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.

Cash Flow Statement for the year ended March 31, 2019 Particulars Amount (₹) Amount (₹) A Cash Flow from Operating Activities Profit as per Statement of Profit and Loss (1,50,000 – 2,00,000) (50,000) Transfer to General Reserve 3,40,000 Dividend Paid 50,000 Profit Before Taxation 3,40,000 Items to be Added: Interest Paid 54,000 Loss on Sale of Machinery 14,000 Operating Profit before Working Capital Adjustments 4,08,000 Less: Increase in Current Assets Inventories (1,00,000) Trade Receivables (1,00,000) Add: Increase in Current Liabilities Trade Payables 3,50,000 Cash Generated from Operations 5,58,000 Less: Tax Paid – Net Cash Flow from Operating Activities 5,58,000 B Cash Flow from Investing Activities Sale of Machinery 6,000 Purchase of Fixed Assets (5,20,000) Net Cash Used in Investing Activities (5,14,000) C Cash Flow from Financing Activities Proceeds from Issue of Equity Share Capital 5,00,000 Proceeds from 7% Preference Share Capital 60,000 Dividend Paid (50,000) Redemption of 9% Debentures (2,00,000) Interest Paid (6,00,000 × 9%) (54,000) Net Cash Flow from Financing Activities 2,56,000 D Net Increase in Cash and Cash Equivalents 3,00,000 Add: Cash and Cash Equivalent in the beginning of the period 2,00,000 Cash and Cash Equivalents at the end of the period 5,00,000 Working Notes: Fixed Assets Account Dr. Cr. Particulars Amount (₹) Particulars Amount (₹) Balance b/d 15,00,000 Bank A/c (Sale) 6,000 Bank A/c (Purchase- Bal. Fig.) 5,20,000 Profit and Loss A/c (Loss on Sale) 14,000 Balance c/d 20,00,000 20,20,000 20,20,000

Prepare Cash Flow Statement: - Accountancy

प्रश्न

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.

संख्यात्मक

उत्तर

Cash Flow Statement for the year ended March 31, 2019
	Particulars	Amount (₹)	Amount (₹)
A	Cash Flow from Operating Activities
	Profit as per Statement of Profit and Loss (1,50,000 – 2,00,000)	(50,000)
	Transfer to General Reserve	3,40,000
	Dividend Paid	50,000
	Profit Before Taxation	3,40,000
	Items to be Added:
	Interest Paid	54,000
	Loss on Sale of Machinery	14,000
	Operating Profit before Working Capital Adjustments	4,08,000
	Less: Increase in Current Assets
	Inventories	(1,00,000)
	Trade Receivables	(1,00,000)
	Add: Increase in Current Liabilities
	Trade Payables	3,50,000
	Cash Generated from Operations	5,58,000
	Less: Tax Paid	–
	Net Cash Flow from Operating Activities		5,58,000

B	Cash Flow from Investing Activities
	Sale of Machinery	6,000
	Purchase of Fixed Assets	(5,20,000)
	Net Cash Used in Investing Activities		(5,14,000)

C	Cash Flow from Financing Activities
	Proceeds from Issue of Equity Share Capital	5,00,000
	Proceeds from 7% Preference Share Capital	60,000
	Dividend Paid	(50,000)
	Redemption of 9% Debentures	(2,00,000)
	Interest Paid (6,00,000 × 9%)	(54,000)
	Net Cash Flow from Financing Activities		2,56,000

D	Net Increase in Cash and Cash Equivalents		3,00,000
	Add: Cash and Cash Equivalent in the beginning of the period		2,00,000
	Cash and Cash Equivalents at the end of the period		5,00,000

Working Notes:

Fixed Assets Account
Dr.		Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
Balance b/d	15,00,000	Bank A/c (Sale)	6,000
Bank A/c (Purchase- Bal. Fig.)	5,20,000	Profit and Loss A/c (Loss on Sale)	14,000
		Balance c/d	20,00,000
	20,20,000		20,20,000

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Preparation of Cash Flow Statement

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टीएस ग्रेवाल Accountancy - Analysis of Financial Statements [English] Class 12

पाठ 4 Cash Flow Statement
Exercises | Q 45 | पृष्ठ १०८

संबंधित प्रश्‍न

Compute Cash Flow from Operating Activities from the following information:

Particulars	₹
Net Profit after Provision for Tax and Payment of Dividend	2,15,000
Provision for Tax	45,000
Final Dividend paid during the year	50,000
Depreciation	25,000
Loss on Sale of Machinery	10,000
Patents Amortised	30,000
Gain on Sale of Land	70,000
Income Tax Refund	30,000

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, 2019 (₹)	As on 1st April, 2018 (₹)
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

31^st March,

2019 (₹)

31^st March,

2018 (₹)

2,00,000

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 information, calculate Net Cash Flow from Operating Activities and Financing Activities:

Particulars	31st March 2019 (Rs.)	31st March 2019 (Rs.)
Equity Share Capital	13,75,000	11,25,000
5% Preference Share Capital	5,00,000	7,50,000
General Reserve	3,75,000	3,00,000
Surplus i.e., Balance in Statement of Profit and Loss	3,75,000	(3,50,000)
Securities Premium Reserve	25,000	...
Provision for Tax	1,00,000	50,000
Non-current Liabilities (8% Debentures)	6,50,000	3,75,000
Short-term Borrowings (8% Bank Loan)	1,00,000	1,25,000
Trade Payables	5,00,000	2,50,000
Trade Receivables and Inventories	13,00,000	11,50,000

Additional Information:

During the year additional debentures were issued at par on 1st October and Bank Loan was repaid on the same date.
Dividend on Equity Shares @ 8% was paid on Opening Balance.
Income tax ₹ 1,12,500 has been provided during the year.
Preference shares were redeemed at par at the end of the year.

Following is the Balance Sheet of Mevanca Limited as at 31st March, 2017:
Mevanca Limited BALANCE SHEET as at 31st March, 2017:

Particulars	Note No.	31st March, 2017 (₹)	31st March, 2016 (₹)
I. EQUITY AND LIABILITIES
1. Shareholders' Funds
(a) Share Capital		3,00,000	1,00,000
(b) Reserves and Surplus	1	25,000	1,20,000
2. Non-Current Liabilities
Long-term Borrowings	2	80,000	60,000
3. Current Liabilities
(a) Trade Payables		6,000	20,000
(b) Short-term Provisions	3	68,000	70,000
Total		4,79,000	3,70,000
II. ASSETS
1. Non-Current Assets
Fixed Assets	4	3,36,000	1,92,000
2. Current Assets
(a) Inventories		67,000	60,000
(b) Trade Receivables		51,000	65,000
(c) Cash and Cash Equivalents		25,000	49,000
(d) Other Current Assets		…	4,000
Total		4,79,000	3,70,000

Notes to Accounts

Particulars	31st March, 2017 (₹)	31st March, 2016 (₹)
1. Reserves and Surplus
Surplus, i.e.,Balance in Statement of Profit and Loss	25,000	1,20,000
	25,000	1,20,000
2. Long-term Borrowings
10% Long-term Loan	80,000	60,000
	80,000	60,000
3. Short-term Provisions
Provision for Tax	68,000	70,000
	68,000	70,000
4. Fixed Assets
Machinery	3,84,000	2,15,000
Accumulated Depreciation	(48,000)	(23,000)
	3,36,000	1,92,000

Additional Information :
(i) Additional loan was taken on 1st July, 2016.
(ii) Tax of ₹ 53,000 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
	31^st March,	31^st 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.

Following are the Balance Sheets of Krishtec Ltd. for the years ended 31st March 2012 and 2011:

Particulars	Note No.	31st March, 2012 (₹)	31st March, 2011 (₹)
I. EQUITY AND LIABILITIES
1. Shareholders' Funds
(a) Share Capital		12,00,000	8,00,000
(b) Reserves and Surplus (Surplus, i.e., Balance in Statement of Profit and Loss)		3,50,000	4,00,000
2. Non-Current Liabilities
Long-term Borrowings		4,40,000	3,50,000
3. Current Liabilities
(a) Trade Payables		60,000	50,000
Total		20,50,000	16,00,000
II. ASSETS
1, Non-Current Assets
Fixed Assets:
Tangible Assets		12,00,000	9,00,000
2. Current Assets
(a) Inventories		2,00,000	1,00,000
(b) Trade Receivables		3,10,000	2,30,000
(c) Cash and Cash Equivalents		3,40,000	3,70,000
Total		20,50,000	16,00,000

Prepare a Cash Flow Statement after taking into account the following adjustments:
(a) The company paid Interest ₹36,000 on its long-term borrowings.
(b) Depreciation charged on tangible fixed assets was ₹1,20,000

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	31^st March, 2019 (₹)	31^stMarch, 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 of Akash Ltd. as at 31st March 2014:

Particulars	Note No.	31st March, 2014 (₹)	31 March, 2013 (₹)
I. EQUITY AND LIABILITES 1. Shareholders' Funds
(a) Share Capital		15,00,000	14,00,000
(b) Reserves and Surplus	1	2,50,000	1,10,000
2. Non-Current Liabilities
Long-term Borrowings		2,00,000	1,25,000
3. Current Liabilities
(a) Short-term Borrowings	2	12,000	10,000
(b) Trade Payables		15,000	83,000
(c) Short-term Provisions	3	18,000	11,000
Total		19,95,000	17,39,000
II. ASSETS
1. Non-Current Assets
Fixed Assets:
(i) Tangible Assets	4	18,60,000	16,10,000
(ii) Intangible Assets	5	50,000	30,000
2. Current Assets
(a) Current Investments		8,000	5,000
(b) Inventories		37,000	59,000
(c) Trade Receivables		26,000	23,000
(d) Cash and Cash Equivalents		14,000	12,000
Total		19,95,000	17,39,000

Notes to Accounts :
Particulars	31st March, 2014 (₹)	31st March, 2013 (₹)
1. Reserves and Surplus
Surplus,i.e.,Balance in Statement of Profit and Loss	2,50,000	1,10,000
2. Short-term Borrowings :
Bank Overdraft	12,000	10,000
3. Short-term Provisions
Provision for Tax	18,000	11,000
4. Tangible Assets :
Machinery	20,00,000	17,00,000
Less: Accumulated Depreciation	(1,40,000)	(90,000)
	18,60,000	16,10,000
5. Intangible Assets
Patents	50,000	30,000

Additional Information :
(i) Tax paid during the year amounted to ₹ 16,000.
(ii) machine with a net book value of ₹ 10,000 (Accumulated Depreciation ₹ 40,000) was sold for ₹ 2,000.
Prepare Cash Flow Statement.

From the following Balance Sheet of SRS Ltd. and the additional information as on 31st March, 2016, prepare a Cash Flow Statement:

SRS Ltd.
BALANCE SHEET as on 31st March, 2016

Particulars	Note No.	31st March, 2016 (₹)	31st March, 2015 (₹)
I. EQUITY AND LIABILITIES
1. Shareholders' Funds
(a) Share Capital		4,50,000	3,50,000
(b) Reserves and Surplus	1	1,25,000	50,000
2. Non-Current Liabilities
Long-term Borrowings	2	2,25,000	1,75,000
3. Current Liabilities
(a) Short-term Borrowingst	3	75,000	37,500
(b) Shrot-term Provisions	4	1,00,000	62,500
Total		9,75,000	6,75,000
II. ASSETS
1, Non-Current Assets
(a) Fixed Assets:
(i) Tangible	5	7,32,500	4,52,500
(ii) Intangible	6	50,000	75,000
(b) Non-current Investments		75,000	50,000
2. Current Assets
(a) Current Investments		20,000	35,000
(b) Inventories	7	61,000	36,000
(c) Cash and Cash Equivalents		36,500	26,500
Total		9,75,000	6,75,000

Notes to Accounts

Particular		31^st March 2016 (₹)	31^st March 2015 (₹)
1.	Reserves and Surplus
	Surplus, i.e., Balance in Statement of Profit and Loss	1,25,000	50,000
2.	Long-term Borrowings
	12% Debentures	2,25,000	1,75,000
3.	Short-term Borrowings
	Bank Overdraft	75,000	37,500
4.	Short-term Provisions
	Provision for Tax	1,00,000	62,500
5.	Tangible Assets
	Machinery	8,37,500	5,22,500
	Accumulated Depreciation	(1,05,000)	(70,000)
		7,32,500	4,52,500
6.	Intangible Assets
	Goodwill	50,000	75,000
7.	Inventories
	Stock-in-Trade	61,000	36,000

Additional Information:
(i) ₹50,000, 12% Debentures were issued on 31st March, 2016.
(ii) During the year, a piece of machinery costing ₹40,000, on which accumulated depreciation was ₹20,000, was sold at a loss of ₹5,000.

From the following Balance Sheet and information of Sun 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	7,00,000	6,00,000
(b) Reserves and Surplus	2	4,10,000	2,00,000
2. Non-Current Liabilities
Long-term Borrowings: 10% Debentures		3,00,000	2,00,000
3. Current Liabilities
(a) Trade Payables		1,40,000	60,000
Total		15,50,000	10,60,000
II. ASSETS
1. Non-Current Assets
(a) Fixed Assets−Tangible		7,00,000	6,00,000
(b) 10% Investments		2,00,000	1,00,000
2. Current Assets
(a) Current Investments		90,000	50,000
(b) Inventories		2,00,000	1,00,000
(c) Trade Receivables	3	2,80,000	1,90,000
(d) Cash and Cash Equivalents		80,000	20,000
Total		15,50,000	10,60,000

Notes to Accounts :

Particulars	31^stMarch, 2019 (₹)	31^st March, 2018 (₹)
1. Share Capital
Equity Share Capital	5,00,000	3,00,000
10% Preference Share Capital	2,00,000	3,00,000
	7,00,000	6,00,000
2. Reserves and Surplus
Securities Premium Reserve	10,000	-
Surplus i.e., Balance in Statement of Profit and Loss	4,00,000	2,00,000
	4,10,000	2,00,000
3. Trade Receivables
Sundry Debtors	3,00,000	2,00,000
Less: Provision for Doubtful Debts	20,000	10,000
	2,80,000	1,90,000

You are informed that during the year:

(i)	Proposed Dividend:	31^st March, 2019	31^st March, 2018
	Equity Share Capital	Nil	Nil
	Preference Share Capital	10%	10%

(ii) A machine with a book value of ₹ 90,000 was sold for ₹ 50,000;

(iii) Depreciation charged during the year ₹ 60,000;

(iv) Debentures were issued on 1st April 2018;

(v) Investments were purchased on 31st March 2019;

(vi) Preference shares were redeemed on 31st December 2018;

(vii) An interim dividend @ 15% was paid on equity shares on 31st December 2018.

(viii) Fresh equity shares were issued at a premium of 5% on 31st March 2019.

From the following Balance Sheet of Samta 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	7,50,000	7,50,000
(b) Reserves and Surplus	2	3,10,000	(20,000)
2. Non-Current Liabilities:
Long-term Borrowings (8% Debentures)		2,60,000	1,50,000
3. Current Liabilities:
(a) Short-term Borrowings (8% Bank Loan)		40,000	50,000
(b) Trade Payables		1,20,000	1,10,000
(c) Short-term Provisions	3	50,000	40,000
Total		15,30,000	10,80,000

II. ASSETS
1. Non-Current Assets:
(a) Fixed Assets:
(i) Tangible Assets (Net)		8,60,000	6,20,000
(ii) Intangible Assets (Goodwill)		15,000	40,000
(b) Non-Current Investments		1,25,000	80,000
2. Current Assets:
(a) Current Investments		5,000	15,000
(b) Inventories		1,95,000	1,00,000
(c) Trade Receivables		2,00,000	2,00,000
(d) Cash and Cash Equivalents		1,30,000	25,000
Total		15,30,000	10,80,000

es to Accounts:

Particulars	31st March, 2019 (₹)	31st March, 2018 (₹)
1. Share Capital:
Equity Share Capital	5,50,000	4,50,000
12% Preference Share Capital	2,00,000	3,00,000
	7,50,000	7,50,000
2. Reserves and Surplus:
Securities Premium Reserve	10,000	-
General Reserve	1,50,000	1,20,000
Surplus, i.e., Balance in Statement of Profit and Loss	1,50,000	(1,40,000)
	3,10,000	(20,000)
4. Short-term Provisions:
Provision for Tax	50,000	40,000

Additional Information:
(i) During the year a piece of machinery costing ₹ 60,000 on which depreciation charged was ₹ 20,000 was sold at 50% of its book value. Depreciation provided on tangible Assets ₹ 60,000;
(ii) Income tax ₹ 45,000 was provided;
(iii) Additional Debentures were issued at par on 1st October, 2018 and Bank Loan was repaid on the same date;
(iv) At the end of the year Preference Shares were redeemed at a premium of 5%.

From the following Balance Sheet as at 31st March, 2019 and Statement of Profit and Loss for the year ended 31st March, 2019 of RSB Ltd. and additional information, prepare Cash Flow Statement:

Particulars	Note No.	31st March, 2019 (₹)	31st March, 2018 (₹)
I. EQUITY AND LIABILITIES
1. Shareholders' Funds
(a) Share Capital		7,50,000	5,00,000
(b) Reserves and Surplus	1	9,50,000	3,00,000
2. Non-Current Liabilities
Long-term Borrowings (5% Debentures)		7,00,000	4,00,000
3. Current Liabilities
(a) Trade Payables		1,10,000	90,000
(b) Other Current Liabilities	2	39,000	25,000
(c) Short-term Provisions (Provision for Tax)		2,60,000	2,25,000
Total		28,09,000	15,40,000
II. ASSETS
1. Non-Current Assets
(a) Fixed Assets – Tangible	3	6,85,000	7,45,000
(b) Non-current Investments		7,50,000	2,50,000
2. Current Assets
(a) Current Investments		6,74,000	95,000
(b) Inventories		1,00,000	2,00,000
(c) Trade Receivables		4,00,000	1,50,000
(d) Cash and Cash Equivalents		2,00,000	1,00,000
Total		28,09,000	15,40,000

STATEMENT OF PROFIT AND LOSS for the year ended 31st March, 2019

Particulars	Note No.	31st March, 2019 (₹)	31st March, 2018 (₹)
I. Revenue from Operations	4	40,00,000	35,00,000
II. Other Income	5	35,000	30,000
III. Total Revenue (I + II)		40,35,000	35,30,000
IV. Expenses:
Purchases of Stock-in-Trade		27,00,000	24,70,000
Change in Inventories of Stock-in-Trade	6	1,00,000	50,000
Finance Cost		27,500	20,000
Depreciation		40,000	45,000
Other Expenses		22,500	20,000
Total Expenses		28,90,000	26,05,000
V. Profit before Tax (III – IV)		11,45,000	9,25,000
VI. Less: Tax		3,45,000	2,25,000
VII. Profit after Tax (V – VI)		8,00,000	7,00,000

Notes to Accounts

Particular		31st March 2019 (₹)	31st March 2018 (₹)
1.	Reserves and Surplus
	Debenture Redemption Reserve	1,00,000	1,00,000
	Surplus, i.e., Balance in Statement of Profit and Loss	8,50,000	2,00,000
		9,50,000	3,00,000
2.	Other Current Liabilities
	Interest on Debentures	35,000	20,000
	Outstanding Expenses	4,000	5,000
		39,000	25,000
3.	Fixed Assets–Tangible
	Cost	8,90,000	9,90,000
	Less: Accumulated Depreciation	2,05,000	2,45,000
		6,85,000	7,45,000
4.	Revenue from Operations
	Sales	42,00,000	35,75,000
	Less: Sales Return	2,00,000	75,000
		40,00,000	35,00,000
5.	Other Income
	Interest on Deposits	15,000	12,500
	Dividend on Investments	10,000	17,500
	Gain (Profit) on Sale of Fixed Assets	10,000	…
		35,000	30,000
6.	Change in Inventories of Stock-in-Trade
	Opening Stock	2,00,000	2,50,000
	Less: Closing Stock	1,00,000	2,00,000
		1,00,000	50,000

Additional Information:
1. Additional debentures were issued on 1st October, 2018 of ₹5,00,000. On the same date, part of outstanding debentures were redeemed and interest was paid, whereas interest on outstanding debentures was paid on 10th April, 2019.
2. Board of Directors proposed dividend in both the years @ 10%.
3. Interim Dividend of ₹ 1,00,000 was paid during the year.
4. A fixed asset with original cost of 1,00,000, on which depreciation till date was provided of ₹ 80,000 was sold at a profit of ₹ 10,000.

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 1^st 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:

Prepare Cash Flow Statement: - Accountancy

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