Question 33 Chapter 5 of +2-B – USHA Publication 12 Class

Question 33 Chapter 5 of +2-B

Question 33 Chapter 5 of +2-B

Indirect Method

33. (Cash Flow from Operating Activities) With the help of following information of Janta Ltd. Calculate Cash from operating activities :

STATEMENT OF PROFIT AND LOSS   
FOR THE YEAR ENDED 31ST MARCH, 2018   
Particulars
Revenue form Operations (Sales)  5,00,000
Less : Expenses :   
Depreciation 17,000 
Salary 35,000 
Commission 23,000 
Rent 72,000 
Other expenses  43,0001,90,000
Profit before extraordinary items 3,10,000
Less Proposed dividend for previous year   20,000
Retained Profit  2,90,000

 

Balance Sheet of AB LTD.
ParticularsNote No.31st March 201831st March 2017
I. Equity and Liabilities   
 Shareholders Fund :    
Share Capital  3,50,0002,00,000
Reserves and Surplus :   
Reserves 2,20,00060,000
Non-Current Liabilities :    
Loan 1,80,00040,000
Current Liabilities :    
Creditors 30,0001,80,000
Bills Payable 20,0001,70,000
Total  8,00,0006,50,000
II. Assets    
Non-Current Assets :    
Tangible Assets    
Plant  5,40,0004,75,000
 Intangible Assets :    
Patents  50,000
Current Assets    
Inventories  1,20,0001,05,000
Trade Receivable 90,00070,000
Total 8,00,0006,50,000
Additional Information31-03-1831-03-17
Proposed Dividend1,50,0002,00,000

 

The solution of Question 33 Chapter 5 of +2-B: – 


Cash Flow from Operating Activities
Particulars
Rs
Net Profit as per Statement of Profit & Loss 2,90,000
Add: Proposed Dividend 20,000
  3,10,000
Add: Non Operating & Non Cash items  
Depreciation 17,000
Cash from operating activities before change in working capital 3,27,000
Less: Decrease in Current Liabilities :  
Creditors1,50,000 
Bills Payable1,50,000 
Less: Increase in Current Assets  
Inventories15,000 
Debtors20,0003,35,000
Cash Used in Operating activities (8,000)


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

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