Loading Tutorstips...
✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Question 30 Chapter 5 of +2-B
Indirect Method
30. (Cash Flow from Operating Activities) X Ltd. made a profit of 1,00,000 of considering the following items :
1. Depreciation of fixed assets 20,000.
2. Loss on Sale of furniture 1,000
3. Provision for Taxation 21,60,000
4. Transfer to general reserve 14,000
5. Profit, on Sale of machinery 6,000
Additional Information :
| Particulars | 31-03-17 | 31-03-18 |
| Trade Receivable | 24,000 | 30,000 |
| Trade Payable | 20,000 | 30,000 |
| Bills Receivable | 20,000 | 17,000 |
| Bill Payable | 16,000 | 12,000 |
| Prepaid Expenses | 400 | 600 |
Cash Flow from Operating Activities
| Particulars |
Rs |
|
|---|---|---|
| Net Profit as per Statement of Profit and Loss | 1,00,000 | |
| Adjustment of Non-Cash & Non-Operating Items | ||
| Add: Depreciation | 20,000 | |
| Loss on sale of Furniture | 1,000 | |
| Transfer to General Reserve | 14,000 | |
| Provision for Taxation | 1,60,000 | 1,95,000 |
| 2,95,000 | ||
| Less: Profit on sale of machinery | 6,000 | |
| Operating Profit before the change in Working capital | 2,89,000 | |
| Add: Increase in Current Liabilities | ||
| Trade Payable | 10,000 | |
| Add: Decrease in Current Assets | ||
| Bill Receivable | 3,000 | 13,000 |
| 3,02,000 | ||
| Less: Decrease in Current Liabilities | ||
| Bill Payable | 4,000 | |
| Less: Increase in Current Assets | ||
| Trade receivable | 6,000 | |
| Prepaid Expenses | 200 | 10,200 |
| Cash generated from Operating Activities | 2,91,800 | |
| Less: Income Tax | 1,60,000 | |
| Cash Flow from Operating activities | 1,31,800 | |
Accounting & Commerce Educator
Sarbjit Singh holds a B.Com and M.Com degree and has over 12 years of teaching experience in double entry bookkeeping, financial accounting, and business studies.
This guide covers "Question 30 Chapter 5 of +2-B - USHA Publication 12 Class", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to USHA Publication Part 2 volume I.
It is primarily curated for Class 11 and Class 12 high school commerce, accounting, and economics students, as well as aspirants preparing for board exams or CA Foundation.
You can take our custom-built interactive practice quiz directly on this page to test your understanding of "Question 30 Chapter 5 of +2-B - USHA Publication 12 Class" instantly.
