Page 119 - Corporate Finance PDF Final new link

BRILLIANT’S Cash Flow Statement 119

Purchase of fixed assets / {’$³ñS> AgoQ²>g IarXr 14,56,000
Investment in Joint Venture / Ádm°B§Q> d|Ma ‘| BÝdoñQ>‘|Q> 3,85,000

Expenditure on construction work in progress / {Z‘m©U H$m¶© àJ{V na 춶 34,74,000
Proceeds from calls in arrear / H$m°ëg BZ E[a¶a na H$m¶©dmhr 200
Receipt of grant for capital projects / J«mÝQ> H$s àmpßV H¡${nQ>b àmoOo³Q²>g Ho$ {bE 1,200

Long-term borrowings / bm°ÝJ Q>‘© ~mamoB§½g 25,98,000
Short-term borrowings / em°Q>© Q>‘© ~mamoB§½g 20,57,500
Opening Cash & Bank Balance / H¡$e VWm ~¢H$ H$m AmonqZJ ~¡b|g 5,00,300
Closing Cash & Bank Balance / H¡$e VWm ~¢H$ H$m ³bmoqOJ ~¡b|g 6,98,800

Prepare cash flow statement (by indirect method) for the year 2017-2018 in accordance with
AS-3.
AS-3 Ho$ AZwgma df© 2017-18 Ho$ {bE H¡$e âbmo ñQ>oQ>_|Q> (BZS>m`aoŠQ> {d{Y Ûmam) V¡`ma H$s{OE&
Solution: NPP
Cash Flow Statement (Indirect Method)

Particulars Amount Amount
(`) (`)
1. Cash flows from Operating Activities:
Net PBT and extraordinary items [See Note 1] 30,00,000
Adjustment for:
Add: Depreciation 20,00,000
Add: Loss on sale of assets 4,000
Less: Amortisation of Capital grants (600)
Less: Profit on sale of investments (10,000)
Less: Interest income from investments (2,50,600)
Add: Interest expenses 10,00,000
Operating Profit before working capital changes 57,42,800
Add: Increase in working capital (56,07,500)
1,35,300
Less: Income-tax paid (4,24,800)
Net Cash used in Operating Activities (1) (2,89,500)
2. Cash Flows from Investing Activities:
Assets sold (See Note 2) 14,500
Sale of investments (See Note 3) 27,86,500
Interest income on investments 2,50,600