CA PE II Group II : Cost Accounting and Financial Management - May 2003

This Paper has 29 answerable questions with 0 answered.
Roll No…………………
Total No. of Questions – 9][Total No. of Printed Pages – 10
Time Allowed : 3 HoursMaximum Marks : 100
Answers to questions are to be given only in English except in the cases of candidates who have opted for Hindi medium. If a candidate who has not opted for Hindi medium, answers in Hindi, his answers in Hindi will not be valued.
Question Nos.1 and 6 are compulsory.
Attempt three questions out of the remaining question numbers 2, 3, 4 and 5 and attempt two questions from the remaining question numbers 7, 8 and 9.
Working notes should form part of the answer.
Marks
1.(a)3 (0)
 (b)3 (0)
 (c)3+7+2=12 (0)
2.(a)4+4+2=10 (0)
 (b)Write short notes on any two of the following:2+2=4 
  (i)   (0)
  (ii)   (0)
  (iii)   (0)
3.(a)2+2+2+2=8 (0)
 (b)3+3=6 (0)
4.(a)6+3=9 (0)
 (b)1+4=5 (0)
5.(a)Distinguish between any three of the following:2+2+2=6 
  (i)   (0)
  (ii)   (0)
  (iii)   (0)
  (iv)   (0)
 (b)8 (0)
6.(a) The cash flows of projects C and D are reproduced below :
  Cash Flow    
Project C0 C1 C2 C3 NPC
at 10%
IRR
C
D
– Rs. 10,000
– Rs. 10,000
+2,000
+10,000
+4,000
+3,000
+12,000
+3,000
+Rs. 4,139
+Rs. 3,823
26.5%
37.6%
4+4=8 
  (i)   (0)
  (ii)   (0)
 (b)Calculate the level of earnings before interest and tax (EBIT) at which the EPS indifference point between the following financing alternatives will occur.3 
  (i)   (0)
   
OR
   
      (0)
 (c)3 (0)
 (d)2 (0)
7.(a)9 (0)
 (b)3 (0)
8.(a)3 (0)
 (b)3 (0)
 (c)1+1+1+3 (0)
9.(a)3+3+2 (0)
 (b)2+2=4 (0)