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Prepare cash flow , If I'm satisfied with your answer , !! upvote for sure !! . 2019 - Dec [3] (a) The following figures
Prepare cash flow , If I'm satisfied with your answer , !! upvote for sure !!
. 2019 - Dec [3] (a) The following figures have been extracted from the books of M Limited for the year ended on 31.03.2019. You are required to prepare a Cash Flow Statement. (i) Net profit, before adjusting income tax but after taking into account the following items, was 10 lakhs. Depreciation on Assets *2,50,000. Discount on issue of Debentures written off 15,000. Interest on Debentures paid 1,75,000. Book value of investment 1.50,000 (Sold for 1,60,000). Interest received on investments 30,000. (ii) Income tax paid during the year 34,80,000. (iii) 7,500 10% preference shares of 100 each were redeemed on 31.03.2019 at a premium of 5%. Further the company issued 25,000 equity shares of 10 each at a premium of 20% on 02.04.2018. Dividend on preference shares were paid at the time of redemption. (iv) Dividends paid for the year 2017-18 32,50,000 and interim dividend paid 1,50,000 for the year 2018-19. (v) Land was purchased on 02.04.2018 for * 1,20,000 for which the company issued 10,000 equity shares of 10 each at a premium of 20% to the land owner as consideration. assets and liabilities were as follows: Particulars 31.03.2018 (*) Stock 6,00,000 Sundry Debtors 1,04,000 Cash in hand 98,150 Bills Receivables 25,000 Bills Payable 22,500 Sundry Creditors 83,000 Out standing expenses 37,500 31.03.2019 () 6,59,000 1,06,550 17,650 20,000 20,000 85,650 40,900Step by Step Solution
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