12th | Cash Flow Statement | Question No. 37 To 40 | Ts Grewal Solution 2024-2025

Cash Flow Statement 

for the year ended March 31, 2023

Particulars

Amount

(`)

Amount

(`)

I.

Cash Flow from Investing Activities

Proceeds from sale of Plant and machinery

40,000

Proceeds from sale of Land

1,60,000

Purchase of Plant and machinery

(2,60,000)

Purchase of Non-Current Investments

(60,000)

 Cash Used in Investing Activities

(1,20,000)

Particulars

Amount

(`)

Amount

(`)

I.

Cash Flow from Financing Activities

Add:

Issue of Equity Share Capital

10,00,000

Securities Premium Received

1,00,000

11,00,000

Less:

Preference Shares were redeemed

(1,00,000)

Premium Paid on redemption

(5,000)

Interest on debenture paid

(1,00,000)

(2,05,000)

Cash Flow from Financing Activities

8,95,000

Particulars

(`)

Opening Cash and Bank Balances

1,50,000

Closing Cash and Bank Balances

1,70,000

Decrease in Stock

80,000

Increase in Bills Payable

1,20,000

Sale of Fixed Assets

3,00,000

Repayment of Long-term Loan

5,00,000

Net Profit for the Year

20,000

Cash Flow Statement

Particulars

 (`)

 (`)

A

Cash Flow from Operating Activities

Profit as per Statement of Profit and Loss (Net Profit)

20,000

Profit Before Taxation

20,000

Items to be Added:

–

Operating Profit before Working Capital Adjustments

20,000

Add: Decrease in Current Assets

Stock

80,000

Add: Increase in Current Liabilities

Bills Payable

1,20,000

Cash Generated from Operations

2,20,000

Less: Tax Paid

–

Net Cash Flow from Operating Activities

2,20,000

B

Cash Flow from Investing Activities

Sale of Fixed Assets

3,00,000

Net Cash Flows from Investing Activities

3,00,000

C

Cash Flow from Financing Activities

Repayment of Long-Term Loan

(5,00,000)

Net Cash Used in Financing Activities

(5,00,000)

D

Net Increase or Decrease in Cash and Cash Equivalents

20,000

Add: Cash and Cash Equivalent in the beginning of the period

1,50,000

Cash and Cash Equivalents at the end of the period

1,70,000

BALANCE SHEET OF YOUNG INDIA LTD.
as at 31st March, 2023

Particular

Note No.

31st March, 2023 (`)

31st March, 2022 (`)

I. EQUITY AND LIABILITIES

1. Shareholders' Funds

(a) Share Capital

2,50,000

2,00,000

(b) Reserves and Surplus: Surplus, i.e., Balance in Statement of Profit and Loss

1,83,000

82,000

2. Non-Current Liabilities

Long-term Borrowings:

15% Debentures

80,000

50,000

3. Current Liabilities

(a) Trade Payables

1,50,000

1,10,000

(b) Other Current Liabilities

12,000

20,000

Total

6,75,000

4,62,000

II. ASSETS

1. Non-Current Assets

(a) Fixed Assets (Tangible)

2,74,000

1,17,000

(b) Non-Current Investments

68,000

55,000

2. Current Assets

(a) Inventories

2,06,000

1,50,000

(b) Trade Receivables

32,000

70,000

(c) Cash and Cash Equivalents

95,000

70,000

Total

6,75,000

4,62,000

Cash Flow Statement

for the year ended March 31, 2023

Particulars

 (`)

 (`)

A

Cash Flow from Operating Activities

Profit as per Statement of Profit and Loss (1,83,000 – 82,000)

1,01,000

Profit Before Taxation

1,01,000

Items to be Added:

Interest on Debentures

7,500

Operating Profit before Working Capital Adjustments

1,08,500

Less: Increase in Current Assets

Inventories

(56,000)

Add: Increase in Current Liabilities

Trade Payables

40,000

Less: Decrease in Current Liabilities

Other Current Liabilities

(8,000)

Add: Decrease in Current Assets

Trade Receivables

38,000

Cash Generated from Operations

1,22,500

Less: Tax Paid

–

Net Cash Flows from Operating Activities

1,22,500

B

Cash Flow from Investing Activities

Purchase of Fixed Assets

(1,57,000)

Purchase of Investments

(13,000)

Net Cash Used in Investing Activities

(1,70,000)

C

Cash Flow from Financing Activities

Proceeds from Issue of Equity Share Capital

50,000

Proceeds from Issue of 15% Debentures

30,000

Interest on Debentures (50,000 × 15%)

(7,500)

Net Cash Flow from Financing Activities

72,500

D

Net Increase or Decrease in Cash and Cash Equivalents

25,000

Add: Cash and Cash Equivalent in the beginning of the period

70,000

Cash and Cash Equivalents at the end of the period

95,000

Particulars ulars

Note No.

31st March, 2023

(`)

31st March, 2022

(`)

I. EQUITY AND LIABILITIES

1. Shareholders' Funds

(a) Share Capital

8,00,000

6,00,000

(b) Reserves and Surplus

1

4,00,000

3,00,000

2. Non-Current Liabilities

Long-term Borrowings

1,00,000

1,50,000

3. Current Liabilities

(a) Trade Payables

40,000

48,000

Total      Total Expenses

13,40,000

10,98,000

II. ASSETS

1, Non-Current Assets

(a) Fixed Assets:

Tangible Assets

8,50,000

5,60,000

(b) Non-Current Investments

2,32,000

1,60,000

2. Current Assets

(a) Current Investments

50,000

1,34,000

(b) Inventories

76,000

82,000

(c) Trade Receivables

38,000

92,000

(d) Cash and Cash Equivalents

94,000

70,000

Total

13,40,000

10,98,000

Particulars

31st March, 2022

(`)

31st March, 2023

(`)

I. Reserves and Surplus

Surplus, i.e., Balance in Statement of Profit and Loss

4,00,000

3,00,000

Cash Flow Statement

for the year ended March 31, 2023

Particulars

Details

(`)

 (`)

A

Cash from Operating Activities

Net Profit

1,00,000

Operating Profit Before Working Capital Changes

1,00,000

Add: Decrease in Current Assets

  Inventories

6,000

  Trade Receivables

54,000

Less: Decrease in Current Liabilities

  Trade Payables

(8,000)

52,000

Cash Generated from Operations

1,52,000

Less: Tax Paid

-

Net Cash Flow from Operating Activities

1,52,000

B

Cash From Investing  Activities

Purchase of Tangible Assets

(2,90,000)

Purchase on Non Current Investment

(72,000)

Net Cash Used in Investing Activities

(3,62,000)

C

Cash From Financing Activities

Issue of Share Capital

2,00,000

Long Term Borrowings

(50,000)

Net Cash Flow from Financing Activities

1,50,000

D

Net Decrease in Cash and Cash Equivalents 

(60,000)

Add: Cash and Cash Equivalents in the beginning of the period (70,000 + 1,34,000)

2,04,000

 Cash and Cash Equivalents at the end of the period (94,000 + 50,000)

1,44,000