# Question 36 Chapter 5 of +2-B – T.S. Grewal 12 Class

Question No.36 Chapter No.5 - T.S. Grewal +2 Book 2019-Solution

Question 36 Chapter 5 of +2-B

Cash Flow from Financing Activities

36. From the following information, calculation Cash Flow from Operating Activities and Investing Activities:

 Particulars 31st March, 2018 Rs 31st March, 2019 Rs Surplus, i.e., Balance in Statement of Profit and Loss 50,000 40,000 Provision for Tax 12,000 10,000 Trade Payables 35,000 30,000 Current Assets (Trade Receivables and Inventories) — 10,000 Fixed Assets (Tangible) Accumulated Depreciation

1. A machine having book value of 1,00,000 Depreciation provided thereon Rs 1,62,500 was sold at a loss of Rs 20,000.
2. Tax paid during the year Rs 75,000.

### The solution of Question 36 Chapter 4 of +2-B: –

 Cash Flow From for the year ended 31st March, 2019 Particulars Rs I. Cash Flow from Financing Activities Net Profit as per Statement of Profit & Loss 7,50,000 Add: Provision for Tax 75,000 Net Profit before Tax and Extraordinary Items 8,25,000 Items to be Added Add: Depreciation charged during the year 5,000 Add: Loss on Sale of Machine 10,000 Net Profit before working Capital changes 10,45,000 Add: Increase in Current Liabilities 2,75,000 Add: Increase in Trade Payables 1,50,000 Net Profit before Tax 11,70,000 Less: Tax Paid during the year 75,000 Net Cash Flow from Financing Activities 10,95,000 II. Cash flow from Investing Activities Sale of Machine 80,000 Less: Purchase of Fixed Asset 4,67,500 Cash used in Investing Activities 3,87,5000

 Machinery Account Particulars Rs Particular Rs To Balance b/d 21,25,000 By Accumulated Depreciation A/c* 1,62,500 To Bank A/c (Purchase) (Bal. Fig.) 4,67,500 By Bank A/c (Sale) 80,000 By Loss on Sale (Profit and Loss A/c) 20,000 By Balance c/d 23,30,000 25,92,500 25,92,500

 Accumulated Depreciation Account* Particulars Rs Particular Rs To Machinery A/c (Bal. Fig.) 1,62,500 By Balance b/d 10,62,500 To Balance c/d 11,00,000 By Profit and Loss A/c (Dep. charged during the year) 2,00,000 12,62,500 12,62,500

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