Page 80 - AAAXII

Model Test Papers M.75

Forfeited Shares A/c ...Dr. 5,000
To Capital Reserve A/c 5,000
(Being the gain on reissue of 100 shares transferred to
Captial Reserve) (WN 2)

Dr. FORFEITED SHARES ACCOUNT Cr.
Particulars ` Particulars `
To Share Capital A/c 6,000 By Share Capital A/c 25,000
To Capital Reserve A/c (Gain on 300 shares) 9,000
To Capital Reserve A/c (Gain on 100 shares) 5,000
To Balance c/d 5,000
25,000 25,000

Working Notes:
Gain on Reissue of forfeited shares = Amount forfeited – Discount on reissue
Ê 300 ˆ
1. Gain on reissue of 300 forfeited shares = ` 25,000 ¥ 500 ˜ ¯ - 6,000` = 9,000` .
Á
Ë
Ê 100 ˆ
2. Gain on reissue of 100 forfeited shares = ` 25,000 ¥ 500 ˜ ¯ - Nil = 5,000` .
Á
Ë
PART B

18. Cash Flow from Investing Activities means the cash inflow and cash outflow from sale
or purchase of non-current assets and non-current investments during the year.
19. Amount of instalment ` 4,00,000
Less: Amount of interest included in instalment ` 40,000
Amount paid for machinery ` 3,60,000
Cash Outflow from Investing Activities = ` 3,60,000
Cash Outflow from Financing Activities = ` 40,000.
20. (a) Revenue from Operations, i.e., Net Sales.

(b) COMPARATIVE STATEMENT OF PROFIT AND LOSS
for the years ended 31st March, 2017 and 2018
A B C D = C – B E = D × 100/B
Particulars 31st March, 31st March, Absolute Percentage
2017 2018 Change Change
` ` ` %
I. Revenue from Operations 2,00,000 3,50,000 1,50,000 75.00
II. Expenses
(a) Cost of Revenue from Operations 1,20,000 2,45,000 1,25,000 104.17
(b) Employees Benefits Expenses 4,000 7,350 3,350 83.75
Total Expenses 1,24,000 2,52,350 1,28,350 103.51
III. Profit before Tax (I – II) 76,000 97,650 21,650 28.49
IV. Tax Expenses 34,200 43,942 9,742 28.49
V. Profit after Tax (III – IV) 41,800 53,708 11,908 28.49