THEORY PAPER
Time: 60 Minutes
Marks: 15
PART -II
PRACTICAL PAPER
Time: 120 Minutes
Marks: 25
Question No. 01
Marks:
12
Cash Account
A/c Receivables
A/c Payables
Purchase Account
Taj Muhammad Capital
Retained Earnings
Drawing Account
Sales Account
Sold
Sold
Sold
Sold
20
10
50
60
Question: 2
(Marks 08)
Question: RED Palace Corporation closes its accounts once a year on
December 2015.
Chart of Accounts
Cash
Accounts Receivable
Prepaid rent
Unexpired Insurance
Airplanes
Accumulated Depreciation: Airplanes
Notes Payable
Interest payable
Unearned Passenger revenue
Raja, Capital
Raja, Drawing
Freight revenue
Fuel expense
Salaries expense
Maintenance expense
Salaries payable
Freight revenue receivable
Rent expense
Insurance expense
Depreciation expense
Interest expense
Passenger revenue
Total
Amount
22,750
28,300
5,400
32,800
855,000
Amount
237,500
450,000
4,500
80,500
171,750
7,750
66,000
47,600
72,525
6,700
1,625
11,750
2,700
4,100
4,750
4,500
1,106,625
94,750
1,106,625
Required:
a. Prepare Income Statement for the year ended December 31,
2015
b. Prepare the Balance sheet in Report form at December 31,
2015.
Question No. 03
Marks(5)
The cash book of M/s. J.Jones showed a balance at the bank of Rs.
5,700/- in hand on 31 January 2016. At the same date, the bank
statement balance of M/s. J.Jones account was Rs. 4,690/- . The
difference was accounted for as follows:
a. Cheques for Rs. 1,555/- sent to creditors on 30 January were
not paid by the bank until 8 February.
b. Cheques amounting to Rs. 1,974/- paid into the bank on 31
January were not credited by the bank until 1 February.
c. A standing order for a charitable subscription of Rs. 600/had been paid by the bank on 21 January but no entry had
been made in the cash book.
d. A cheque paid by M/s. J.Jones for rent on 15 January for Rs.
345 had been entered in his cash book as Rs. 354/-.
REQUIRED: