The following information was provided by M/s PQR Ltd. for the year ended 31st March, 2019:...
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The following information was provided by M/s PQR Ltd. for the year ended 31st March, 2019: (1) Gross Profit Ratio was 25% for the year, it amounts to * 3,75,000. (2) Company sold goods for cash only. (3) Opening inventory was lesser than closing inventory by * 25,000. (4) Wages paid during the year 5,55,000. (5) Office expenses paid during the year * 35,000. (6) Selling expenses paid during the year * 15,000. (7) Dividend paid during the year 40,000 (including dividend distribution tax). (8) Bank Loan repaid during the year 2,05,000 (included interest * 5,000) (9) Trade payable on 31st March, 2018, were 50,000 and on 31st March, 2019 were * 35,000. (10) Amount paid to Trade payables during the year 6,10,000 (11) Income Tax paid during the year amounts to ₹ 55,000 (Provision for taxation as on 31st March, 2019, * 30,000) (12) Investments of ₹ 8,20,000 sold during the year at a profit of * 20,000. (13) Depreciation on other tangible assets amounts to ₹ 40,000. (14) Depreciation on other tangible assets amounts to * 20,000. (15) Plant and Machinery purchases on 15th November, 2018 for ₹ 3,50,000. (16) On 31st March, 2019 2,00,000, 7% Debentures issued at face value in an exchange for a plant. (17) Cash and Cash equivalents on 31st March, 2018 * 2,25,000. (A) Prepare cash flow statement for the ended 31st March, 2019, using direct method. (B) Calculate cash flow from operating activities, using indirect method. The following information was provided by M/s PQR Ltd. for the year ended 31st March, 2019: (1) Gross Profit Ratio was 25% for the year, it amounts to * 3,75,000. (2) Company sold goods for cash only. (3) Opening inventory was lesser than closing inventory by * 25,000. (4) Wages paid during the year 5,55,000. (5) Office expenses paid during the year * 35,000. (6) Selling expenses paid during the year * 15,000. (7) Dividend paid during the year 40,000 (including dividend distribution tax). (8) Bank Loan repaid during the year 2,05,000 (included interest * 5,000) (9) Trade payable on 31st March, 2018, were 50,000 and on 31st March, 2019 were * 35,000. (10) Amount paid to Trade payables during the year 6,10,000 (11) Income Tax paid during the year amounts to ₹ 55,000 (Provision for taxation as on 31st March, 2019, * 30,000) (12) Investments of ₹ 8,20,000 sold during the year at a profit of * 20,000. (13) Depreciation on other tangible assets amounts to ₹ 40,000. (14) Depreciation on other tangible assets amounts to * 20,000. (15) Plant and Machinery purchases on 15th November, 2018 for ₹ 3,50,000. (16) On 31st March, 2019 2,00,000, 7% Debentures issued at face value in an exchange for a plant. (17) Cash and Cash equivalents on 31st March, 2018 * 2,25,000. (A) Prepare cash flow statement for the ended 31st March, 2019, using direct method. (B) Calculate cash flow from operating activities, using indirect method.
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Answer rating: 100% (QA)
To prepare a Cash Flow Statement for Ms PQR Ltd for the year ended 31st March 2019 well start with the direct method as requested Well calculate cash flows from operating activities using the given in... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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