PRELIM EXAM

FINANCIAL MANAGEMENT – BSBA

Name:
Section:

Enumerate the 7 Importance of Financial Management

1.
2.
3.
4.
5.
6.
7.

Enumerate the 6 Techniques of Financial Statement Analysis

1.
2.
3.
4.
5.
6.

Provide 7 sources of Finance

1.
2.
3.
4.
5.
6.
7.

Determine the effect of each transaction in Cash Account. Indicate whether it will Increase,
Decrease, or No effect.
______________1. Cash brought in by proprietor as capital Rs. 30000
______________2. Goods purchased on credit from Madan Lal Rs. 5,000
______________3. Furniture purchased for cash Rs. 10000
______________4. Goods sold on credit to Dev Raj Rs. 1600
______________5. Goods purchased for cash Rs. 4500
______________6. Goods sold for cash Rs. 2100
______________7. Rent paid for shop to landlord 3000
______________8. Commission received in cash 2000
______________9. Cash deposited into bank 5000
______________10. Cash withdrawn from bank for office use Rs. 2000
______________11. Cash drawn by proprietor from business for personal use Rs. 3000
______________12. Goods given as charity Rs. 1000
______________13. Bad Debts written off Rs. 500
______________14. Bad debts recovered in cash Rs. 300
______________15. Carriage paid on machinery (expenses on purchase of asset) Rs. 1000
______________16. Depreciation on fixed assets Rs. 500
______________17. Carriage paid on the behalf of buyer Rs. 1000
______________18. Goods given as free samples Rs. 1500
______________19. Interest allowed on capital Rs. 600
______________20. Interest charged on drawings Rs. 500
______________21. Bank charges or interest charged by bank Rs. 200
______________22. Goods lost by fire Rs. 800
______________23. Goods insured and a claim is admitted by insurance company in full or in
part.
______________24. Loan taken Rs. 100,000
______________25. Interest paid on loan. Rs. 1000
______________26. Interest on loan due but not paid in cash. Rs. 500
______________27. Investment purchased Rs. 50,000
______________28. Cash stolen from office. Rs. 6000
______________29. Cash paid to a creditor in full settlement (When cash discount is received)
Amount due to Madan Lal Rs. 5000 paid him Rs. 4950 in full settlement.
______________30. Cash received from a debtor in full settlement (When cash discount is
allowed). Amount receivable from Dev Raj Rs. 1600, received from him Rs. 1570.