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प्रश्न
Charles Ltd. earned a profit of ₹ 1,00,000 after charging depreciation of 20,000 on assets and a transfer to General Reserve of ₹ 30,000. Goodwill amortised was ₹ 7,000, and gain on sale of machinery was ₹ 3,000. Other information available is (changes in the value of Current Assets and Current Liabilities): trade receivables showed an increase of ₹ 3,000; trade payables an increase of ₹ 6,000; Prepaid expenses an increase of ₹ 200; and outstanding expenses a decrease of ₹ 2,000.
Ascertain Cash Flow from Operating Activities.
उत्तर
| Cash Flow Statement | ||
| Particulars | Amount (₹) | Amount (₹) |
| Net Profit before Taxation | 1,30,000 | |
| Adjustment for Non-Cash and Non-operating Items: | ||
| Add: Depreciation | 20,000 | |
| Add: Goodwill amortised | 7,000 | |
| Less: Gain on sale of machinery | 3,000 | 24,000 |
| Operating profit before working capital | 1,54,000 | |
| Adjustment for working capital charges: | ||
| Less: Increase in Trade receivables | 3,000 | |
| Add: Increase in Trade payables | 6,000 | |
| Less: Increase in Prepaid expenses | 200 | |
| Less: Decrease in Outstanding expenses. | 2000 | 800 |
| Net Cash from Operating Activities | 1,54,800 | |
Working Note:
Calculation of Net Profit before Taxation and Extraordinary Items:
Net Profit = Profit + Transfer to General reserve
= ₹ 1,00,000 + ₹ 30,000
= ₹ 1,30,000
APPEARS IN
संबंधित प्रश्न
Calculate Cash Flow from Operating Activities from the following:
(i) Profit form the year is ₹ 7,00,000 after considering the following items:
|
Particulars |
(₹) |
| Depreciation on Fixed Assets | 40,000 |
| Goodwill Amortised | 20,000 |
| Gain on Sale of Land | 90,000 |
| Appropriation of Profit towards General Reserve | 60,000 |
(ii) Following is the position of Current Assets and Current Liabiliites
|
Particulars |
Closing Balance (₹) | Opening Balance (₹) |
| Trade Payables | 50,000 | 75,000 |
| Trade Receivables | 75,000 | 60,000 |
| Prepaid Expenses | 10,000 | 18,000 |
Compute Cash Flow from Operating Activities from the following:
(i) Profit for the year ended 31st March, 2019 is ₹ 10,000 after providing for depreciation of ₹ 2,000.
(ii) Current Assets and Current Liabilities of the business for the year ended 31st March, 2018 and 2019 are as follows:
|
Particular |
31st March (₹) |
31st March |
| Trade Receivables | 14,000 | 15,000 |
|
Provision for Doubtful Debts |
1,000 | 1,200 |
|
Trade Payables |
13,000 | 15,000 |
| Inventories | 5,000 | 8,000 |
| Other Current Assets | 10,000 | 12,000 |
| Expenses Payables | 1,000 | 1,500 |
| Prepaid Expenses | 2,000 | 1,000 |
| Accrued Income | 3,000 | 4,000 |
| Income Received in Advance |
2,000 |
1,000 |
Calculate Cash Flow from Operating Activities from the following information:
INCOME STATEMENT (STATEMENT OF PROFIT AND LOSS)for the year ended 31st March, 2019
|
Particulars |
Note No. |
(₹) |
| I. Revenue from Operations (Sales) |
5,98,000 |
|
| II. Other Income |
1 |
19,500 |
| III. Total Revnue (I + II) |
6,17,500 |
|
| IV. Expenses : | ||
|
Cost of Materials Consumed |
4,00,000 |
|
|
Change in Inventories of Finished Goods and Work-in-Progress |
2 |
15,000 |
|
Employee Benefit Expenses |
1,05,000 |
|
|
Depreciation and Amortisation Expenses |
|
15,000 |
|
Other Expenses |
3 |
20,000 |
|
Total Expenses |
5,55,000 |
|
| V. Profit before Tax (III − IV) |
62,500 |
|
| VI. Tax @ 30% |
18,750 |
|
| VII. Profit after Tax (V − VI) |
43,750 |
Notes to Accounts
|
Particulars |
₹ |
| 1. Other Income | |
|
Rent |
15,000 |
|
Gain (Profit) on Sale of Machinery |
2,500 |
|
Interest on Debentures held as Investments |
2,000 |
|
19,500 |
|
| Changes in Inventories of Finished Goods and Work-in-Progress | |
| (a) Finished Goods | |
|
Opening Inventories |
37,500 |
|
Less: Closing Inventories |
25,000 |
|
Sub-Total |
12,500 |
| (b) Work-in-Progress | |
|
Opening Inventories |
22,500 |
|
Less: Closing Inventories |
20,000 |
|
Sub-Total |
2,500 |
|
Total (a + b) |
15,000 |
| 2. Other Expenses | |
|
Office Expenses |
12,500 |
|
Selling Expenses |
6,000 |
|
Loss on Sale of Furniture |
1,500 |
|
20,000 |
| Current Assets and Current Liabilities |
As on 31st March, |
As on 1st April, |
| Trade Receivables |
25,000 |
20,000 |
| Trade Payables |
32,500 |
35,000 |
| Outstanding Expenses |
8,000 |
5,000 |
| Prepaid Expenses |
5,000 |
3,500 |
| Welprint Ltd. has given the following information: | ₹ |
| Machinery as on 1st April, 2018 | 50,000 |
| Machinery as on 31st March, 2019 | 60,000 |
| Accumulated Depreciation on 1st April, 2018 | 25,000 |
| Accumulated Depreciation on 31st march, 2019 | 15,000 |
During the year, a machine costing ₹ 25,000 (accumulated depreciation thereon ₹ 15,000) was sold for ₹ 13,000. Calculate Cash Flow from Investing Activities on the basis of the above information.
XYZ. Ltd. provided the following information, calculate Net Cash Flow from Financing Activities:
|
Particular |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| Equity Share Capital | 12,00,000 | 10,00,000 |
| 12% Debentures |
2,00,000 |
1,00,000 |
Additional Information:
1.Interest paid on debentures ₹ 19,000.
2. Dividend paid in the year ₹ 50,000.
3. During the year,XYZ Ltd. issued bonus shares in the ratio of 5 : 1 by captialising reserve.
From the following Balance Sheet of Young India Ltd., prepare Cash Flow Statement:
BALANCE SHEET OF YOUNG INDIA LTD.as at 31st March, 2019
|
Particular |
Note No. |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
|
2,50,000 |
2,00,000 |
|
(b) Reserves and Surplus: Surplus, i.e., Balance in Statement of Profit and Loss |
|
1,83,000 |
82,000 |
|
2. Non-Current Liabilities |
|
||
|
Long-term Borrowings: |
|
||
|
15% Debentures |
|
80,000 |
50,000 |
|
3. Current Liabilities |
|
||
|
(a) Trade Payables |
|
1,50,000 |
1,10,000 |
|
(b) Other Current Liabilities |
|
12,000 |
20,000 |
|
Total |
|
6,75,000 |
4,62,000 |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
(a) Fixed Assets (Tangible) |
|
2,74,000 |
1,17,000 |
|
(b) Non-Current Investments |
|
68,000 |
55,000 |
|
2. Current Assets |
|
||
|
(a) Inventories |
|
2,06,000 |
1,50,000 |
|
(b) Trade Receivables |
|
32,000 |
70,000 |
|
(c) Cash and Cash Equivalents |
|
95,000 |
70,000 |
|
Total |
|
6,75,000 |
4,62,000 |
Following is the Balance Sheet of Fine Products Ltd. as at 31st March, 2019
|
Particulars |
Note No. |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES : | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital: Equity Share Capital |
3,50,000 |
3,00,000 |
|
|
(b) Reserves and Surplus |
1 |
57,000 |
38,000 |
|
2. Current Liabilities : |
|||
|
(a) Trade Payables |
53,000 |
35,000 |
|
|
(b) Other Current Liabilities |
6,000 |
8,000 |
|
|
(c) Short-term Provisions |
2 |
32,000 |
28,000 |
| Total |
4,98,000 |
4,09,000 |
|
| II. ASSETS : | |||
|
1. Non-Current Assets : |
|||
|
(a) Fixed Assets: |
|||
|
(i) Tangible Assets |
3 |
2,48,000 |
2,00,000 |
|
(ii) Intangible Assets (Goodwill) |
40,000 |
50,000 |
|
|
(b) Non-Current Investments |
35,000 |
10,000 |
|
|
2. Current Assets : |
|||
|
(a) Inventories |
39,000 |
57,000 |
|
|
(b) Trade Receivables |
1,08,000 |
75,000 |
|
|
(c) Cash and Bank Balance |
28,000 |
17,000 |
|
| Total |
4,98,000 |
4,09,000 |
Notes to Accounts
|
Particulars |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| 1. Reserves and Surplus | ||
|
General Reserve |
30,000 |
20,000 |
|
Surplus, i.e.,Balance in Statement of Profit and Loss |
27,000 |
18,000 |
|
57,000 |
38,000 |
|
| 2. Short-term Provisions | ||
|
Provision for Tax |
32,000 |
28,000 |
| 3. Tangible Fixed Assets | ||
|
Land and Building |
57,000 |
1,10,000 |
|
Plant and Machinery |
1,91,000 |
90,000 |
|
2,48,000 |
2,00,000 |
Note: Proposed dividends on equity for the years ended 31st March, 2018 and 2019 are ₹ 39,000 and ₹ 45,000 respectively. You are required to prepare Cash Flow Statement for the year ended 31st March, 2019.
From the following Balance Sheet of Kumar Ltd. as at 31st March, 2019, prepare Cash Flow Statement
|
Particulars |
Note No. |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
1 | 16,00,000 | 10,40,000 |
|
(b) Reserves and Surplus, |
2 | 5,50,000 | 2,60,000 |
|
2. Non-Current Liabilities |
|||
|
Long-term Borrowings: |
|||
|
9% Debentures |
4,00,000 | 6,00,000 | |
|
3. Current Liabilities |
|||
|
Trade Payables |
4,50,000 | 1,00,000 | |
|
Total |
30,00,000 | 20,00,000 | |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
Fixed Assets |
20,00,000 | 15,00,000 | |
|
2. Current Assets |
|||
|
(a) Inventories |
3,00,000 | 2,00,000 | |
|
(b) Trade Receivables |
2,00,000 | 1,00,000 | |
|
(c) Cash and Cash Equivalents |
5,00,000 | 2,00,000 | |
|
Total |
30,00,000 | 20,00,000 |
Notes to Accounts
|
Particulars |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| 1. Share Capital | ||
|
Equity Share Capital |
15,00,000 | 10,00,000 |
|
7% Preference Share Capital |
1,00,000 | 40,000 |
| 16,00,000 | 10,40,000 | |
| 2. Reserves and Surplus | ||
|
General Reserve |
4,00,000 | 60,000 |
|
Surplus, i.e., Balance in Statement of Profit and Loss |
1,50,000 | 2,00,000 |
| 5,50,000 | 2,60,000 |
Additional Information:
1. During a year, a machinery costing ₹ 20,000 was sold for ₹ 6,000.
2. Dividend paid during the year ₹ 50,000.
Following was the Balance Sheet of M.M. Ltd. as at 31st March, 2015
| Particulars | Note No. |
(₹) |
(₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
5,00,000 | 4,00,000 | |
|
(b) Reserves and Surplus |
1 | 2,00,000 | (50,000) |
|
2. Non-Current Liabilities |
|||
|
Long-term Borrowings |
2 | 4,50,000 | 5,00,000 |
|
3. Current Liabilities |
|||
|
(a) Short-term Borrowings |
3 | 1,50,000 | 50,000 |
|
(b) Short-term Provisions |
4 | 70,000 | 90,000 |
|
Total Total Expenses |
13,70,000 | 9,90,000 | |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
(a) Fixed Assets: |
|||
|
(i) Tangible Assets |
5 | 10,03,000 | 7,20,000 |
|
(ii) Intangible Assets |
6 | 20,000 | 30,000 |
|
(b) Non-Current Investments |
1,00,000 | 75,000 | |
|
2. Current Assets |
|||
|
(a) Current Investments |
50,000 | 60,000 | |
|
(b) Inventories |
7 | 1,07,000 | 45,000 |
|
(c) Cash and Cash Equivalents |
90,000 | 60,000 | |
|
Total |
13,70,000 | 9,90,000 |
Notes to Accounts :
|
Particular |
31st March 2015 (₹) |
31st March 2014 (₹) |
|
|
1. |
Reserves and Surplus | ||
|
|
Surplus, i.e., Balance in Statement of Profit and Loss |
2,00,000 |
(50,000) |
|
|
2,00,000 |
(50,000) |
|
|
2. |
Long-term Borrowings |
|
|
|
|
12% Debentures |
4,50,000 |
5,00,000 |
|
|
4,50,000 |
5,00,000 |
|
|
3. |
Short-term Borrowings |
|
|
|
|
Bank Overdraft |
1,50,000 |
50,000 |
|
|
1,50,000 |
50,000 |
|
|
4. |
Short-term Provisions |
|
|
|
|
Provision for Tax |
70,000 |
90,000 |
|
|
70,000 |
90,000 |
|
|
5. |
Tangible Assets |
|
|
|
|
Machinery |
12,03,000 |
8,21,000 |
|
|
Less: Accumulated Depreciation |
(2,00,000) |
(1,01,000) |
|
|
10,03,000 |
7,20,000 |
|
|
6. |
Intangible Assets |
|
|
|
|
Goodwill |
20,000 |
30,000 |
|
|
20,000 |
30,000 |
|
|
7. |
Inventories |
|
|
|
|
Stock-in-Trade |
1,07,000 |
45,000 |
|
|
1,07,000 |
45,000 |
|
Additional Information:
1. 12% Debentures were redeemed on 31st March, 2015.
2. Tax ₹ 70,000 was paid during the year.
Prepare Cash Flow Statement.
The Balance Sheet of Virendra Paper Ltd. as at 31st March, 2019 is given below:
|
Particulars |
Note No. |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
7,20,000 | 6,00,000 | |
|
(b) Reserves and Surplus: |
|||
|
Surplus i.e., Balance in Statement of Profit and Loss |
4,80,000 | 3,75,000 | |
|
2. Non-Current Liabilities |
|||
|
Long-term Borrowings: |
|||
|
10% Debentures |
2,70,000 | 4,50,000 | |
|
3. Current Liabilities |
|||
|
Trade Payables |
1,20,000 | 90,000 | |
|
Total |
15,90,000 | 15,15,000 | |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
Fixed Assets (Tangible) |
1 | 7,50,000 | 7,20,000 |
|
2. Current Assets |
|||
|
(a) Inventories |
3,60,000 | 4,20,000 | |
|
(b) Trade Receivables |
3,00,000 | 2,25,000 | |
|
(c) Cash and Cash Equivalents |
1,80,000 | 1,50,000 | |
|
Total |
15,90,000 | 15,15,000 |
Notes to Accounts
|
Particulars |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
||
|
1. Fixed Assets (Tangible) |
|
|
||
|
Land |
|
|
2,40,000 |
3,00,000 |
|
31st March, |
31st March, |
|||
|
2019 (₹) |
2018 (₹) |
|||
|
Plant and Machinery |
7,50,000 |
6,00,000 |
||
|
Less:Accumulated Depreciation |
2,40,000 |
1,80,000 |
||
|
5,10,000 |
4,20,000 |
5,10,000 |
4,20,000 |
|
|
|
|
7,50,000 |
7,20,000 |
|
Additional Information:
1. Interim Dividend of ₹75,000 has been paid during the year.
2. Debenture Interest paid during the year ₹ 27,000.
You are required to prepare Cash Flow Statement.
From the following Balance Sheet of JY Ltd. as at 31st March 2017, prepare a Cash Flow Statement:
| Balance sheet as at 31st March, 2017 | |||
|
Particular |
Note No. |
31st March, 2017 (₹) |
31st March, 2016 (₹) |
| I. EQUITY AND LIABILITIES | |||
| 1. Shareholders' Funds | |||
| (a) Share Capital | 5,00,000 | 5,00,000 | |
| (b) Reserves and Surplus | 1 | 1,00,000 | 25,000 |
| 2. Non-Current Liabilities | |||
| Long-term Borrowings | 2 | 2,50,000 | 1,50,000 |
| 3. Current Liabilities | |||
| (a) Short-term Borrowings | 3 | 1,50,000 | 1,10,000 |
| (b) Short-term Provisions | 4 | 1,25,000 | 75,000 |
| Total | 11,25,000 | 8,00,000 | |
| II. ASSETS | |||
| 1. Non-Current Assets | |||
| Fixed Assets–Tangible | 5 | 6,00,000 | 4,50,000 |
| 2. Current Assets | |||
| (a) Trade Receivables | 2,75,000 | 2,25,000 | |
| (b) Cash and Cash Equivalents | 50,000 | 25,000 | |
| (c) Short-term Loans and Advances | 2,00,000 | 1,00,000 | |
| Total | 11,25,000 | 8,00,000 | |
Notes to Accounts
| Particular | 31st March, 2017 (₹) |
31st March, 2016 (₹) |
|
| 1. | Reserves 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 | ||
| 10% Debentures | 2,50,000 | 1,50,000 | |
| 2,50,000 | 1,50,000 | ||
| 3. | Short-term Borrowings | ||
| Bank Overdraft | 1,50,000 | 1,00,000 | |
| 1,50,000 | 1,00,000 | ||
| 4. | Short-term Provisions | ||
| Provision for Tax | 1,25,000 | 75,000 | |
| 1,25,000 | 75,000 | ||
| 5. | Tangible Assets | ||
| Machinery | 7,37,500 | 5,25,000 | |
| Accumulated Depreciation | (1,37,500) | (75,000) | |
| 6,00,000 | 4,50,000 | ||
Note: Proposed Dividend for the years ended 31st March, 2016 and 2017 are ₹ 50,000 and ₹ 75,000, respectively.
Additional Information:
₹ 1,00,000, 10% Debentures were issued on 31st March, 2017.
Prepare Cash Flow Statement from the following Balance Sheet:
|
Particulars |
Note No. |
31st March, 2013 (₹) |
31st March, 2012 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
6,00,000 | 5,00,000 | |
|
(b) Reserves and Surplus |
1 | 4,00,000 | 2,00,000 |
|
2. Current Liabilities |
|||
|
(a) Trade Payables |
2,80,000 | 1,80,000 | |
|
Total |
12,80,000 | 8,80,000 | |
| II. ASSETS | |||
|
1, Non-Current Assets |
|||
|
(a) Fixed Assets: |
|||
|
Plant and Machinery |
5,00,000 | 3,00,000 | |
|
2. Current Assets |
|||
|
(a) Inventories |
1,00,000 | 1,50,000 | |
|
(b) Trade Receivables |
6,00,000 | 4,00,000 | |
|
(c) Cash and Cash Equivalents |
80,000 | 30,000 | |
|
Total |
12,80,000 | 8,80,000 |
Notes to Accounts
|
Particulars |
31st March, 2013 (₹) |
31st March, 2012 (₹) |
| I. Reserves and Surplus | ||
|
Surplus, i.e., Balance in Statement of Profit and Loss |
4,00,000 | 2,00,000 |
Additional Information:
(i) An old machinery having book value of ₹50,000 was sold for ₹60,000.
(ii) Depreciation provided on Machinery during the year was ₹30,000.
From the following Balance Sheet, prepare Cash Flow Statement:
| Particulars | Note No. | 31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES | |||
| 1. Shareholders' Funds | |||
| (a) Share Capital | 2,50,000 | 2,00,000 | |
| (b) Reserves and Surplus, | 1 | 90,600 | 80,500 |
| 2. Current Liabilities | |||
| (a) Short-term Borrowings: Bank Loan | - | 70,000 | |
| (b) Trade Payables | 1,35,200 | 1,50,000 | |
| (c) Short-term Provisions: Provision for Tax | 35,000 | 30,000 | |
| Total Expenses | 5,10,800 | 5,30,500 | |
| II. ASSETS | |||
| 1. Non-Current Assets | |||
| Fixed Assets: | |||
| (i) Tangible Assets | 2 | 3,59,000 | 3,50,000 |
| (ii) Intangible Assets: Goodwill | 5,000 | - | |
| 2. Current Assets | |||
| (a) Inventories | 74,000 | 1,00,000 | |
| (b) Trade Receivables | 64,200 | 80,000 | |
| (c) Cash and Cash Equivalents | 8,600 | 500 | |
| Total | 5,10,800 | 5,30,500 |
Notes to Accounts
| Particulars | 31st March, 2019 (₹) |
31st March, 2018 (₹) |
| 1. Reserves and Surplus | ||
| General Reserve | 60,000 | 50,000 |
| Surplus, i.e., Balance in Statement of Profit and Loss | 30,600 | 30,500 |
| 90,600 | 80,500 | |
| 2. Tangible Assets | ||
| Land and Building | 1,90,000 | 2,00,000 |
| Plant and Machinery | 1,69,000 | 1,50,000 |
| 3,59,000 | 3,50,000 |
Additional Information:.
- Proposed Dividend for the year ended 31st March, 2019 was ₹ 25,000 and for the year ended 31st March, 2018 was ₹ 14,000.
- Interim Dividend paid during the year was ₹ 9,000.
- Income Tax paid during the year was ₹ 28,000.
- Machinery was purchased during the year ₹ 33,000.
- Depreciation to be charged on machinery ₹ 14,000 and building ₹ 10,000.
From the following Balance Sheet and information of Volvo Ltd., prepare Cash Flow Statement:
|
Particulars |
Note No. |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
1 | 2,25,000 | 2,50,000 |
|
(b) Reserves and Surplus |
2 | 1,27,500 | 50,000 |
|
2. Non-Current Liabilities |
|||
|
Long-term Borrowings: 10% Debentures |
1,00,000 | 50,000 | |
|
3. Current Liabilities |
|||
|
(a) Trade Payables |
72,500 | 35,000 | |
|
(b) Other Current Liabilities−Premium on Redemption of Preference Shares |
2,500 | 5,000 | |
|
Total |
5,27,500 | 3,90,000 | |
| II. ASSETS | |||
|
1, Non-Current Assets |
|||
|
(a) Fixed Assets−Tangible |
3,10,000 | 2,55,000 | |
|
(b) Non-Current Investments (10% Investments) |
40,000 | 15,000 | |
|
2. Current Assets |
|||
|
(a) Current Investments |
5,000 | 4,000 | |
|
(b) Inventories |
45,000 | 50,000 | |
|
(c) Trade Receivables |
3 | 92,500 | 45,000 |
|
(d) Cash and Cash Equivalents |
4 | 35,000 | 21,000 |
|
Total |
5,27,500 | 3,90,000 |
Notes to Accounts
|
Particulars |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
|
1. Share Capital |
||
|
Equity Share Capital |
1,75,000 |
1,50,000 |
|
12% Preference Share Capital |
50,000 |
1,00,000 |
|
2,25,000 |
2,50,000 |
|
|
2. Reserves and Surplus |
||
|
General Reserve |
10,000 |
15,000 |
|
Surplus, i.e., Balance in Statement of Profit and Loss |
1,17,500 |
35,000 |
|
1,27,500 |
50,000 |
|
|
3. Trade Receivables |
||
|
Sundry Debtors |
1,00,000 |
50,000 |
|
Less:Provision for Doubtful Debts |
7,500 |
5,000 |
|
92,500 |
45,000 |
|
|
4. Cash and Cash Equivalents |
||
|
Cash in Hand |
12,500 |
6,000 |
|
Cash in Bank |
22,500 |
15,000 |
|
35,000 |
21,000 |
Additional Information :
(i) You are informed during the year:
| Proposed Dividend |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| Equity Share Capital | NIL | NIL |
| Preference Share Capital | 12% | 12% |
(ii) A machine with a book value of ₹20,000 was sold for ₹12,500;
(iii) Depreciation charged during the year was ₹35,000;
(iv) Preference shares were redeemed on 31st March, 2018 at a premium of 5%;
(v) An Interim dividend of ₹5,000 was paid on equity shares on 31st March, 2019 out of General Reserve;
(vi) Fresh equity shares were Issued on 31st March, 2019; and
(vii) Additional Investments were purchased on 31st March, 2019.
Prepare Cash Flow Statement from the following:
STATEMENT OF PROFIT AND LOSS
for the year ended 31st March, 2019
|
Particulars |
Note No. |
(₹) |
|
I. Revenue from Operations |
36,00,000 | |
| II. Expenses | ||
|
Purchases of Stock-in-Trade |
28,16,000 | |
|
Change in Inventories of Stock-in-Trade |
(65,000) | |
|
Finance Costs |
15,000 | |
|
Depreciation and Amortisation Expenses |
80,000 | |
|
Other Expenses |
5,34,000 | |
|
Total |
33,80,000 | |
| III. Profit before Tax (I − II) | 2,20,000 | |
|
IV. Less: Provision for Tax |
40,000 | |
|
V. Profit after Tax (III − IV) |
1,80,000 |
as at 31st March, 2019
|
Particulars |
Note No. |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
6,00,000 | 5,00,000 | |
|
(b) Reserves and Surplus |
1 | 3,00,000 | 1,20,000 |
|
2. Non-Current Liabilities |
|||
|
Long-term Loan |
1,20,000 | 1,50,000 | |
|
3. Current Liabilities |
|||
|
(a) Short-term Borrowings: |
13,000 | ... | |
|
(b) Trade Payables (Creditors) |
2,85,000 | 2,38,000 | |
|
(c) Short-term Provision: |
44,000 | 30,000 | |
|
Total |
13,62,000 | 10,38,000 | |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
Fixed Assets |
6,20,000 | 4,00,000 | |
|
2. Current Assets |
|||
|
(a) Short-term Investments (Marketable Security) |
34,000 | 20,000 | |
|
(b) Inventories |
3,28,000 | 2,63,000 | |
|
(c) Trade Receivables |
3,48,000 | 3,10,000 | |
|
(d) Cash and Cash Equivalents |
2 | 32,000 | 45,000 |
|
Total |
13,62,000 | 10,38,000 |
|
Particulars |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| 1. Reserves and Surplus | ||
|
Surplus, i.e., Balance in Statement of Profit and Loss |
3,00,000 | 1,20,000 |
| 2. Cash and Cash Equivalents | ||
|
Cash in Hand |
32,000 | 17,000 |
|
Cash at Bank |
... | 28,000 |
| 32,000 | 45,000 |
Cash flow from operating activities of Starline Ltd. for the year ended 31.03.2019 was ₹ 18,000. The Balance Sheet along with notes to accounts of Starline Ltd. as at 31-03-19 is given below :
Starline limited
Balance Sheet as at 31st March, 2019
| Particulars | Note No. |
31-03-19(₹) |
31-03-18(₹) |
| I. Equity and Liabilities: | |||
| 1. Shareholders Funds |
|||
| (a) Share Capital |
18,00,000 | 10,00,000 | |
| b) Reserves and Surplus | 1 | 50,000 | 40,000 |
| 2. Non-Current Liabilities | |||
| Long term Borrowings |
2 | 1,00,000 | 4,00,000 |
| 3. Current Liabilities | |||
| Short term Provisions |
3 | 2,50,000 | 3,60,000 |
| Total | 22,00,000 | 18,00,000 | |
| II. Assets | |||
| 1. Non-Current Assets |
|||
| Fixed Assets | |||
| (i) Tangible Assets | 5 | 9,80,000 | 6,35,000 |
| (ii) Intangible Assets | 6 | 2,68,000 | 1,70,000 |
| 2. Current Assets | |||
| (a) Current Investments | 1,40,000 | 70,000 | |
| (b) Trade Receivables | 4,40,000 | 1,50,000 | |
|
c) Cash and Cash Equivalents |
1,55,000 | 63,000 | |
| Total
|
22,00,000 | 18,00,000 |
Notes to Accounts
| Particulars | 31-03-19 (₹) | 31-03-18 (₹) | |
| 1. | Reserves and Surplus | 50,000 | 40,000 |
| Surplus (Balance in Statement of Profit and Loss) | 50,000 | 40,000 | |
| 2 | Long-term Borrowings | ||
| 8% Debentures | 1,00,000 | 4,00,000 | |
| 1,00,000 | 4,00,000 | ||
| 3 | Short term provisions | ||
| Provision for tax | 2,50,000 | 3,60,000 | |
| 2,50,000 | 3,60,000 | ||
| 4 | Tangible Assets | ||
| Plant and Machinery | 15,20,000 | 10,90,000 | |
| Less: Accumulated Depreciation | (1,20,000) | (90,000) | |
| 14,00,000 | 10,00,000 | ||
| 5 | Intangible Assets | ||
| Goodwill | 1,80,000 | 70,000 | |
| 1,80,000 | 70,000 |
You are given the following additional information :
(a) A machinery of the book value of ₹ 40,000 (depreciation provided thereon ₹ 12,000) was sold at a loss of ₹ 6,000.
(b) 8% debentures were redeemed on 1st July 2018.
Prepare Cash Flow Statement.
Cash flow example from a financing activity is:
Dividend received by the financial enterprise is shown in the cash flow statement under:
Shareholders get:
