# Question 35 Chapter 5 of +2-B – T.S. Grewal 12 Class

Question 35 Chapter 5 of +2-B

Cash Flow from Financing Activities

35. From the following information, calculate Cash Flow from Investing and Financing Activities:

 Particulars 31st March, 31st March, 2019 Rs 2018 Rs Machinery (At cost) 50,000 40,000 Accumulated Depreciation 12,000 10,000 Capital 35,000 30,000 Bank Loan — 10,000

During the year, a machine costing Rs 10,000 was sold at a loss of Rs 2,000. Depreciation on machinery charged during the year amounted to Rs 6,000.

### The solution of Question 35 Chapter 4 of +2-B: –

 Cash Flow From for the year ended 31st March, 2019 Particulars Rs I. Cash Flow from Financing Activities Sale of Machine 4,000 Less: Purchase of Machinery (WN 1) 20,000 16,000 Net Cash from used in Investing Activities 16,000 II. Cash Flow from Financing Activities Proceeds from Issue of Equity Shares 5,000 Less: Repayment of Bank Loan 10,000 5,000 Net Cash Flow from Financing Activities 5,000

 Machinery Account Particulars Rs Particular Rs To Balance b/d 40,000 By Accumulated Depreciation A/c* 4,000 To Bank A/c (Purchase) (Bal. Fig.) 20,000 By Bank A/c (Sale) 4,000 By Loss on Sale (Profit and Loss A/c) 2,000 By Balance c/d 50,000 60,000 60,000

 Accumulated Depreciation Account* Particulars Rs Particular Rs To Machinery A/c (Bal. Fig.) 4,000 By Balance b/d 10,000 To Balance c/d 12,000 By Profit and Loss A/c (Dep. charged during the year) 6,000 16,000 16,000

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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)

• 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

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