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प्रश्न
State with reason whether deposit of cash into Bank will result into inflow, outflow or no flow of cash.
उत्तर
Deposit of cash into bank involves no flow of cash. This is because it simply represents the movement between items of cash and cash equivalents.
APPEARS IN
संबंधित प्रश्न
Following is the Balance Sheet of SN Ltd as at 31-3-2015:
S.N Ltd Balance Sheet as at 31-3-2015
| Particulars | Note No. | 31-03-2015 (Rs.) | 31-03-2014 (Rs.) |
|
I. Equity and Liabilities 1. Shareholder’s Funds a. Share Capital b. Reserve and Surplus 2. Non - Current Liabilities a) Long – term borrowings 3. Current Liabilities a) Short – term borrowings b) Short – term provisions |
1
2
3 4 |
2,50,000 1,00,000
2,25,000
75,000 35,000 |
2,00,000 (25,000)
2,50,000
25,000 45,000 |
| Total | 6,85,000 | 4,95,000 | |
|
II. Assets 1. Non – Current Assets a) Fixed Assets Tangible assets Intangible b) Non – Current Investments 2. Current Assets a) Current Investments b) Inventories c) Cash and Cash Equivalents |
5 6
7
|
5,01,500 10,000 50,000
25,000 53,500 45,000 |
3,60,000 15,000 37,500
30,000 22,500 30,000 |
| Total | 6,85,000 | 4,95,000 |
| Note No. | Particulars | 31-3-2015 (Rs.) | 31-3-2014 (Rs.) |
|
1.
|
Reserve and Surplus (Surplus i.e. Balance in Statement of Profit and Loss) |
1,00,000 |
(25,000) |
| 1,00,000 | (25,000) | ||
|
2.
|
Long term borrowings : 12 % Debentures |
2,25,000 |
2,50,000 |
| 2,25,000 | 2,50,000 | ||
|
3.
|
Short – term borrowings : Bank Overdraft |
75,000 |
25,000 |
| 75,000 | 25,000 | ||
|
4.
|
Short – term provisions Provisions for tax |
35,000 |
45,000 |
| 35,000 | 45,000 | ||
|
5.
|
Tangible Assets Machinery Accumulated Depreciation |
6,01,500 (1,00,000) |
4,10,500 (50,500) |
| 5,01,500 | 3,60,000 | ||
|
6.
|
Intangible Assets Goodwill |
10,000 |
15,000 |
| 10,000 | 15,000 | ||
|
7.
|
Inventories Stock in trade |
53,500 |
22,500 |
| 53,500 | 22,500 |
Additional Information
(i) 12% Debentures were redeemed on 31-3-2015
(ii) Tax Rs.35,000 was paid during the year
Prepare Cash flow Statement
Give the meaning of 'Cash Flow statement'.
State the objective of preparing ‘Cash Flow statement’.
State whether the following will increase, decrease or have no effect on cash flow from operating activities while preparing 'Cash Flow Statement':
1) A decrease in outstanding employees benefits expenses by Rs 3,000
2) Increase in prepaid insurance by Rs 2,000
While preparing the Cash Flow Statement of Alka Ltd. 'dividend paid' was shown as an operating
activity by the accountant of the company. Was he correct in doing so? Give reason.
Which of the following transactions will result in the flow of cash?
(1) Deposited Rs 40,000 into the bank.
(2) Withdrew cash from bank Rs 54,000.
(3) Sold marketable securities of Rs 25,000 at par.
(4) The sold machinery of the book value of Rs 50,000 at a gain of Rs 10,000
Under which type of activity will you classify' Dividend received by a financial company' while preparing Cash Flow Statement?
When does the flow of cash take place'?
Short term investments are not considered while preparing cash flow statement. Why?
Net increase in working capital other than cash and cash equivalents will increase, decrease or not change cash flow from operating activities. Give reason in support of your answer.
State with reason whether the following transactions will increase, decrease or not change the 'Return on Investment':
(i) Purchase of machinery worth Rs 2,00,000 by issue of equity shares.
(ii) Charging depreciation of Rs 5,000 on machinery.
(iii) Redemption of debentures in cash Rs 70,000.
(iv) Converting Rs 50,000, 9% debentures into equity shares.
While preparing Cash Flow Statements what type of activity is, ‘Payments of Cash to acquire Debentures by an investment company?
‘Payment of dividend’ will come under which type of activity while preparing a Cash Flow Statement?
You are required to prepare a Cash-Flow Statement (as per AS-3)
for the year 2016-17 from the following Balance Sheet.
Balance Sheet of Honesty Ltd.
As at 31st March, 2016 and 31st March, 2017
| I | Particulars | Note No. | 31.03.2017 |
31.03.2017 |
| 1. |
EQUITY AND LIABILITIES |
1. |
14,00,000 5,00,000
|
10,00,000 4,00,000
|
| 2. | Non-Current Liabilities Long Term Borrowing (10% Debentures) |
5,00,000 | 1,40,000 | |
| 3. | Current Liabilities (a) Short Term Borrowings (Bank Overdraft) (b) Trade Payables (Creditors) (c) Short Term Provisions |
20,000 1,00,000 60,000 |
30,000 60,000 30,000 |
|
| TOTAL | 25,80,000 | 16,60,000 | ||
| II 1. | ASSETS Non-Current Assets Fixed Assets (i) Tangible (ii) Intangible (Goodwill) |
2. |
16,00,000 1,40,000 |
9,00,000 2,00,000 |
| 2. | Current Assets (a) Inventories (b) Trade Receivables (c) Cash and Bank Balances (Cash at Bank) |
2,50,000 5,00,000 90,000 |
2,00,000 3,00,000 60,000 |
|
| TOTAL | 25,80,000 | 16,60,000 |
Notes to Accounts:
| Particulars | 31.03.2017 | 31.03.2016 |
| 1. Short term provisions provision for taxation |
60,000 | 30,000 |
| 2. Fixed Assets (Tangible) Plant and Machinery Less Accumulated Depreciation |
17,60,000 (1,60,000) |
10,00,000 (1,00,000) |
| 16,00,000 | 9,00,000 |
During the year 2016-17:
(i) A part of the machine, costing Rs. 50,000, accumulated depreciation thereon being Rs. 20,000, was sold for
Rs.18,000.
(ii) Tax paid Rs. 20,000.
(iii) Interest of Rs. 50,000 paid on Debentures.
Following is the Financial Statement of Garima Ltd., prepare cash flow statement.
| Particulars | Note No. | 31st March 2017 (Rs) |
31st March 2016 (Rs) |
| I) Equity and Liabilities | |||
|
1. Shareholders’ Funds |
|||
|
a) Share capital |
1 | 4,40,000 | 2,80,000 |
|
b) Reserve and surplus-Surplus |
2 | 40,000 | 28,000 |
|
2. Current Liabilities |
|||
|
a) Trade payables |
1,56,000 | 56,000 | |
|
c) Short-term provisions |
12,000 | 4,000 | |
|
(Provision for taxation) |
|||
| Total | 6,48,000 | 3,68,000 | |
| II) Assets | |||
|
1. Non-current assets |
|||
|
a) Fixed assets |
|||
|
i) Tangible |
3,64,000 | 2,00,000 | |
|
2. Current assets |
|||
|
a) Inventories |
1,60,000 | 60,000 | |
|
b) Trade receivables |
80,000 | 20,000 | |
|
c) Cash and cash equivalents |
28,000 | 80,000 | |
|
d) Other current assets |
16,000 | 8,000 | |
| Total | 6,48,000 | 3,68,000 | |
|
|
|
Notes to Accounts
| Particulars | 31st March 2017 (Rs) |
31st March 2016 (Rs) |
| 1. Share capital | ||
|
a) Equity share capital |
3,00,000 | 2,00,000 |
|
b) Preference share capital |
1,40,000 | 80,000 |
| 4,40,000 | 2,80,000 | |
| 2. Reserve and surplus | ||
|
Surplus in statement of profit and loss at the beginning of the year |
28,000 | |
|
Add: Profit of the year |
16,000 | |
|
Less: Dividend |
4,000 | |
| Profit at the end of the year | 40,000 |
Additional Information:
- Depreciation charged during the year Rs 32,000.
What is meant by 'Cash Flows' ?
Classify the following activity into operating activities, investing activities, financing activities or cash activities.
"Cash receipt from debtors"
Classify the following activity into operating activities, investing activities, financing activities or cash activities
"Proceeds from issuance of equity share capital."
Which of the following transactions will not result into flow of cash?
