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✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Following is the extract from the Balance Sheet of Zee Ltd.:
| Particulars | 31st March, 2025 (₹) | 31st March, 2024 (₹) |
|---|---|---|
| Equity Share Capital | 8,00,000 | 8,00,000 |
| 10% Preference Share Capital | 6,00,000 | 6,00,000 |
| Surplus, i.e., Balance in Statement of Profit and Loss | 7,20,000 | 4,00,000 |
| Unpaid Dividend | 20,000 | – |
Additional Information:
(i) Proposed Dividend on Equity Shares for the years 2023-24 and 2024-25 are ₹1,60,000 and ₹2,00,000 respectively.
(ii) An Interim Dividend of ₹40,000 on Equity Shares was paid.
Calculate Net Profit before Tax and Extraordinary Items.
Note: Net Profit before Tax and Extraordinary Items
| Particulars | Amount (₹) |
|---|---|
| Profit as per Statement of Profit and Loss (7,20,000 − 4,00,000) | 3,20,000 |
| Add: Dividend Paid during the year (Proposed Dividend for the year 2023-24, approved and paid during the current year) | 1,60,000 |
| Add: Preference Dividend paid (10% of ₹6,00,000) | 60,000 |
| Add: Interim Dividend paid on Equity Shares | 40,000 |
| Net Profit before Tax and Extraordinary Items | 5,80,000 |
Note: The Proposed Dividend of ₹2,00,000 for 2024-25 is not yet recognised as a liability (it is disclosed for the following year) and so is not added back here; only the 2023-24 amount, which actually reduced Surplus this year on being approved and paid, is added back.
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 "T.S. Grewal Class 12 Vol 3 Chapter 5 Q.6 - Cash Flow Statement", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to Chapter 5 - Cash Flow Statement.
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.
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