Plz solve this question. Thank you
Dear Student,
Cash Flow Statement For the year ended 31/3/17
Working Notes-
2)Interest on Loan
Cash Flow Statement For the year ended 31/3/17
| Particulars | Amount (Rs) | Amount (Rs) |
| A) Cash Flow from Operating Activities | ||
| Net Loss as per Statement of Profit and loss | (95000) | |
| Add: Provision for Tax made (WN1) | 51000 | |
| Net loss before Tax and Extraordinary Items | (44000) | |
| Add: Depreciation charged during the year | 25000 | |
| Interest paid on loan (WN2) | 7500 | |
| Net Loss before Working Capital Changes | (11500) | |
| Add: Decrease in Trade Receivables | 14000 | |
| Decrease in other Current Assets | 4000 | |
| Less: Decrease in Trade Payables | (14000) | |
| Increase In Inventories | (7000) | |
| Net Loss before Tax | (14500) | |
| Add: Tax to be paid during the year | (53000) | |
| Cash used in Operating Activities | 67500 | |
| B. Cash Flow from Investing Activities | ||
| Purchase of vMachinery | (169000) | |
| Cash used in Investing Activities | (169000) | |
| C. Cash Flow from Financing Activities | ||
| Proceeds from issue of Shares | 200000 | |
| Proceeds from additional loan taken | 20000 | |
| Interest paid on long-term loans | 7500 | |
| Cash flow from Financing Activities | 212500 | |
| Net decrease in Cash and Cash Equivalents | (24000) | |
| Add: Opening Balance of Cash and Cash Equivalent | 49000 | |
| Cash and Cash Equivalents at the end of the yearv |
25000 | |
1) Provision for tax
| Date | Particulars | Amount | Date | Particulars | Amount |
| 31/3/2017 | To Bank A/c (Paid) | 53000 | 1/4/2016 | By balance b/d | 70000 |
| 31/3/2017 | To balance c/d | 68000 | 31/3/2017 | By Statement of profit and loss A/c | 51000 |
| 123000 | 123000 |
2)Interest on Loan
Interest on Loan taken on 1st July, 2016= Rs. (20,000 × 10/100× 9/ 12 = Rs. 1,500.
Interest on Loan as on 31st March,2016= (60,000 × 10/100) = Rs. 6,000
Total Interest Paid on Loan = Rs. ( 6,000 + 1,500) = Rs. 7,500.
Regards