The balance sheet of Beach Wood Steel Limited at the end of year n (the year which is just over) is as follows: (All figures are in lakhs)

During the year n+1, the firm plans to raise a secured loan of Rs.20 lakhs and repayment of loans by 5 lakhs. The investment is planned to increase by 10 lakhs. There is an increase in current liabilities due to deferred payment to machinery suppliers by 5 lakhs and provisions also increased by 5 lakhs. The company plans to sell fixed assets worth Rs. 10 lakhs and raise its inventories by 10 lakhs. Receivables are expected to increase by 5 lakhs. The firm plans to pay 5 lakhs by way of equity dividend. The level of cash would be the balancing amount in the projected balance sheet. Given the above information, prepare the following:

a) Projected Cashflow statement B) Projected Balance Sheet

Liabilities Assets : Share Capital Reserves & Surplus Secured Loans Unsecured Loans Current Liabilities Provisions : 120 : 20 : 30 : 10 : 10 : 10 Fixed Assets Investments Current Assets Cash Receivables : Inventories: 120 30 50 20 10 20 200 200 The projected income statement and the distribution of earnings is given below: Sales Cost of Goods sold Depreciation Profit before interest and tax Interest Profit before tax Tax Profit after tax Dividend Retained Eamings : 120 : 70 : 20 : 30 : 10 : 20 : 5 : 15 5 : 10 ouTuo