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Question
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 |
Solution
|
|
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 |
|
43,750 |
|
|
|
Add: Provision for Tax |
|
18,750 |
|
|
|
Profit Before Taxation |
|
62,500 |
|
|
|
Items to be Added: |
|
|
|
|
|
Depreciation and Amortization Expenses |
15,000 |
|
|
|
|
Loss on Sale of Furniture |
1,500 |
|
|
|
|
Items to be Deducted: |
|
|
|
|
|
Profit on Sale of Machinery |
(2,500) |
|
|
|
|
Rent |
(15,000) |
|
|
|
|
Interest on Investment |
(2,000) |
(3,000) |
|
|
|
Operating Profit before Working Capital Adjustments |
|
59,500 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
|
Trade Receivables |
(5,000) |
|
|
|
|
Prepaid Expenses |
(1,500) |
|
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
|
Trade Payables |
(2,500) |
|
|
|
|
Add: Increase in Current Liabilities |
|
|
|
|
|
Outstanding Expenses |
3,000 |
|
|
|
|
Add: Decrease in Current Assets |
|
|
|
|
|
Inventory |
15,000 |
9,000 |
|
|
|
Cash Generated from Operations |
|
68,500 |
|
|
|
Less: Tax Paid |
|
(18,750) |
|
|
|
Net Cash Flows from Operating Activities |
|
49,750 |
|
APPEARS IN
RELATED QUESTIONS
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:
(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 |
From the following Balance Sheet of Combiplast Ltd. for the year ended 31st March, 2019 and additional information, calculate Cash Flow from Investing Activities:
|
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 |
10,00,000 | 8,50,000 | |
|
2. Current Liabilities |
|
4,50,000 | 3,50,000 |
|
Total |
22,00,000 | 17,00,000 | |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
(a) Fixed Assets−Tangible Assets |
1 | 12,00,000 | 12,00,000 |
|
(b) Non-Current Investments |
5,00,000 | 3,00,000 | |
|
2. Current Assets |
|||
|
(a) Trade Receivables |
3,00,000 | 1,10,000 | |
|
(b) Cash and Cash Equivalents |
2,00,000 | 90,000 | |
|
Total |
22,00,000 | 17,00,000 |
Notes to Accounts
|
Particulars |
31st March, 2019 (₹) |
31st March, 2018 (₹) |
| I. Tangible Assets | ||
|
Land |
3,00,000 | 3,00,000 |
|
Building |
4,00,000 | 4,00,000 |
|
Plant and Machinery |
5,00,000 | 5,00,000 |
|
|
12,00,000 | 12,00,000 |
Additional Information:During the year the company sold machinery at Book Value of ₹ 1,50,000.
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.
Prepare a Cash Flow Statement on the basis of the information given in the Balance Sheet of Libra Ltd. as at 31st March, 2013 and 31st March 2012:
|
Particulars |
Note No. |
31st March, 2013 (₹) |
31st March, 2012 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
8,00,000 | 6,00,000 | |
|
(b) Reserves and Surplus |
1 | 4,00,000 | 3,00,000 |
|
2. Non-Current Liabilities |
|||
|
Long-term Borrowings |
1,00,000 | 1,50,000 | |
|
3. Current Liabilities |
|||
|
(a) Trade Payables |
40,000 | 48,000 | |
|
Total |
13,40,000 | 10,98,000 | |
| II. ASSETS | |||
|
1, Non-Current Assets |
|||
|
(a) Fixed Assets: |
|||
|
Tangible Assets |
8,50,000 | 5,60,000 | |
|
(b) Non-Current Investments |
2,32,000 | 1,60,000 | |
|
2. Current Assets |
|||
|
(a) Current Investments |
50,000 | 1,34,000 | |
|
(b) Inventories |
76,000 | 82,000 | |
|
(c) Trade Receivables |
38,000 | 92,000 | |
|
(d) Cash and Cash Equivalents |
94,000 | 70,000 | |
|
Total |
13,40,000 | 10,98,000 |
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 | 3,00,000 |
Following are the Balance Sheets of Solar Power Ltd. as at 31st March, 2014 and 2013:
| Solar Power Ltd. |
| BALANCE SHEET |
|
Particulars |
Note No. |
31st March, 2014 (₹) |
31st March, 2013 (₹) |
| I. EQUITY AND LIABILITIES | |||
|
1. Shareholders' Funds |
|||
|
(a) Share Capital |
|
24,00,000 | 22,00,000 |
|
(b) Reserves and Surplus |
1 | 6,00,000 | 4,00,000 |
|
2. Non-Current Liabilities |
|||
|
Long-term Borrowings |
4,80,000 | 3,40,000 | |
| 3. Current Liabilities | |||
|
(a) Trade Payables |
3,58,000 | 4,08,000 | |
|
(b) Short-term Provisions |
|
1,00,000 | 1,54,000 |
|
Total |
39,38,000 | 35,02,000 | |
| II. ASSETS | |||
|
1. Non-Current Assets |
|||
|
Fixed Assets: |
|||
|
(i) Tangible Assets |
2 | 21,40,000 | 17,00,000 |
|
(ii) Intangible Assets |
3 | 80,000 | 2,24,000 |
|
2. Current Assets |
|||
|
(a) Current Investments |
4,80,000 | 3,00,000 | |
|
(b) Inventories |
2,58,000 | 2,42,000 | |
|
(c) Trade Receivables |
3,40,000 | 2,86,000 | |
|
(d) Cash and Cash Equivalents |
6,40,000 | 7,50,000 | |
|
Total |
39,38,000 | 35,02,000 |
Notes to Accounts
|
Particulars |
31st March, 2014 (₹) |
31st March, 2013 (₹) |
| 1. Revenue and Surplus
Surplus, i.e.,Balance in Statement of Profit and Loss |
6,00,000 | 4,00,000 |
| 2. Tangible Assets | ||
|
Machinery |
25,40,000 | 20,00,000 |
|
Less: Accumulated Deprciation |
(4,00,000) | (3,00,000) |
| 21,40,000 | 17,00,000 | |
| 3. Intangible Assets | ||
|
Goodwill |
80,000 | 2,24,000 |
Additional Iformation:
Druing the year, a piece of machinery costing ₹ 48,000 on which accumulated deprciation was ₹ 32,000. was sold for ₹ 12,000. 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.
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 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 | 31st March, 2019 (₹) |
31st 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: | 31st March, 2019 | 31st 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.
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 |
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.
Which of the following transactions will result in 'Flow of Cash'?
Dividend received by the financial enterprise is shown in the cash flow statement under:
From the following information, find out the inflow of cash:
| 31st March, 2015 | 31st March, 2014 | |
| Plant and Machinery Account | ₹ 6,00,000 | ₹ 4,50,000 |
| Accumulated Depreciation | ₹ 1,60,000 | ₹ 1,00,000 |
Additional Information:
Depreciation for the years 2014-2015 is ₹ 80,000
During the year Machinery was purchased for ₹ 2,50,000 and a part of the asset was sold at a profit of ₹ 40,000.
Shareholders get:
From the following information, find out the Cash Flow from Financing Activities.
| Proposed Dividend | |
| 31st March, 2013 | ₹ 20,000 |
| 31st March, 2014 | ₹ 15,000 |
| Additional Information: | |
| Equity Share Capital raised | ₹ 3,00,000 |
| 10% Debentures Redeemed | ₹ 1,00,000 |
| Preference Share Capital Redeemed | ₹ 50,000 |
| Interim Dividend paid during the year | ₹ 20,000 |
