PMS Commerce Past Paper 2020 PDF
PUNJAB PUBLIC SERVICE COMMISSION
Combined Competitive Examination (CCE) 2020
For Recruitment to the Posts of Provincial Management Service (PMS)
SUBJECT: Commerce (Paper-1)
Time Allowed: 3 Hours
Maximum Marks: 100
NOTE:
Attempt FIVE Questions in all, selecting minimum TWO questions from each part. Calculator is allowed (not programmable).
PART – A
Q. No. 1
Do adjusting entries affect income statement accounts and balance sheet accounts, or both? Explain.
(20 Marks)
Q. No. 2
From the following Trial Balance of a trader, prepare Trading and Profit & Loss Account for the year ending 31st March, 2019 and a Balance Sheet at that date.
(20 Marks)
Trial Balance (Extract)
| Debit Balances (Rs.) | Credit Balances (Rs.) |
|---|---|
Opening Stock 36,000 |
Discount Received |
Furniture 24,000 |
Unearned Commission |
Bills Receivables 36,000 |
Purchases Returns |
Cash in Hand 18,000 |
Allowance for Bad Debts |
Purchases 144,000 |
Sales |
Sales Returns 12,000 |
Bank Loan @ 15% |
Establishment Charges 30,000 |
Accounts Payable |
Taxes & Insurance 6,000 |
Bills Payable |
Bad Debts 6,000 |
Capital |
Accounts Receivables 60,000 |
|
Investment 48,000 |
Adjustments
a) Closing stock Rs. 54,000
b) Interest accrued on investment Rs. 2,520
c) Commission earned Rs. 1,200
d) Bad debts allowance to be maintained Rs. 12,000
e) Depreciate furniture @ 10%
f) Salaries Rs. 1,200 and taxes Rs. 4,800 are payable
g) Prepaid insurance Rs. 600
Q. No. 3
Prepare a Cash Flow Statement from the given balance sheets of Ruler Company for Year 1 and Year 2.
(20 Marks)
(Additional information includes purchase of land, equipment, dividends, etc.)
Q. No. 4
During April, Assembling Department received 45,000 units from Cutting Department at Rs. 5 per unit. Costs incurred:
-
Materials: Rs. 116,025
-
Labour: Rs. 127,125
-
Factory overhead: Rs. 84,750
Units details:
-
Transferred out: 37,500 units
-
Ending WIP: 6,750 units (2/3 complete)
-
Lost units: 750 units (abnormal loss)
Prepare Cost of Production Report.
(20 Marks)
Q. No. 5
From the given six-month data of Modern Manufacturing Company, prepare:
(20 Marks)
i. Number of units manufactured
ii. Value of ending finished goods inventory
iii. Cost of goods sold statement
iv. Income statement
v. Per unit gross profit and net profit
Q. No. 6
Contract ledger question: Prepare contract account showing profit and proportion of profit to be credited to Profit & Loss Account.
Include depreciation on plant @ 10%.
(20 Marks)
PART – B
Q. No. 7
Explain the following terms with examples:
(20 Marks)
a) Prime cost
b) Spending variance
c) Break-even point
d) Job order costing
e) Cost accounting cycle
Q. No. 8
Standard costing problem: Calculate variances using two, three, and four variance methods for materials, labour, and factory overhead.
(20 Marks)
SUBJECT: Commerce (Paper-II)
Time Allowed: 3 Hours
Maximum Marks: 100
SECTION – A
Q. No. 1
Briefly discuss the difficulties faced by Pakistan Railways and suggest remedies.
(20 Marks)
Q. No. 2
What are the causes of adverse balance of payment in Pakistan? Suggest measures to improve the balance of payment in Pakistan.
(20 Marks)
Q. No. 4 (INCOME TAX QUESTION – MR. TARIQ)
Calculate taxable income and tax payable based on the following information:
Income & Perquisites:
-
Basic Salary (Rs. 30,000–5,000–60,000)
-
Free accommodation provided by employer (house allowance = 60% of basic salary)
-
Motor vehicle for personal use (conveyance value Rs. 7,00,000)
-
Concessional loan from employer @ 8% p.a. (Rs. 30,00,000)
-
Free air tickets (4 tickets @ Rs. 40,000 each)
-
Medical allowance Rs. 50,000
-
Dearness allowance Rs. 12,000
-
Income from property Rs. 2,00,000
-
Life insurance premium paid by employee Rs. 1,20,000
-
Income from business Rs. 1,50,000
-
Dividend from public company Rs. 10,000
-
Share from Association of Persons Rs. 25,000
Tax Slabs Provided:
| Taxable Income | Tax Rate |
|---|---|
7,50,000 – 14,00,000 |
Rs. 14,500 + 10% of excess over 7,50,000 |
14,00,000 – 15,00,000 |
Rs. 79,500 + 12.5% of excess over 14,00,000 |
15,00,000 – 18,00,000 |
Rs. 92,000 + 15% of excess over 15,00,000 |
Q. No. 5
Elaborate the salient features of Income Tax Law in Pakistan.
(20 Marks)
Q. No. 6
Define Audit Report. How is the role of external auditor more important than internal auditor?
(20 Marks)
SECTION – C
Q. No. 7
Give details about members and functions of Appellate Tribunal Inland Revenue.
(20 Marks)
Q. No. 8
Define commercial bank and discuss Islamic modes of finance introduced by public and private commercial banks.
(20 Marks)
SECTION – D
Q. No. 9
What is the difference between Manager and Leader? Discuss different theories of leadership.
(20 Marks)
Q. No. 10 (TARIQ EMOLUMENTS – PARTIAL DATA)
Your question is incomplete / mixed formatting. Only this is visible:
-
Basic Salary (Rs. 30,000–5,000–60,000)
-
(Remaining items missing or repeated from Q.4 above)
