# Question 28 Chapter 5 of +2-B – T.S. Grewal 12 Class

Question 28 Chapter 5 of +2-B

28. From the following extracts of a company, calculate Cash Flow from Investing Activities:

 Particulars 31st March, 31st March, 2019 2018 Goodwill 75,000 1,00,000 Patents 1,00,000 75,000 Land 90,000 1,00,000 Furniture 2,46,000 21,000 Plant and Machinery Net 2,00,000 2,00,000 10% Investments 1,60,000 2,00,000 Accrued Interest on Investments 6,000

### The solution of Question 28 Chapter 4 of +2-B: –

 Cash Flow From for the year ended 31st March, 2019 Particulars Rs I. Cash Flow from Investing Activities Interest received on Investment* 14,000 Sale of Investment* 20,000 Sale of Land 10,000 Less: Purchase of Patents 25,000 Less: Purchase of Furniture 2,25,000 2,06,000 Net Cash Used in Investing Activities 2,06,000

* Sale of Investment has been assumed that investment sold at the end of the accounting year.

*Interest on Investment:-

 Interest on Investment = 10% = Rs 2,00,000 X 10% = Rs 20,000 Less: Accrued Interest = Rs 6,000 Interest Received = Rs 14,000