MCA MAGADH UNIVERSITY QUESTION (2012-2015) Principles of Accounting

MCA MAGADH UNIVERSITY QUESTION (2012-2015) Principles of Accounting 

                                                                       (2012-2015)
                                                                      Full marks: 80
                                                                      Time : 4 hours
                                                            Answer any five questions.

(1). Define Accounting. Explain various accounting conventions with examples.

(2). Define the term financial statements. why are these prepared. Explain their essential parts.

(3). What is depreciation. Explain the various methods of providing depreciation.

(4). What is meany by break even analysis? Describe its utility and limitations.

(5). Define cost. Explain the various classification of cost.

(6). Define budgeting. What are the essentials of an effective budgeting system?

(7). What do you mean by Management Control system? Bring out clearly the nature and importance of management control system.

(8). A company producing a single article sells it at Rs 10 each.The variable cost of production is Rs 6 each and fixed cost Rs 400 per annum.
calculate:
(a) Sales at break even point
(b) Sales to earn a profit of Rs 500
(c) Profit at sales of Rs 3,000
(d) New break even point if sales price is reduced by 10%

(9). The production of a certain unit is assumed to require 80 kgs of material costing Rs 1.5 per kg on completion of the production of a unit, it was found that 75 kgs of material costing Rs 1.75 per kg has been consumed. Calculate the variances.

(10). Write short notes on any two of the following:
         (a) Fund flow statement
         (b) Prepare a pro-forma of balance sheet
         (c) Responsibility centres
         (d) Management reporting system