D.B.M. (Semester Examination, 2017
FINANCIAL AND COST ACCOUNTING
Day Date: Saturday, 06-05-2017 Max. Marks: 80
Time: 10.30 AM to 01.30 PM
Instructions: Q. No.1 is compulsory.
Figures to the right indicate full marks.
Use of calculators is allowed.
Q.1 Select correct alternative: 08
is the amount of capital invested by businessmen in the
business.
Property Drawings Capital Goods
is not a part of final accounting.
Profit Loss A/c Journal
Balance Sheet Trading A/c
Sales Contribution.
Fixed Cost Variable Cost Loss Profit
As per double entry accounting system every debit has equal

Credit Debit Balance None of these
Trail Balance is prepared from the balances in accounts.
Balance sheet Journal
Ledger Profit Loss A/c
Summary of all functional budgets is called as budget.
Zero based King size Master Summarized
shows the financial position of company on particular
date.
Balance sheet Trading A/c
Trail Balance Profit Loss A/c
is the branch of accounting prepared to ascertain the
cost of product.
Financial Accounting Cost Accounting
Management Accounting None of these
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Fill in the blanks: 08
is primary book of Accounting.
Outstanding Expenses are shown on side of balance
sheet.
An entry recorded on both side of cash book is called
Prepaid expenses is type of account.
Debit all expenses losses Credit all income gains and profit
the rule of account.
EOQ Stands for
WDV stands for
PV Ratio Contribution X 100.
Q.2 Attempt Any 16
Sales Units 10,000
Selling Price Per Unit Rs.
Variable Cost Per Unit Rs.
Fixed Cost Rs. 34,000 for year
Calculate: P/V Ratio, BEP BEP (Units) and Margin of
Safety.
M/s Ghatge Patil purchased Machinery costing Rs. on 1st
April 2014 and paid installation of Rs. on same date. On
1st Oct, 2014 Co. purchased another machinery for Rs. 40,000/-.
On 1st Oct, 2016, Co. sold machinery purchased on 1st April 2014
for Rs. For Rs. 80,000/-. Company charge depreciation under
Straight line method at 10% and closes its book of account on 31st
March every year.
Prepare Machinery and depreciation account for the year ending
31st March 2015, 2016 and 2017.
Q.3 Attempt: 16
Break Even Point
Budgetary Manual
Q.4 Journalize the following transactions in the books of Mr. Sagar Trader
for the month of June 2016.
16
2016
June Mr. Sagar Started business with Cash Rs. Goods
Rs. and Furniture Rs.
June 5 Opened a bank account in Bank of Maharashtra by Depositing
Rs.
June 10- Purchased Goods for Cash Rs. 40,000/-.
June 14- Sold Goods on credit to Deepak for Rs.
June 15 Purchased Furniture costing Rs. for cash.
June 16 Received cash from Deepak Rs. 19500/- in full settlement of
his account.
June 19 Mr. Ashwin supplied goods to us worth Rs.
June 24 Sold goods for cash Rs.
June 27 Withdrawn from bank Rs. 4000/- for office use.
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June 30 Paid Electricity bill Rs. 1500/-
OR
What is cost Accounting? Explain the importance and objectives of cost
accounting?
Q.5 Following is the Trail Balance of Shri Vinayak as on 31st March 2015.
You are required to prepare Trading and Profit Loss Accounts for the
year ended 31st March 2015 and Balance sheet as on the date.
16
Particulars Rs. Particulars Rs.
Stock on 1-4-2014 25,000 Capital 40,000
Purchases 75,000 Discount Received 1200
Sales Return 1000 Sales 1,25,000
Wages 3,000 Purchases Return 2,000
Salaries 6,000 Creditors 14,000
Carriage 2,000 Bills Payable 5,700
Insurance 900 Commission 1,000
Office rent 1,000 Interest 400
Discount Allowed 1,100
Building 10,000
Machinery 17,000
Cash in Hand 3,300
Drawings 10,000
Debtors 24,000
Investments 10,000
Total 1,89,300 1,89,300
Adjustments:
On 31st March Closing stock was valued at Rs. 34,000/-.
Depreciate Building by and Machinery by 10% P.a.
Outstanding Salary Rs. and Rent Rs. 200/-.
Interest on Investment due Rs. but not received.
Make provision for Reserve for Doubtful Debt at on sundry
Debtors.
OR
Explain the term depreciation. Also explain types of depreciation
method wit example.