Taking the cut-off rate as 10%, suggest whether the project should be accepted or not. 6. Black berry Ltd. Presents the following information and you are required to calculate funds from operation. Particulars Amount Particulars Amount To Operation Expenses 1,00,000 By Gross profit 1,90,000 To Deprecation 40,000 By Gain on sale of plant 20,000 To Loss on sale of Building 10,000 By Dividend Income received 10,000 To Advertisement Suspense account 5,000 To Discount allowed 500 To Discount on Issue of shares written off 500 To Goodwill written off 12,000 To Net profit 52,000 2,20,000 2,20,000