From the following Balance Sheets of Enclotek Ltd. as at 31st March and the additional information provided, calculate (i) Cash from ‘Operating Activities’ and (ii) Cash from ‘Financing Activities’
From the following Balance Sheets of Enclotek Ltd. as at 31st March and the additional information provided, calculate (i) Cash from ‘Operating Activities’ and (ii) Cash from ‘Financing Activities’:
| Particulars | Â | 31.3.2023 | 31.3.2022 |
| I. EQUITY AND LIABILITIES: | Â | Â | Â |
| (1) Shareholder’s Funds: (a) Share Capital (b) Reserve and Surplus | 1 2 | 7,00,000 3,35,000 | 7,50,000 – |
| (2) Non-Current Liabilities Long-term Borrowings | Â | 3,00,000 | 2,00,000 |
| (3) Current Liabilities | Â | 70,000 | 1,10,000 |
| Total | Â | 14,05,000 | 10,60,000 |
| II. ASSETS: | Â | Â | Â |
| (1) Non-Current Assets: (a) Property, Plant and Equipment and Intangible Assets (i) Property, Plant and Equipment (Machinery) (ii) Intangible Assets (b) Non-Current Investments | Â | 8,60,000 – 1,25,000 | 6,20,000 20,000 80,000 |
| (2) Current Assets | Â | 4,20,000 | 3,40,000 |
| Total | Â | 14,05,000 | 10,60,000 |
Notes:-
| Â | 31.3.2023 | 31.3.2022 |
| (1) Share Capital: Equity Share Capital 5% Preference Share Capital | 5,00,000 2,00,000 | 4,50,000 3,00,000 |
| Â | 7,00,000 | 7,50,000 |
| (2) Reserve & Surplus Capital Redemption Reserve General Reserve Profit & Loss Balance | 1,00,000 1,35,000 1,00,000 | – 1,00,000 (1,00,000) |
| Â | 3,35,000 | 3,00,000 |
| (3) Long-term Borrowings: 8% Debentures | – | 2,00,000 |
| (4) Intangible Assets: Gooodwill | – | 20,000 |
Additional Information:-
(i) Depreciation provided on Machinery ₹ 60,000.
(ii) Preference Shares were redeemed at a premium of 5% on 31st March, 2023.
(iii) Additional debentures were issued on 1st October, 2022.
(iv) Proposed dividend on equity share capital for previous year ended 31st March 2022 was paid @ 8%.
[Ans]
(i) Net Cash Flows from Operating Activities ₹ 3,71,000;
(ii) Net Cash used in Financing Activities ₹ 26,000.]
Anurag Pathak Answered question 4 days ago
