Description
For Nmims Assignments Contact
[email protected]
+91 95030-94040
Essentials of Financial Accounting
1. Virendra decides to open a Sub Way outlet in his locality for which he will need certain assets and liabilities. But he want to know what asset and liabilities exactly means? You being a Commerce graduate, discuss and define assets and liabilities, their composition with five examples for assets and five examples for liabilities. (10 Marks)
2. Somaaya is a famous brand for readymade apparels. The company purchased machinery worth 10 lacs and paid 2 lacs for import charges, transportation charges Rs 1 lacs paid to bring the asset at present location. Additionally, one time installation fees Rs 50000, is also paid to the engineer for this. The Company will pay regular maintenance charges Rs20000 per annum, henceforth for the given machine.
You being the accounts manager of the company, needs to classify the above mentioned transactions in terms of capital and revenue expenditure by providing suitable reasoning. Additionally calculate depreciation @ 10% per annum on the cost of the machinery for 12 months period. (10 Marks)
3. The following details have been extracted from the books of ABC Ltd as on 31st March 2020
Dr. Cr.
Particulars Rs. Rs.
Purchases A/c
Rent A/c
Salaries A/c
Stationary A/c
Cash A/c
Tom’s A/c
Discount A/c
Furniture A/c
Plant & Machinery A/c
Investments A/c
Bank A/c 600000
60000
110000
7000
403000
70000
5000
150000
250000
100000
246000 Capital A/c
Mathew’s A/c
Sales A/c
Interest A/c
F Ltd’s A/c
1000000
50000
800000
1000
150000
2001000
2001000
You are required to-
a. Define and prepare the profit and loss account for the year ended 31st March 2020 (5 Marks)
b. Define and prepare Balance sheet as on that date. (5 Marks)
For Nmims Assignments Contact
[email protected]
+91 95030-94040
doc_181624129.docx
For Nmims Assignments Contact
[email protected]
+91 95030-94040
Essentials of Financial Accounting
1. Virendra decides to open a Sub Way outlet in his locality for which he will need certain assets and liabilities. But he want to know what asset and liabilities exactly means? You being a Commerce graduate, discuss and define assets and liabilities, their composition with five examples for assets and five examples for liabilities. (10 Marks)
2. Somaaya is a famous brand for readymade apparels. The company purchased machinery worth 10 lacs and paid 2 lacs for import charges, transportation charges Rs 1 lacs paid to bring the asset at present location. Additionally, one time installation fees Rs 50000, is also paid to the engineer for this. The Company will pay regular maintenance charges Rs20000 per annum, henceforth for the given machine.
You being the accounts manager of the company, needs to classify the above mentioned transactions in terms of capital and revenue expenditure by providing suitable reasoning. Additionally calculate depreciation @ 10% per annum on the cost of the machinery for 12 months period. (10 Marks)
3. The following details have been extracted from the books of ABC Ltd as on 31st March 2020
Dr. Cr.
Particulars Rs. Rs.
Purchases A/c
Rent A/c
Salaries A/c
Stationary A/c
Cash A/c
Tom’s A/c
Discount A/c
Furniture A/c
Plant & Machinery A/c
Investments A/c
Bank A/c 600000
60000
110000
7000
403000
70000
5000
150000
250000
100000
246000 Capital A/c
Mathew’s A/c
Sales A/c
Interest A/c
F Ltd’s A/c
1000000
50000
800000
1000
150000
2001000
2001000
You are required to-
a. Define and prepare the profit and loss account for the year ended 31st March 2020 (5 Marks)
b. Define and prepare Balance sheet as on that date. (5 Marks)
For Nmims Assignments Contact
[email protected]
+91 95030-94040
doc_181624129.docx