
Question 42 Chapter 5 of +2-B
Cash Flow From Financing Activities
42. (Cash Flow from Financing Activities) The accountant of a Company provided the following information. Calculate the cash flow from financing activities
| Particulars | 31-03-17 | 31-03-18 |
| Equity Share Capital | 55,00,000 | 66,00,000 |
| 8% Mortgage Loan | 5,50,000 | 11,00,000 |
Additional Information :
(i) Dividend paid during the year amounted to 2,75,000.
(ii) During the year, the company made a bonus issue of 5:1 ratio by capitalising the undistributed profit.
(iii) Interest paid on mortgage loan was 1,04,500 during the year.
Cash Flow From Financing Activities
| Particulars |
Rs |
|
|---|---|---|
| The inflow of cash : | ||
| 8% Mortgage Loan | 5,50,000 | |
| 5,50,000 | ||
| The outflow of cash : | ||
| Less: Dividend Paid | 2,75,000 | |
| Interest paid on Mortgage Loan | 1,04,500 | 3,79,500 |
| Net cash inflow from investing activities | 1,70,500 | |
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.
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