NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
5
CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   1000000
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -500000
    500000
ADD: PROPOSED DIVIDEND   400000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       900000
6
CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     720000
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -400000
      320000
ADD: PROPOSED DIVIDEND   160000  
  INTERIM DIVIDEND   40000  
  DIVIDEND PAID ON PREFERENCE SHARE   60000 260000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       580000
7
CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
PARTICULARS AMOUNT (₹)
NET PROFIT AS PER SURPLUS I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS   500000
ADD: INTERIM DIVIDEND   200000
ADD: 10% DIVIDEND ON PREFERENCE SHARES (1000000 X 10%)   100000
NET PROFIT BEFORE TAX AND EXTRA ORDINARY ITEMS       800000
8
CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     200000
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -145000
      55000
ADD: PROPOSED DIVIDEND   50000  
  INTERIM DIVIDEND 10000  
  PROVISION FOR TAX   50000 110000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       165000
9
CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     336000
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -100000
      236000
ADD: DIVIDEND PAID DURING THE YEAR   72000  
  INTERIM DIVIDEND PAID DURING THE YEAR   90000  
  TRANSFER TO RESERVE   100000  
  PROVISION FOR TAX FOR THE CURRENT YEAR   150000  
  LOSS DUE TO EARTHQUAKE   200000 612000
LESS: REFUND OF TAX   -3000  
  INSURANCE PROCEEDS FROM EARTHQUAKE   -100000 -103000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       745000
9
CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     672000
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)     200000
    872000
ADD: DIVIDEND PAID IN CURRENT YEAR   144000  
  INTERIM DIVIDEND PAID DURING THE YEAR   180000  
  TRANSFER TO RESERVE   200000  
  PROVISION FOR TAX FOR CURRENT YEAR   300000  
  LOSS DUE TO EARTHQUAKE   400000 1224000
LESS: REFUND OF TAX   -6000  
  INSURANCE PROCEEDS FROM EARTHQUAKE         -200000 -206000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS           1890000
10
CALCULATION OF OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES
PARTICULARS AMOUNT (₹)
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     447000
ADD: DEPRECIATION ON MACHINERY   84000  
  INTEREST ON BORROWINGS   16800  
  GOODWILL AMORTISED   18600  
  LOSS ON SALE OF FURNITURE   18000 137400
LESS: GAIN (PROFIT) ON SALE OF INVESTMENT   -12000  
  INTEREST AND DIVIDEND RECEIVED ON INVESTMENT   -27600 -39600
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES       544800
11
CALCULATE OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     170000
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -100000
      70000
ADD: GENERAL RESERVE   100000  
  PROVISION FOR TAX   100000 200000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     270000
ADD: DEPRECIATION     75000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES       345000
12
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     80000
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -60000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     20000
ADD: PROVISION FOR DEPRECIATION   10000  
  GOODWILL AMORTISED   8000 18000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES     38000
ADD: TRADE RECEIVABLES   6000  
  PREPAID INSURANCE   1000 7000
LESS: INVENTORIES   -20000  
  OUTSTANDING RANT   -9000  
  TRADE PAYABLES (CREDITORS)   -6000 -35000
CASH FLOW FROM OPERATING ACTIVITIES         10000
CASH FLOW STATEMENT
13
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
NET PROFIT AFTER PROVISION FOR TAX AND PAYMENT OF DIVIDEND     215000
ADD: PROVISION FOR TAX   45000  
  FINAL DIVIDEND PAID DURING THE YEAR   50000  
LESS:  INCOME TAX REFUND   -30000 65000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     280000
ADD: DEPRECIATION   10000  
  LOSS ON SALE OF MACHINERY   10000  
  PATENTS AMORTISED   30000  
LESS:  GAIN (PROFIT) ON SALE OF LAND   -70000 -20000
CASH FLOW FROM OPERATING ACTIVITIES         260000
14
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
PROFIT FOR THE YEAR   700000
ADD: GENERAL RESERVE   60000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS   760000
ADD: DEPRECIATION OF FIXED ASSETS   40000  
  GOODWILL AMORTISED   20000  
LESS: GAIN (PROFIT) ON SALE OF LAND   -90000 -30000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   730000
ADD: PREPAID EXPENSES   8000  
LESS: TRADE PAYABLES   -25000  
  TRADE RECEIVABLES   -15000 -32000
CASH FLOW FROM OPERATING ACTIVITIES         698000
15
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
PROFIT FOR THE YEAR     100000
ADD: TRANSFER TO GENERAL RESERVE     30000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     130000
ADD: DEPRECIATION   20000  
  GOODWILL AMORTISED   7000  
LESS: GAIN (PROFIT) ON SALE OF MACHINERY   -3000 24000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     154000
ADD: TRADE PAYABLE   6000  
  LESS: TRADE RECEIVALBES   -3000  
    PREPAID EXPENSES   -200  
  OUTSTANDING EXPENSES   -2000 800
CASH FLOW FROM OPERATING ACTIVITIES         154800
16
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
PROFIT FOR THE YEAR     100000
ADD: TRANSFER TO GENERAL RESERVE     30000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     130000
ADD: DEPRECIATION   20000  
  GOODWILL AMORTISED   7000  
LESS: GAIN (PROFIT) ON SALE OF MACHINERY   -3000 24000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     154000
ADD: CREDITORS   10000  
  BILL RECEIVABLES   3000  
LESS: DEBTORS   -6000  
  PREPAID EXPENSES   -200  
  BILLS PAYABLES   -4000  
  OUTSTANDING EXPENSES         -2000 800
CASH FLOW FROM OPERATING ACTIVITIES                 154800
17
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
PROFIT FOR THE YEAR     640000
ADD: PROVISION FOR TAX     20000
LESS: INSURANCE CLAIM RECEIVED     -50000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     610000
ADD: DEPRECIATION   55000  
LESS: GAIN (PROFIT) ON SALE OF INVESTMENT   -20000 35000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     645000
ADD: INVENTORIES   10000  
  TRADE PAYABLES   30000  
LESS: TRADE RECEIVALBES   -40000  
  PREPAID EXPENSES   -14000 -14000
CASH GENERATED FROM OPERATION     631000
LESS: TAX PAID     -15000
CASH FLOW BEFORE EXTRAORDINARY ITEMS     616000
ADD: INSURANCE CLAIM RECEIVED           50000
CASH FLOW FROM OPERATING ACTIVITIES         666000
18
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
PROFIT FOR THE YEAR     10000
ADD: DEPRECIATION   2000  
  PROVISION FOR DOUBTFUL DEBTS   200 2200
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     12200
ADD: TRADE PAYABLES   2000  
  EXPENSES PAYABLES   500  
  PREPAID EXPENSE   1000  
LESS: TRADE RECEIVABLES   -1000  
  INVENTORIES   -3000  
  OTHER CURRENT ASSETS   -2000  
  ACCRUED INCOME   -1000  
  INCOME RECEIVED IN ADVANCE   -1000 -4500
CASH FLOW FROM OPERATING ACTIVITIES         7700
19
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS (WN)   935000
ADD: DEPRECIATION   150000  
  LOSS ON SALE OF INVESTMENT   30000  
LESS: PROFIT ON SALE OF LAND   -90000  
  DIVIDEND RECEIVED   -20000 70000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   1005000
ADD: DECREASE IN CURRENT ASSETS   40000  
  INCREASE IN CURRENT LIABILITIES   70000  
LESS: INCREASE IN CURRENT ASSETS   -60000  
  DECREASE IN CURRENT LIABILITIES   -10000 40000
CASH GENERATED FROM OPERATION   1045000
LESS: TAX PAID (120000-10000)   -110000
CASH FLOW BEFORE EXTRAORDINARY ITEMS   935000
ADD: COMPENSATION FOR NATURAL DISASTER CREDITED   75000
CASH FLOW FROM OPERATING ACTIVITIES         1010000
WORKING NOTE:
PARTICULARS AMOUNT (₹)
NET PROFIT     800000
ADD: FINAL DIVIDEND PAID IN THE YEAR   110000  
  PROVISION FOR TAX   110000  
LESS: COMPENSATION FOR NATURAL DISASTER CREDITED   -75000  
  INCOME TAX REFUND   -10000 135000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS                 935000
CASH FLOW STATEMENT
20
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES
PARTICULARS AMOUNT (₹)
PROFIT AFTER TAX   180000
ADD: PROVISION FOR TAX   64000
PROFIT BEFORE TAX:   244000
ADD: DEPRECIATION AND AMORISATION EXPENSES 185000  
  LOSS ON SALE OF ASSETS 36000  
LESS: DIVIDEND RECEIVED -5000  
  GAIN (PROFIT) ON SALE OF PLANT -40000 176000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES:   420000
ADD: TRADE PAYABLES 28000  
  SELLING EXPENSES OUTSTANDING 3000  
LESS: TRADE RECEIVABLES -37000  
  OFFICE EXPENSES OUTSTANDING -5000  
  CHANGE IN INVENTORIES OF STOCK IN TRADE -16000 -27000
CASH GENERATED FROM OPERATION:   393000
LESS: PROVISION FOR TAX   -64000
CASH FLOW FROM OPERATING ACTIVITIES         329000
21
CALCULATE CASE FLOW FROM OPERATING ACTIVITIES Dr. PLANT AND MACHINERY ACCOUNT Cr.
PARTICULARS AMOUNT (₹) PARTICULARS AMOUNT PARTICULARS AMOUNT
CASH FLOW FROM OPERATING ACTIVITIES     TO BALANCE B/D 130000 BY BANK A/C 5000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS (AS PER WORKING NOTE)   105000       BY LOSS ON SALE 17000
ADD: AMORTISATION OF GOODWILL   12000         BY DEPRECIATION A/C (BAL. FIG.) 14000
  DEPRECIATION   14000         BY BALANCE C/D 94000
  LOSS ON SALE OF MACHINERY    17000         130000   130000
LESS: PROFIT ON SALE OF LAND   -5000 38000 Note: Plant and Machinery is on Net Value.
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     143000 DR. PROVISION FOR TAX CR.
ADD: STOCKS   3000     PARTICULARS AMOUNT PARTICULARS AMOUNT
  EXPENSES PAYABLES   1000     TO BANK A/C (TAX PAID) 5000 BY BALANCE B/D 6000
LESS: ACCOUNTS RECEIVALBES   -4000     TO BALANCE C/D 4000 BY PROFIT AND LOSS A/C 3000
  ACCOUNTS PAYABLES   -2000 -2000       9000   9000
CASH GENERATED FROM OPERATION     141000
LESS: TAX PAID     -5000
CASH FLOW BEFORE EXTRAORDINARY ITEMS     136000
LESS: EXTRAORDINARY ITEMS DEBITED TO P/L A/C: PRELIMIARY EXPENSES     -2000
CASH FLOW FROM OPERATING ACTIVITIES         134000
 
WORKING NOTE: Net Profit before Tax and Extraordinary items:  
PROFIT     90000
ADD: PROPOSED DIVIDEND   10000  
  PROVISION FOR TAX   3000  
  EXTRAORDINARY ITEMS DEBITED TO P/L A/C: PRELIMIARY EXPENSES 2000 15000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS (AS PER WORKING NOTE)                 105000
CASH FLOW FROM INVESTING ACTIVITIES
22
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES
PARTICULARS AMOUNT (₹)
ACQUIRED MACHINERY 1000000 X 10%    100000  
CASH USED IN INVESTING ACTIVITIES           100000
NOTE:  DRAFT (BILL PAYABLE) DOES NOT INVOLVED IN CASH OUTFLOW.
23
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES DR. PLANT AND MACHINERY ACCOUNT CR.
PARTICULARS AMOUNT (₹)   PARTICULARS AMOUNT PARTICULARS AMOUNT
PURCHASE OF PLANT AND MACHINERY   -155000   TO BALANCE B/D 960000 BY BANK A/C (SALES) 45000
SALE OF PLANT AND  MACHINERY    45000   TO PROFIT ON SALE OF P/M  15000 BY DEPRECIATION A/C 35000
CASH USED IN INVESTING ACTIVITIES           -110000   TO BANK A/C (PURCHASE) 155000 BY BALANCE C/D 1050000
    1130000   1130000
24
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES DR. LAND AND BUILDING A/C CR.
PARTICULARS AMOUNT (₹) PARTICULARS AMOUNT PARTICULARS AMOUNT
INVESTMENT SOLD AT 10%   275000   TO BALANCE B/D 900000 BY DEPRECIATION A/C 50000
PURCHASE OF INVESTMENT   -750000   TO BANK A/C (PURCHASE) 650000 BY BALANCE C/D 1500000
PURCHASE OF LAND AND BUILDING   -650000       1550000   1550000
INTEREST RECEIVED ON INVESTMENT                 75000
CASH USED IN INVESTING ACTIVITIES                 -1050000
DR. INVESTMENT A/C CR.
PARTICULARS AMOUNT PARTICULARS AMOUNT
TO BALANCE B/D 500000 BY BANK A/C 275000
TO PROFIT ON SALE ON INV. 25000 BY BALANCE C/D 1000000
TO BANK A/C (PURCHASE) 750000    
    1275000   1275000
25
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES DR. MACHINERY A/C CR.
PARTICULARS AMOUNT (₹) PARTICULARS AMOUNT PARTICULARS AMOUNT
PURCHASE OF MACHINERY    -140000   TO BALANCE B/D 950000 BY BANK A/C 50000
PROCEEDS FROM MACHINERY SOLD   50000   TO PROFIT ON SALE 20000 BY ACCUMULATED DEP A/C 60000
PROFIT ON SALE OF PATENT (300000-250000) + 40000 PROFIT       90000   TO BANK A/C 140000 BY BALANCE C/D 1000000
CASH FLOW FROM INVESTING ACTIVITIES           NIL       1110000   1110000
26
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES DR. MACHINERY A/C CR.
PARTICULARS AMOUNT (₹)   PARTICULARS AMOUNT PARTICULARS AMOUNT
PROCEEDS FROM SALE OF MACHINERY    13000   TO BALANCE B/D 50000 BY BANK A/C 13000
PURCHASE OF MACHINERY   -35000   TO PROFIT ON SALE 3000 BY ACCUMULATED DEP A/C 15000
CASH USED IN INVESTING ACTIVITIES           -22000   TO BANK A/C (PURCHASE) 35000 BY BALANCE C/D 60000
    88000   88000
27
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES
PARTICULARS AMOUNT (₹)
PURCHASE OF PATENTS   -25000
PROCEEDS FROM SALE OF LAND    10000
PURCHASE OF FURNITURE   -225000
PROCEEDS FROM SALE OF INVESTMENT   20000
ACCRUED INTEREST ON INVESTMENT   14000
CASH USED IN INVESTING ACTIVITIES           -206000
NOTE: INTEREST RECEIVED ON INVESTMENT = 10% OF 200000 = 20000 - 6000 = 14000 RS.
28
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES DR. PLANT AND MACHINERY A/C CR.
PARTICULARS AMOUNT (₹)   PARTICULARS AMOUNT PARTICULARS AMOUNT
PROCEEDS FROM SALE OF PLANT AND MACHINERY   40000   TO BALANCE B/D 850000 BY BANK A/C  40000
PURCHASE OF PLANT AND MACHINERY   -260000   TO BANK A/C 260000 BY LOSS ON SALE 20000
PROCEEDS FROM SALE OF LAND   160000       BY DEPRECIATION A/C 50000
PURCHASE OF LAND   -60000       BY BALANCE C/D 1000000
CASH USED IN INVESTING ACTIVITIES           -120000       1110000   1110000
 
DR. LAND A/C CR.
PARTICULARS   AMOUNT PARTICULARS AMOUNT
  TO BALANCE B/D 200000 BY BANK A/C 160000
  TO BANK A/C 60000 BY BALANCE C/D 100000
      260000   260000
29
CALCULATE CASE FLOW FROM INVESTING ACTIVITIES
PARTICULARS AMOUNT (₹)
PURCHASE OF MACHINERY -620000
PROCEEDS FROM SALE OF MACHINERY 200000
PURCHASE OF INVESTMENT -240000
PROCEEDS FROM SALE OF INVESTMENT 80000
PURCHASE OF GOODWILL -100000
PROCEEDS FROM SALE OF PATENTS 150000
RENT RECEIVED ON PLOT OF LAND 50000
INTEREST RECEIVED ON DEBENTURE 8000
DIVIDEND RECEIVED ON SHARES                 20000
CASH USED IN INVESTING ACTIVITIES                 -452000
30
CALCULATE CASH FLOW FROM INVESTING ACTIVITIES WORKING NOTE:
PARTICULARS               RS. DR. PLANT AND MACHINERY A/C CR.
INTEREST RECEIVED ON LAND   20000   PARTICULAR   AMOUNT PARTICULAR AMOUNT
DIVIDEND RECEIVED FROM DAMODAR LTD. @12%   18000        
PROCEEDS FROM SALE OF PATENTS   20000   TO BALANCE B/D 600000 BY BANK A/C 35000
INTEREST ON INVESTMENT @ 12%   6000     BY DEPRECIATION A/C 70000
PURCHASE OF INVESTMEN @ 12%   -100000   TO BANK A/C 270000 BY LOSS ON SALE OF   
PROCEEDS FROM SALE OF INVESTMENT   80000       MACHINERY A/C 15000
PROCEEDS FROM SALE OF MACHINERY   35000          
PURCHASE OF MACHINERY   -270000       BY BALANCE C/D 750000
PURCHASE OF GOODWILL             -50000     870000   870000
CASH USED IN INVESTING ACTIVITIES                 -241000
DR. INVESTMENT A/C CR.
1. INTEREST ON INVESTMENT =50000*12/100=6000   PARTICULAR   AMOUNT PARTICULAR AMOUNT
2. DIVIDEND FROM DAMODAR LTD. = 150000X12/100=18000          
3. SALE OF INVESTMENT = COST OF INVESTMENT SOLD + PROFIT ON SALE TO BALANCE B/D 50000 BY BANK A/C(BAL. FIG.) 80000
  = 70000 + 10000 = 80000   TO PROFIT ON SALE OF       
4. SALE OF PATENTS = 10000 (COST) + 10000 = 20000     INVESTMENT A/C 10000 BY BALANCE C/D 80000
       
TO BANK A/C(PURCHASE) 100000    
    160000   160000
DR. PATENT A/C CR.
  PARTICULAR AMOUNT PARTICULAR AMOUNT
         
  TO BALANCE B/D   100000 BY P/L A/C (WRITTEN OFF)  
  TO PROFIT ON SALE OF      20000
  PATENT A/C   10000 BY BANK A/C(BAL. FIG.) 20000
         
      BY BALANCE C/D 70000
      110000   110000
31
CALCULATE CASH FLOW FROM OPERATING ACTIVITIES AND INVESTING ACTIVITIES WORKING NOTE:
PARTICULARS AMOUNT (₹) DR. FIXED ASSETS A/C CR.
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     400000   PARTICULAR AMOUNT PARTICULAR AMOUNT
Less: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   100000   TO BALANCE B/D   325000 BY BANK A/C (SOLD) 32000
      300000   TO BANK A/C (PURCHASE0 187000 BY LOSS ON SALE  8000
ADD: PROVISION FOR TAX     30000         BY DEPRECIATION A/C 80000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS     330000         BY BALANCE C/D 392000
ADD: DEPRECIATION   80000       512000   512000
  LOSS ON SALE OF MACHINERY   8000 88000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     418000
ADD: TRADE PAYABLES   110000  
LESS: CURRENT ASSETS   -60000 50000
CASH GENERATED FROM OPERATION     468000
LESS: TAX PAID     -30000
CASH FLOW FROM OPERATING ACTIVITIES     438000
CASH FLOW FROM INVESTING ACTIVITIES      
PROCEEDS FROM SALE OF MACHINERY     32000
PURCHASE OF MACHINERY (WN)     -187000
CASH USED IN INVESTING ACTIVITIES           -155000
32
CALCULATE CASH FLOW FROM FINANCING ACTIVITIES WORKING NOTE:
PARTICULARS AMOUNT (₹) DR. FIXED ASSETS A/C CR.
LONG TERM LOAN ACCOUNT   150000   PARTICULAR AMOUNT PARTICULAR AMOUNT
BANK LONG TERM LOAN REPAID           -100000   TO BANK A/C (LOAN REPAID)   100000 BY BALANCE B/D 200000
CASH FLOW FROM FINANCING ACTIVITIES           50000   TO BALANCE C/D 250000 BY BANK A/C (NEW LOAN  
      RAISED) 150000
      350000   350000
33
CALCULATE CASH FLOW FROM FINANCING ACTIVITIES
  PARTICULARS AMOUNT (₹)
  ISSUE OF EQUITY SHARE CAPITAL   100000
  SECURITIES PREMIUM RESERVE    10000
  REDEMPTION OF DEBENTURE    -50000
  INTEREST PAID ON DEBENTURE   -18000
  CASH FLOW FROM FINANCING ACTIVITIES         42000
34
CALCULATE CASH FLOW FROM FINANCING ACTIVITIES
PARTICULARS AMOUNT (₹)
ISSUE OF EQUITY SHARE   125000
INTERIM DIVIDEND PAID ON EQUITY SHARE (400000 X 15%)   -60000
SECURITIES PREMIUM RESERVE   125000
REDEMPTION OF 10% PREFERENCE SHARE CAPITAL   -150000
10% PREFERENCE SHARE REDEEMED AT PREMIUM OF 5% (5% X 150000)   -7500
INTERES ON 10% PREFERENCE SHARE CAPITAL (550000 X 10%)   -55000
ISSUE OF 12% DEBENTURE   100000
INTEREST ON DEBENTURE (300000 X 12%)   -36000
CASH FLOW FROM FINANCING ACTIVITIES         41500
35
CALCULATE CASH FLOW FROM INVESTING ACTIVITIES WORKING NOTE:
PARTICULARS               RS. DR. MACHINERY A/C CR.
PROCEEDS FROM SALE OF MACHINERY    4000 PARTICULAR AMOUNT PARTICULAR AMOUNT
PURCHASE OF MACHINERY    -20000 TO BALANCE B/D 40000 BY BANK A/C 4000
CASH FLOW FROM INVESTING ACTIVITIES           -16000 TO BANK A/C (PURCHASE) 20000 BY ACCUMULATED DEP. A/C 4000
      BY P AND L A/C (LOSS) 2000
CALCULATE CASH FLOW FROM FINANCING ACTIVITIES     BY BALANCE C/D 50000
PARTICULARS               RS.   60000   60000
CAPITAL    5000
BANK LOAN REPAID   -10000 DR. ACCUMULATED DEPRECIATION A/C CR.
CASH USED IN FINANCING ACTIVITIES           -5000 PARTICULAR AMOUNT PARTICULAR AMOUNT
TO MACHINERY A/C 4000 BY BALANCE B/D 10000
TO BALANCE C/D 12000 BY DEPRECIATION A/C 6000
  16000   16000
36  
CALCULATE CASH FLOW FROM OPERATING ACTIVITIES
PARTICULARS                 RS.
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   1000000 WORKING NOTE:
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -250000 DR. FIXED ASSETS A/C CR.
    750000 PARTICULAR AMOUNT PARTICULAR AMOUNT
ADD: PROVISION FOR TAX   75000 TO BALANCE B/D 2125000 BY BANK A/C 80000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS   825000 TO BANK A/C 467500 BY P AND L A/C (LOSS) 20000
ADD: DEPRECIATION  200000       BY ACCUMULATED DEP. A/C 162500
  LOSS ON SALE OF FIXED ASSETS 20000 220000     BY BALANCE C/D 2330000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   1045000   2592500   2592500
ADD: TRADE PAYABLE   275000
LESS: CURRENT ASSETS   -150000 DR. ACCUMULATED DEPRECIATION A/C   CR.
CASH GENERATED FROM OPERATION   1170000 PARTICULAR AMOUNT PARTICULAR AMOUNT
LESS: TAX               -75000 TO MACHINERY A/C 162500 BY BALANCE B/D 1062500
CASH FLOW FROM OPERATING ACTIVITIES         1095000 TO BALANCE C/D 1100000 BY DEPRECIATION A/C 200000
  1262500   1262500
CALCULATE CASH FLOW FROM INVESTING ACTIVITIES
PARTICULARS               RS.
PURCHASE OF FIXED ASSETS   -467500
PROCEEDS FROM SALE OF FIXED ASSETS   80000
CASH FLOW FROM INVESTING ACTIVITIES           -387500
37
CALCULATE CASH FLOW FROM FINANCING ACTIVITIES
PARTICULARS               RS.
ISSUE OF 12% DEBENTURES   100000
INTEREST PAID ON DEBENTURES   -19000
DIVIDEND PAID   -50000
CASH FLOW FROM FINANCING ACTIVITIES         31000
[NOTE: Increase in Equity Share Capital by Rs. 200000 by issue of bonus shares will not be shown under Cash Flow
from Financing Activities because cash is not transacted. It is Capitalisation of Reserves.]
38
CALCULATE CASH FLOW FROM OPERATING ACTIVITIES AND FINANCING ACTIVITIES WORKING NOTE: 1
PARTICULARS AMOUNT (₹) DR. Provision for Taxation A/C CR.
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     375000   PARTICULAR AMOUNT PARTICULAR AMOUNT
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   350000   TO BANK A/C             62,500 BY BALANCE B/D       50,000
    725000   TO BALANCE C/D        100,000 BY PROFIT AND LOSS A/C     112,500
ADD: GENERAL RESERVE 75000                162,500       162,500
  PROVISION FOR TAX 112500  
  DIVIDEND PAID ON EQUITY SHARE 90000   2
  DIVIDEND PAID ON PREFERENCE SHARE (750000 X 5%) 37500 315000 Calculation of Interest on Bank Loan
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITMES   1040000
ADD: INTEREST ON DEBENTURE 41000   1,25,000×8/100×6/12=5,000
  INTEREST ON BANK LOAN 9000 50000 1,00,000×8/100×6/12=4,000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   1090000 Total Interest = 9,000 (5,000+4,000)
ADD: TRADE PAYABLES 250000  
LESS: TRADE RECEIVABLES -150000 100000 3
CASH GENERATED FROM OPERATION   1190000 Calculation of Dividend Paid on Preference share:
LESS: TAX   -62500 on 31st march, 2021 750000
CASH FLOW FROM OPERATING ACTIVITIES   1127500 Less: redeemed 250000 X 5% = 12500
CASH FLOW FROM FINANCING ACTIVITIES:     Remaining Share 500000 X 5% = 25000
ISSUE OF EQUITY SHARE CAPITAL 250000   So, Total Dividend paid = 37,500 ₹
REDEMPTION OF 5% PREFERENCE SHARE CAPTIAL -250000  
DIVIDEND PAID ON PREFERENCE SHARE -37500  
SECURITIES PREMIUM RESERVE  25000  
8% DEBENTURES ISSUED 275000  
INTEREST ON DEBENTURE  -41000  
DIVIDEND ON EQUITY SHARE @ 8% -90000  
BANK LOAN REPAID -25000  
INTEREST ON BANK LOAN (WN) -9000  
CASH FLOW FROM FINANCING ACTIVITIES         97500
39
CASH FLOW STATEMENT
PARTICULARS               AMOUNT (₹)
CASH FLOW FROM OPERATING ACTIVITIES    
NET PROFIT FOR THE YEAR   20000
ADD: DECREASE IN INVENTORIES   80000  
  INCREASE IN BILLS PAYABLES   120000 200000
CASH FLOW FROM OPERATING ACTIVITIES   220000
CASH FLOW FROM INVESTING ACTIVITIES    
PROCEEDS FROM SALE OF FIXED ASSETS   300000  
CASH FLOW FROM INVESTING ACTIVITIES     300000
CASH FLOW FROM FINANCING ACTIVITIES    
REPAYMENT OF LONG-TERM LOAN   -500000  
CASH FLOW FROM FINANCING ACTIVITIES   -500000
NET INCREASED IN CASH AND CASH EQUIVALENTS   20000
ADD: OPENING CASH AND BANK BALANCE         150000
CLOSING CASH AND BANK BALANCE           170000
40
YOUNG INDIA LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   183000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -82000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:   101000
  ADD: INTEREST PAID ON DEBENTURE   7500
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES:    
  ADD: TRADE PAYABLES 40000  
    TRADE RECEIVABLES 38000  
  LESS: OTHER CURRENT LIABILITIES -8000  
    INVENTORIES -56000 14000
  CASH FLOW FROM OPERATING ACTIVITIES   122500
  CASH FLOW FROM INVESTING ACTIVITES:    
  PURCHASE OF FIXED ASSETS -157000  
  PURCHASE OF NON-CURRENT INVESTMENT -13000  
  CASH USED IN INVESTING ACTIVITIES   -170000
  CASH FLOW FROM FINANCING ACTIVITIES:    
  ISSUE OF SHARE CAPITAL 50000  
  ISSUE OF 15% DEBENTURE 30000  
  INTEREST PAID ON 15% DEBENTURE -7500  
  CASH FLOW FROM FINANCING ACTIVITIES   72500
  NET INCREASE IN CASH AND CASH EQUIVALENTS   25000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS   70000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS       95000
41
Nidhi LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)     400000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -300000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES:   100000
  ADD: TRADE RECEIVABLES   54000  
    INVENTORIES   6000  
  LESS: TRADE PAYABLES   -8000 52000
  CASH FLOW FROM OPERATING ACTIVITIES     152000
  CASH FLOW FROM INVESTING ACTIVIES:      
  PURCHASE OF TANGIBLE ASSETS   -290000  
  PURCHASE OF NON-CURRENT INVESTMENT   -72000  
  CASH USED IN INVESTING ACTIVITIES     -362000
  CASH FLOW FROM FINANCING ACTIVITIES:      
  ISSUE OF SHARE CAPITAL   200000  
  REDEMPTION OF LONG TERM DEBENTURE   -50000  
  CASH FLOW FROM FINANCING ACTIVITIES     150000
  NET DECREASE IN CASH AND CASH EQUIVALENTS     -60000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   134000  
    CASH AND CASH EQUIVALENTS   70000 204000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS        
    CURRENT INVESTMENT   50000  
    CASH AND CASH EQUIVALENTS         94000 144000
42
BRIGHT LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹)
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   54000
  ADD: DEPRECIATION    18000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES:    
  ADD: TRADE PAYABLES 10000  
    INVENTORIES 6000  
  LESS: TRADE RECEIVABLES -6800 9200
  CASH FLOW FROM OPERATING ACTIVITIES   81200
  CASH FLOW FROM INVESTING ACTIVIES:    
  PURCHASE OF LAND -20000  
  PURCHASE OF BUILDING -10000  
  PURCHASE OF MACHINERY  -30000  
  CASH USED IN INVESTING ACTIVITIES   -60000
  CASH FLOW FROM FINANCING ACTIVITIES:    
  LOAN RECEIVED FROM AMAN LTD. 40000  
  REPAYMENT OF BANK LOAN -10000  
  INTERIM DIVIDEND PAID -52000  
  CASH USED IN FINANCING ACTIVITIES   -22000
  NET DECREASE IN CASH AND CASH EQUIVALENTS   -800
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS   8000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS                 7200
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   98000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -96000
      2000
  ADD: INTERIM DIVIDEND   52000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       54000
43
SOLAR POWER LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022 WORKING NOTE:
  PARTICULARS               AMOUNT (₹) 1
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   600000 DR. MACHINERY A/C CR.
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -400000   PARTICULAR AMOUNT PARTICULAR AMOUNT
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:   200000   TO BALANCE B/D   2000000 BY BANK A/C (SOLD) 12000
  ADD: DEPRECIATION (WN)   132000     TO BANK A/C (PURCHASE) 588000 BY ACCUMULATED DEP. A/C 32000
    GOODWILL AMORTISED   144000     (BALANCING FIGURE)   BY LOSS ON SALE A/C 4000
    LOSS ON SALE OF MACHINERY   4000 280000       BY BALANCE C/D 2540000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES:             2588000   2588000
  LESS: TRADE PAYABLES   -50000  
    SHORT TERM PROVISION   -54000   2
    INVENTORIES   -16000   DR. ACCUMULATED DEPRECIATION A/C CR.
    TRADE RECEIVABLES   -54000 -174000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  CASH FLOW FROM OPERATING ACTIVITIES     306000 TO MACHINERY A/C   32000 BY BALANCE B/D 300000
  CASH FLOW FROM INVESTING ACTIVIES:       TO BALANCE C/D 400000 BY PROFIT AND LOSS A/C (DEP.) 132000
  PROCEEDS FROM SALE OF MACHINERY   12000       432000   432000
  PURCHASE OF MACHINERY (WN)   -588000  
  CASH USED IN INVESTING ACTIVITIES     -576000
  CASH FLOW FROM FINANCING ACTIVITIES:      
  ISSUE OF SHARE CAPITAL   200000  
  LONG-TERM BORROWINGS   140000  
  CASH FLOW FROM FINANCING ACTIVITIES     340000
  NET INCREASE IN CASH AND CASH EQUIVALENTS     70000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   300000  
    CASH AND CASH EQUIVALENTS             750000 1050000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   480000  
  CASH AND CASH EQUIVALENTS         640000 1120000
44
FINE PRODUCTS LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹)
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   90000
  ADD: AMORTISED OF GOODWILL   10000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES:    
  ADD: TRADE PAYABLES   18000  
    INVENTORIES   18000  
  LESS: OTHER CURRENT LIABILITIES   -2000  
    TRADE RECEIVABLES   -33000 1000
  CASH GENERATED FROM OPERTION:   101000
  LESS: TAX PAID   -28000
  CASH FLOW FROM OPERATING ACTIVITIES   73000
  CASH FLOW FROM INVESTING ACTIVIES:    
  PURCHASE OF PLANT AND MACHINERY   -101000  
  PROCEEDS FROM SALE OF LAND AND BUILDING   53000  
  PURCHASE OF NON-CURRENT INVESTMENT   -25000  
  CASH USED IN INVESTING ACTIVITIES   -73000
  CASH FLOW FROM FINANCING ACTIVITIES:    
  ISSUE OF SHARE CAPITAL   50000  
  DIVIDEND PAID   -39000  
  CASH USED IN FINANCING ACTIVITIES     11000
  NET INCREASE IN CASH AND CASH EQUIVALENTS   11000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS   17000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS                 28000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   27000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -18000
      9000
  ADD: TRANSFER TO GENERAL RESERVE 10000  
    PROPOSED DIVIDEND OF 31ST MARCH, 2021 39000  
    PROVISION FOR TAX OF 31ST MARCH, 2022 32000 81000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       90000
45
MEVANCA LIMITED
CASH FLOW STATEMENT
for the year ended 31st, March 2017
PARTICULARS               AMOUNT (₹) DR. PROVISION FOR TAX A/C CR.
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       -44000 PARTICULAR AMOUNT PARTICULAR AMOUNT
ADD: DEPRECIATION   25000   TO BANK A/C (TAX PAID)   53000 BY BALANCE B/D 70000
  INTEREST PAID ON LONG-TERM LOAN @ 10% (WN)   7500 32500 TO BALANCE C/D 68000 BY P AND L A/C (DURING THE   
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:     -11500       YEAR) 51000
ADD: TRADE RECEIVABLES   14000       121000   121000
  OTHER CURRENT ASSETS   4000  
LESS: TRADE PAYABLES   -14000   CALCULATION OF INTEREST PAID ON LONG-TERM LOAN @ 10%
  INVENTORIES   -7000 -3000 FIRST 3 MONTH ON 60000*10/100*3/12= 1500
CASH GENERATED FROM OPERATION:     -14500 SECOND 9 MONTH ON 80000*10/100*9/12 = 6000
LESS: TAX PAID     -53000 TOTAL IS 7500 ₹
CASH USED IN OPERATING ACTIVITIES     -67500
CASH FLOW FROM INVESTING ACTIVIES:      
PURCHASE OF MACHINERY   -169000  
CASH USED IN INVESTING ACTIVITIES     -169000
CASH FLOW FROM FINANCING ACTIVITIES:      
ISSUE OF SHARE CAPITAL   200000  
LOAN TERM LOAN TAKEN   20000  
INTEREST PAID ON LOAN TERM LOAN   -7500    
CASH USED IN FINANCING ACTIVITIES     212500
NET DECREASE IN CASH AND CASH EQUIVALENTS     -24000
ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS     49000
CLOSING BALANCE OF CASH AND CASH EQUIVALENTS                 25000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   25000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -120000
      -95000
  ADD: PROVISION FOR TAX DURING THE YEAR (WN)   51000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       -44000
46
X LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2018
  PARTICULARS               AMOUNT (₹) DR. MACHINERY ACCOUNT CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:     500000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD: DEPRECIATION (WN)   140000   TO BALANCE B/D   2000000 BY BANK A/C (SALE) 50000
    INTEREST PAID ON DEBENTURE @ 12%   60000   TO GAIN (PROFIT) ON SALE    BY ACCUMULATED DEPRECIATION  
    GOODWILL AMORTISED   100000   OF MACHINERY A/C 10000 A/C 40000
  LESS: PROFIT ON SOLD OF MACHINERY   -10000 290000 (STATEMENT OF PROFIT AND    BY BALANCE C/D 2600000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:     790000 LOSS)        
  LESS: INVENTORIES   -130000 -130000 TO BANK A/C (PURCHASE)- 680000    
  CASH GENERATED FROM OPERATION:     660000 (BALANCING FIGURE)      
  LESS: TAX PAID     -165000     2690000   2690000
  CASH USED IN OPERATING ACTIVITIES     495000
  CASH FLOW FROM INVESTING ACTIVIES:       DR. ACCUMULTED DEPRECIATION ACCOUNT CR.
  PURCHASE OF MACHINERY   -680000   PARTICULAR AMOUNT PARTICULAR AMOUNT
  PROCEEDS OF SALE OF MACHINERY   50000   TO MACHINERY A/C   40000 BY BALANCE B/D 100000
  PURCHASE OF NON-CURRENT INVESTMENT   -100000   TO BALANCE C/D 200000 BY DEPRECIATION A/C  140000
  CASH USED IN INVESTING ACTIVITIES     -730000       (BALANCING FIGURE)  
  CASH FLOW FROM FINANCING ACTIVITIES:           240000   240000
  ISSUE OF SHARE CAPITAL   200000  
  ISSUE OF 12% DEBENTURE   100000  
  INTEREST PAID ON 12% DEBENTURE   -60000  
  REPAYMENT OF BANK OVERDRAFT   -5000  
  CASH USED IN FINANCING ACTIVITIES     235000
  NET INCREASE/DECREASE IN CASH AND CASH EQUIVALENTS     NIL
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   170000  
    CASH AND CASH EQUIVALENTS             40000 210000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   140000  
  CASH AND CASH EQUIVALENTS         70000 210000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   600000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -300000
      300000
  ADD: PROVISION FOR TAX FOR  31ST MARCH, 2018   200000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       500000
47
M.M. LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹) DR. PROVISION FOR TAX A/C CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)     300000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD:  DEBENTURE   99000   TO BANK A/C (TAX PAID)   70000 BY BALANCE B/D 90000
    INTEREST PAID ON 12% DEBENTURE (WN)   60000   TO BALANCE C/D 70000 BY P AND L A/C (DURING THE   
    GOODWILL AMORTISED   10000 169000       YEAR) 50000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:     469000     140000   140000
  LESS: STOCK IN TRADE     -62000
  CASH GENERATED FROM OPERATION:     407000 CALCULATION OF INTEREST ON DEBENTURE:
  LESS: TAX PAID (GIVEN IN ADJUSTMENT)     -70000 12% DEBENTURE WERE REDEEMED ON 31ST MARCH, 2022
  CASH USED IN OPERATING ACTIVITIES     337000 MEANS, FULL YEAR 500000 ₹ IS USED.
  CASH FLOW FROM INVESTING ACTIVIES:       SO, WE ARE CALCULATE INTEREST ON 500,000 ₹
  PURCHASE OF MACHINERY   -382000   500000 * 12/100 = 60,000
  PURCHASE OF NON-CURRENT INVESTMENT   -25000  
  CASH USED IN INVESTING ACTIVITIES     -407000
  CASH FLOW FROM FINANCING ACTIVITIES:      
  ISSUE OF SHARE CAPITAL   100000  
  REDEMPTION OF 12% DEBENTURE   -50000  
  INTEREST PAID ON 12% DEBENTURE   -60000  
  BANK OVERDRAFT   100000  
  CASH USED IN FINANCING ACTIVITIES     90000
  NET INCREASE IN CASH AND CASH EQUIVALENTS     20000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   60000  
    CASH AND CASH EQUIVALENTS             60000 120000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   50000  
  CASH AND CASH EQUIVALENTS         90000 140000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   200000
  ADD: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) 50000
      250000
  ADD: PROVISION FOR TAX FOR  31ST MARCH, 2022 (WN)   50000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       300000
48
GOPAL LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2019
  PARTICULARS               AMOUNT (₹) DR. PROVISION FOR TAX A/C CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)     675000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD: DEPRECIATION    200000   TO BANK A/C (TAX PAID)   150000 BY BALANCE B/D 175000
    INTEREST PAID ON 12% DEBENTURE   108000   TO BALANCE C/D 200000 BY P AND L A/C (BAL. FIG.) 175000
    AMORTISED GOODWILL   12000 320000     350000   350000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:     995000
  LESS: INVENTORIES (STOCK IN TRADE)     -124000
  CASH GENERATED FROM OPERATION:     871000
  LESS: TAX PAID (GIVEN IN ADJUSTMENT)     -150000
  CASH USED IN OPERATING ACTIVITIES     721000
  CASH FLOW FROM INVESTING ACTIVIES:      
  PURCHASE OF MACHINERY   -758000  
  PURCHASE OF NON-CURRENT INVESTMENT   -55000  
  CASH USED IN INVESTING ACTIVITIES     -813000
  CASH FLOW FROM FINANCING ACTIVITIES:      
  ISSUE OF SHARE CAPITAL   200000  
  INTEREST PAID ON 12% DEBENTURE   -108000  
  BANK OVERDRAFT    140000  
  CASH USED IN FINANCING ACTIVITIES     232000
  NET INCREASE IN CASH AND CASH EQUIVALENTS     140000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   120000  
    CASH AND CASH EQUIVALENTS             120000 240000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS      
    CURRENT INVESTMENT   200000  
  CASH AND CASH EQUIVALENTS         180000 380000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   400000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -(100000)
      500000
  ADD: PROVISION FOR TAX FOR  31ST MARCH, 2019 (WN)   175000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       675000
49
JY LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2017
  PARTICULARS               AMOUNT (₹)
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   300000
  ADD: DEPRECIATION   62500  
    INTEREST PAID ON 10% DEBENTURE (150000*10%)   15000 77500
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:   377500
  LESS: TRADE RECEIVABLES   -50000
  CASH GENERATED FROM OPERATION:     327500
  LESS: TAX PAID (GIVEN IN ADJUSTMENT)   -75000
  CASH FLOW FROM OPERATING ACTIVITIES   252500
  CASH FLOW FROM INVESTING ACTIVIES:    
  PURCHASE OF MACHINERY   -212500  
  SHORT-TERM LOANS AND ADVANCES   -100000  
  CASH USED IN INVESTING ACTIVITIES     -312500
  CASH FLOW FROM FINANCING ACTIVITIES:    
  ISSUE OF 10% DEBENTURE   100000  
  INTEREST PAID ON 10% DEBNTURE   -15000  
CASH FLOW FROM FINANCING ACTIVITIES     85000
NET INCREASE IN CASH AND CASH EQUIVALENTS   25000
ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS             25000
CLOSING BALANCE OF CASH AND CASH EQUIVALENTS                 50000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   100000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -(25000)
      125000
  ADD: PROVISION FOR TAX FOR  31ST MARCH, 2019 (WN)   125000
    PROPOSED DIVIDEND FOR THE YEAR ENDED 31ST MARCH, 2016   50000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       300000
50
SONAL LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022 DR. TANGIBLE ASSETS A/C CR.
  PARTICULARS               AMOUNT (₹) PARTICULAR AMOUNT PARTICULAR AMOUNT
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   163000 TO BALANCE B/D   280000 BY BANK A/C (SALE) 10000
  ADD: DEPRECIATION 20000   TO BANK A/C (PURCHASE) 130000 BY LOSS ON SALE A/C 10000
    LOSS ON SALE OF MACHINERY 10000   (BALANCING FIGURE)   BY DEPREICATION A/C 20000
    AMORTISED OF GOODWILL 25000 55000       BY BALANCE C/D 370000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:   218000     410000   410000
  ADD: TRADE PAYABLES 34000  
  LESS: INVENTORIES -82000 -48000
  CASH GENERATED FROM OPERATION:   170000
  LESS: TAX PAID (GIVEN IN ADJUSTMENT)   -35000
  CASH FLOW FROM OPERATING ACTIVITIES   135000
  CASH FLOW FROM INVESTING ACTIVIES:    
  PURCHASE OF TANGIBLE ASSETS (WN) -130000  
  SALE OF MACHINERY 10000  
  CASH USED IN INVESTING ACTIVITIES   -120000
  CASH FLOW FROM FINANCING ACTIVITIES:    
  ISSUE OF EQUITY SHARE CAPITAL 100000  
  REDEEMPTION OF 10% PREFERENCE SHARE CAPITAL -50000  
  INTERIM DIVIDEND PAID -20000  
  PROPOSED DIVIDEND -50000  
  SECURITIES PREMIUM RESERVE 10000  
  CASH USED IN FINANCING ACTIVITIES   -10000
  NET INCREASE IN CASH AND CASH EQUIVALENTS   5000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS    
    CURRENT INVESTMENT 15000  
    CASH AND CASH EQUIVALENTS             81000 96000
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS    
    CURRENT INVESTMENT 10000  
  CASH AND CASH EQUIVALENTS         91000 101000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   48000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -30000
      18000
  ADD: PROVISION FOR TAX FOR  31ST MARCH, 2022 45000  
    PROPOSED DIVIDEND FOR THE YEAR ENDED 31ST MARCH, 2021 50000  
    INTERIM DIVIDEND 20000  
    TRANSFER TO GENERAL RESERVE 30000 145000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       163000
51
GROW MORE LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹) DR. PLANT AND MACHINERY A/C CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   540000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD: DEPRECIATION   250000   TO BALANCE B/D   1000000 BY BANK A/C (SALE) 70000
    INTEREST PAID ON 10% DEBENTURE   20000   TO PROFIT ON SALE  30000 BY DEPRECIATION A/C 250000
  LESS:  PROFIT ON SALE ON MACHINERY   -30000 240000 (70000-40000) BY BALANCE C/D 1400000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:   780000 TO BANK A/C (PURCHASE) 690000    
  ADD: INVENTORIES   400000       1720000   1720000
  LESS: TRADE PAYABLES   -240000  
    TRADE RECEIVABLES   -400000 -240000 DR. PROVISION FOR TAX A/C CR.
  CASH GENERATED FROM OPERATION:   540000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  LESS: TAX PAID (GIVEN IN ADJUSTMENT)   -100000 TO BANK A/C (TAX PAID)   100000 BY BALANCE B/D 140000
  CASH FLOW FROM OPERATING ACTIVITIES   440000 TO BALANCE C/D 200000 BY PROFIT AND LOSS A/C  160000
  CASH FLOW FROM INVESTING ACTIVIES:         300000   300000
  PURCHASE OF MACHINERY (WN)   -690000  
  SALE OF MACHINERY   70000  
  PURCHASE OF LAND AND BUILDING   -400000  
  PURCHASE OF NON-CURRENT INVESTMENT   -200000  
  CASH USED IN INVESTING ACTIVITIES   -1220000
  CASH FLOW FROM FINANCING ACTIVITIES:    
  ISSUE OF EQUITY SHARE CAPITAL   400000  
  ISSUE OF 10% DEBENTURE   400000  
  INTEREST PAID ON 10% DEBENTURE   -20000  
  PROPOSED DIVIDEND   -200000  
CASH FLOW FROM FINANCING ACTIVITIES   580000
NET DECREASE IN CASH AND CASH EQUIVALENTS   -200000
ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS     200000
CLOSING BALANCE OF CASH AND CASH EQUIVALENTS                 NIL
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   200000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -120000
      80000
  ADD: TRANSFER TO GENERAL RESERVE 100000  
    PROVISION FOR TAX FOR  31ST MARCH, 2022 160000  
    PROPOSED DIVIDEND FOR THE YEAR ENDED 31ST MARCH, 2021 200000 460000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       540000
52
SRS LED.
CASH FLOW STATEMENT
for the year ended 31st, March 2016
  PARTICULARS               AMOUNT (₹) DR. MACHINERY A/C CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   175000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD: DEPRECIATION 55000   TO BALANCE B/D   522500 BY BANK A/C 15000
  INTEREST PAID ON 12% DEBENTURE 21000   TO BANK A/C (PURCHASE) 355000 BY LOSS ON SALE 5000
  GOODWILL AMORTISED 25000         BY ACCUMULATED DEP. A/C 20000
  LOSS ON SALE OF MACHINERY 5000 106000       BY BALANCE C/D 837500
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE:   281000     877500   877500
  ADD: INVENTORIES   -25000
  CASH GENERATED FROM OPERATION:   256000 DR. ACCUMULATED DEPRECIATION ACCOUNT CR.
  LESS: TAX PAID    -62500 PARTICULAR AMOUNT PARTICULAR AMOUNT
  CASH FLOW FROM OPERATING ACTIVITIES   193500 TO MACHINERY A/C   20000 BY BALANCE B/D 70000
  CASH FLOW FROM INVESTING ACTIVIES:     TO BALANCE C/D 105000 BY DEPRECIATION A/C 55000
  PURCHASE OF MACHINERY -355000       125000   125000
  PROCEEDS FROM SALE OF MACHINERY 15000  
  PURCHASE OF NON-CURRENT INVESTMENT -25000  
  CASH USED IN INVESTING ACTIVITIES   -365000
  CASH FLOW FROM FINANCING ACTIVITIES:    
  ISSUE OF SHARE CAPITAL 100000  
  ISSUE OF 12% DEBENTURES 50000  
  INTEREST PAID ON 12% DEBENTURE -21000  
  BANK OVERDRAFT 37500  
  CASH USED IN FINANCING ACTIVITIES   166500
  NET DECREASE IN CASH AND CASH EQUIVALENTS   -5000
  ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS    
  CURRENT INVESTMENT 35000  
  CASH AND CASH EQUIVALENTS             26500 61500
  CLOSING BALANCE OF CASH AND CASH EQUIVALENTS    
  CURRENT INVESTMENT 20000  
  CASH AND CASH EQUIVALENTS         36500 56500
     
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
  PARTICULARS               AMOUNT (₹)
  SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   125000
  LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -50000
    75000
  ADD: PROVISION FOR TAX OF 31ST MARCH, 2016   100000
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:       175000
52
PHILIPS INDIA LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹) WORKING NOTE:
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   213000 1
ADD: DEPRECIATION (WN2)   210000   DR. PROVISION FOR TAX A/C CR.
LESS: PROFIT ON SALE OF FIXED ASSETS   -6000   PARTICULAR AMOUNT PARTICULAR AMOUNT
  PROFIT ON INVESTMENT   -1500 202500 TO BANK A/C (TAX PAID) (BAL. FIG.) 222000 BY BALANCE B/D 225000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   415500 TO BALANCE C/D 30000 BY PROFIT AND LOSS A/C 27000
ADD: INVENTORIES   90000       252000   252000
LESS: TRADE PAYABLES   -102000  
  TRADE RECEIVABLES   -735000 -747000 2
CASH GENERATED FROM OPERATION    -331500 DR. FIXED ASSETS A/C CR.
LESS: TAX PAID (WN1)   -222000 PARTICULAR AMOUNT PARTICULAR AMOUNT
CASH FLOW FROM OPERATING ACTIVITIES   -553500 TO BALANCE B/D 1200000 BY BANK A/C (SALE) 36000
CASH FLOW FROM INVESTING ACTIVITIES     TO PROFIT ON SALE OF FIXED ASSETS 6000 BY DEPRECIATION A/C (BAL. FIG.) 210000
PROCEEDS FROM SALE OF MACHINERY   36000         BY BALANCE C/D 960000
PROCEEDS FROM SALE OF INVESTMENT   25500       1206000   1206000
PURCHASE OF INVESTMENT (WN3)   -54000  
CASH FLOW FROM INVESTING ACTIVITIES   7500 3
CASH FLOW FROM FINANCING ACTIVITIES       DR. NOT-CURRENT INVESTMENT A/C CR.
LONG TERM BORROWING: 10% MORTGAGE LOAN   810000   PARTICULAR AMOUNT PARTICULAR AMOUNT
INTERIM DIVIDEND   -120000   TO BALANCE B/D 150000 BY BANK A/C (SALE) 25500
CASH FLOW FROM FINANCING ACTIVITIES     690000 TO PROFIT ON SALE OF INVESTMENT 1500 BY BALANCE C/D 180000
NET INCREASE IN CASH AND CASH EQUIVALENTS     144000 TO BANK A/C (PURCHASE) (BAL. FIG.) 54000    
ADD: CASH AND CASH EQUIVALENTS IN THE BEGINNING OF THE YEAR           205500   205500
  CURRENT INVESTMENT   17000  
  CASH AND CASH EQUIVALENTS: BANK             430000 447000
CASH AND CASH EQUIVALENTS IN THE END OF THE YEAR      
  CURRENT INVESTMENT   21000  
  CASH AND CASH EQUIVALENTS: BANK       570000 591000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
PARTICULARS               AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE) 204000
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -168000
  36000
ADD: TRANSFER TO GENERAL RESERVE 30000  
  PROVISION FOR TAX 27000  
  INTERIM DIVIDEND 120000 177000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       213000
53
AKASH LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022 1.
  PARTICULARS               AMOUNT (₹) DR. MACHINERY ACCOUNT CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)     112500 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD: DEPRECIATION (GIVEN)   200000   TO BALANCE B/D   1250000 BY BANK A/C (SOLD) 375000
    INTEREST ON 12% DEBENTURE (WN)   78750   TO PROFIT ON SALE OF MACHINERY 50000 BY DEPRECIATION A/C 200000
  LESS: PROFIT ON SALE OF MACHINERY   -50000   TO BANK A/C (PURCHASE) 1000000 BY BALANCE C/D 1725000
    PROFIT ON SALE OF INVESTMENT   -40000 188750     2300000   2300000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE     301250
  LESS: TRADE PAYABLES   -200000   2.      
    INVENTORIES   -250000   CALCULATION OF PROFIT ON INVESTMENT:  
    TRADE RECEIVABLES   -487500 -937500   Difference between Opening Balance and Closing Balance
  CASH USED IN FROM OPERATING ACTIVITIES     -636250   = 500000 - 300000 =200000  
  CASH FLOW FROM INVESTING ACTIVITIES      
  PROCEEDS FROM SALE OF MACHINERY   375000   3.      
  PURCHASE OF MACHINERY   -1000000   CALCULATION OF INTEREST ON 12% DEBENTURE:  
  PROCEEDS FROM SALE OF INVESTMENT   240000     For 9 Month  = 625000 * 12/100 * 9/12 = 56250 ₹
  CASH FLOW FROM INVESTING ACTIVITIES     -385000   For 3 Month = 750000 * 12/100 * 3/12 = 22500 ₹
  CASH FLOW FROM FINANCING ACTIVITIES           TOTAL = 78750
  ISSUE OF SHARE CAPTIAL   1000000  
  ISSUE OF 12% DEBENTURE   125000  
  INTEREST PAID ON 12% DEBENTURE   -78750  
  CASH FLOW FROM FINANCING ACTIVITIES     1046250
  NET INCREASE IN CASH AND CASH EQUIVALENTS     25000
ADD: OPENING BALANCE OF CASH AND CASH EQUIVALENTS     150000
CLOSING BALANCE OF CASH AND CASH EQUIVALENTS                 175000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
PARTICULARS               AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE) -425000
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -(537500)
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       112500
54
MISHI LTD.
CASH FLOW STATEMENT
for the year ended 31st, March 2022
  PARTICULARS               AMOUNT (₹) DR. MACHINERY ACCOUNT CR.
  NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   200000 PARTICULAR AMOUNT PARTICULAR AMOUNT
  ADD: DEPRECIATION  160000   TO BALANCE B/D   1400000 BY BANK A/C (SOLD) 20000
    LOSS ON SALE OF MACHINERY 10000   TO BANK A/C 880000 BY LOSS ON SALE OF MACHINERY 10000
    INTEREST ON 10% DEBENTURE (200000 X 10%) 20000         BY ACCUMULTED DEP. A/C 110000
  LESS: PROFIT ON SALE OF INVESTMENT -16000 174000       BY BALANCE C/D 2140000
  OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   374000     2280000   2280000
  ADD: TRADE RECEIVABLES 220000  
  LESS: TRADE PAYABLES -30000 190000
  CASH USED IN FROM OPERATING ACTIVITIES   564000 DR. ACCUMULATED DEPRECIATION ACCOUNT CR.
  CASH FLOW FROM INVESTING ACTIVITIES     PARTICULAR AMOUNT PARTICULAR AMOUNT
  PROCEEDS FROM SALE OF MACHINERY 20000   TO MACHINERY A/C   110000 BY BALANCE B/D 190000
  PURCHASE OF MACHINERY -880000   TO BALANCE C/D 240000 BY DEPRECIATION A/C (BAL. FIG.) 160000
  PROCEEDS FROM SALE OF INVESTMENT 96000       350000   350000
  PURCHASE OF INVESTMENT (WN) -150000  
  CASH FLOW FROM INVESTING ACTIVITIES   -914000 DR. NON-CURRENT INVESTMENT ACCOUNT CR.
  CASH FLOW FROM FINANCING ACTIVITIES     PARTICULAR AMOUNT PARTICULAR AMOUNT
  ISSUE OF SHARE CAPITAL 400000   TO BALANCE B/D   200000 BY BANK A/C (SOLD) 96000
  SECURITIES PREMIUM RESERVE 20000   TO PROFIT ON SALE OF INVESTMENT 16000   270000
  ISSUE OF 10% DEBENTURE 120000   TO BANK A/C (PURCHASE) (BAL .FIG.) 150000    
  INTEREST PAID ON 10% DEBENTURE -20000       366000   366000
  REPAYMENT OF BANK LOAN -30000  
  CASH FLOW FROM FINANCING ACTIVITIES   490000
  NET INCREASE IN CASH AND CASH EQUIVALENTS   140000
ADD: CASH AND CASH EQUIVALENTS IN THE BEGINNING OF THE YEAR    
  CURRENT INVESTMENT 80000  
  CASH AND CASH EQUIVALENTS: BANK AND CASH             240000 320000
CASH AND CASH EQUIVALENTS IN THE END OF THE YEAR    
  CURRENT INVESTMENT 160000  
  CASH AND CASH EQUIVALENTS: BANK AND CASH     300000 460000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
PARTICULARS               AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE) 340000
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE) -200000
    140000
ADD: TRANSFER TO GENERAL RESERVE   60000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       200000
55
SAMTA LTD.
CASH FLOW STATEMENT 
FOR THE YEAR ENDED 31MARCH, 2022
PARTICULARS               RS. 1
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   365000 DR. TANGIBLE ASSETS A/C CR.
ADD:  DEPRECIATION  60000   PARTICULAR AMOUNT PARTICULAR AMOUNT
  LOSS ON SALE OF TANGIBLE ASSETS 20000   TO BALANCE B/D   620000 BY BANK A/C (SALE) 20000
  AMORTISED GOODWILL 25000   TO BANK A/C (PURCHASE) 340000 BY LOSS ON SALE OF MACHINERY 20000
  INTEREST PAID ON DEBENTURE (WN) 16400       BY DEPRECIATION A/C 60000
  INTEREST PAID ON BANK LOAN (WN) 3600 125000       BY BALANCE C/D 860000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   490000     960000   960000
ADD: TRADE PAYABLES 10000  
LESS: INVENTORIES -95000 -85000 2
CASH GENRATED FROM OPERATION    405000 DR. PROVISION FOR TAX A/C CR.
LESS:  TAX PAID   -35000 PARTICULAR AMOUNT PARTICULAR AMOUNT
CASH FLOW FROM OPERATING ACTIVITIES   370000 TO MACHINERY A/C (BAL. FIG.) 35000 BY BALANCE B/D 40000
CASH FLOW FROM INVESTING ACTIVITIES     TO BALANCE C/D 50000 BY PROFIT AND LOSS A/C 45000
PROCEEDS FROM SALE OF TANGIBLE ASSETS 20000       85000   85000
PURCHASE OF TANGIBLE ASSETS -340000  
PURCHASE OF NON-CURRENT INVESTMENT -45000   3
CASH USED IN INVESTING ACTIVITIES   -365000 CALCULATE INTEREST ON DEBENTURE AND BANK LOAN
CASH FLOW FROM FINANCING ACTIVITIES     DEBENTURE INTEREST = (150000*8/100*6/12) + (260000*8/100*6/12) => 6000 + 10400 = 16400
ISSUE OF EQUITY SHARE CAPITAL 100000  
REDEMPTION OF 10% PREFERENCE SHARE CAPITAL -100000   4
SECURITIES PREMIUM RESERVE 10000   CALCULATE OF INTEREST ON BANK LOAN
PREMIUM ON REDEMPTION OF 10% PREFERENCE SHARES CAPITAL -5000   BANK LOAN INTEREST =(50000*8/100*6/12) + (40000*8/100*6/12) => 2000 + 1600 = 3600
ISSUE OF 8% DEBENTURES 110000  
REPAYMENT OF BANK LOAN -10000  
INTEREST ON 8% DEBENTURE PAID -16400  
INTEREST ON BANK LOAN -3600  
CASH FLOW FROM FINANCING ACTIVITIES   85000
NET INCREASE IN CASH AND CASH EQUIVALENTS   90000
ADD: CASH AND CASH EQUIVALENTS IN THE BEGINNING OF THE YEAR:    
  CURRENT INVESTMENT 15000  
  CASH AND CASH EQUIVALENTS: BANK       25000 40000
CASH AND CASH EQUIVALENTS IN THE END OF THE YEAR:      
  CURRENT INVESTMENT 5000  
  CASH AND CASH EQUIVALENTS: BANK       125000 130000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
PARTICULARS               AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   150000
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -140000
    290000
ADD: TRANSFER TO GENERAL RESERVE 30000  
  PROVISION FOR TAX (WN) 45000 75000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       365000
56
SUN LTD.
CASH FLOW STATEMENT 
FOR THE YEAR ENDED 31MARCH, 2022
PARTICULARS               RS. 1
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS: (WN)   275000 DR. MACHINERY A/C CR.
ADD: DEPRECIATION  60000   PARTICULAR AMOUNT PARTICULAR AMOUNT
  INTEREST ON DEBENTURE (300000*10%) 30000   TO BALANCE B/D   600000 BY BANK A/C (SALE) 50000
  LOSS ON SALE OF MACHINERY (WN) 40000   TO BANK A/C (PURCHASE) 250000 BY LOSS ON SALE OF MACHINERY 40000
  PROVISION FOR DOUBTFUL DEBTS (20000-10000) 10000       BY DEPRECIATION A/C 60000
LESS: INTEREST ON INVESTMENT RECEIVED (100000*10%) -10000 130000       BY BALANCE C/D 700000
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGE   405000     850000   850000
ADD: TRADE PAYABLES 80000  
LESS: INVENTORIES -100000  
  TRADE RECEIVABLES -100000 -120000
CASH FLOW FROM OPERATING ACTIVITIES   285000
CASH FLOW FROM INVESTING ACTIVITIES    
PURCHASE OF MACHINERY (WN) -250000  
PROCEEDS FROM SALE OF MACHINERY 50000  
INVESTMENT PURCHASE -100000  
INTEREST ON INVESTMENT RECEIVED 10000  
CASH USED IN INVESTING ACTIVITIES   -290000
CASH FLOW FROM FINANCING ACTIVITIES    
ISSUE OF EQUITY SHARE CAPITAL 200000  
REDEMPTION OF 10% PREFERENCE SHARE CAPITAL -100000  
INTERIM DIVIDEND PAID -45000  
PROPOSED DIVIDEND PAID -30000  
SECURITIES PREMIUM RESERVE 10000  
10% DEBENTURE ISSUED 100000  
INTEREST ON DEBNTURES -30000  
CASH FLOW FROM FINANCING ACTIVITIES   105000
NET INCREASE IN CASH AND CASH EQUIVALENTS   100000
ADD: CASH AND CASH EQUIVALENTS IN THE BEGINNING OF THE YEAR    
  CURRENT INVESTMENT 50000  
  CASH AND CASH EQUIVALENTS: BANK       20000 70000
CASH AND CASH EQUIVALENTS IN THE END OF THE YEAR      
  CURRENT INVESTMENT 90000  
  CASH AND CASH EQUIVALENTS: BANK       80000 170000
WORKING NOTE: CALCULATION OF NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS:
PARTICULARS               AMOUNT (₹)
SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (CLOSING BALANCE)   400000
LESS: SURPLUS, I.E., BALANCE IN STATEMENT OF PROFIT AND LOSS (OPENING BALANCE)   -200000
    200000
ADD: INTERIM DIVIDEND (300000*15%) 45000  
  PROPOSED DIVIDEND ON PREFERENCE SHARE CAPITAL (300000*10%) 30000 75000
NET PROFIT BEFORE TAX AND EXTRAORDINARY ITEMS       275000