Page 165 - AAAXII

M.156 An Aid to Accountancy—CBSE XII

23. (a) From the following information, calculate Cash Flow from Operating Activities:

Particulars 31st March, 2018 31st March, 2017
` `
Surplus, i.e., Balance in the Statement of Profit and Loss 71,000 89,000
Inventory 12,000 4,000
Trade Receivables 58,000 45,000
Outstanding Expenses 14,600 10,000
Goodwill 57,000 27,000
Cash in Hand 9,000 12,000
Machinery 82,000 56,000
(i) A piece of machinery costing ` 50,000 on which depreciation of ` 20,000
had been charged was sold for ` 10,000. Depreciation charged during the
year was ` 18,000.
(ii) Income Tax ` 23,000 was paid during the year.
(iii) Dividend paid during the year was ` 36,000.
(iv) During the year, Non-current Investments were sold at a profit of 20% which
is transferred to Capital Reserve. Book value of investment sold ` 10,000.
(b) From the following information, calculate Net Cash Flow from Investing Activities:

Particulars 31st March, 2018 31st March, 2017
` `
Machinery (At Cost) 4,10,000 2,50,000
Accumulated Depreciation 90,000 60,000
Additional Information: During the year, a machine costing ` 80,000 with its
accumulated depreciation of ` 50,000 was sold at a profit of 20%. (4 + 2)