Tribhuvan University
Bachelor of Business Administration
Semester 2 · TU Board 2024
Course Title: Financial Accounting (ACC201)
Full Marks: 100Pass Marks: 50Time: 3 Hrs
Candidates are required to give their answers in their own words as for as practicable.
Group A
Brief Answer Questions(10 × 2 = 20)
- 1.2
Define patent.
- 2.2
What is intangible asset?
Answer comingAlso asked in 2025, 2023
- 3.2
What do you mean monetary concept?
Answer comingAlso asked in 2025, 2023
- 4.2
What do you mean by GAAP?
- 5.2
What are the different types of cheque?
- 6.2
The following particulars are provided to you: Profit for the year Rs 40,000 Loss on revaluation Rs 21,000 Gain from cash flow hedges Rs 26,000 Gain on sale of investment Rs 25,000 Required: Statement of Other Comprehensive Income as per NFRS
Answer comingAlso asked in 2025, 2023
- 7.2
The following transaction is given: ➢ Started business with Cash Rs 150,000, machinery Rs 60,000, and stock Rs 40,000 ➢ Salary paid Rs 55,000 including an advance of Rs 5,000. Required: Accounting Equation.
Answer comingAlso asked in 2025
- 8.2
You are given the following information about the PQ Company Ltd on 31st December 2022: ParticularsAmount Rs.5000 equity shares of Rs.100 per share500,000Share premium150,000Retained earnings200,000Total shareholder's equity750,000 The following transition occurred during the year 2023: Issued an additional 2,000 shares of Rs 100 each at Rs.120 each. The company earned a Net Profit of Rs 75,000 during the year. The company declared and paid a dividend of Rs 40,000 during the year. Required: Statement of change in Equity at the end of 2023.
- 9.2
Advance Company acquired Cheeps-making machinery of Rs 1,000,000 with a salvage value of Rs 100,000. It has the expected capacity of producing 450,000 packets of cheeps during its life. It produces 110,000 packets of cheeps in year 1 and 150,000 packets in cheeps in year 2. Required: Depreciation for the year 1 and year 2.
- 10.2
The following information are given: ➢ Rs 60,000 was invested as a capital ➢ Purchase goods for Rs 200,000 and paid partially Rs 150,000 on cash Required: Journal Entries
Group B
Short Answer Questions: (Attempt any SIX Questions)(6 × 5 = 30)
- 11.5
Write about accounting process.
- 12.5
Differentiate between revenue and capital expenditure with examples.
- 13.5
What is ledger? Why it is needed?
- 14.5
Following are the information of assets of a Company: ParticularsYear 1Sales10,000Cost of Sales6,000Gross Profit4,000Expenses1,500Depreciation500Interest on Working Capital800Interest on loan400Profit before tax800Provision for Tax200 Required: Vertical Analysis
- 15.5
The following transactions are given: 1st January 2021 Machinery purchased Rs 300,000. 1st July 2022 Additional machinery purchased Rs. 400,000. 30th June 2023 Machinery purchased on 1st January was sold for Rs. 270,000. Additional Information: ➢ Depreciation is to be provided at the rate of 15% per annum on the basis of Straight Line Method. ➢ Accounts are closed on 31st December, each year. Required: Machinery account from 2021 to 2023
Answer comingAlso asked in 2025
- 16.5
The bank statement of a company shows a balance of Rs. 50,000 on 30th Ashwin 2081. However the company balance showed a different balance of Rs 36,000. On the investigation, the following differences were noticed: ➢ Outstanding cheque Rs 30,000 ~ ➢ Deposit in transit Rs 20,000 r
- 17.5
➢ A customer's cheque of Rs 5,000 was return with the bank statement marked NSF. ~ ➢ Collection of notes receivable for Rs 4,000 and interest on investment Rs 2,000 * ➢ Bank charge Rs 2,000 for the service provided by the bank ~ ➢ Bank paid Rs 11,000 but the company recorded Rs 16,000 in its statement. Required: Bank reconciliation statement The following particulars are extracted from the trial Balances of a manufacturing firm. Tax paid70,000Dividend paid30,000Office supplies90,000Dividend received30,000Sales1,200,000Sundry debtors180,000Raw material purchase550,000Factory overheads100,000Manpower cost250,000Selling overhead50,000Capital employed600,000Depreciation expenses60,000Interest expenses20,000Motive power10,000 Required: (a) Value-added statement and (b) Net profit for the year
Group C
Long Answer Questions:(Attempt any THREE Questions)(3 × 10 = 30)
- 18.10
"Accounting information is essential for taking right decisions in any organization." Explain.
- 19.10
Write about concept, importance and limitations of accounting standard.
- 20.10
The Trial Balance of KK company as of 31st December 2023 is given below: ParticularsDebit (Rs.)Credit (Rs.)Equity share capital-300,000Building200,000-Copyright20,000-10% Debenture-100,000Interest on Debenture5,000-Revenue from operation-470,000Purchases250,000-Salaries & wages35,000-Cash at bank40,000-8% Investment100,000-Account payable-76,000Account receivable40,000-Commission received-18,000Prepaid insurance24,000-Office rent26,000-Plant & Equipment200,000-Marketing expenses30,000-Interest on investment-6,000Total970,000970,000 Adjustment: ➢ Stock at the end of the year Rs 50,000. ➢ Depreciation on Building is 5% and Plant & Equipment is 15%. ➢ Salary to be paid Rs 5,000. ➢ Prepaid insurance expired during the year Rs 20,000. Required: a) Profit and Loss Statement for the year ending 31st December. b) Statement of Financial Position as on 31st December.
Answer comingAlso asked in 2025
- 21.10
The KK Company's Statement of Profit and Loss account and Statement of Financial Position for two years have been given below: Statement of Profit and Loss for the year 2023ParticularsAmount (Rs)Revenue from operation1,200,000Less: Cost of sales(800,000)Gross margin400,000Add Other income (including dividend received Rs 10,000)60,000Total460,000Less: Distribution expenses(100,000)Less: Administrative expenses (write-off of goodwill Rs 10,000 and depreciation of Rs 90,000)(260,000)Operating Profit100,000Less: Finance cost(25,000)Net profit before tax75,000Less: Provision for tax(18,750)Net profit after tax56,250Less: Dividend paid(6,000)Retained Earnings50,250 Statement of Financial Position of a company for 2022 and 2023Assets20222023Non-Current Assets:Property, plant and equipment500,000600,000Intangible assets (Goodwill)40,00030,000Investments160,000220,000Total Non-Current Assets700,000850,000Current Assets:Inventories/Stock40,00050,000Cash and cash equivalents50,00060,000Account receivables60,00050,000Trade and Other receivables50,00040,000Total Current Assets200,000200,000Fictitious Assets--Total Assets (Total Non-current and Current Assets)900,0001,050,000Equity:Share capital @Rs.100 each500,000600,000Reserve/Retained earnings30,00080,250Non-controlling interests--Total Equity530,000680,250LiabilitiesNon-Current Liabilities:10% Loans and borrowings250,000351,000Total Non-Current Liabilities250,000351,000Current Liabilities:Trade and other payable50,000-Income tax liabilities-18,750Provisions70,000-Total Current-Liabilities120,00018,750Total Liabilities (Total Non-current and Current)370,000369,750Total Equity and Total Liabilities900,0001,050,000 Required: Statement of Cash Flow under NFRS
Answer comingAlso asked in 2023
Group D
- 22.
The XYZ Company's Statement of Profit and Loss account and Statement of Financial Position for two years have been given below: Statement of Profit and Loss for the year 2080ParticularsAmount (Rs.)Revenue from operation6,00,000Cost of sales(400,000)Gross profit200,000Other income20,000Total220,000Distribution expenses(60,000)Administrative expenses(115,000)Operating profit45,000Financial cost(7,500)Net Profit37,500 Statement of the financial position of a company for 2079 and 2080Assets20792080Non-current assets:Property, plant, and equipment200,000250,000Intangible assets10,0007,500Investment (long-term)45,00055,000Total Non-current Assets:255,000312,500Current Assets:Inventories / Stock20,00030,000Cash and cash equivalents25,00030,000Account receivable20,00015,000Trade and Other receivable15,00020,000Total current assets80,00095,000Fictitious assets--Total assets335,000407,500Equity:Share capital @Rs.100 each200,000225,000Reserve/Retained earnings45,00082,500Non-controlling interest--Total Equity245,000307,500Liabilities:Non-current liabilities:10% Loan and Borrowing60,00075,000Total non-current liabilities60,00075,000Current liabilities:Trade and Other payable15,00025,000Income tax payable--Provision15,000-Total current liabilities30,00025,000Total liabilities90,000100,000Total Equity and Liabilities335,000407,500 Required: Financial analysis for 2080: a) Current ratio (2:1) b) Acid test ratio (1:1) c) Debt to total capital ratio (less than 40%) d) Stock turnover ratio (at least 8 times) e) Total assets turnover ratio (more than 1 time) f) Net profit margin (at least 12%) g) Return on assets (at least 5%) h) Return on equity (at least 7%) i) Average sales period (45 days or less than 45 days) j) Account receivable turnover ratio (at least 8 times) k) Comment on the above result.
Answer comingAlso asked in 2025
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