Get premium membership and access revision papers, questions with answers as well as video lessons.
Bus0260:Farm Management And Accounts Question Paper
Bus0260:Farm Management And Accounts
Course:Diploma In Agriculture
Institution: Meru University Of Science And Technology question papers
Exam Year:2012
QUESTION ONE – 30 MARKS (a) State and explain the functions of Management. (10Marks) (b) Explain the business cycle (10Marks) (c) Distinguish between the Trial Balance and the Profit and Loss Account (5Marks) (d) Distinguish the fixed costs and the variable costs by listing the differences. (5Marks)
QUESTION TWO – 15 MARKS
(a) State and explain any five books used in farm accounting. (10Marks) (b) Explain any five errors that cannot be shown by the Trial Balance. (5Marks)
QUESTION THREE – 15 MARKS
The following information belongs to XYZ farm:
Item (Ksh) Item Kshs Capital 250,000 Salaries 47,200 Drawings 32,500 Furniture 25,000 Stock 1-1-2011 46,100 Motor Car 60,000 Stock 31-12-2011 750,000 Debtors 48,500 Purchases 284,400 Creditors 52,800 Sales 415,300 Cash 29,100 Returns inwards 3,600 Bank 600 Returns outwards 6,700 Discount allowed 3,400 Carriage in 27,900 Discount received 1,900 Carriage out 10,000 General expenses 31,700 Premises 100,000 Rent Income 23,300
2
(a) Prepare a Profit and Loss Account (10Marks) (b) Prepare a Balance Sheet (5Marks)
QUESTION FOUR – 15 MARKS
(a) Explain the various types of Cash Books. (5Marks) (b) Explain the uses of the break even budgeting. (10Marks)
QUESTION FIVE – 15 MARKS
(a) Discuss the limitations of Gross Margin Budgeting (10Marks)
(b) A farmer is planting Barley and wants to change to wheat. He estimates that the fixed costs will increase by Shs. 5,000 while the other costs are as follows:- Variable costs Barley - Sh. 20,000 Wheat- Sh. 24,000 Gross output is as follows: Barley 20/90kg bags @ 3,000/= Wheat x/90kg bags @ 2,500/= How much should wheat (x) be to break even Barley. (5Marks)
More Question Papers
Popular Exams
Return to Question Papers