Question

From the following Balance Sheet as at 31st March, 2019 and Statement of Profit and Loss for the year ended 31st March, 2019 of RBS Ltd and additional inforation , prepare Cash Flow statement .

Additional Infromation :
(i) Additional debenture were issued on 1 st October, 2018 of ₹5,00,000. On the same date part of outstanding debenture were redeemed and interest was paid, whereas interest outstading debentures was paid on 10th April, 2019.
(ii) Borad of Directors proposed dividend in both the years @ 10% .
(iii) Interim Dividend of ₹ 1,00,000 was paid during the years.
(iv) A fixed asset with original cost of ₹ 1,00,000 on which deprection till date was provided of ₹80,000 was sold at a profit of ₹ 10,000.

Answer 1

Correct Answer - Cash Flow from Opeating Activities = ₹ 7,35,500; Cash Used in Investing Activies = ₹ 4,45,000; Cash Flow form Financing Activites = ₹ 3,87,500; Net Increase in Cash and Cash Equivalent = ₹ 6,79,000.