Advanced Accounting - May 2025

What is the stage of completion of contract on the basis of proportion of contract costs incurred to the total estimated contract costs at the end of year 1 and Year 2 respectively? INTERMEDIATE EXAMINATION: MAY 2025 (B) Year 1: 23.5 % and Year 2: 65% (C) Year 1: 25 % and Year 2: 66% (D) Year 1: 25 % and Year 2: 65% 2. What is the amount of the profit to be recognized at the end of Year…

(a) Hardy Ltd. intends to extend the factory set up on the adjacent plot with disintegrated old premises. It acquired the land having an area of 250 hectares at a cost of ` 25,000 per hectare. Hardy Ltd. incurred Stamp duty and registration charges of 5% of land value. Legal fees were paid ` 4,75,000 for land acquisition. Hardy Ltd. incurred ` 37,85,000 for demolishing old premises thereon. A sum of ` 12,60,000 (including 5% GST thereon) was realized from…

Following particulars are furnished by Bela Ltd for the year ended 31st March 2025. Particulars Debit ` Credit` Equity Share Capital (Face Value 100) 6,00,000 8% Preference Share Capital (Face Value 100) 3,00,000 Factory Building 6,20,000 Plant & Machinery 4,98,000 Furniture & Fittings 1,52,000 ADVANCED ACCOUNTING General Reserve 88,000 Term Loan from Public Financial Corp. 3,40,000 Inventory Raw Material 1,35,000 Finished Goods 66,000 Provision for taxation 12,000 Dividend Payable 10,000 Preliminary Expenses 21,000 Profit & Loss A/c 99,000 Cash in…

Sheet of Moon Ltd. as on 31st March 2025 and 2024 were given as: Particulars Notes 31st March, 2025 31st March, 2025 Equity and Liabilities 1. 2. Shareholder Funds (a) Share Capital 1 8,00,000 6,00,000 (b) Reserves and Surplus 2 80,000 50,000 6,000 (a) Trade payable 40,000 25,000 (b) Short term provisions (Provision for tax) 15,000 10,000 Total 9,41,000 6,85,000 3,95,000 2,90,000 20,000 10,000 2,50,000 2,00,000 2,76,000 1,85,000 9,41,000 6,85,000 Non-Current Liabilities (a) Deferred Tax Liability 3. Current liabilities Assets…

The following is summarized Balance Sheet of Pickles Ltd. as on 31/03/2025. Particulars Notes Equity and Liabilities 1 2 3 Shareholders’ Funds A Share Capital 1 11,00,000 B Reserves and Surplus 2 2,10,000 A Long term borrowings 3 1,00,000 B Long term Provisions 4 60,000 Non-Current liabilities Current liabilities A Trade Payables 1,75,000 B Other Current Liabilities 65,000 Total 17,10,000 Assets 1 2 Non-current Assets A Property, Plant and Equipment 5 7,50,000 B Intangible assets 6 75,000 Current Assets A…

(a) Birds Ltd. and its subsidiary Rooster Ltd provided the following information for the year ended 31/03/2025. Particulars Birds Ltd. Rooster Ltd. Equity Share Capital 10,00,000 3,00,000 Sales 28,40,000 10,40,000 INTERMEDIATE EXAMINATION: MAY 2025 Purchases (Finished Goods) 9,15,000 1,75,000 Salaries 7,75,000 3,78,000 Rent received 5,40,000 General and Administration expenses 2,81,500 1,98,000 Selling and Distribution Expenses 2,21,000 90,000 Dividend Income 1,35,000 28,000 Finished Goods Inventory on 01/04/2024 3,35,000 1,20,000 Finished Goods Inventory on 31/03/2025 7,85,000 2,90,000 Other Non-operating Income 2,38,000 57,000…

Accounting Standards? Explain the objectives of "Accounting Standards" in brief, also state the advantages of setting Accounting Standards. (4 Marks) (a) A machine was acquired by Zest Ltd. on 01/04/2019 for ` 60 lakhs. It had a useful life of 6 years. The machine is depreciated on straight line basis and does not carry any residual value. On 01/04/2022, the carrying value of the machine was reassessed at ` 36 lakhs. The surplus arising out of the revaluation being credited…