SECTION – A

1. Quality of financial reporting.

2. Indian financial reporting system.
3. Minority interest.
4. Holding company.
5. NFRA.
6. Structure of NFRA.
7. Business responsibility report.
8. Corporate governance report.
9. Market value.
10. Reporting on price level changes.

Unit – I
11. What is corporate financial reporting? Explain its objectives.
OR
12. Describe the corporate reporting practice in India.
Unit - II
13. The following are the extract balance sheets of H Ltd and S Ltd as on 31-3-2017,
H Ltd S Ltd H Ltd S Ltd
Liabilities Assets
` ` ` `
Share capital (`10 each) 20,000 10,000 Fixed assets (tangible) 30,000 15,000
General reserve 10,000 5,000 Current assets 35,000 25,000
P & L A/c (1.4.2016) 5,000 4,000 Shares in S Ltd (8,000) 10,000 ---
12% Debentures 20,000 10,000
Sundry creditors 10,000 5,000
Profit for the year 10,000 6,000
75,000 40,000 75,000 40,000
H Ltd acquired shares in S Ltd on 1-10-2016. S Ltd has a balance of `4,000 in general
reserve on 01-04-2016. On the account fire goods costing `2,000 of S Ltd were destroyed
in June 2016. The loss has been charged to the profit and loss account for the year.
Prepare a consolidated balance sheet.
OR
14. What are the principles applied in preparation of consolidated balance sheet?

Unit - III
15. What are the functions and powers of National Financial Reporting Authority?

OR
16. Describe the provisions relating to National Financial Reporting Authority (NFRA)
under the Companies Act 2013.

Unit – IV

17. Discuss the contents of board report under the Companies Act 2013.
OR
18. Elaborate on the factors responsible for increasing attention being devoted to
Corporate Social Responsibility by Corporates.
 Unit - V
19. Define value added statements. Explain the need and significance of preparation of
value added statements.
OR

20. The Capital Structure of Define Ltd. is as under:

 80,00,000, Equity Shares of `10 each = ` 800 lakhs

 1,00,000, 12% Preference Shares of ` 250 each = ` 250 lakhs
 1,00,000, 10% Debentures of ` 500 each = ` 500 lakhs
 Terms Loan from Bank @ 10% = ` 450 lakhs
The Company’s Statement of Profit and Loss for the year showed PAT of ` 100 lakhs,
after appropriating Equity Dividend @ 20%. The Company is in the 40% tax bracket.
Treasury Bonds carry 6.5% interest and beta factor for the Company may be taken as
1.5. The long run market rate of return may be taken as 16.5%. Calculate Economic
Value Added.