Old Exam Papers June 2012 (Set 2)

2. Distinguish between (any two) :
(i) Sectional Balancing System and Self-Balancing
System of Accounting
(ii) Equity Shares and Preference Shares
(iii) Receipt and Payment Account, and Income and
Expenditure Account
(iv) Provision and Reserve
8+8
3. Mohan purchased a new machine on 1st April, 2003 for
Rs. 22,500. It was estimated that the machine will work
for 5 years and the salvage value of the machine is
Rs. 2,500.
On 1st October, 2004 and 1st April, 2005 the machines
were purchased for Rs. 5,600 (salvage value Rs. 600)
and Rs. 3,300 (salvage value Rs. 300) respectively. The
working life of these machines is also 5 years. Prepare
machine account for first three years on the basis of fixed
instalment method (year from 1st April to 31st March). 16
4. Explain the rules of journalising various types of accounts
with suitable examples. 16
5. On the basis of the following information, prepare three
column cash book of Rohit :
200 2 BBA-02
(v) Depreciation is to be provided on building, furniture,
books and sports equipments @ 10% per annum.
(vi) Donations have been collected for constructing club
building.
Prepare Income and Expenditure Account for the year
ending 31st March, 2006 and a Balance Sheet as on that
date. 16
7. What is Bank Reconciliation Statement ? How is it
prepared ? Explain with example. 4+12
8. S Ltd. issued a prospectus inviting applications for 8,000
shares of Rs. 100 each at premium of 20% payable as
follows :
On Application Rs. 20;
On Allotment Rs. 50 (including premium);
On First call Rs. 30 and
On second call Rs. 20
Applications were received for 12,000 shares. Allotment
was made pro rata to the applicants for 9,600 shares, the
remaining applications being refused. Money overpaid on
application was used on account of sum due on allotment.
BBA-02 7 PTO