Analysis Of Financial Statements Ts Grewal 2018 Solutions for Class 12 Commerce Accountancy Chapter 5 Cash Flow Statement are provided here with simple step-by-step explanations. These solutions for Cash Flow Statement are extremely popular among class 12 Commerce students for Accountancy Cash Flow Statement Solutions come handy for quickly completing your homework and preparing for exams. All questions and answers from the Analysis Of Financial Statements Ts Grewal 2018 Book of class 12 Commerce Accountancy Chapter 5 are provided here for you for free. You will also love the ad-free experience on Meritnation’s Analysis Of Financial Statements Ts Grewal 2018 Solutions. All Analysis Of Financial Statements Ts Grewal 2018 Solutions for class 12 Commerce Accountancy are prepared by experts and are 100% accurate.
Page No 5.100:
Question 35:
Answer:
|
|
Cash Flow Statement |
|||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
|
Cash Flow from Financing Activities |
|
|
|
|
|
Loan Repaid |
(1,00,000) |
|
|
|
|
New Loan Raised |
1,50,000 |
50,000 |
|
|
|
Cash Flows from Financing Activity |
|
50,000 |
|
Working Notes:
|
Long Term Loan Account |
|||
| Dr. |
Cr. |
||
|
Particulars |
Amount (₹) |
Particulars |
Amount (₹) |
| Bank A/c (Repayment of Loan) |
1,00,000 |
Balance b/d |
2,00,000 |
| Balance c/d |
2,50,000 |
Bank A/c (Loan Raised) |
1,50,000 |
|
3,50,000 |
3,50,000 |
||
Page No 5.100:
Question 36:
|
|
Cash Flow Statement |
|||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
|
Cash Flow from Financing Activities |
|
|
|
|
|
Loan Repaid |
(1,00,000) |
|
|
|
|
New Loan Raised |
1,50,000 |
50,000 |
|
|
|
Cash Flows from Financing Activity |
|
50,000 |
|
Working Notes:
|
Long Term Loan Account |
|||
| Dr. |
Cr. |
||
|
Particulars |
Amount (₹) |
Particulars |
Amount (₹) |
| Bank A/c (Repayment of Loan) |
1,00,000 |
Balance b/d |
2,00,000 |
| Balance c/d |
2,50,000 |
Bank A/c (Loan Raised) |
1,50,000 |
|
3,50,000 |
3,50,000 |
||
Answer:
|
Cash Flow from Financing Activities |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Proceeds from Issue of Equity Shares |
1,10,000 |
|
|
|
Redemption of 12% Debentures |
(50,000) |
|
|
|
Interest Paid |
(18,000) |
|
|
|
Net Cash Flows from Financing Activities |
|
42,000 |
Page No 5.100:
Question 37:
|
Cash Flow from Financing Activities |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Proceeds from Issue of Equity Shares |
1,10,000 |
|
|
|
Redemption of 12% Debentures |
(50,000) |
|
|
|
Interest Paid |
(18,000) |
|
|
|
Net Cash Flows from Financing Activities |
|
42,000 |
Answer:
|
Cash Flow from Financing Activities for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Issue of Shares |
1,25,000 |
|
|
|
Transfer to Securities Premium Reserve |
1,25,000 |
|
|
|
Issue of Debentures |
1,00,000 |
|
|
|
Premium on redemption of Preference Shares (5% of 1,50,000) |
(7,500) |
|
|
|
Interim Dividend Paid(15% of 4,00,000) |
(60,000) |
|
|
|
Redemption of Preference Share Capital |
(1,50,000) |
|
|
|
Interest on Debentures (12% of 3,00,000) |
(36,000) |
|
|
|
Interest on Preference Share Capital |
(55,000) |
|
|
|
Net Cash Flow from Financing Activities |
|
41,500 |
|
|
|
|
|
Page No 5.100:
Question 38:
|
Cash Flow from Financing Activities for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Issue of Shares |
1,25,000 |
|
|
|
Transfer to Securities Premium Reserve |
1,25,000 |
|
|
|
Issue of Debentures |
1,00,000 |
|
|
|
Premium on redemption of Preference Shares (5% of 1,50,000) |
(7,500) |
|
|
|
Interim Dividend Paid(15% of 4,00,000) |
(60,000) |
|
|
|
Redemption of Preference Share Capital |
(1,50,000) |
|
|
|
Interest on Debentures (12% of 3,00,000) |
(36,000) |
|
|
|
Interest on Preference Share Capital |
(55,000) |
|
|
|
Net Cash Flow from Financing Activities |
|
41,500 |
|
|
|
|
|
Answer:
|
Cash Flow Statement for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Cash Flow from Investing Activities |
|
|
|
|
Purchase of Machinery |
(20,000) |
|
|
|
Sale of Machine |
4,000 |
|
|
|
Net Cash from (used in) Investing Activities |
|
(16,000) |
|
|
|
|
|
|
|
Cash Flow from Financing Activities |
|
|
|
|
Proceeds from Issue of Equity Shares |
5,000 |
|
|
|
Repayment of Bank Loan |
(10,000) |
|
|
|
Net Cash from (used in) Financing Activities |
|
(5,000) |
|
|
|
|
|
Working Notes:
|
Machinery Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
Balance b/d |
40,000 |
Accumulated Depreciation A/c |
4,000 |
|
Bank A/c (Purchase- Bal. Fig.) |
20,000 |
Bank A/c (Sale) |
4,000 |
|
|
|
Profit and Loss A/c (Loss on Sale) |
2,000 |
|
|
|
Balance c/d |
50,000 |
|
|
60,000 |
|
60,000 |
|
|
|
|
|
|
Accumulated Depreciation Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
To Machinery A/c (Bal. Fig.) |
4,000 |
Balance b/d |
10,000 |
|
Balance c/d |
12,000 |
By Profit and Loss A/c (Dep. charged during the year) |
6,000 |
|
|
16,000 |
|
16,000 |
|
|
|
|
|
Page No 5.101:
Question 39:
|
Cash Flow Statement for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Cash Flow from Investing Activities |
|
|
|
|
Purchase of Machinery |
(20,000) |
|
|
|
Sale of Machine |
4,000 |
|
|
|
Net Cash from (used in) Investing Activities |
|
(16,000) |
|
|
|
|
|
|
|
Cash Flow from Financing Activities |
|
|
|
|
Proceeds from Issue of Equity Shares |
5,000 |
|
|
|
Repayment of Bank Loan |
(10,000) |
|
|
|
Net Cash from (used in) Financing Activities |
|
(5,000) |
|
|
|
|
|
Working Notes:
|
Machinery Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
Balance b/d |
40,000 |
Accumulated Depreciation A/c |
4,000 |
|
Bank A/c (Purchase- Bal. Fig.) |
20,000 |
Bank A/c (Sale) |
4,000 |
|
|
|
Profit and Loss A/c (Loss on Sale) |
2,000 |
|
|
|
Balance c/d |
50,000 |
|
|
60,000 |
|
60,000 |
|
|
|
|
|
|
Accumulated Depreciation Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
To Machinery A/c (Bal. Fig.) |
4,000 |
Balance b/d |
10,000 |
|
Balance c/d |
12,000 |
By Profit and Loss A/c (Dep. charged during the year) |
6,000 |
|
|
16,000 |
|
16,000 |
|
|
|
|
|
Answer:
|
Cash Flow from Financing Activities |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Proceeds from Issue of 12% Debentures |
1,00,000 |
|
|
|
Interest Paid |
(19,000) |
|
|
|
Dividend Paid |
(50,000) |
|
|
|
Net Cash Flows from Financing Activities |
|
31,000 |
Note: Amount of Equity Share Capital has been increased due to the issue of Bonus Shares which does not involve any flow of cash. Therefore, it is not considered in the Financing Activities.
Page No 5.101:
Question 40:
|
Cash Flow from Financing Activities |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
Proceeds from Issue of 12% Debentures |
1,00,000 |
|
|
|
Interest Paid |
(19,000) |
|
|
|
Dividend Paid |
(50,000) |
|
|
|
Net Cash Flows from Financing Activities |
|
31,000 |
Note: Amount of Equity Share Capital has been increased due to the issue of Bonus Shares which does not involve any flow of cash. Therefore, it is not considered in the Financing Activities.
Answer:
|
Cash Flow Statement |
||||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
|
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss |
|
7,25,000 |
|
|
|
Items to be Added: |
|
|
|
|
|
Dividend on Equity Shares |
90,000 |
|
|
|
|
Dividend on Preference Shares |
37,500 |
|
|
|
|
Interest on Debentures |
41,000 |
|
|
|
|
Interest on Bank Loan |
9,000 |
|
|
|
|
Provision for Tax |
1,12,500 |
|
|
|
|
Transfer to General Reserve |
75,000 |
3,65,000 |
|
|
|
Operating Profit before Working Capital Adjustments |
|
10,90,000 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
|
Trade Receivables& Inventories |
(1,50,000) |
|
|
|
|
Add:Increase in Current Liabilities |
|
|
|
|
|
Trade Payables |
2,50,000 |
1,00,000 |
|
|
|
Cash Generated from Operations |
|
11,90,000 |
|
|
|
Less: Taxes Paid |
|
62,500 |
|
|
|
Cash Flow from Operating Activities |
|
11,27,500 |
|
|
Cash Flow Statement |
|||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
Cash Flow from Financing Activities |
|
|
|
|
Dividend on Equity Shares |
(90,000) |
|
|
|
Dividend on Preference Shares |
(37,500) |
|
|
|
Interest on Debentures |
(41,000) |
|
|
|
Interest on Bank Loan |
(9,000) |
|
|
|
Increase in Securities Premium Reserve |
25,000 |
|
|
|
Proceeds from Issue of Equity Shares |
2,50,000 |
|
|
|
Proceeds from Issue of Debentures |
2,75,000 |
|
|
|
Redemption of Preference Shares |
(2,50,000) |
|
|
|
Repayment of Bank Loan |
(25,000) |
|
|
|
Cash Flows from Financing Activity |
|
97,500 |
Working Notes:
|
Provision for Tax Account |
|||
| Dr. |
Cr. |
||
|
Particulars |
Amount (₹) |
Particulars |
Amount (₹) |
| Bank A/c (Bal. fig.) |
62,500 |
Balance b/d |
50,000 |
| Balance c/d |
1,00,000 |
Profit & Loss A/c |
1,12,500 |
|
1,62,500 |
1,62,500 |
||
Calculation of Interest on Debentures
Calculation of Interest on Bank Loan
Page No 5.102:
Question 41:
|
Cash Flow Statement |
||||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
|
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss |
|
7,25,000 |
|
|
|
Items to be Added: |
|
|
|
|
|
Dividend on Equity Shares |
90,000 |
|
|
|
|
Dividend on Preference Shares |
37,500 |
|
|
|
|
Interest on Debentures |
41,000 |
|
|
|
|
Interest on Bank Loan |
9,000 |
|
|
|
|
Provision for Tax |
1,12,500 |
|
|
|
|
Transfer to General Reserve |
75,000 |
3,65,000 |
|
|
|
Operating Profit before Working Capital Adjustments |
|
10,90,000 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
|
Trade Receivables& Inventories |
(1,50,000) |
|
|
|
|
Add:Increase in Current Liabilities |
|
|
|
|
|
Trade Payables |
2,50,000 |
1,00,000 |
|
|
|
Cash Generated from Operations |
|
11,90,000 |
|
|
|
Less: Taxes Paid |
|
62,500 |
|
|
|
Cash Flow from Operating Activities |
|
11,27,500 |
|
|
Cash Flow Statement |
|||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
Cash Flow from Financing Activities |
|
|
|
|
Dividend on Equity Shares |
(90,000) |
|
|
|
Dividend on Preference Shares |
(37,500) |
|
|
|
Interest on Debentures |
(41,000) |
|
|
|
Interest on Bank Loan |
(9,000) |
|
|
|
Increase in Securities Premium Reserve |
25,000 |
|
|
|
Proceeds from Issue of Equity Shares |
2,50,000 |
|
|
|
Proceeds from Issue of Debentures |
2,75,000 |
|
|
|
Redemption of Preference Shares |
(2,50,000) |
|
|
|
Repayment of Bank Loan |
(25,000) |
|
|
|
Cash Flows from Financing Activity |
|
97,500 |
Working Notes:
|
Provision for Tax Account |
|||
| Dr. |
Cr. |
||
|
Particulars |
Amount (₹) |
Particulars |
Amount (₹) |
| Bank A/c (Bal. fig.) |
62,500 |
Balance b/d |
50,000 |
| Balance c/d |
1,00,000 |
Profit & Loss A/c |
1,12,500 |
|
1,62,500 |
1,62,500 |
||
Calculation of Interest on Debentures
Calculation of Interest on Bank Loan
Answer:
|
Cash Flow Statement |
||||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
A |
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss (Net Profit) |
2,000 |
|
|
|
|
Profit Before Taxation |
2,000 |
|
|
|
|
Items to be Added: |
– |
|
|
|
|
Operating Profit before Working Capital Adjustments |
2,000 |
|
|
|
|
Add: Decrease in Current Assets |
|
|
|
|
|
Stock |
8,000 |
|
|
|
|
Add: Increase in Current Liabilities |
|
|
|
|
|
Bills Payable |
12,000 |
|
|
|
|
Cash Generated from Operations |
22,000 |
|
|
|
|
Less: Tax Paid |
– |
|
|
|
|
Net Cash Flow from Operating Activities |
|
22,000 |
|
|
|
|
|
|
|
|
B |
Cash Flow from Investing Activities |
|
|
|
|
|
|
Sale of Fixed Assets |
30,000 |
|
|
|
Net Cash Flows from Investing Activities |
|
30,000 |
|
|
|
|
|
|
|
|
C |
Cash Flow from Financing Activities |
|
|
|
|
|
Repayment of Long-Term Loan |
(50,000) |
|
|
|
|
Net Cash Used in Financing Activities |
|
(50,000) |
|
|
|
|
|
|
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
2,000 |
|
|
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
15,000 |
|
|
Cash and Cash Equivalents at the end of the period |
|
17,000 |
|
|
|
|
|
|
|
Page No 5.102:
Question 42:
|
Cash Flow Statement |
||||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
A |
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss (Net Profit) |
2,000 |
|
|
|
|
Profit Before Taxation |
2,000 |
|
|
|
|
Items to be Added: |
– |
|
|
|
|
Operating Profit before Working Capital Adjustments |
2,000 |
|
|
|
|
Add: Decrease in Current Assets |
|
|
|
|
|
Stock |
8,000 |
|
|
|
|
Add: Increase in Current Liabilities |
|
|
|
|
|
Bills Payable |
12,000 |
|
|
|
|
Cash Generated from Operations |
22,000 |
|
|
|
|
Less: Tax Paid |
– |
|
|
|
|
Net Cash Flow from Operating Activities |
|
22,000 |
|
|
|
|
|
|
|
|
B |
Cash Flow from Investing Activities |
|
|
|
|
|
|
Sale of Fixed Assets |
30,000 |
|
|
|
Net Cash Flows from Investing Activities |
|
30,000 |
|
|
|
|
|
|
|
|
C |
Cash Flow from Financing Activities |
|
|
|
|
|
Repayment of Long-Term Loan |
(50,000) |
|
|
|
|
Net Cash Used in Financing Activities |
|
(50,000) |
|
|
|
|
|
|
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
2,000 |
|
|
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
15,000 |
|
|
Cash and Cash Equivalents at the end of the period |
|
17,000 |
|
|
|
|
|
|
|
Answer:
|
Cash Flow Statement for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
A |
Cash Flow from Operating Activities |
|
|
|
|
Profit as per Statement of Profit and Loss (1,83,000 – 82,000) |
1,01,000 |
|
|
|
Profit Before Taxation |
1,01,000 |
|
|
|
Items to be Added: |
|
|
|
|
Interest on Debentures |
7,500 |
|
|
|
Operating Profit before Working Capital Adjustments |
1,08,500 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
Inventories |
(56,000) |
|
|
|
Add: Increase in Current Liabilities |
|
|
|
|
Trade Payables |
40,000 |
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
Other Current Liabilities |
(8,000) |
|
|
|
Add: Decrease in Current Assets |
|
|
|
|
Trade Receivables |
38,000 |
|
|
|
Cash Generated from Operations |
1,22,500 |
|
|
|
Less: Tax Paid |
– |
|
|
|
Net Cash Flows from Operating Activities |
|
1,22,500 |
|
|
|
|
|
|
B |
Cash Flow from Investing Activities |
|
|
|
|
Purchase of Fixed Assets |
(1,57,000) |
|
|
|
Purchase of Investments |
(13,000) |
|
|
|
Net Cash Used in Investing Activities |
|
(1,70,000) |
|
|
|
|
|
|
C |
Cash Flow from Financing Activities |
|
|
|
|
Proceeds from Issue of Equity Share Capital |
50,000 |
|
|
|
Proceeds from Issue of 15% Debentures |
30,000 |
|
|
|
Interest on Debentures (50,000 × 15%) |
(7,500) |
|
|
|
Net Cash Flow from Financing Activities |
|
72,500 |
|
|
|
|
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
25,000 |
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
70,000 |
|
|
Cash and Cash Equivalents at the end of the period |
|
95,000 |
|
|
|
|
|
Note: It has been assumed that Debentures were issued at the end of the accounting period. Therefore, interest on Debentures is computed on the opening balance of the Debenture.
Page No 5.103:
Question 43:
|
Cash Flow Statement for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
A |
Cash Flow from Operating Activities |
|
|
|
|
Profit as per Statement of Profit and Loss (1,83,000 – 82,000) |
1,01,000 |
|
|
|
Profit Before Taxation |
1,01,000 |
|
|
|
Items to be Added: |
|
|
|
|
Interest on Debentures |
7,500 |
|
|
|
Operating Profit before Working Capital Adjustments |
1,08,500 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
Inventories |
(56,000) |
|
|
|
Add: Increase in Current Liabilities |
|
|
|
|
Trade Payables |
40,000 |
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
Other Current Liabilities |
(8,000) |
|
|
|
Add: Decrease in Current Assets |
|
|
|
|
Trade Receivables |
38,000 |
|
|
|
Cash Generated from Operations |
1,22,500 |
|
|
|
Less: Tax Paid |
– |
|
|
|
Net Cash Flows from Operating Activities |
|
1,22,500 |
|
|
|
|
|
|
B |
Cash Flow from Investing Activities |
|
|
|
|
Purchase of Fixed Assets |
(1,57,000) |
|
|
|
Purchase of Investments |
(13,000) |
|
|
|
Net Cash Used in Investing Activities |
|
(1,70,000) |
|
|
|
|
|
|
C |
Cash Flow from Financing Activities |
|
|
|
|
Proceeds from Issue of Equity Share Capital |
50,000 |
|
|
|
Proceeds from Issue of 15% Debentures |
30,000 |
|
|
|
Interest on Debentures (50,000 × 15%) |
(7,500) |
|
|
|
Net Cash Flow from Financing Activities |
|
72,500 |
|
|
|
|
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
25,000 |
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
70,000 |
|
|
Cash and Cash Equivalents at the end of the period |
|
95,000 |
|
|
|
|
|
Note: It has been assumed that Debentures were issued at the end of the accounting period. Therefore, interest on Debentures is computed on the opening balance of the Debenture.
Answer:
|
Cash Flow Statement for the year ended March 31, 2018 |
||||
|
|
Particulars |
Amount (₹) |
Amount (₹) |
|
|
A |
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss |
|
9,000 |
|
|
|
Items to be Added: |
|
|
|
|
|
General Reserve |
10,000 |
|
|
|
|
Goodwill |
10,000 |
|
|
|
|
Provision for Taxation |
32,000 |
|
|
|
|
Proposed Dividend |
45,000 |
97,000 |
|
|
|
Operating Profit before Working Capital Adjustments |
|
1,06,000 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
|
Trade Receivables |
(33,000) |
|
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
|
Other Current Liabilities |
(2,000) |
|
|
|
|
Add:Decrease in Current Assets |
|
|
|
|
|
Inventories |
18,000 |
|
|
|
|
Add:Increase in CurrentLiabilities |
|
|
|
|
|
Trade Payables |
18,000 |
1,000 |
|
|
|
Cash Generated from Operations |
|
1,07,000 |
|
|
|
Less: Tax Paid |
|
(28,000) |
|
|
|
Net Cash Flows from Operating Activities |
|
79,000 |
|
|
|
|
|
||
|
B |
Cash Flow from Investing Activities |
|
|
|
|
|
Purchase of Non-Current Investments |
|
(25,000) |
|
|
|
Purchase of Plant & Machinery |
|
(1,01,000) |
|
|
|
Sale of Land & Building |
|
53,000 |
|
|
|
Net Cash Used in Investing Activities |
|
(73,000) |
|
|
|
|
|
||
|
C |
Cash Flow from Financing Activities |
|
|
|
|
|
Dividend Paid |
|
(39,000) |
|
|
|
Proceeds from Issue of Share Capital |
|
50,000 |
|
|
|
Net Cash Flow from Financing Activities |
|
11,000 |
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
11,000 |
|
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
17,000 |
|
|
|
Cash and Cash Equivalents at the end of the period |
|
28,000 |
|
|
|
|
|
||
Page No 5.104:
Question 44:
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 | |
|
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 |
Answer:
|
Cash Flow Statement for the year ended March 31, 2013 |
|||
|
Particulars |
Details (Rs) |
Amount (Rs) |
|
| A |
Cash from Operating Activities |
|
|
|
Net Profit |
|
1,00,000 |
|
|
Operating Profit Before Working Capital Changes |
|
1,00,000 |
|
|
Add: Decrease in Current Assets |
|
|
|
|
Inventories |
6,000 |
|
|
|
Trade Receivables |
54,000 |
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
Trade Payables |
(8,000) |
52,000 |
|
|
|
|
|
|
|
Cash Generated from Operations |
|
1,52,000 |
|
|
Less: Tax Paid |
|
- |
|
|
Net Cash Flow from Operating Activities |
|
1,52,000 |
|
|
|
|
|
|
| B |
Cash From Investing Activities |
|
|
|
Purchase of Tangible Assets |
(2,90,000) |
|
|
|
Purchase on Non Current Investment |
(72,000) |
|
|
|
|
|
|
|
|
Net Cash Used in Investing Activities |
|
(3,62,000) |
|
|
|
|
|
|
| C |
Cash From Financing Activities |
|
|
|
Issue of Share Capital |
2,00,000 |
|
|
|
Long Term Borrowings |
(50,000) |
|
|
|
|
|
|
|
|
Net Cash Flow from Financing Activities |
|
1,50,000 |
|
|
|
|
|
|
| D |
Net Decrease in Cash and Cash Equivalents |
|
(60,000) |
|
Add: Cash and Cash Equivalents in the beginning of the period (70,000 + 1,34,000) |
|
2,04,000 |
|
|
Cash and Cash Equivalents at the end of the period (94,000 + 50,000) |
|
1,44,000 |
|
|
|
|
|
|
|
|
|
|
|
Page No 5.105:
Question 45:
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 | |
|
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.
Answer:
|
|
Cash Flow Statement for the year ended March 31, 2014 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
A |
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss |
2,00,000 |
|
|
|
|
Profit Before Taxation |
|
2,00,000 |
|
|
|
Items to be Added: |
|
|
|
|
|
Amortisation of Goodwill |
1,44,000 |
|
|
|
|
Depreciation |
1,32,000 |
|
|
|
|
Loss on Sale of Fixed Assets |
4,000 |
2,80,000 |
|
|
|
Operating Profit before Working Capital Adjustments |
|
4,80,000 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
|
|
Inventories |
16,000 |
|
|
|
|
Trade Receivables |
54,000 |
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
|
Trade Payables |
50,000 |
|
|
|
|
Short-Term Provisions |
54,000 |
1,74,000 |
|
|
|
Net Cash Generated from Operating Activities |
|
3,06,000 |
|
|
|
|
|
|
|
|
B |
Cash Flow from Investing Activities |
|
|
|
|
|
|
Sale of Machinery |
12,000 |
|
| Purchase of Machinery | (5,88,000) | |||
|
|
Net Cash Used in Investing Activities |
|
(5,76,000) |
|
|
|
|
|
|
|
|
C |
Cash Flow from Financing Activities |
|
|
|
|
|
Proceeds from Issue of Share Capital |
2,00,000 |
|
|
|
|
Proceeds from Long Term Borrowings |
1,40,000 |
|
|
|
|
Net Cash Flow from Financing Activities |
|
3,40,000 |
|
|
|
|
|
|
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
70,000 |
|
|
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
10,50,000 |
|
|
Cash and Cash Equivalents at the end of the period |
|
11,20,000 |
|
|
|
|
|
|
|
Working Notes:
|
Machinery Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
Balance b/d |
20,00,000 |
Bank A/c (Sale) |
12,000 |
|
Bank A/c (Purchase- Bal. Fig.) |
5,88,000 |
Depreciation on Part of Machinery |
32,000 |
|
|
|
Profit and Loss A/c (Loss on Sale) |
4,000 |
|
|
|
Balance c/d |
25,40,000 |
|
|
25,88,000 |
|
25,88,000 |
|
|
|
|
|
|
Accumulated Depreciation Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
Machinery A/c |
32,000 |
Balance b/d |
3,00,000 |
|
Balance c/d |
4,00,000 |
Profit and Loss A/c (Dep. charged during the year- Bal. Fig.) |
1,32,000 |
|
|
4,32,000 |
|
4,32,000 |
|
|
|
|
|
Page No 5.106:
Question 46:
|
|
Cash Flow Statement for the year ended March 31, 2014 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
|
A |
Cash Flow from Operating Activities |
|
|
|
|
|
Profit as per Statement of Profit and Loss |
2,00,000 |
|
|
|
|
Profit Before Taxation |
|
2,00,000 |
|
|
|
Items to be Added: |
|
|
|
|
|
Amortisation of Goodwill |
1,44,000 |
|
|
|
|
Depreciation |
1,32,000 |
|
|
|
|
Loss on Sale of Fixed Assets |
4,000 |
2,80,000 |
|
|
|
Operating Profit before Working Capital Adjustments |
|
4,80,000 |
|
|
|
Less: Increase in Current Assets |
|
|
|
|
|
|
Inventories |
16,000 |
|
|
|
|
Trade Receivables |
54,000 |
|
|
|
Less: Decrease in Current Liabilities |
|
|
|
|
|
Trade Payables |
50,000 |
|
|
|
|
Short-Term Provisions |
54,000 |
1,74,000 |
|
|
|
Net Cash Generated from Operating Activities |
|
3,06,000 |
|
|
|
|
|
|
|
|
B |
Cash Flow from Investing Activities |
|
|
|
|
|
|
Sale of Machinery |
12,000 |
|
| Purchase of Machinery | (5,88,000) | |||
|
|
Net Cash Used in Investing Activities |
|
(5,76,000) |
|
|
|
|
|
|
|
|
C |
Cash Flow from Financing Activities |
|
|
|
|
|
Proceeds from Issue of Share Capital |
2,00,000 |
|
|
|
|
Proceeds from Long Term Borrowings |
1,40,000 |
|
|
|
|
Net Cash Flow from Financing Activities |
|
3,40,000 |
|
|
|
|
|
|
|
|
D |
Net Increase or Decrease in Cash and Cash Equivalents |
|
70,000 |
|
|
|
|
Add: Cash and Cash Equivalent in the beginning of the period |
|
10,50,000 |
|
|
Cash and Cash Equivalents at the end of the period |
|
11,20,000 |
|
|
|
|
|
|
|
Working Notes:
|
Machinery Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
Balance b/d |
20,00,000 |
Bank A/c (Sale) |
12,000 |
|
Bank A/c (Purchase- Bal. Fig.) |
5,88,000 |
Depreciation on Part of Machinery |
32,000 |
|
|
|
Profit and Loss A/c (Loss on Sale) |
4,000 |
|
|
|
Balance c/d |
25,40,000 |
|
|
25,88,000 |
|
25,88,000 |
|
|
|
|
|
|
Accumulated Depreciation Account |
|||
|
Dr. |
Cr. |
||
|
Particulars |
Amount (Rs) |
Particulars |
Amount (Rs) |
|
Machinery A/c |
32,000 |
Balance b/d |
3,00,000 |
|
Balance c/d |
4,00,000 |
Profit and Loss A/c (Dep. charged during the year- Bal. Fig.) |
1,32,000 |
|
|
4,32,000 |
|
4,32,000 |
|
|
|
|
|
Answer:
|
Cash Flow Statement for the year ended March 31, 2018 |
|||
|
|
Particulars |
Amount (Rs) |
Amount (Rs) |
|
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 (Rs) |
Particulars |
Amount (Rs) |
|
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 |
|
|
|
|
|
Page No 5.107:
Question 47:
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 | ||