Question 26 Chapter 5 of +2-B – USHA Publication 12 Class

Question 26 Chapter 5 of +2-B

Question 26 Chapter 5 of +2-B

Indirect Method

26. (Cash Flow from Operating Activities/Income Tax & Refund) Profit and loss statement, for the year ended 31″ March 2018. Prepare a statement, showing cash from operating activities.

 Particulars 31st March 2018
INet Revenue from Operations  2,00,000
IIOther Incomes  
IIITotal Revenue (I + II)  2,00,000
IVExpenses :  
 Depreciation and amortization expenses :   
 Depreciation  30,000
 Goodwill wrote off  10,000
 Total Expenses  40,000
VProfit before extraordinary exceptional items and tax  1,60,000
VIExceptional items :   
 Profit on sale of machinery 20,000 
 Tax refund 10,00030,000
 Loss on Sale of Land  -20,000
VIIProfit before tax 1,70,000
VIIITax. Expenses Current (Provision) -30,000
 Profit after Tax (Net)  1,40,000

 

The solution of Question 26 Chapter 5 of +2-B: – 


Cash Flow from Operating Activities
Particulars
Rs
Profit after tax 1,40,000
Add: Income tax Provision 30,000
Profit Before tax 1,70,000
Add Non-Cash and Non-Operating Items :  
Depreciation30,000 
Goodwill amortized10,000 
Loss on sale of land20,00060,000
  2,30,000
Less: Non-Operating Incomes :  
Profit on sale of Machinery20,000 
Tax refund10,000(30,000)
Cash from Operating Activities before tax 2,00,000
Less: Income tax Paid (20,000)
Cash Flow from Operating activities 1,80,000


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 26 Chapter 5 of +2-B  - USHA Publication 12 Class
T.S. Grewal’s Analysis of Financial Statement

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