MEFA IMPORTANT QUESTIONS

1) Differentiate between partnership, sole-proprietorship and Company form of Organizations.
2) Suppose an asset costing Rs.30000 has 5years of life and is expected to yields Rs.25000, Rs.25000, Rs.30000, Rs.25000 and Rs.20000. Its opening Cash expenses are 30 Percent of the estimated revenues of each year. The asset is subject to 20 percent depreciation. The company is subject to 20 percent of Income tax. Estimate the cash inflows for years 1 to 5.
3) Prepare Trial Balance, Trading a/c, Profit & Loss a/c and Balance sheet of Kumar and Co., as on 31 march 2010.
Particulars - Amount
X’s Capital - 75000
Sales - 110000
Creditors - 14000
Bills Payable - 6000
Purchases - 50000
Opening Stock - 60000
Wages - 5000
Salaries - 6000
Office expenses - 4000
Debtors - 40000
Cash - 3000
Plant & Machinery - 20000
Rent - 2000
Bad-debts - 1000
Receivables - 4000
Goodwill - 10000
Adjustments:-
The value of closing stock was Rs.60000
4) Define Ratio Analysis? And explain the different Types of ratios with the suitable Formulas.
5) Journalize the Following Transactions, post them in the Ledger and balance the accounts on 31st January.
1. Raja started business with a Capital of Rs.10000
2. He purchased goods from Mohan on credit Rs.2000
3. He paid cash to Mohan Rs.1000
4. He sold goods to Suresh Rs.2000
5. He received cash from Suresh Rs.3000
6. He further purchased goods from Mohan Rs.2000
7. He paid cash to Mohan Rs.1000
8. He further sold goods to Suresh Rs.2000
9. He received cash from Suresh Rs.1000
6) Answer the following:
a) Explain the Methods of Capital Budgeting with formula.
b) A firm is considering two projects each with an initial list of estimated cash inflows after taxes.
Estimated Cash inflows proposals for I, II, and III
Year - Proposal-I - Proposal-II - Proposal-III
1) -13500 - 13250 - 12750
2) -13500 - 12750 - 13500
3) -13500 - 14500 - 13500
4) -13500 - 13500 - 14250