Corporate Accounting(Major/Minor) — DU B.A.(Prog.) with Commerce (Accounting and Finance) Previous Year Question Papers

(i) What is Debenture Redemption Reserve? How it is created? How can it be utilized? (5) (ii) State three diflerence between bonus shares and right shares. (4) (b) Applications were received for 18,000 shares. Excess application money was retained for adjustment against allotment money due on the shares allotted. All the calls were made and the amount due thereon was duly received with the exception of the first and final call money on 1,000 shares. The Board of Directors forfeited those shares and subsequently reissued 800 shares as fully paid up for (7 per share. Show necessary journal entries including cash. (9) (c) (i) Describe the utilization of security premium? (4) (ii) Difference between Marked and Unmarked applications regarding Underwriting commission. (5) on application and t60 On allotment. Applications were received for 14,000 debentures out of which applications for 9,000 debentures were allotted fully, applicants for 2,500 debentures were allotted 1,000 debentures and remaining applications were rejected. Ail money were duly received. Journalize the transactions. (9) 2. (a) Define cash flow from Investing Activities. Also distinguish cash flow from Investing Activities and cash flow from Financing activities. (9) (b) For each of the following transactions, calculate the resulting cash flow and state the nature of cash flow viz.., operating, in vesting, financing or non-cash transaction. (i) Dividend paid during the year include 735,000 as final equity dividend and 720,000 preference dividend (i) Investments costing $250,000 sold at the profit of 25% (iv) Buy-back of $15,000 equity shares at 720 each. (v) A building was let out for commercial use and earned a rent of 15,50,000 during the year. (9) (c) Prepare the Balance Sheet of ABC Ltd. As required under Schedule III of the Companies Act 2013, as on 31 March 2024. Following balances are given : Secured Term Loans 60% Debentures Account Provi sion for Tax Share Premium Account General Reserves Loans from Debtors Provision for (Doubtful) Debts Provi sion for Depreciation Equity Share Capital (12,000 x t0) 80% Preference Share Capital Advances given Advances to staff Cash and Bank Loose Tools Profit and Loss Account (Losses) Preliminary Expenses Fixed Assets Capital Work-in-Progress Finished Goods Stock Accounts Debit t Credit { (d) Write differences between any two : (ii) Interim dividend and Final dividend (iii) Interest accrued and due & Interest accrued but not due 3. (a) (i) Net asset value {59.50,000 (ii) Equity Shares: A type: 1,00,000 shares of { 10 each lully called up, out of this there are calls (iii) arrears on 25,000 sharcs @ {2 per share (iv) B type: 1,00,000 shares of {5 each fully paid up Calculate intrinsic value of different classes of shares (e) (b) What do you mean by brand accounting. Describe the chailenges in brand accounting. (9) (c) (i) Difference between EVA and MVA. (s) (ii) Write short note on value added statement. (4)