THE NEW COLEGE (AUTONOMOUS) A

CHENNH-600 014
20BKM614 Management Accounting
Maximum Marks: 75 April 2023 Duration: 3 Hours
Section -A Answer Any Five Questions (5 X6=30 Marks)

1. Explain the objectives of management accounting.

2. Explain the procedure for the preparation of Funds Flow Statement.
3. From the following data, you are required to calculate the trend percentage taking 2015
as a base
Particulars 2015 2016 2017 2018
Cash 100 120 80 140
Debtors 200 250 325 400
Stock-in- trade 300 400 350 500
Other current assets 50 75 125 150
Land 400 500 500 500
Building 800 1,000 1,200 1,500
Plant 1,000 1,000 1,200 1,500
Total 2,850| 3,345 3,780 4,690
4. From the following detail find out
(a). Current assets
(b). Current liabilities
(c). Liquid assets and
(d). Stock
Current ratio: 2.8;
Liquid ratio: 1.5;
Working Capital: Rs.1,62,000.
5. From the foilowing balances you are required to calculate cash from operating activities
Particulars 31,12.2016 31.12.2017
Rs. Rs.
Debtors 50,000 47,000
Bills receivable 10,000 12,500
Creditors 20,000 25,000
Bills Payable 8,000 6,000
Outstanding expenses 1,000 1,200
Prepaid expenses 800 700
Accrued income 600 750
Income received in advance 300 250
Profit made during the year 1,30,000

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 6. Prepare aproduction budget from the following information:
Estimated Stock Estimated Sales Desired Closing
Product On 1.1.7 Jan. to March 07 Stock On 31.3.07
Units
R 2,000 10,000 3,000
3,000 15,000 5,000
4,000 13,000 3,000
P 3,000 12,000 2,000
7. From the following figures, calculate
(a) Break even point
(b) Margin of safety and
(c) Sales to earn a profit of Rs.1,20,000
Sales Rs. 6,00,000
Variable 3,75,000
Fixed costs 1,80,000
8. Ascertain the pay - back period of two projects D and H from the following details añd
give you assessmernt of their comparative merit.
Particulars Project DProject H
Rs. Rs.
Initial Investment 70,000 70,000
Cash inflows estimated:
1* year 20,000 8,000
2nd year 16,000 12,000
3rd year 14,000 14,000
4h year 12,000 16,000
5th year 8,000 20,000
6th year 10,000 10,000

Section -B Answer Any Three Questions oxo-0Marks)

9. What is financial statement analysis? Explain the importance of financial statement
analysis.
10. Balarnce Sheet of M/S. Black and White as on 1.1.1993 and 31.12.1993 were as follows:
Liabilities 1.1.93 31.12,93 Assets 1.1.93 31.12.93
Rs. Rs. Rs. Rs.
Creditors 40,000 44,000 Cash 10,000 7,000
Whites, s Loan 25,000 Debtors 30,000 50,000
Loan from Bark 40,000 50,000 Stock 35,000 25,000
Capital 1,25,000 1,53,000Machinery 80,000 55,000
Land 40,000 50,000
Buildings 35,000 60,000
2,30,0002,47,000 2,30,000 2,47,000

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 During the year costing Rs.10,000 (accumulated depreciation Rs.3,000) was sold for Rs.
5,000. The provision for depreciation against machinery as on 1" Jan. 1993 was Rs.25,000
and on 31* Dec. 1993 Rs.40,000. Net profit for the year 1993 amounted to Rs.45,000.
Prepare cash flow statement.
11. XYZ Company wishes to arrange O.D. facilities with its barnkers during the period
April - June, when it will be manufacturing mostly for stock.
(a) Prepare cash budget for the above period from the following data
Months Sales Purchases Wages
Rs Rs. Rs.
|February 1,80,000 1,24,800 12,000
March 1,92,000 1,44,000|14,000
April 1,08,000 2,43,000 11,000
May 1,74,000 2,46,000|10,000
June 1,26,000 2,68,000 15,000
(b) 50% of credit sales is realised in the month following the sale and the other
50% in
the second month following. Creditors are paid in the month following the month
of purchase.
(c) Wages are paid at the end of the respective month.
(d) Cash at bank - 1# April - Rs. 25,000.
12. The sales turnover and profit for two years were as follows:
Sales Profit
Year
Rs. Rs.
2017 140,000 15,000
2018 1,60,000 20,000
(a) P/V Ratio
(b) Break- even point.
() Sales required to earn a profit of Rs.40,000
(d) Fixed expenses and
(e) Profit when sales are Rs. 1,20,000.
13. A Limited Company is considering investing in a project
requiringa capital outlay of
Rs.2,00,000. Forecast of annual income after depreciation but before tax is as follows
Year Sales
Rs.
1,00,000
2 1,00,000
3 80,000
4 80,000
5 40,000
Depreciation may be taken as 20% on original cost and taxation at 50% of net income.
You are required to evaluate the project according to each of the
(a) Pay back method
following methods.
(b) Accounting rate of return.

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 THE NEW COLLEGE (AUTONOMOUS) B
CHENNAI-600 014
20BKM615 Income Tax Law and Practice- II
Maximum MarkS: 75 April 2023 Duration: 3 Hours

Section-A Answer Any Five Questions (5 X6=30 Marks)

1. What are the basis principles for computing business income?

2. Explain the kinds of Capital Gains
3. Compute the business income of the following particulars.
Particulars Amount Particulars Amount

To General expenses 10,000 By Gross profit 1,00,000

To Salary to staff 12,000| By Commission 10,000

To Purchase of typewriter 10,000 By Rent Received 50,000
To Advertisement 25,000
Interest on capital 3,000
To Net profit 1,00,000
1,60,000 1,60,000
4. Compute the taxable capital gain from particulars given below:
(a) Net sales consideration of a residential house Rs.15, 00,000 (2.6.2021) [Cl -317].
Stamp duty value 15, 45,000
(b) Cost of acquisition of this house Rs.3, 00,000 (1.5.2003) (CII = 109).
(c) New house purchased on 1.9.2022 for Rs.2, 00,000.
5. From the following details find the out income from other sources:
1. Directors' fees Rs.5,000
2. Dividend from Indian Company (gross) Rs. 4,000
3. Income from Horse race Rs.7,000
4. Royalty from books Rs.9,000
5. Dividend from Co-operative societies Rs.3,000
6. Bonus in reduction of premiums Rs. 3,000
6. From the following particulars calculate total income:
Loss from business Rs.4, 00,000
Depreciation allowance for the AY. Rs.80,000
House property income Rs.8, 00,000
Items carried forward from earlier years;
Business loss AY: 2021 -2022 Rs. 4, 80,000
Unabsorbed Depreciation Rs. 2, 00,000.
 7. Calculate deduction U/S 80 C
Contribution to RPF Rs. 15,000
Contribution towards NSC VII issue Rs.11, 000
Insurance premium on wn life Rs. 25,000
(Sum assured Rs.1, 50,000)
Contribution towards the life of his wife Rs. 2,500 (Sum assured Rs.45, 000)
8. Calculate the amount deductible under section 80-G
(i) Gross total income Rs3,00,000
(ii) Deduction u/s 80-C to 80-U except sec. 80 G Rs.50,000
(ii) Donation:
1. PMNational Relief Fund Rs 30,000
2. Allahabad university - National Eminence Rs. 20,000
3. Technology Development &Application Fund Rs. 10,000
4. PM's Drought Relief Fund Rs.10,000
5. Charitable Society Rs.10,000
6. Family Planning RS. 15,000
7. Sports Association Rs.20,000
Section -B Answer Any Three Questions (3X 15 =45 Marks)

9. Discuss the procedure for computing business income.

10. Xpurchased a house property for Rs.26,000 on May, 10, 1962. He gets the first floor of
the house constructed in 1967-68 by spending Rs.40,000. He dies on September 12, 1978.
The property is transferred to Mrs. by his will. Mrs. Xspends Rs.30,000 and Rs.26,700
uring 1979 - 80 and 2007 - 2008 respectively for alteration / reconstruction of the
property. Mrs. Xsells the house for Rs.45,00,000 on March,15,2022 (brokerage paid by
Mrs. Xis Rs.11,500) The fair market value of the house on April, 1. 2001 is Rs.1,60,000.
CII for 2001 - 2002 =100, for 2007 - 2008=129 and for 2021 - 2022 317. Mrs. Xreceived
and forfeited Rs.10,000 as advance money during 1991 -1992.
11. Compute income from other sources of Mugundan for the previous year 2021 2022.
1) Dividend on equity shares Rs. 6,000
2) Dividend on preference share Rs.3,200
3) Income from letting of building and machinery Rs.17,000
4) Interest on bank deposit Rs. 2,500
5) Director's fees Rs.1,200
6) Ground rent Rs.600
7) Undisclosed income Rs. 10,000
8) Lottery income (Gross) Rs.10,000.
9) Advance money received and forfeited during negotiation to sell a capital assets
Rs. 70,000. During 2021- 2022 he claims the following dèductions Depreciation
on building Rs.4,000 and insurance on machinery Rs.100.

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12. Mr. Palaniappan provided the following particulars of his income and loss for the
assessment year 2022- 2023.
1) Income from House property (computed) Rs.23,000
2) Profit and gains of personal business Rs. 30,000
3) Sharer of profit from an AOP (AOP has ppaid tax at the maximum marginal rate)
Rs. 15,000
4) Short term capital gain Rs.13,000
5) Long term capital gain (Building) Rs.22,000
6) Long term capital loss (shares) Rs.29,000
The following items have been brought forward:
(a) Business loss of Assessment year 2015 - 2016 Rs35,000
(b)Loss from House property of assessment year 2017 - 2018 Rs.26,000
Compute his gross total income.
13. Mr. Viviek submits the following details of his income for the Assessment year
2022- 2023. Compute the trial balan ce.
Rs.

|Intereston bank deposit 1,40,000

Interest on Govt. Securities 40,000

Rent received from let out house (per month) 2,000

Municipal taxes paid 2,000

Royalty income 1,50,000

|Expenses allowed from royalty 20,000

LTCG on sale of unlisted equity shares on 1.8.21 25,000
STCG on sale of land 10,000

Winning from lottery 20,000

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 THE NEW COLLEGE (AUTONOMOUS)
CHENNAI- 600 014 A
20BKM618
Commodities Market
Maximum Marks: 75 April 2023 Duration: 3 Hours
Section-A Answer All Questions (10 X 2 = 20 Marks)

1. What is a Commodity Market?

2. What do you mean by Commodity?
3. What do you mean by Underlying Assets?
4. Define Derivative.

5. What is Future Contract?

6. Write a note on Spot Pricing.

7. Define the term Hedging.
8. What do you mean by Reverse Cash?

9. Expand the term NSCCL.

10. Explain the term Order Clearing.
Section -B Answer Any Five Questions (5 X5=25 Marks)
11. List down the various types of Commodities traded in the Indian
Commodities Market.
12. Differentiate between Forwards and Futures.

13. Explain briefly the Cost of Carry Model.

14. Write notes on Short Hedging and Long Hedging.
15. State the Objectives of the Settlement Mechanism in the Derivatives Market.
16. List out the merits of trading in Derivatives markets.
17.State the features of Future Contracts.
18. Explain the functions of the Indian Commodity Exchange.
Section -C Answer Any Three Questions (3X 10 =30 Marks)

19. Elaborate on the future prospects of the Commodities Market in India.

20. Discuss briefly about the Derivatives Market
participants.
21. Elucidate the pricing strategy of Future Contracts.
22. What is Cash and Carry Arbitrage? How does it work? Explain with
suitable Examples.
23. Discuss the SEBI Guidelines on Clearing and Settlement in the Derivative Market.
 THE NEW cOLLEGE (AUTONOMOUS)
CHENN-600 014 A
20BKM616 Goods and Services Tax
Maximum Marks: 75 April 2023 Duration: 3 Hours
Section-A Answer AIl Questions (10 X 2 = 20 Marks)
1. What is GST?

2. What do you mean by indirect tax?

3. What is meant by Aggregate Turnover?
4. Who is a Casual Taxable Person?
5. Write the various status of GST.

6. Explain the importance of Value of Supply.

7. What is meant by TDS?
8. What is Composition Levy Scheme?
9. Explain the term Baggage under the Customs Act 1962.
10. What is customs duty?

Section-B (5 X5 =25 Marks)

Answer Any Five Questions

11. Distinguish between direct and indirect taxes

12. What is (a) CGST (b) SGST (C) IGST?
13. Discuss the procedure for sanction of refund under GST.
14. Write a brief note on Reverse Charge Mechanism.

1.5. Write a note on GST Audit.

16. Explain duty drawback under Customs Act 1962
17. Outline in brief the content of Invoice under GST
18. Write the penalties under Customs Act.

Section-C Answer Any Three Questions (3X 10 = 30 Marks)

19. Elaborate on the various features of GST.

20. Define the term GST. Discuss the various benefits available to Indian Economy due to
implementation of GST system.
21. What is Input tax Credit? Explain its Significance.
22. Discuss in detail the time and the mode of payments used in GST.

23. Explain the various types of customs duties.