Paper:POA I-COM(P-II) Marks:100

Marks:20 Objective part Time:20 min

Tick the right answer.

1. Single entry system is a mixture of:

a) single entry b) double entry c) no entry d) all of the above

2. single entry system cannot be maintained by:

a) sole owner b) partnership concern c) joint stock companies d) all of the above

3. single entry system is a:

a) modern system b) old system c) Good system d) None of the above

4. The opening capital is ascertained by preparing:

a) cash account b) opening statement of affairs c) total debtors account c) total creditors account

5. The gradual decrease in the value of the fixed assets due to its use in the business is called:

a) Depreciation b)depletion c)amortization d) fluctuation

6. The assets which has physical existence are called:

a) intangible assets b) intangible fixed assets c) tangible fixed assets d) both tangible or intangible assets

7. Depreciation is charged on:

a) Fixed tangible assets only b) fixed intangible assets only c) current assets d) fixed assets

8. Salvage value is called:

a) Scrap value b) breakup value c) residual value d) all of above

9. The joint stock company is formed under companies ordinance:

a) 1925 b) 1932 c) 1984 d) 2001

10. joint stock company is an artificial person created by:

a) law b) federal govt. c) register d) employees

11. The liability of the shareholder of a public limited company is;

a) unlimited b) limited c) compulsory d) none of these

12.A company is managed by:

a) directors b)shareholders c) promoters d) underwriters

13. Consigner is also called

a) principal b)agent c) debtor of the consignee d)creditor of the consignee

14.Consignee is:

a) a principal b) an agent c) a debtor d) a creditor

15.The parties involve in the consignment are:

a) two b) three c) four d) five

16.Margin is:

a) a portion is security kept by bank b) Amount as loan c) Amount as advance d) none of these

17.Both aspect of transactions are recorded in:

a) single entry system b) double entry system c) old entry system d) none of above

18: The consignment inward book or journal is maintained by :

a) consignor b) consignee c) customer d) debtors

19. Dell-creder commission is calculated on:

a) total sales b) cash sales c) credit sales d) none of these

20. The relationship between consignor and consignee is that of:

a) buyer & saller b) debtor & creditor c) whole seller & retailor d) principal & agent

Total marks:80 Part-II time:2:30hrs

2- Write short answers of any 5 parts. /10

1. What is meant by single entry system?

2. What are different classes of single entry system of accounting?
3. Define statement of affairs.
4. Define consignment account.
5. Distinguish between shares and debenture
6. Define scrap value of asset.
7. Define Joint Stock Company.
8. What is share?

3 - Write short answers of any 5 parts. /10

1. How many parties are involved in consignment?

2. Define statement of affairs.
 3. Who is consignee?
4. Define double entry system?
5. Who is consigner?
6. What is QUASI single entry system?
7. Define chartered company.
8. What is commission?

(part-II)

Attempt any three questions. 20x3=60

4) On 1st January 2002 a merchant purchased machinery costing RS.35, 000 depreciation is to be
provided annually according to the straight line method. The useful life of the assets is 10 years and the
residual value is Rs.5, 000 show the machinery account for the three years.

5) Star limited having an authorized capital of RS.500000 divided into shares of RS.100 each, issued
20000 shares to public at a premium of RS.10.All the shares were applied for and allotted. Pass journal
entries and prepare a balance sheet.

6) What journal entries will be made for the following types of issue of debenture.

a) A company issued 2000 6% debenture of RS.100 each at par.

b) A company issued 2000 6% debenture of RS.100 each at premium

c) A company issued 2000 6% debenture of RS.100 each at discount.

7) Faizan consigned goods valued Rs 120000 to Khalid. Faizan paid cartage Rs. 5,000 and insurance Rs.
3,000.Khalid paid expenses of RS. 2,000 and also sent a draft of RS.30,000 as an advace to consignor. He
is entitled to 5% commission on sales.He sold all good for Rs.160,000.Khalid sent a final cheque with
account sale.

8) Mr.Arslan whole keeps his book on single entry, tells you that his capital on 31st December 2011 is
Rs.51,600 and his capital on 1st January 2011 was Rs , 25000. He further informs you that during the year
he withdrew for his household purposes Rs.10,240. He once sold his investment of RS.20,000 at
premium and brought that money into business.You are required to prepare a statement of profit and
loss.

9) On 1st January 2011 a firm purchased a building for Rs. 100,000. It has been decided to depreciate at
the rate of 10% on the straight line method.Show the machinery account for first four years.