 7% debentures of Rs. 100 each at 5% discount, redeemable after 10 years
at 10% premium.
Required: Entries for issue and redemption of debentures 1+1+1

12
14. The following ledger balances of a company was drawn up on 30th Chaitra last year.
Debit Amount Rs. Credit Amount Rs.
Opening stock 12,000 Discount on sales 5,000
Purchase 90,000 Capital 150,000
Salary 58,000 Sales 132,000
Rent 14,000
General expenses 8,000
Wages 6,000
Fixed assets 80,000
Cash 19,000
Total 287,000 Total 287,000
Additional information:
a) Closing stock Rs. 5,000
b) Provision for tax Rs. 6,000
c) Depreciation on fixed assets @ 10% p.a.
Required: a) Trading account
b) Profit and loss account 2+3
15. Trial balance of a company is as under:
Particulars Dr. Rs. Cr. Rs.
Creditors 10,000
P & L A/C 20,000
Capital 80,000
Sales 160,000
Fixed assets 80,000
Other assets 40,000
Purchase 90,000
Prepaid rent 16,000
Salary 24,000
Advertising 12,000
Other expenses 8,000
Total 270,000 270,000
Additional information:
a) Prepaid rent Rs. 12,000 was expired
b) Proposed dividend Rs. 10,000
Required: Work sheet 5
16. Write the meaning of cost accounting and explain its any three objectives. 2+3
17.I. State the meaning of store ledger. 2
II. A firm furnishes the following stores transactions for the month of Mangsir:
Mansgir 1: opening balance 250 units @ Rs. 5 per unit
Mansgir 5: receipts from vendor 1,000 units @ Rs. 6 per unit
Mansgir 10: issued 750 units
Mansgir 15: receipts from vendor 1,000 units @ Rs. 7 per unit
Mansgir 25: Issued 1,200 units
Mansgir 28: shortage in stock taking 100 units
Required: Store ledger under LIFO method showing received, issued and balance 3

18. I. A worker earned Rs. 4,000 in a day. His working hour per day is 8 hours. Standard rate per unit is 30
minutes
Required: Wages rate per unit 2
II. Net profit shown by financial account Rs. 4,60,000.
a) Office overhead overcharged in financial A/c Rs. 22,000.
b) Income tax paid Rs. 12,000.
c) Closing stock under valued in cost A/c Rs. 8,000.
Required: Cost reconciliation statement 3

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19. What is accounting software? Explain the advantages of accounting software. 5
Group "C"
Long answer questions 3×8=24
20. The following is the trial balance of company:
Particulars Dr. Rs. Particulars Cr. Rs
Land and building 4,00,000 Share capital 3,00,000
Opening stock 20,000 Sales 6,89,000
Purchase 3,00,000 Interest income 30,000
Bill receivable 2,00,000 Debenture 1,00,000
Wages 30,000 Creditors 1,60,000
Carriage inwards 20,000
Salary 40,000
Prepaid rent 50,000
Bank 60,000
Computer 70,000
Investment 80,000
Interest on debenture 9,000
Total 12,79,000 Total 12,79,000
Additional information:
a) Closing stock Rs. 60,000
b) Prepaid rent expired Rs. 32,000
c) Salary due for 2 months
d) Provision for tax @ 20%
e) Depreciation land and building @ 10%
Required: a) Statement of Profit or loss as per NFRS 4
b) Statement of Financial position as per NFRS 4
21. A company's two years balance sheet is provided as follows:
Liabilities Year I Year II Assets Year I Year II
Share capital 27,500 33,000 Fixed Assets 30,000 40,000
Debentures 5,000 2,500 Inventory 2,500 5,000
Creditors 7,500 9,500 Debtors 7,500 5,000
Retained earnings 5,000 7,500 Cash 5,000 2,500
Total 45,000 52,500 Total 45,000 52,500
Additional information:
i) Sales Rs. 30,000
ii) Cost of goods sold Rs. 22,000
iii) Cash operating expenseRs. 4,500
iv) Fixed assets purchased Rs. 10,000
v) Tax paid Rs. 500
vi) Divided paid Rs. 500
Required: Cash flow statement by using direct method 4+1+2+1
22. The following information was given to you in respect of production of 19200 units of plastic Buckets:
Raw material purchased Rs.99,000
Direct labour cost Rs.82,500
Rent, rate and factory expenses Rs.33,000
Carriage on purchase Rs.1,200
Factory supervision cost Rs.6,600
Administrative overhead is charged at 10% of worker's cost
Selling and distribution expenses Rs. 0.75 per unit sold
Sales Revenue Rs. 305110
Beginning Ending
Raw materials Rs. 22,000 Rs. 18,400
Work in progress Rs 15,300 Rs. 17,600
Finished goods in units 1200units 2400 units
Required: Cost Sheet showing profit percentage on cost 7+1
•••

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Khwopa Board Exam Base 5 Model Practice Sets – 2080
Accounting
Set-01
12. Transfer allotment Rs.300,000, calls in arrears in final 60,000
13.i. C/R Rs. 40,000
[Link]. loss Rs. 40000 , Debenture holders Rs. 840000
14. GP Rs.254,000; NP Rs.237,000
15. NP 288000; BS 640000
[Link]. 56500 COGS Rs.44217.4; Cost of closing Stock Rs.12282.6
18. i. Rs. 120,000 ii. Rs. (163000)
20. GP 277,000; NPBT (20,000) NPAT (20,000); R/E 210000 BS 980000
21. (a) Rs. 1020,000 (b) Rs. (842,000), (c) Rs. (125,000) 1. Rs. 53000; 2. (255000); 3. 80,000
22. a. 990,000; b.1110,000;c. 1182,000; d.945600; e. 961600; f. 240400; g. 1202000

Set-02
12. Transfer Rs.27,000
13.i. G/W Rs.20,000; No. of Share =4,000
[Link]. loss Rs. 80000 , Debenture holders Rs. 880000
14. GP Rs.293,000; NP Rs.187,000
15. NP 195,500; RE Rs.273,500; BS 397,500
[Link]. 110,800 COGS Rs.53,348; Cost of closing Stock Rs.57,452
18. i. Rs.500 / hour ii. Rs 481000
20. GP 379,000; NPBT 270,000 NPAT 216,000 BS 838,000
21. (1) Rs. 380,000 (2) Rs. (540,000), (3) Rs. 60,000
22. a. 160,000; b.270,000;c. 324,000; d.336,000; e. 366,000; f. 234,000

Set-03
12. Transfer allotment Rs.300,000, calls in arrears in allotment Rs. 120,000 & final 60,000
13.i. G/W Rs. 120,000
[Link]. loss Rs. 10000 , Debenture holders Rs. 110000
14. NP Rs.490,000; R/E Rs. 400,000
15. NL 163000; BS 1480000
[Link]. Cost of closing Stock 450 @ Rs. 360
18. i. Rs.200 / hour ii. Rs 436000
20. GP 360,000; NPBT 56,000 NPAT 42,000 BS 458,000
21. (a) Rs. 1530,000 (b) Rs. (790,000), (c) Rs. (342,000) 1. Rs. 398000; 2. (338000); 3. nil
22. a. 617500 b. 391050

Set-04
12. share forfeiture Rs. 18000, Transfer Rs.135,000
13.i. G/W Rs. nil
[Link]. loss Rs. 30000 , Debenture holders Rs. 330000
14. GP Rs.325,000; NP Rs.208,000
15. NP 46000; RE Rs. 6200; BS 346,000
[Link]. @ Rs. 78.57; COGS Rs.471420; Cost of closing Stock Rs.78570
18. i. Rs.20 / hour ii. Rs 67000
20. GP 195,000; NPBT 120,000 NPAT 110,000 R/E 160000 BS 690000
21. (a) Rs. 110,000 (b) Rs. (100,000), (c) Rs. 65,000
22. a. 1166000 b. 87450

Set-05
12. Transfer allotment Rs.140,000, calls in advance in allotment Rs. 24,000
13.i. G/W Rs. 50,000
[Link]. loss Rs. 80000 , Debenture holders Rs. 880000
14. GP Rs.29,000; NL Rs.60,000
15. NP 14,000; RE Rs.4,000; BS 124,000
[Link]. Cost of closing Stock 200 @ Rs. 5
18. i. Rs.250 / unit ii. Rs 462000
20. GP 379,000; NPBT 280,000 NPAT 224,000 BS 848,000
21. (a) Rs. 32500 (b) Rs. (22500), (c) Rs. 4500 (d) Rs. (500) 1. Rs. 5000; 2. (10000); 3. 2500
22. a. 186300; b.223600;c. 24960; d.230588; e. 244088; f. 61023

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