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BRILLIANT’S Fund Flow Statement 75

Illustration 2.1.1
From the following information relating to A Ltd., prepare Funds Flow Statement:
A {b{‘Q>oS> go g§~§{YV {ZåZ{b{IV gyMZm go ’§$S²>g âbmo ñQ>oQ>‘|Q> V¡¶ma H$s{OE…
(`'000)
Particulars ({ddaU) 2017 2018 Particulars ({ddaU) 2017 2018
(`) (`) (`) (`)
Share Capital (eo¶a H¡${nQ>b) 300 400 Cash (H¡$e) 30 90

Reserve ([aOd©) 100 50 Accounts Receivable
Retained Earnings (AH$mC§Q²>g [a{gdo~b) 105 150
([aQ>oZ A{Zª½g) 30 60 Inventories (BÝdoÝQ´>rO) 150 195
Accounts Payable Fixed Assets ({’$³ñS> AgoQ²>g) 190 210
(AH$mC§Q²>g no¶o~b) 45 135
475 645 475 645
Additional Information / A{V[a³V gyMZm
(a) The company issued bonus shares for ` 50,000 and for cash ` 50,000.
H§$nZr Zo ` 50,000 Ho$ {bE ~moZg eo¶g© VWm ` 50,000 H¡$e Ho$ {bE Omar {H$¶o&

(b) Depreciation written off during the year ` 15000.
df© Ho$ Xm¡amZ S>o{à{gEeZ [aQ>Z Am°’$ ` 15,000 h¡&

Solution:
Schedule of Changes in Working Capital
Particulars Changes
2017 2018 Increase Decrease
(`) (`) (`) (`)
A. Current Assets:
Cash 30,000 90,000 60,000 –
Accounts Receivable 1,05,000 1,50,000 45,000 –
Inventories 1,50,000 1,95,000 45,000 –
2,85,000 4,35,000
B. Current Liabilities:
Account Payable 45,000 1,35,000 – 90,000
Working Capital 2,40,000 3,00,000
Increasing in Working Capital 60,000 – – 60,000
3,00,000 3,00,000 1,50,000 1,50,000