Question 25 Chapter 5 of +2-B

Question 25 Chapter 5 of +2-B

Indirect Method

25. (Cash Flow from Operating Activities/Income Tax & Refund) From the following balances you are required to calculate cash from operations :

 2016-17 ₹2017-18 ₹
Trade Receivables 59,50060,000
Trade Payable 31,00028,000
Outstanding expenses 1,2001,000
Prepaid expenses 700800
Accrued income 750600
Income Received in advance 250300
Profit made during the year 1,30,000


The solution of Question 25 Chapter 5 of +2-B: – 

Cash Flow from Operating Activities
Profit as per Statement of Profit & Loss 1,30,000
Add: Decrease in Current Assets:  
Accrued Income150 
Add: Increase in Current Liabilities:  
Advance Income50200
Less: Increase in Current Assets:  
Trade Receivable500 
Prepaid Expenses100600
Less: Decrease in Current Assets:  
Trade Payable3,000 
Outstanding Expenses2003,200
Cash Flow from Operating activities 1,26,400

Also, Check out the solved question of previous Chapters: –

Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution

Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication

2 Book 3 min 225x300 - Question 25 Chapter 5 of +2-B  - USHA Publication 12 Class
T.S. Grewal’s Analysis of Financial Statement

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