GTU BE 6th Semester 2161503 Finance Management and Cost Control Summer 2018 Question Paper

1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
BE – SEMESTER ?VI (NEW) – EXAMINATION ? SUMMER 2018
Subject Code:2161503 Date:03/05/2018
Subject Name:Finance Management & Cost Control
Time:10:30 AM to 01:00 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.

Q.1 (a) Discuss the nature of cost 03
(b) Classify sources of Finance available to entrepreneurs. 04
(c) Explain how finance management is related with other
discipline of business.
07

Q.2 (a) Discuss briefly about factors affecting the selection of
sources of finance.
03
(b) Discuss the uses of working capital. 04
(c) Explain detailed procedure of cost estimating. 07
OR
(c) Write a short note on Causes of Depreciation. 07
Q.3 (a) What is financial analysis? 03
(b) Explain the importance of financial analysis. 04
(c) Differentiate single entry system and double entry system
of accounting.
07
OR
Q.3 (a) Discuss allocation of overheads. 03
(b) What is the data required for engineering estimates for
machine shop?
04
(c) Classify and explain different types of accounts in detail. 07
Q.4 (a) What is important of book keeping? 03
(b) Discuss various Classes of shares and debentures. 04
(c) Two molders can cast twenty ? five gears in a day. Each
gear weight 3 kg and the gear material costs Rs. 12.50 per
kg. If the overhead expenses are 150% of direct labour
cost and two molders are paid Rs. 70 per day, calculate the
cost of producing one gear.
07
OR
Q.4 (a) What is budgeting and budgeting control? 03
(b) Explain various types of budgets. 04
(c) A cast iron foundry employs thirty persons. It consumes
material worth Rs. 25,000, pays workers at the rate of Rs.
10 per hours and incurs total overhead of Rs. 10,000. In a
particular month (25 days) workers had an overtime of 150
hours and were paid at double their normal rate. Find the
total cost and the man hour rate of overheads. Assume an
eight hour working day.
07
Q.5 (a) Discuss Material costing. 03
(b) Discuss procedure/steps in calculating Welding material
cost.
04 1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
BE – SEMESTER ?VI (NEW) – EXAMINATION ? SUMMER 2018
Subject Code:2161503 Date:03/05/2018
Subject Name:Finance Management & Cost Control
Time:10:30 AM to 01:00 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.

Q.1 (a) Discuss the nature of cost 03
(b) Classify sources of Finance available to entrepreneurs. 04
(c) Explain how finance management is related with other
discipline of business.
07

Q.2 (a) Discuss briefly about factors affecting the selection of
sources of finance.
03
(b) Discuss the uses of working capital. 04
(c) Explain detailed procedure of cost estimating. 07
OR
(c) Write a short note on Causes of Depreciation. 07
Q.3 (a) What is financial analysis? 03
(b) Explain the importance of financial analysis. 04
(c) Differentiate single entry system and double entry system
of accounting.
07
OR
Q.3 (a) Discuss allocation of overheads. 03
(b) What is the data required for engineering estimates for
machine shop?
04
(c) Classify and explain different types of accounts in detail. 07
Q.4 (a) What is important of book keeping? 03
(b) Discuss various Classes of shares and debentures. 04
(c) Two molders can cast twenty ? five gears in a day. Each
gear weight 3 kg and the gear material costs Rs. 12.50 per
kg. If the overhead expenses are 150% of direct labour
cost and two molders are paid Rs. 70 per day, calculate the
cost of producing one gear.
07
OR
Q.4 (a) What is budgeting and budgeting control? 03
(b) Explain various types of budgets. 04
(c) A cast iron foundry employs thirty persons. It consumes
material worth Rs. 25,000, pays workers at the rate of Rs.
10 per hours and incurs total overhead of Rs. 10,000. In a
particular month (25 days) workers had an overtime of 150
hours and were paid at double their normal rate. Find the
total cost and the man hour rate of overheads. Assume an
eight hour working day.
07
Q.5 (a) Discuss Material costing. 03
(b) Discuss procedure/steps in calculating Welding material
cost.
04
2
(c) A fabrication concern, for the year 1975-1976 had factory
overheads of Rs. 4,000, and the direct labour cost of Rs.
12,000. Find the percentage overhead using percentage of
direct labour cost method.
07
OR
Q.5 (a) What is a trial balance? 03
(b) Discuss basic elements of variable indirect expenses. 04
(c) A fabrication and assembly shop had its total overheads of
Rs. 10,000. It used direct material worth Rs. 10,000 and
paid Rs. 15,000 as direct labour charges. Calculate the %
overhead.
07
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