With the help of the following comparative balance sheet, income statement and additional information of Reliance Company, you are required to prepare Cash flow statement of Reliance company for the year ended March 31st 2020. Comparative Income statement for Reliance Company for the year ending March 31 2020 31-Mar-19 31-Mar-20 Assets: Cash and bank 60,000 75,000 Receivables 63,000 54,000 Inventory_ 29,000 32,000 Long term Investments 150,000 190,000 Equipment 95,000 47,000 Total Assets 397,000 398,000 Liabilities and Shareholders' Equity: Accounts payables 29,000 35,000 Tax payable 26,000 16,000 Deferred revenue (short-term) 20,000 11,300 Long Term loans 128,000 105,700 Common stock 120,000 120,000 Retained earnings 74,000 110,000 Total Liabilities and Equity 397,000 398,000 Income Statement of Reliance Company the Year ending 31 March, 2020 Revenue: Sales revenue 1500,000 Dividend received 28,000 Interest received 12,000 Total Revenue 1540,000 Expenses: Cost of goods sold (COGS) 956,000 Salary expenses 330,000 Depreciation and amortization expenses 42,000 Interest expense 46,000 Income tax 10,000 Total Expenses 1384,000 Net Income or Profit after Tax 156,000 Adjustments: 1. During the year 2019-20, long-term investments worth of Rs 40,000 are purchased by paying cash. 2. During the year 2019-20, equipment with a net book value of Rs 6,000 is sold at cost. Answer: Cash Flow Statement of Reliance Company Particulars Amount