c12 Illustration 2 The following data were provided by the accounting records of Ryan Ltd. at year-end, March 31, 2006: Income Statement Rs. Sales 6,98,000 Cost of Goods Sold (520.000) Gross Margin 1,78,000 Operating Expenses (including Depreciation Expense of Rs. 37,000) (1.47.000 31,000 Other Income (Expenses) Interest Expense paid (23,000) Interest Income received 6,000 Gain on Sale of Investments 12,000 Loss on Sale of Plant (3.000) (8.000 23,000 Income tax (7.000 16,000 Comparative Balance Sheets Rs. 31st March 31st March 2006 2005 7,15,000 5,05,000 (1.03.000 Less: Accumulated Depreciation 6,12,000 4,37,000 Investments (Long term) 1,15,000 1,27,000 Current Assets: 1,44,000 1,10,000 Inventory 47,000 55,000 Accounts Receivable 46,000 15,000 Assets Plant Assets 168,000 5,000 7.49,000 3,15,000 1,32,000 2,45,000 43,000 9,000 5,000 7.49.000 Cash 1,000 Prepaid Expenses 965.000 Liabilities Share Capital 4,65,000 Reserves and Surplus 1,40,000 Bands 2,95,000 Current Liabilities: Accounts Payable 50,000 Accrued Liabilities 12,000 income Taxes Payable 3.000 9.65.000 Analysis of selected accounts and transactions during 2005-2006 1 Purchased investments for Rs. 78,000 2. Sold investments for Rs. 1,02,000. These investments cost Rs. 90,000 3. Purchased plant assets for Rs. 1,20,000 4. Sold plant assets that cast Rs. 10,000 with accumulated depreciation of Rs. 2,000 for Rs. 5,000. 5. Issued Rs. 1,00,000 of bonds at face value in an exchange for plant assets on 31st March, 2006 6. Repaid Rs. 50,000 af bonds at face value at maturity. 7. Issued 15,000 shares of Rs. 10 each. 8. Paid cash dividends Rs. 8,000. Prepare Cash Flow Statement as per AS-3 (Revised), using indirect method