Question 33:
From the following information,
calculate Cash Flow from Financing Activities:
Particulars |
31st
March, (`) |
31st
March, (`) |
Equity Share Capital |
10,00,000 |
9,00,000 |
Securities Premium Reserve |
2,60,000 |
2,50,000 |
12% Debentures |
1,00,000 |
1,50,000 |
Additional Information:
Interest paid on debentures `
18,000.
Answer:
Cash Flow from Financing Activities |
|||
|
Particulars |
(`) |
(`) |
|
Proceeds
from Issue of Equity Shares |
1,10,000 |
|
|
Redemption
of 12% Debentures |
(50,000) |
|
|
Interest Paid |
(18,000) |
|
|
Net
Cash Flows from Financing Activities |
|
42,000 |
Question 34:
Jalco
Ltd. provided the following information, calculate Net Cash Flow from Financing
Activities:
Particular |
31st
March, 2023
(`) |
31st
March, 2022
(`) |
Equity Share Capital |
12,00,000 |
10,00,000 |
12% Debentures |
2,00,000 |
1,00,000 |
Additional Information:
1.Interest paid on debentures ` 19,000.
2. Dividend paid in the year
`
50,000.
3. During the year, Jalco Ltd. issued
bonus shares in the ratio of 5 : 1 by captialising
reserve.
Answer:
Cash Flow from Financing Activities |
|||
|
Particulars |
(`) |
(`) |
|
Proceeds
from Issue of 12% Debentures |
1,00,000 |
|
|
Interest
Paid |
(19,000) |
|
|
Dividend
Paid |
(50,000) |
|
|
Net
Cash Flows from Financing Activities |
|
31,000 |
Note: Amount of
Equity Share Capital has been increased due to the issue of Bonus Shares which
does not involve any flow of cash. Therefore, it is not considered in the
Financing Activities.
Question 35:
From the following extracts of
Balance Sheet of Exe Ltd., calculate Cash Flow from Financing Activities:
Particulars |
31st
March, 2023 (`) |
31st
March, 2022 (`) |
Equity Share Capital |
5,25,000 |
4,00,000 |
10% Preference Share Capital |
4,00,000 |
5,50,000 |
Securities Premium Reserve |
2,25,000 |
1,00,000 |
12% Debentures |
4,00,000 |
3,00,000 |
Additional Information:
1. Equity Shares were issued on 31st March, 2023.
2. Interim dividend on Equity Shares was paid @ 15%.
3. Preference Shares were redeemed on 31st March, 2023 at a premium of 5%.
Premium paid was debited to Statement of Profit and Loss.
4. 12% Debentures of face value `
1,00,000 were issued on 31st March, 2023.
Answer:
Cash Flow from Financing Activities for the year ended March 31, 2023 |
|||
|
Particulars |
(`) |
(`) |
|
Issue of Shares |
1,25,000 |
|
|
Transfer to Securities Premium
Reserve |
1,25,000 |
|
|
Issue of Debentures |
1,00,000 |
|
|
Premium on redemption of
Preference Shares (5% of 1,50,000) |
(7,500) |
|
|
Interim Dividend Paid(15% of
4,00,000) |
(60,000) |
|
|
Redemption of Preference Share
Capital |
(1,50,000) |
|
|
Interest on Debentures (12% of
3,00,000) |
(36,000) |
|
|
Interest on Preference Share
Capital |
(55,000) |
|
|
Net Cash Flow from Financing Activities |
|
41,500 |
|
|
|
|
Cash Flow from Investing and
Financing Activities
Question 36:
From the following information,
calculate Cash Flow from Investing and Financing Activities:
Particulars |
31st
March 2023 (`) |
31st
March 2022 (`) |
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 ` 10,000 was
sold at a loss of ` 2,000. Depreciation
on machinery charged during the year amounted to `
6,000.
Answer:
Cash Flow Statement for
the year ended March 31, 2023 |
|||
|
Particulars |
(`) |
(`) |
|
Cash
Flow from Investing Activities |
|
|
|
Purchase of
Machinery |
(20,000) |
|
|
Sale of
Machine |
4,000 |
|
|
Net Cash from (used in) Investing Activities |
|
(16,000) |
|
|
|
|
|
Cash
Flow from Financing Activities |
|
|
|
Proceeds
from Issue of Equity Shares |
5,000 |
|
|
Repayment
of Bank Loan |
(10,000) |
|
|
Net Cash from (used in) Financing
Activities |
|
(5,000) |
|
|
|
|
Working Notes:
Machinery
Account |
|||
Dr. |
Cr. |
||
Particulars |
(`) |
Particulars |
(`) |
Balance b/d |
40,000 |
Accumulated Depreciation A/c |
4,000 |
Bank A/c (Purchase- Bal. Fig.) |
20,000 |
Bank A/c (Sale) |
4,000 |
|
|
Profit and Loss A/c (Loss on
Sale) |
2,000 |
|
|
Balance c/d |
50,000 |
|
60,000 |
|
60,000 |
|
|
|
|
Accumulated
Depreciation Account |
|||
Dr. |
Cr. |
||
Particulars |
(`) |
Particulars |
(`) |
To Machinery A/c (Bal. Fig.) |
4,000 |
Balance b/d |
10,000 |
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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Ts Grewal Solution 2024-2025
Class 12 / Volume – 3
Chapter 4 – Cash Flow Statements