Prepare Cash Flow Statement from the following Balance Sheets of Mr. Kapoor as at 31st March Kapoor’s Capital ₹ 2,40,000
Prepare Cash Flow Statement from the following Balance Sheets of Mr. Kapoor as at 31st March.
| Liabilities | 2022 | 2023 | Assets | 2022 | 2023 |
| Kapoor’s Capital | 2,40,000 | 3,00,000 | Fixed Assets | 20,000 | 1,60,000 |
| Creditors | 44,000 | 55,000 | Inventory | 70,000 | 55,000 |
| Bills Payable | 7,000 | 10,000 | Trade Receivables | 30,000 | 1,20,000 |
| Wages Due | 20,000 | — | Prepaid Expenses | 16,000 | 10,000 |
| Bank Overdraft | 5,000 | — | Bank Balance | — | 20,000 |
| 3,16,000 | 3,65,000 | 3,16,000 | 3,65,000 |
Additional Information:-
(a) There was neither any drawings nor any capital addition during the year.
(b) There was no purchase/sale of fixed assets.
[Ans. Cash from Operating activities ₹ 25,000; Cash from investing activities Nil; and Cash used in financing activities ₹ 5,000.]
Hint: Decrease in Bank Overdraft will be treated as financing activity.
Anurag Pathak Answered question 3 days ago
