MCA MAGADH UNIVERSITY QUESTION (2016-2019) (second semester) Principles of Accounting

MCA MAGADH UNIVERSITY QUESTION (2016-2019) (second semester) Principles of Accounting

                                                                        2016-2019
                                                                     Time: 4 hours
                                                                    Full Marks: 80
                                             candidates are required to give their answers in
                                             their own words as far as practicable.
                                                 The questions are of equal value.
                                                   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 meant 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. 3000
       (d) New Break- Even point if sales price is reduced by 10%

(9). The production of a certain unit is assumed to required 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 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.