Pakistan Institute of Public Finance Accountants

Winter Exam-2015
AGP/PG/PMAD/PUBLIC Sectors
Financial Audit Manual (FAM) [05.11.2015]
Marks-75 D u r a t i o n : 2 hrs. 15 min
Subjective Additional time – 15 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Books are not allowed.
• Start each question from fresh page.

Attempt all questions from PART–I and any two from

PART–II

Part-I
Q.1. (a) Define Financial Audit. 05

(b) You are assigned Financial Audit of a component in the Financial Statement. 10
State when a component would be considered to be in error.

Q.2. (a) In what ways an auditor can obtain the desired level of assurance that payroll 08
expenditure are not materially misstated in Financial Statement.
(b) List the steps that an auditor usually perform to determine materiality. 07

Q.3. (a) Define the components of Audit Risk Model. 08

(b) Describe the factors that should be considered when setting the audit budgets. 07

Part-II
Q.4. (a) You are supposed to select items for tests of details to conclude about the account 08
as a whole. How you will do it?
(b) Define further Possible Error and its components. 07

Q.5. (a) List in what ways proper supervision is done to ensure the quality of audit work. 08

(b) Based on your audit experiences. List the important underlying causes for the 07
observed weaknesses or errors in Financial Statement.

Q.6. (a) What is the purpose of Working Paper Files? 08

(b) State the matters on which the entity feedback is obtained to assess and improve 07
the quality of audit.

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP SECTOR
Financial & Management Accounting [04.11.2015]
(Commercial Audit)
Marks-75 Duration:2 hrs.15 Mins.
Subjective Additional time – 15 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.

Attempt all Questions

Q.1. Financial data of Shaheen Enterprises is presented below:

Balance Sheet
Dec. 31 Dec. 31
2014 2013
Rs. Rs.
Bank (6,000) 7,000
Trade receivable 35,920 30,000
Less allowance for doubtful accounts (3,400) (2,000)
Inventories 63,900 20,000
Equipment 69,000 45,000
Less accumulated depreciation (15,000) (9,000)
Investments 3,000 8,000
Goodwill 0 7,400
147,420 106,400

2014 2013
Trade payable 41,500 25,400
Debentures 0 15,000
Preference shares 0 6,000
Ordinary shares 76,000 40,000
Premium on ordinary shares 8,000 ---
Un-appropriated profits 21,920 20,000
147,420 106,400

Income Statement:
Year Ended December 31, 2014 Rs.
Sales 130,000
Cost of goods sold (including depreciation Rs.9,000) 76,400
Gross profit 53,600
General expenses 32,000
Premium on redemption of debentures 1,200
Premium on redemption of preference shares 480
33,680
Net profit 19,920

Contd. on back
 Statement of un-appropriated profits
Balance, beginning of year 20,000
Net profit 19,920
39,920
Cash dividends 18,000
Balance, end of year 21,920

Additional information
1. Sale of equipment
Cost 8,000
Book value 5,000
Sale proceeds 1,000
The loss is included in general expenses
2. Purchase of equipment 32,000
3. Sale of investments:
Cost 5,000
Sale proceeds 6,000
The gain is included in general expenses
Debentures redemption
12% debentures redeemed, face value 15,000
Premium 8%
Preference shares redemption
Face value 6,000
Premium on redemption 8%
Goodwill written off 7,400
The write off is charged to general expenses
Required:
Prepare Cash Flow Statement for 2014. 10

Q.2. Following information of a Company is available for the year ended 31 March 2013.
Rs.
Share Capital (200,000 shares of Rs. 10 each) 2,000,000
Interest Expense 400,000
Profit for the year after interest and tax 1,600,000
Long Term Loan 10% 4,000,000
Interest cost relating to capital work in progress (need to capitalize) 60%
Tax Rate 30%
Market Price Rs. 25 per share
Dividend per share Rs. 3 per share
Required:
a) Earnings per Share 02
b) Price Earnings Ratio 02
c) Dividend Yield 02
d) Return on Capital Employed 02
Contd….
Q.3. Explain the following terms to make the financial information useful for its users:
(a) Relevance 02
(b) Materiality 02
(c) Comparability 02
(d) Verifiability 02
(e) Timeliness 02

Q.4. A & A incurred following expense on a machine during the year. Machine book value at
the start of the year was Rs. 8 million.
Rs.
Insurance cost 250,000
Machine operator Salary 120,000
New Parts
1,200,000
(which will improve the efficiency of the machine in terms of output)
Cleaning cost 200,000
Required:
What total amount will be treated as Capital Expenditure for the respective year? 07

Q.5. Followings are some ratios and other data of a company:

Current Ratio 2.5

Quick Ratio 1.5
Net Working Capital Rs.30,000
Debtors Turnover Ratio 2 months
From the above particulars find:
(a) Current Liabilities 02
(b) Current Assets 02
(c) Closing Stock 02
(d) Debtors 02
(e) Cash at Bank 02

Q.6. Following information of AS (Pvt.) limited is available for the year ended 30th June 2014:

Rs.
st
Share capital as at 1 July 2013 200,000
50% Right shares issued during the year 100,000
Premium on right shares (issued during the year) 50,000
General reserve as at 1st July 2013 500,000
Accumulated loss as at 1st July 2013 100,000
Profit for the year ended on 30 June 2014 350,000
Interim dividend declared and paid for the year ended 30 June 2014 150,000

Contd. on back
 Required:
Prepare Statement of Changes in Equity of AS (Pvt.) Limited for the year ended 30 June 10
2014.

Q.7. Following is a Trial Balance of CFS Limited for the year ended 31st December 2012:
Debit Credit
Rs. Rs.
Plant and machinery – cost 6,000,000
Vehicles – cost 300,000
Plant and machinery – accumulated depreciation 1,200,000
Vehicles – accumulated depreciation 180,000
Stock in trade 7,000,000
Trade debtors 6,000,000
Other receivables 60,000
Trade creditors 1,200,000
Accrued expenses 120,000
Cash in hand 60,000
Cash at bank 180,000
Advances to staff 500,000
Paid-up share capital
3,000,000
(300,000 ordinary shares of Rs. 10/- each fully paid in cash
Capital reserve 200,000
Accumulated profit 6,400,000
Long term loan 4,000,000
Sales 48,000,000
Purchases 30,000,000
Labor and wages – direct cost 7,000,000
Other direct cost 3,000,000
Administrative and general expenses 4,000,000
Interest on long term loan 200,000
64,300,000 64,300,000
Other information:
• Closing stock value as on 31 December 2012 is Rs. 8,000,000.
• Administrative and general expenses include office rent from January 2013 to June 2013
amounting Rs. 120,000.
• Depreciation adjustment is required on straight line basis by using 20 % on vehicles and 10%
on plant and machinery.
• Rate of long term loan is 10% per annum on outstanding balance. Original amount of loan
was Rs. 8 million and was repayable on biannual basis in equal 16 installments on 1st January
and 1st July of each year.
• Tax for the year is Rs. 1,435,000 after considering all above adjustments.
Required:
Prepare following Financial Statements of CFS Limited for the year ended 31st December
2012:
a) Profit and Loss Account. 10
b) Balance Sheet. 10

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP/PG/PMAD/PUBLIC Sectors
New Accounting Model (NAM) [02.11.2015]
Marks-75 Duration: 2 hrs. 15
Min s. Additional time – 15 min for Paper Reading
Subjective
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Quote reference of relevant para/section with the name of relevant manual.
• Start each question from fresh page.
Books Allowed:
• Accounting Policies and Procedures Manual (APPM)
• Manual of Accounting Principles (MAP)
• Chart of Accounts (CoA)

Part ‘A’
Q.1. Using Chart of Accounts (COA), codify the followings: (only Alpha-Numeric
codes should be given in one line without explanation)
(i) Consolidated Fund Revenue Voted Current Expenditure Prison 04
Administration and Operation (Fund cum Function)
(ii) District Administration Human Resource Management 04
(iii) Defence Affairs Training-Domestic 04
(iv) Director General- Extension Motor Vehicle Registration 04
(v) Azad Jammu & Kashmir Agriculture Research and Extension Services 04
Research and Surveys
(vi) KP Food Department-Directorates of Food, Food Account 04

Q.2. (a) Calculate the total receipts as per DAO’s General Ledger from the following 08
data. Present the reconciliation of receipts on the format prescribed (ignore
expenditure format).
• Additions required to DAO’s General Ledger Rs. 15,000 (item 1, 75%,
item 2, 25%)
• Subtractions required to DAO’s General Ledger Rs. 20,000 (items 1
and 2 have the same percentage as that of normal additions above)
• MMBDS total Rs. 50,000.
(b) An old fixed asset of net worth Rs.100, 000 was traded in with a new Fixed 08
Asset costing Rs.125,000 on 31st of July 20XV.
Give necessary double entries for its accounting.

Contd. on back
 Part ‘B’
Q.3. From where the definition of the financial year has been adopted for MAP? 07
OR
What is the policy of Public Account Balances carry forward into the following
financial year?

Q.4. (a) Under what condition the normal deductions from the salary & wages are not 07
required to be made.
(b) How the information of the loans and advances balances is communicated in 07
case of transfer of Government Employee from one province to the other.
OR
In the computerized set up of PIFRA, where SAP/R3 has successfully been
updated in all the Provincial and Federal Servers and all the sites are connected
through WAN(Wide Area Net Work) with its respective server, Do you think
that the old practice of the manual LPC should continue.

Q.5. (a) Describe the Procedure of payment of arrears due to the Pensioner in case of 07
Pensioner’s death.
(b) Enlist the classes of Liabilities to be reported in the Annual Accounts as required 07
by FRM.
OR
Who is responsible for preparation of debt report and according to which
format?

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP /PMAD Sector
Pay, Pension & TA Rules (Practical) [02.11.2015]
Defence Audit (AGP Sector)/ PMAD Sector
Marks-38 D u r a t i o n : 1hrs. 1 5 M i n s .
Subjective Additional time – 10 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.
Books Allowed:

Pay & Allowances Regulations Vol I & II
Military Leave Rules
Relevant Military Accts. Dept. Manuals & Procedures Code

Pension Regulations Vol I, II & III
Passage Regulations
CSR (Pay & Pension rules applicable to PMAD)

Supplementary Rules (in FR & SR)
Accounts Manual
Pay Accounting in Fields Service- general Instructions

Financial Regulations Parts I & II
Regulation for PAF, PN, Army in Pakistan (Rules & Instructions)

Attempt all Questions

Q.1. Define the following for admissibility of Pension in the U/M terms. 08
(a) Average emoluments
(b) Military Service
(c) Qualifying Service
(d) Combatant Service
Q.2. Mr. Muhammad Anwar Assistant (B-14) serving in GHQ Rwp. Posted to Karachi. He has one 08
wife and two children (over 12 years). What will be entitlement of TA/DA?
Q.3. Calculate pension and commutation in r/o Major Nadeem Aslam on the basis of following data: 10

i) D/O Birth 27-04-1968

ii) D/O Cadet Service 20-11-1986
iii) D/O Commission 12-10-1987
iv) Last Pay drawn Rs. 18,590/- p.m.
v) Non Q.S. Nil
vi) Last Rank held w.e.f. 19-01-1999
vii) D/O SoD 15-10-2004
viii) D/O SoS 09-07-2005
ix) Nature of Retirement Voluntary
x) Medical Category AYE
Q.4. Comment on the followings: 12

(a) Station Headquarters Hyderabad recruited during may-2006 Civilian employees in BPS 3–15
without advertising the post in the newspaper.
Contd. on back
(b) Civilian employees in BPS 1–2 without obtaining NOC from CP Department GHQ.
(c) Civilian employees in BPS 1–2 without obtaining clearance certificate from Corps.
Headquarters.
(d) Civilian employees BPS-1 recruited from other cities instead of Local localities. Moreover,
CMA(KC) has also rejected the pay of said personnel.
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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP /PMAD Sector
Pay, Pension & TA Rules (Theory) [02.11.2015]
Defence Audit (AGP Sector)/ PMAD Sector
Marks-38 D u r a t i o n : 1hrs. 1 5 M i n s .
Subjective Additional time – 10 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.

Attempt all Questions

Q.1. Discuss briefly the admissibility of Pension to Commissioned Officer in the 10

following events:
a) Dismissed from Service
b) Removed from Service
c) Compelled to Resign
d) Permitted to Resign

Q.2. Describe the salient feature of revised basic pay scale, allowances and pension of 10
Civil employees of Federal Govt. (2015) introduced on 01-07-2015.

Q.3. Explain Emoluments which are admissible to the Commissioned Officers during 10
casual, privilege, furlough leave and leave on medical certificate also.

Q.4. Explain the following: 08

a) Elements of Daily Allowance (Passage Regulations)
b) Stations where special rate of DA is admissible
c) Honorarium

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP/PUBLIC SECTOR
Postal Accounts Technical (SB, MO, CC) (Practical) [04.11.2015]
Postal Accounts Branch
Marks-80 Duration: 2 hrs.30 Mins.
Subjective Additional time – 15 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.

Books Allowed:

1. P & T Technical Audit Code Vol-I

2. Post Office Manual Vol-VI
3. Post Office Manual Vol-I
4. Post Office Guide
 Attempt all Questions

Q.1. Define the following:

(i) Closing an Account 04
(ii) Dead Account 03
(iii) Double Payment 03
(iv) Void Money Order 03
(v) Control Account 03

Q.2. Mention briefly the duties of Audit Officer in regard to Audit on the following:

(a) Custody of undelivered Pass Books 05

(b) Reopening of Dormant and Dead Accounts 06

(c) Treatment of spoiled Pakistan Savings Certificates 05

Q.3. Comment on the following, quoting the rules:

(i) On closing the day’s account, the postmaster finds that there is a 04
shortage of Rs. 2,000/-. After a vain search for the amount, he
decided to make good the shortage without informing any one.
(ii) A claim relating to a period, the records of which have been 04
destroyed in the usual course is sent by the P.M.G for pre-audit.
(iii) A contractor supplied furniture worth Rs. 15,000/- to the 04
Postmaster, Karachi. He applied to Postmaster, Karachi to make his
payment through Postmaster, Lahore where he has shifted his
business premises.
(iv) In a certain Post Office it is the practice to destroy sub-vouchers for 04
contingent expenditure after a period of 3 months.

Q.4. Differentiate between the procedure for issue of:

A duplicate Saving Bank Pass Book in lieu of lost one 08
and
A duplicate Saving Bank Pass Book in lieu of a spoiled one. 08

Contd. on back
Q.5. From the following, calculate the balance at the credit of a Saving Bank 16
Account in Post Office closed on 31.12.2014 and also interest due for the
year 1-1-2014 to 31-12-2014 at the rate of 7% on closing balance:

(Rs.)
(i) Opening Balance 460,000
(ii) Deposited in Feb. 2014 50,990
(iii) Interest for the last year (1-1-2014 to 31-12-2014) 15,550
(iv) Withdrawal on 01-06-2014 50,000
(v) Tax on interest charged in August 2014 1,000
(vi) Deposited in Oct. 2014 60,550
(vii) Withdrawal in Dec. 2014 25,000

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP/PG/PUBLIC SECTORS
Public Works Accounts Rules & Procedures (Practical) [04.11.2015]
(GAA, CGA, CDA, LFA TRY)
Marks-38 Duration:1 hr.15 Mins.
Subjective Additional time – 10 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.
Books Allowed:
1. CPWA Code 4. Books of Forms referred in CPWA code 7. Audit Manual
2. CPWD Code 5. Accounts Code Vol - III
3. Audit Code 6. Chart of Accounts
 Attempt all Questions

Q.1. What do you know about the difference between Administrative Approval and 09
Technical Sanction?
Q.2. Why the settlement with treasuries is an important function in the Public 09
Works Division? Discuss in detail.
Q.3. Prepare 2nd Running Bill paid vide Vr. No. 26 dated 20-8-15 to M/s. Farhan 20
Construction for the Work “Construction of Road” from the data given
below:-

Quantities
Rate Upto date
Sr. No. Item of Work Unit Paid
Rs. Quantity
in last Bill
1. Making Earth embankment o/oo Cft. 4,000 35,000 Cft. 25,000 Cft.
2. P/L Sub Base % Cft. 5,500 30,000 Cft. 15,000 Cft.
3. P/L Base Course % Cft. 6,500 30,000 Cft. 15,000 Cft.
4. 3” thick Carpeting % Sft. 8,000 10,000 Sft. 5,000 Sft.
5. P/F Steel Railing on Road Per Rft. 200 2,000 Rft. 500 Rft.
6. Road marking with Paint Per Rft. 50 2,000 Rft. -

(i) 59.5 % Premium on Item No. 1 to 4 and 10% Rebate on item No. 5 & 6.
(ii) Mobilization Advance of Rs. 500,000 already given out of which 1st installment
@ 20% of total amount of mobilization advance will be recovered in this bill.
(iii) Advance Payment of Rs. 250,000 is to be given in this bill against item No. 3.
(iv) Secured Advance against 50,000 Cft. Stone Crush was given in 1st Running Bill
against item No. 3 at Market Rate of Rs. 5,000 per % Cft. which is to be
recovered in this bill.
(v) Secured Advance against 1,000 Rft Steel Railing is to be given in this bill on
market rates of Rs. 100 per Rft.
(vi) Deduct Security Deposit @ 10 % and Income Tax as per Rules.

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP/PG/PUBLIC SECTORS
Public Works Accounts Rules & Procedures (Theory) [04.11.2015]
(GAA, CGA, CDA, LFA, TRY)
Marks-38 Duration:1 hr.15 Mins.
Subjective Additional time – 10 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.

Attempt all Questions

Q.4. Write short notes on the following:

a. Audit against Regularity 03
b. Audit against Propriety 03
c. Classification for Operation of Public Work Department 03
d. Contract and Contractor 03
e. Technical Sanction 03
f. Secured Advance 03

Q.5. A Personal account is opened in the Ledger for every contractor by each 10
Public Works Division. What do you know about it? Describe briefly

Q.6. Contract Agreement is an important document in the Public Works 10

Department. What kind of Audit checks should be applied during audit of
Contracts?

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 Pakistan Institute of Public Finance Accountants
Winter Exam 2015
AGP/Public Sector
Service & Financial Rules [02.11.2015]
(GAA, PT&T, Postal Accts, Customs, Coml. Audit, Railway Audit, Inland Revenue, PRAD)
Marks-75 D u r a t i o n : 2 hrs. 15 min
Subjective Additional time – 15 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Commutation Table is printed on the back of this Question Paper.
• Start each question from fresh page.

Attempt all Questions

Q.1. A Govt. Servant in B-18 (20,000-1500-50,000) proceeded on deputation in an

autonomous body on 1.10.2012. He was drawing basic pay @ Rs.50,000/- pm. Pay
Scales were revised on 1.7.2015. Resultantly, BS-18 in revised scales was Rs.25,940-
1950-64,940. He completed three years deputation period on 30.9.2015.
Required:
(a) Fix pay on revision of Pay Scales w.e.f. 1.7.2015. 10
(b) Workout pension contribution pertaining to deputation period. 10

Q.2. What are the conditions for grant of Permanent Advances to Govt. Employees? 10

Q.3. Define Subsistence Grant and Transfer Grant. 10

Q.4. Write short note on:

(i) Supplementary Grant and its types 05
(ii) Acquisition of Govt. Stores 05
(iii) Bid Evaluation Criteria 05

Q.5. Comment:
(a) A Govt. Servant applied for encashment in lieu of LPR for 365 days. During this 05
period, he had to avail 60 days leave for Hajj.
(b) A Govt. Servant was compulsory retired from service as a major penalty under 05
E&D Rules 1973. His pension case was pended for want of “thoroughly
satisfactory service certificate”.
(c) The borrowing department of Provincial Govt. after due process under E&D 05
Rules imposed a minor penalty of withholding of one increment on a Federal
Govt. Servant serving on deputation.
(d) A Govt. Servant in B-16 was drawing monthly salary of Rs.28,645/- which 05
includes basic pay of Rs.13,945/- and allowances Rs. 14,700/-. The disbursing
officer deducted an amount of Rs.23,500/- from his pay for the month of July
2015 on account of overpayment previously made.

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 COMMUTATION TABLE

Age next No. of years Age next No. of years

Birthday Purchased Birthday Purchased
20 40.5043 51 17.6526
21 39.7341 52 17.0050
22 38.9653 53 16.3710
23 38.1974 54 15.7517
24 37.4307 55 15.1478
25 36.6651 56 14.5602
26 35.9006 57 13.9888
27 35.1372 58 13.4340
28 34.3750 59 12.8953
29 33.6143 60 12.3719
30 32.8071 61 11.8632
31 32.0974 62 11.3684
32 31.3412 63 10.8872
33 30.5869 64 10.4191
34 29.8343 65 9.9639
35 29.0841 66 9.5214
36 28.3362 67 9.0914
37 27.5908 68 8.6742
38 26.8482 69 8.2697
39 26.1009 70 7.8778
40 25.3728 71 7.4983
41 24.6406 72 7.1314
42 23.9126 73 6.7766
43 23.1840 74 6.4342
44 22.4713 75 6.1039
45 21.7592 76 5.7858
46 21.0538 77 5.4797
47 20.3555 78 5.1854
48 19.6653 79 4.9030
49 18.9841 80 4.6321
50 18.3129
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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP SECTOR
Works (MES) Stores (Practical) [04.11.2015]
(Defence Audit Branch)
Marks-38 Duration:1 hr.15 Mins.
Subjective Additional time – 10 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.

Books Allowed:
• MES Regulation • Current Orders in A.Is (P) PAOs
• MES Local Audit Manual • Manual and Procedure Codes
Add
• Army Regulations Quarters and Rents • RAP Rules
• Financial Regulations Part – I & II • Factory Accounting Rules
• MES Unit Accountant’s Manual • Classification Code List (Defence Services) & Pamphlet
• Store Accounting Instructions • Debt and Remittance Heads with Code Numbers “Revised Edition” 2008 by MAG
• LAOs Handbook Part – I & II • Financial Regulations (Army & Air Force) Vol I
• Military Audit Code • Financial Regulations (Navy)
• Military Accounts Codes • System of Financial Control and Budgeting

Attempt all Questions

Part - I (MES)
Q.1. A private house has been hired by Corp. HQ. How expenditure will be met for 06
maintenance of compound/garden and any receipt adjusted; where:

a) The house being used as an office and it is essential to employee a

mali under the terms of lease.
b) The house is being used as residence by Government Officials.
c) The house being used as residence, but as per terms of lease a mali
has to be employed for the maintenance of garden.

Q.2. Against Admn. approval for construction of a unit mess, issued on 10.01.2014, 04
by Corps Commander for Rs. 7,000,000/- and ordered later on to commence
the work from 18.05.2015 and asked the concerned Authorities for allotment of
funds. What are your audit comments on this issue?

Q.3. Anticipated savings of a work was earmarked, to carry out additional work not 03
contemplated in the approved project, which was not fairly contingent upon its
actual execution. Is it acceptable in audit?

Q.4. A security deposit was made by Habib Bank Ltd on behalf of contractor. After 03
fulfillment of the contract, the claim for refund to the Bank was not accepted
by the audit authorities, insisting that claim should be preferred by the
contractor himself. Comment with rules in support.

Q.5. Under what circumstances the execution of Standing Security Bond will not be 04
a condition of contract? How you will differentiate the term Security Deposit
and Standing Security Bond and the rates prescribed between them?

Contd. on back
 Part - II (STORES)
Q.6. Under what circumstances Directors of Procurement are authorized to issue 04
amendments to contract approved by Secretary / D.G.D.P?
Whether Secretary (D.P.) Division can delegate powers to Directors
Procurement to sign contracts approved by him?

Q.7. What are Classification Code Heads of: 05

(i) Income Tax recovered from personnel serving overseas.
(ii) Proceeds from sale of grains by Military Farm Jhelum.
(iii) Expenditure from New grants Military Farm Okara.
(iv) Deduct value of stores & constructional Material/Engineer stores
issued from Army Ordnance Store & used in works by MES.
(v) Deduct value of POL issued by P.A.F to departments of Central
Government.

Q.8. What is extent of: 04

(i) Percentage of Conversion hay into units of hay.
(ii) Appreciation of Live Stock (mature).
(iii) Audit by LAO of Trading Accounts Military Farm.
(iv) At which losses of Dairy produce in excess of prescribed
percentage of exemption are valued.

Q.9. What are Budget Heads and Code Heads residential expenditure work in 05
progress of Army, Air Force, Navy Works and the Deduct for transferring
expenditure to AGPR?

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
AGP SECTOR
Works (MES) Stores (Theory) [04.11.2015]
(Defence Audit Branch)
Marks-38 Duration:1 hr.15 Mins.
Subjective Additional time – 10 min for Paper Reading
[Instructions]
• Ensure that the question paper delivered to you is the same, in which you intend to appear.
• Read the instructions given on the title page of Answer Script.
• Start each question from fresh page.

Attempt all Questions

Part - I (MES)
Q.1. What Registers & Books are directly related to POL Accounts and what are 04
important points to be checked during audit?

Q.2. Write a short note on Stock Book Rates and the compilation of rates/price in 03
the Stock Purchase Register (PAFW-2316).

Q.3. What do you know about Classification Code List (Defence Service) and 02
pamphlet of R.D.R Head?

Q.4. What are details of documents submitted to CMA alongwith contract and 04
which one is specific document not submitted to CMA or U.A. treated as
secret but made available to test audit when demanded?

Q.5. What are conditions to dispense with calling for tenders by CMES within his 04
own powers and in the case of exercise of powers in consultation with
Controller of Accounts?

Q.6. What are conditions for issue of formal order accepting necessity by CFA? 03
What step is taken when the amount of project estimate prepared to accord
Admn. approval exceed the amount at which acceptance of necessity was
accorded?

Part - II (STORES)
Q.7. What is the procedure for submission of Bills of DGDP contracts for payment 05
and the main points for audit?

Q.8. How transactions of losses in the case of consuming units where periodical 04
stock taking is in force, are dealt with?

Q.9. What points are seen in audit for Board of Survey hold on all unserviceable 05
items of Medical Stores Depot and the Stores to be disposed off?

Q.10. Under what circumstances mature Live Stock and the Dead Stock in Military 04
Farm is appreciated?

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
PUBLIC SECTOR
Construction, Stores & Works Accounts (Practical) [04.11.2015]
(Pakistan Railway Accounts Department)
Marks-75 Duration:2 hrs.30 Mins.
Subjective Additional time – 15 min for Paper Reading
[Instructions]
 Ensure that the question paper delivered to you is the same, in which you intend to appear.
 Read the instructions given on the title page of Answer Script.
 Start each question from fresh page.

Books Allowed:
 Engineering Code  State Railway Code for Mechanical Dept.  Way & Works Manual
 Account Code Vol–1  Modernized Accounting Procedure Manual  Manual of X / Section
 Manual of Stock Verification  State Railway Code for Stores Dept.  Store Manual
 Public Purchase Procurement Rules  An Introduction to the Accounts and Audit  General Code Vol–1

Q.1. (a) How the expenditure incurred in workshops is classified under “Prime Cost” 10
and “Oncost”. Write in detail and also elaborate your answer with examples.

(b) What is the procedure of issuing a “Work Order”? 05

Q.2. (a) What is the difference between Shop Oncost and General Oncost? 7.5

(b) How will you identify following costs in workshop? 7.5

i) Provident Fund Contribution of labour
ii) Wages of general labour in yards
iii) Defective & Spoil work
Q.3. (a) Describe in detail the sources of receipt of material in the Railway Workshops? 7.5

(b) What is the procedure of repair of non-stock items in Railway Workshops? 7.5

Q.4. Write in detail the procedure of Pre-qualification, qualification and disqualification of 15

suppliers and contractors under PPRA Rules 2004.

Q.5. Describe in detail the procedure of Auction Sale of Scrap. 15

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 Pakistan Institute of Public Finance Accountants
Winter Exam-2015
PUBLIC SECTOR
General & Rev. Accts. of Railways (Practical) [05.11.2015]
(Pakistan Railway Accounts Department)
Marks-75 Duration:2 hrs.30 Mins.
Subjective Additional time – 15 min for Paper Reading
[Instructions]
 Ensure that the question paper delivered to you is the same, in which you intend to appear.
 Read the instructions given on the title page of Answer Script.
 Start each question from fresh page.

Books Allowed:
 Railway Accounts Code Vol 1 & 2  Coaching & Goods Tariff Code  State Railway General Code

 Pakistan Railway Commercial Manual  Military Tariff

 Manual of IA ICG Balance Sheet, Coaching Goods and A & AR Sections of TA Branch.

P a r t - A [Attempt any two questions]

Q.1. What is pre-check and post-check system of Internal Check of Expenditure? 12.5
Describe in detail.
Q.2. What is “Certification of Accounts”? Where the results of Certification Audit are 12.5
finally depicted?

Q.3. Describe in detail the procedure of communicating the compliance report to 12.5
Statutory Audit.
Q.4. Elaborate how losses sustained by Pakistan Railways are accounted for and 12.5
exhibited in the Appropriation Accounts?

P a r t - B [Attempt any two questions]

Q.5. Define “Suspense Account”. How the suspense balances are reviewed in the 10
Accounts Office?
Q.6. What is the purpose of Statement of Approximate Receipts and Revenue 10
Expenditure? Explain your answer with example?

Q.7. Write a detailed note on “Finance Accounts”. 10

P a r t - C [Attempt any one question]

Q.8. What are “Siding Charges”? What checks are applied by Accounts Office on 15
Siding Statements?
Q.9. What are Carriage bills for Credit Notes? Describe the procedure of checking of 15
Credit Notes?

P a r t - D [Attempt any one question]

Q.10. What is a Traffic Book? Describe in detail the parts of Traffic Books and their 15
purpose.
Q.11. What are the main items to be checked during check of Goods Traffic Receipts? 15
How Goods Invoices are checked in the Accounts Office.