From the following Balance Sheet of Computer India Ltd., prepare cash flow statement.
(Rs in '000)
Particulars | Note No. | 31st March 2015 (Rs) | 31st March 2014 (Rs) |
I) Equity and Liabilities | |||
1. Shareholders’ Funds | |||
a) Share capital | 50,000 | 40,000 | |
b) Reserves and surplus-Surplus | 1 | 3,700 | 3,000 |
2. Non-Current Liabilities | |||
10% Debentures | 6,500 | 6,000 | |
3. Current Liabilities | |||
a) Short-term borrowings | 2 | 6,800 | 12,500 |
b) Trade payables | 11,000 | 12,000 | |
c) Short-term provisions | 3 | 10,000 | 8,000 |
Total | 88,000 | 81,500 | |
II) Assets | |||
1. Non-current assets | |||
a) Fixed assets | 4 | 25,000 | 30,000 |
2. Current assets | |||
a) Inventories | 35,000 | 30,000 | |
b) Trade receivables | 24,000 | 20,000 | |
c) Cash and cash equivalents-cash | 3,500 | 1,200 | |
d) Other current assets-prepaid exp. | 500 | 300 | |
Total | 88,000 | 81,500 | |
|
|
Notes to Accounts
Particulars | 31st March 2015 (Rs) | 31st March 2014 (Rs) | |
1. | Reserve and surplus | ||
(i) Balance in statement of profit and loss | 1,200 | 1,000 | |
(ii) General reserve | 2,500 | 2,000 | |
3,700 | 3,000 | ||
2. | Short-term borrowings | ||
Bank Overdraft | 6,800 | 12,500 | |
3. | Short-term provisions | ||
(i) Provision for taxation | 4,200 | 3,000 | |
(ii) Proposed dividend | 5,800 | 5,000 | |
10,000 | 8,000 | ||
4. | Fixed Assets: | ||
Fixed Assets | 40,000 | 41,000 | |
Less : Accumulated Depreciation | (15,000) | (11,000) | |
25,000 | 30,000 | ||
Interest paid on Debenture Rs. 600
Cash Flow Statement of Computer India Ltd. | |||||
|
| (00,000) | |||
| Particulars | Amount Rs | Amount Rs | ||
A. | Cash Flow from Operating Activities |
|
| ||
| Profit as per Balance Sheet (1,200 – 1,000) | 200 |
| ||
| Proposed Dividend | 5,800 |
| ||
| General Reserve | 500 |
| ||
| Provision for Taxation | 4,200 |
| ||
| Net Profit before Tax and Extraordinary items |
| 10,700 | ||
| Items to be added |
|
| ||
|
| Provision for Depreciation | 4,000 |
| |
|
| Interest paid on Debentures | 600 | 4,600 | |
| Operating Profit before Working Capital changes |
| 15,300 | ||
| Adjustments |
|
| ||
|
| Less: | Increase in Current Assets |
|
|
|
|
| Trade Receivables | (4,000) |
|
|
|
| Inventories | (5,000) |
|
|
|
| Prepaid Expenses | (200) | (9,200) |
|
|
| 6,100 | ||
|
| Less: | Decrease in Current Liabilities |
|
|
|
|
| Trade Creditors | (1,000) | (1,000) |
| Cash generated from Operating Activities |
| 5,100 | ||
|
| Less: | Income Tax Paid |
| (3,000) |
| Net Cash from Operation |
| 2,100 | ||
|
|
|
|
|
|
B. | Cash Flow from Investing Activities |
|
| ||
|
| Sale of Fixed Assets |
| 1,000 | |
| Net Cash from Investing Activities |
| 1,000 | ||
|
|
|
|
|
|
C. | Cash Flow from Financing Activities |
|
| ||
|
| Issue of Equity Shares |
| 10,000 | |
|
| Issue of 10% Debentures |
| 500 | |
|
| Less: | Dividend paid |
| (5,000) |
|
| Less: | Interest paid |
| (600) |
| Net Cash from Financing Activities |
| 4,900 | ||
|
|
|
|
|
|
D. | Net Increase in Cash and Cash Equivalent (A+B+C) |
| 8,000 | ||
|
| Add: | Cash and Cash Equivalent in the beginning |
|
|
|
|
| Cash | 1,200 |
|
|
|
| Bank overdraft | (12,500) | (11,300) |
|
|
|
|
|
|
E. | Cash and Cash Equivalents at the end |
|
| ||
|
|
| Cash | 3,500 |
|
|
|
| Bank overdraft | (6,800) | (3,300) |