Question 30 Chapter 5 of +2-B – T.S. Grewal 12 Class

Question 30 Chapter 5 of +2-B

Question 30 Chapter 5 of +2-B

30. From the following information, calculate Cash Flow from Investing Activities:

Particulars 31st March, 31st March,
  2019 Rs 2018 Rs 
Machinery (At cost) 5,50,000 5,00,000
Accumulated Depreciation 1,70,000 1,00,000

During the year, a machinery costing 50,000 accumulated depreciation provided thereon Rs 20,000 was sold for Rs 26,000.

The solution of Question 30 Chapter 4 of +2-B: –

 


Cash Flow From for the year ended 31st March, 2019
Particulars
Rs
I. Cash Flow from Investing Activities    
Sale of Machinery 1,00,000  
Less: Purchase of Machinery 26,000 74,000
Net Cash Used in Investing Activities   74,000

Working Notes :- 1.

Plant and Machinery Account
Particulars
Rs Particular Rs
To Balance b/d 5,00,000 By Depreciation A/c 20,000
To Bank A/c (Purchase) (Bal. Fig.) 1,00,000 By Bank A/c (Sale) 26,000
    By Loss on Sale (Profit and Loss A/c) 4,000
    By Balance c/d 5,50,000
  6,00,000   6,00,000

 

Investments Account
Particulars
Rs Particular Rs
To Balance b/d 50,000 By Bank A/c (Sale) 80,000
To Bank A/c (Purchase) (Bal. Fig.) 1,00,000 By Balance c/d 80,000
To Profit on sale (Profit and Loss A/c) 10,000    
       
  1,60,000   1,60,000

 

Accumulated Depreciation Account
Particulars
Rs Particular Rs
To Machinery A/c 20,0000 By Balance b/d 1,00,000
To Balance c/d 1,70,000 By Profit and Loss A/c 90,000
       
  1,90,000   1,90,000


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

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

  • Chapter No. 1 – Financial Statement of Not-For-Profit Organisations
  • Chapter No. 2 – Accounting for Partnership Firms – Fundamentals
  • Chapter No. 3 – Goodwill: Nature and Valuation
  • Chapter No. 4 – Change in Profit-Sharing Ratio Among the Existing Partners
  • Chapter No. 5 – Admission of a Partner
  • Chapter No. 6 – Retirement/Death of a Partner
  • Chapter No. 7 – Dissolution of a Partnership Firm

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

  • Chapter No. 1 – Financial Statements of a Company
  • Chapter No. 2 – Financial Statement Analysis 
  • Chapter No. 3 – Tools of Financial Statement Analysis – Comparative Statements and Common- Size Statements
  • Chapter No. 4 – Accounting Ratios
  • Chapter No. 5 – Cash Flow Statement

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

2 Book 3 min 225x300 - Question 30 Chapter 5 of +2-B  - T.S. Grewal 12 Class
T.S. Grewal’s Analysis of Financial Statements

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