Prep Right
Questions › PMS Punjab › Commerce › 2022
PPSC · PMS Punjab 2022

Commerce, Paper I

100 marks · 3 hours · 5 questions
This paper Commerce · all yearsQ. 2 · The following information was taken…Q. 2 · Times Debtors Turnover Ratio 2…Q. 3 · On July 1 a machine,…Q. 7 · The Three Stars Manufacturing Company…Q. 8 · The following data are available…With this paper← 20212022 →
3 hours · questions hide until you reveal them

Not yet checked 2 of 5 questions have not yet been compared with the official paper.

Q. 2

The following information was taken from the financial records of the XYZ Company.

  1. (a)Net income was $189,500 for the period.
  2. (b)Purchased 10,000 shares of common stock at $15 per share for the treasury.
  3. (c)Sold equipment with a carrying value of 32 , 500 a t a g a i n o f 32,500 at a gain of 32 , 500 a t a g ain o f 6,000.
  4. (d)Purchased land and a building worth $450,000 by signing a ten-year note payable.
  5. (e)Issued $1,000,000 in bonds at par.
  6. (f)The beginning and ending retained earnings account balances were 418 , 000 a n d 418,000 and 418 , 000 an d 534,000, respectively.
  7. (g)Wrote a check for $648,000 for the purchase of machinery.
  8. (h)Sold long-term investments in marketable securities with a 50 , 000 c a r r y i n g v a l u e , a t a l o s s o f 50,000 carrying value, at a loss of 50 , 000 c a r r y in g v a l u e , a t a l osso f 17,500.
Not yet checked
(20)
Q. 2

Times Debtors Turnover Ratio 2 months Fixed Assets to Shareholders' Net worth 0.80 Reserves and surplus to capital 0.50

(20)
Q. 3

On July 1 a machine, which cost 75 , 000 , w a s s o l d f o r 75,000, was sold for 75 , 000 , w a sso l df or 4,000. The following information was obtained from the accounting records: accumulated depreciation on December 31, 61 , 250 ; a n n u a l d e p r e c i a t i o n , 61,250; annual depreciation, 61 , 250 ; ann u a l d e p r ec ia t i o n , 8,750.

  1. (a)Journalize depreciation expense to the date of sale [10]
  2. (b)Journalize the sale of the equipment [10]
Not yet checked
(20)
Q. 7

The Three Stars Manufacturing Company estimated its manufacturing overhead at normal capacity of 300,000 direct labor hours to be Rs.270,000 of which Rs.90,000 are fixed and Rs.180,000 variable. The company applies factory overhead to its production by means of a predetermined rates based on normal capacity production. Actual direct labor hours for the year are 279,000 and the total actual factory overhead amounts to Rs.245,000. You are required to determine under or over-applied factory overhead for the year and prepare Budget Variance and Volume Variance.

(20)
Q. 8

The following data are available for Mandmeyer Company for the year ended November 30, 19B: Particulars Amount Sales $56,000 Finished Goods Inventory: November 30, 19B 51,100 December 1, 19A 3,500 Work in Process Inventory: November 30, 19B 7,500 December 1, 19A 4,000 Materials Inventory: November 30, 19B 4,250 December 1, 19A 4,000 Materials Purchased 18,000 Direct Labor 7,500 Factory overhead charged to production 5,000 Marketing expenses 5% of sales Administrative expenses 2% of sales Other expenses 1% of sales Required: Prepare a cost of goods sold statement. Prepare an income statement.

(20)

Related papers

Commerce 2016Commerce 2019Commerce 2020Commerce 2020Commerce 2021Commerce 2021Commerce 2022Commerce 2023Commerce 2023Chemistry 2022Chemistry 2022English Essay 2022English Literature 2022English Literature 2022English Precis & Composition 2022Islamic Studies 2022Journalism & Mass Communication 2022Journalism & Mass Communication 2022Political Science 2022Political Science 2022Commerce 2022Economics 2022Economics 2022Education 2022Education 2022Geology 2022Geology 2022History 2022History 2022Law 2022Law 2022Mathematics 2022Mathematics 2022Persian 2022Principles of Engineering 2022Principles of Engineering 2022Sociology 2022Statistics 2022Statistics 2022Veterinary Science 2022Zoology 2022Psychology 2022Public Administration 2022Public Administration 2022Punjabi 2022Punjabi 2022Social Work 2022Social Work 2022Urdu 2022

About this paper

The 2022 PMS Punjab Commerce paper set by the PPSC. Question wording only; questions marked “Not yet checked” have not been compared with the official paper yet.

Disclaimer Prep Right is independent and not affiliated with PPSC.