Statement

Cash flow

Advanced Accounting Lecture - 7

By – CA Nitin Goel
RECAP
1 Basic & Question
corupts
TOPICS
1 Basic & Questions
concepts
 casn Activities
# Q14 flow from operating
(In direct Metrod)
(Lakms)
Porgit beg items 710
tan &
extraordinary
on

Go
+ Interst
100
Depreciation
+

Interest& dividua ↓od

770

operating irgit by working lepid changes

ou

in T~ restoric
(20)
In crel

(150)
-

Increas in Trade RCI .

20
Inc in .
Trade
Paydle 18

Incin
of wage 18

Inc in
O Exper -

640
case
generated from operations 195)
be aid
-
Tan

#g
 Direct Method

(Lakns)
collection
from
destors
(250 4150-7oo)
+ 4008

Payment to creditors
(230 + 2400
-

250/ (238)
wys paid (40 + 800-50) (790)
other
[upenu paid (10 +
200 - 20)
xy)
640
Cash
generated from operations
- Tan
paid 1195)
145
 Provision Tan
Ala
-
for
180 Gives
By
Be ba
To Advanu tav
⑮
(BS)

-
PM Ala Goo Gives

To Bel Gop
By
Cd
=

Gives 2

Advanc Tan All

⑯
To Bal 3/d Gives 180
Prov
By
Tan
fou
-
To Bann All (g) ⑮ 195 Gives
=

2
By BdYd
Z
 10 + FV /00
12% D25 10000 = each

RateWort Int. =
-

102X 124-
=
/200
12000 s Ed
.

&
-

XLtd -

& -
#test
120000
TDS 10 %
(12000) 10 800
-

DebingXLtd Invesiyact
Inv - in .: .

Financing
Deb Alt
Issue
:

of ↓
↓

outgrow (1000000)
1000000
Inglow -

Interst Rec
(Investy Alt) )
.

financing
Interest
Sup Alt
:

Bank Al-Dr K
&:
[
1080 zitt
2000
BrIDS
.

(
12000
I
12000 : Gort
Rec ·

All-er
12000
To Interst Incom

Eres
-
ig
Act

Interest on Inv .
120000
j
-
TDS (12000) 1080
-
 Divided on Investment in shar

Post Dividual
is
Ap .
Divided
(spengi
Ag
.

Ar 15000
Bann or 1000 Bank Als -

Al
15000
To Investiest
Dividual
To 1000

100
(Reduce cost
of Investment)
Dividend
TO PRLA/c 1000

15000
restiny
=>Act PhAy Dir .
.

Eressing Act : Divided Res 10000

B
-

#restments
Clos

& Alt (Indirect Metrod) Opening

raing
.

200000 185000
(1000) - 15000 =

Divided
↓
Pray .
# OIS
Activities
flow from Investiny
Cash

Unsecured
bongiun
to subsidiarie (485000
82500
Interest on loar received

62400
Pre Acg . Divided received

Interest on Investment 76200

TDS
18200 ( 68o

Sale
of Plant (87000 -

96001 74408

of plant
49650
Entraordinary
loss
item Haim
for
:

(148100)
Investing Activities
Not Cash used in
# Q19
Land
Investments All
All
Bd3/d 8000
To Bab/d 2000
To
sy Bank All
(Sd)
70 g

By
Bann Ap 150000
Profit
To on sal 2000
By Bank Al Sooo
So he
(in)
irfitouch
To
(Pray)
To Bank
(B
⑮500 By Becld 500
Res For %)
Capital
To z
.

gBdyd
150000 z

(B) (Reay =
Provision
for Tan All
Plant &
Maching All To Bank
⑩o Byds/d Goo

13.% )
To Bal S/d So0d
By Bannak 9000
ByPALA/ 135000

40000
To
Profit on Sele

By Depreciation 135a
To Bdyd 95000
(inL z
z

To Debentius 100000
⑧ 190000*X157)
To Bank A/l 350000

(4 502-14
.

Bard 765000
by -
=

90000 =
(500000 -

50000) + 45000
 casn statement
flow
A) activities
operating 50000
Increase in PRLA/s (100000 50000)
-

900
- Interim Dividend /600000 X 15 % )
135008
Provision Tan
+
for -

items 27500
ingit by &
tan
cutraordinary
on

infit (30000
of
on sale Land

(40000
Profit on Sale
of
PRM

135000
P&M
Depi on

(20000
As
sum
Issua
ingit on sal
of
Inustments
18000
on
Ist day Interest on detentions (20000x94) -

338000

operating irgit byon working repitc changes

In in Inventories
150000
It in Trade Receiver (25000)
 It C. in
Other Current Assets
(35000
Payoles
in Track 5008
Ir .

100
Inc in Lieb
for Expense
.

Cash 28 8000
generated from operations
-
In come ton
paid ora 18800

B) Investing
Activities

150000
Song Land

Mach. 90000
Sch Plant &
of
Purchase Plant & Mach 1350000
of
700
Scheng Investments
5000
in Ac - Divided

Purchase -25000) (600)

of Investment
C) Financing
Activities

Share 10000
Issue
of Equity
(200000
Redemptionof Pre-share
Issue
of Debentures (21-1) 100000

Interns on defectors lisand

Divided paid (Goos
Interine divided
paid 90000 (16800

Net
Tez/(Dec) in Ush & Wh Eg .
Thrsa
90000
opening
+ can &ash Eg.
-

5000
wond Eg.
Losing
con
=
 [Prysh Eg Good
Cep
-
Sh .
:
Dividend Cases
.

-
500000 -

I up -

Opening closing Paid

100000
Financing
: :

130000
Dividend
Pagale 100000 130000 Declare :
:
-

(Eg . +
Pry]
Add back in PML
(Operating)

2) gening Losing

gase 30000
Divided 100000 1, 120000 Paid
Financing
:
& S
↑

150000 Declare :

(Operating)
Divided declared 15000 PML
during Add back in
-
year &

Dividend
galle Al

To Bannak 0 ByBesid 100000

1%
To Ba Yd 130000 By PALAL 150000
-

-
3) &
king closing Paid
100000
Financing
: :

# Declare :
Divided
Page 100000
-

Add back in PML

(Operating)

4) gening sing
-
Divided
Payish
-

100000

Enteries divided a
declared paid Co Eq
.

sh
Capital 800 00
,

-Dean - Retopay
is
,

Interim dividua =
82x5%= 2000

Divided
paid 10000
Financing Act.
=
-
5) specific
-
50008
10 %
ing Sh
up
.
.
.

Redu at 5%
premium .

Preg -

divided also
paid

(525 000)
,

Med 51 + 5 %
of Pry
=
-
- Sh .

(5000
Pry. Dividual Paid
(52x10 )
+ )
Homework

Revise what is done in class

# 2 & 29

All except
22 to 26
,
28
,
30 & 31

PD27
2 Mins Summary

crupts & Example

Basic