NMIMS Financial Accounting and Analysis assignment June 2023

Q1. Analyze the following transactions for Surprise Ltd. using the concept of Accounting
Equation comprising of Assets, Liabilities and Equity. (10 Marks)
1. Commenced business with cash of ₹ 5,00,000.

2. Purchased equipment for cash ₹ 2,00,000.

3. Purchased furniture worth ₹50,000 on credit from Indi Mart.

4. Purchased raw materials for ₹25,000 against cash from XYZ Suppliers.

5. Deposited cash of ₹ 1,25,000 in the current account.

6. Sold goods for ₹75,000 and received a cheque against the same.

Q2. Prepare a vertical balance sheet from the following information: (10 Marks)
Liabilities Rs. Assets Rs.
Share capital
Share Premium Account
General Reserve
Profit and Loss account
6% Debenture
Bank Loan (Long Term)
Bank Overdraft
Sundry Creditors
Provision for Taxation
1,50,000
5,000
60,000
17,000
50,000
35,000
20,000
60,000
10,000
Goodwill
Land and Building
Plant (at cost less dep.)
Furniture (at cost less dep.)
Investment (Trade)
Debtors
Stock
Cash at Bank
Prepaid expenses
Preliminary expenses
20,000
80,000
44,000
3,000
80,000
70,000
60,000
40,000
5,000
5,000
Total Rs. 4,07,000 Total Rs. 4,07,000

Q3. A) Prepare a comparative income statement for any company extracting their P&L
statement for the years 2020-21 & 2021-22. Analyse the incline and decline in the different
elements in the P&L Statement and provide detailed insights. (5 Marks)

Q3. B) Prepare a trend analysis statement for any the same company extracting their P&L
statement for the years 2019-20, 2020-21 & 2021-22. Analyse the incline and decline in
the different elements in the P&L Statement and provide detailed insights.
(5 Marks)