Commerce Exam > Commerce Notes > Accountancy Class 12 > Important Questions - Cash Flow Statement (Financial Statement Analysis)
Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce PDF Download
Important Questions
Q1. The Goodwill of X ltd. increased from 2, 00,000 in 2013-14 to 3, 50,000 in 2014-15. What will be its treatment while preparing Cash Flow Statement for the year ended 31st March 2015?
(1)
Q2. Kartik Mutuals, a mutual fund company, provides you the following information:
Additional Information:
Equity Share Capital raised during the year 3,00,000
10% bank loan repaid was 1,00,000
Dividend received during the year was 20,000
Find out the cash flow from financing activities
(1)
Q3. Prepare Cash Flow Statement from the following Balance sheets and Additional information
ADDITIONAL INFORMATION:
(i) An old machinery having book value of Rs 72,000(accumulated depreciation was Rs.30,000) was sold for 56,000.
(ii) Depreciation provided on machinery during the year was Rs 28,000.
(6)
Q4. Calculate cash flow from financing activities:
Additional info:
a. Debentures were redeemed at a premium of 10%.
b. Additional preference shares were issued on 1stjuly 2011 at premium of 10%
c. Provide dividends on preference shares up to date.
d. Shares were issued at a premium of 10% and under writing commission paid was Rs.10000.
e. Dividend on equity shares made during the year was Rs 40000.
(6)
Q5. Calculate cash flow from investing activities clearly preparing the ledger accounts:
(8)
Additional Information:
(a) Patents were written off to the extent of Rs. 40,000 and some Patents were sold at a profit of Rs. 20,000.
(b) A Machine costing Rs. 1,40,000 (Depreciation provided thereon Rs. 60,000) was sold for Rs. 50,000. Depreciation charged during theyear was Rs. 1,40,000.
(c) On March 31, 2007, 10% Investments were purchased for Rs. 1,80,000 and some Investments were sold at a profit of Rs. 20,000. Interest on Investment was received on March 31, 2011.
(d) Fufu Ltd. paid Dividend @ 10% on its shares.
(e) A plot of Land had been purchased for investment purposes and let out for commercial use and rent received Rs. 30,000.
Q6 Prepare a Cash Flow Statement from the following Balance Sheet of Shuchi Diamonds Ltd.:
(8)
BALANCE SHEET OF SHUCHI DIAMONDS L TO. as at 31st March, 2014
Additional Information:
• tax paid during the year was Rs.40,000.
• A Machine costing Rs. 50,000 (depreciation provided thereon Rs. 30,000) was sold for Rs.
10,000 during the year.
The document Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce is a part of the Commerce Course Accountancy Class 12.
All you need of Commerce at this link: Commerce
|
42 videos|168 docs|43 tests
|
FAQs on Important Questions - Cash Flow Statement (Financial Statement Analysis) - Accountancy Class 12 - Commerce
| 1. What is a cash flow statement? |  |
Ans. A cash flow statement is a financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents. It breaks down the company's cash inflows and outflows during a specific period and helps in understanding the company's liquidity, solvency, and financial performance.
| 2. Why is cash flow statement important in financial analysis? | |
Ans. The cash flow statement is crucial in financial analysis as it reflects the company's ability to generate cash and manage its cash flows. It helps in assessing the company's liquidity, solvency, and financial performance. It also provides insights into how the company is financing its operations and investments and whether it has enough cash to meet its obligations.
| 3. What are the three main categories in a cash flow statement? | |
Ans. The three main categories in a cash flow statement are operating activities, investing activities, and financing activities. Operating activities include cash inflows and outflows from the company's primary business operations. Investing activities include cash inflows and outflows from investments in long-term assets such as property, plant, and equipment. Financing activities include cash inflows and outflows from borrowing and repaying debt, issuing and repurchasing stock, and paying dividends.
| 4. How can a negative cash flow impact a company? | |
Ans. A negative cash flow indicates that a company is spending more cash than it's generating, which can impact its ability to meet its financial obligations. It may result in the company defaulting on its debt, delaying payments to suppliers, or reducing investments in growth opportunities. A negative cash flow can also lead to a decline in the company's stock price and shareholder confidence.
| 5. How can a company improve its cash flow? | |
Ans. A company can improve its cash flow by managing its working capital effectively, reducing unnecessary expenses, and increasing its cash inflows. It can also improve its cash flow by negotiating better payment terms with suppliers, implementing a more efficient inventory management system, and reducing its accounts receivable days. Additionally, it can consider selling non-core assets, issuing debt, or equity to increase cash inflows.
Related Exams
About this Document
|
12.7K Views |
|
4.88/5 Rating |
|
Dec 04, 2024 Last updated |
Document Description: Important Questions - Cash Flow Statement (Financial Statement Analysis) for Commerce 2024 is part of Accountancy Class 12 preparation.
The notes and questions for Important Questions - Cash Flow Statement (Financial Statement Analysis) have been prepared according to the Commerce exam syllabus. Information about Important Questions - Cash Flow Statement (Financial Statement Analysis) covers topics
like and Important Questions - Cash Flow Statement (Financial Statement Analysis) Example, for Commerce 2024 Exam. Find important definitions, questions, notes, meanings, examples, exercises and tests below for Important Questions - Cash Flow Statement (Financial Statement Analysis).
Introduction of Important Questions - Cash Flow Statement (Financial Statement Analysis) in English is available as part of our Accountancy Class 12
for Commerce & Important Questions - Cash Flow Statement (Financial Statement Analysis) in Hindi for Accountancy Class 12 course.
Download more important topics related with notes, lectures and mock test series for Commerce
Exam by signing up for free. Commerce: Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce
Description
Full syllabus notes, lecture & questions for Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce - Commerce | Plus excerises question with solution to help you revise complete syllabus for Accountancy Class 12 | Best notes, free PDF download
Information about Important Questions - Cash Flow Statement (Financial Statement Analysis)
In this doc you can find the meaning of Important Questions - Cash Flow Statement (Financial Statement Analysis) defined & explained in the simplest way possible. Besides explaining types of
Important Questions - Cash Flow Statement (Financial Statement Analysis) theory, EduRev gives you an ample number of questions to practice Important Questions - Cash Flow Statement (Financial Statement Analysis) tests, examples and also practice Commerce
tests
|
Explore Courses for Commerce exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
Summary
,practice quizzes
,Free
,study material
,shortcuts and tricks
,Viva Questions
,mock tests for examination
,past year papers
,Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce
,video lectures
,Objective type Questions
,Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce
,Important Questions - Cash Flow Statement (Financial Statement Analysis) | Accountancy Class 12 - Commerce
,MCQs
,Important questions
,Sample Paper
,ppt
,Exam
,Semester Notes
,Extra Questions
,Previous Year Questions with Solutions
;
Additional Information about Important Questions - Cash Flow Statement (Financial Statement Analysis) for Commerce Preparation
Important Questions - Cash Flow Statement (Financial Statement Analysis) Free PDF Download
The Important Questions - Cash Flow Statement (Financial Statement Analysis) is an invaluable resource that delves deep into the core of the Commerce exam.
These study notes are curated by experts and cover all the essential topics and concepts, making your preparation more efficient and effective.
With the help of these notes, you can grasp complex subjects quickly, revise important points easily,
and reinforce your understanding of key concepts. The study notes are presented in a concise and easy-to-understand manner,
allowing you to optimize your learning process. Whether you're looking for best-recommended books, sample papers, study material,
or toppers' notes, this PDF has got you covered. Download the Important Questions - Cash Flow Statement (Financial Statement Analysis) now and kickstart your journey towards success in the Commerce exam.
Importance of Important Questions - Cash Flow Statement (Financial Statement Analysis)
The importance of Important Questions - Cash Flow Statement (Financial Statement Analysis) cannot be overstated, especially for Commerce aspirants.
This document holds the key to success in the Commerce exam.
It offers a detailed understanding of the concept, providing invaluable insights into the topic.
By knowing the concepts well in advance, students can plan their preparation effectively.
Utilize this indispensable guide for a well-rounded preparation and achieve your desired results.
Important Questions - Cash Flow Statement (Financial Statement Analysis) Notes
Important Questions - Cash Flow Statement (Financial Statement Analysis) Notes offer in-depth insights into the specific topic to help you master it with ease.
This comprehensive document covers all aspects related to Important Questions - Cash Flow Statement (Financial Statement Analysis).
It includes detailed information about the exam syllabus, recommended books, and study materials for a well-rounded preparation.
Practice papers and question papers enable you to assess your progress effectively.
Additionally, the paper analysis provides valuable tips for tackling the exam strategically.
Access to Toppers' notes gives you an edge in understanding complex concepts.
Whether you're a beginner or aiming for advanced proficiency, Important Questions - Cash Flow Statement (Financial Statement Analysis) Notes on EduRev are your ultimate resource for success.
Important Questions - Cash Flow Statement (Financial Statement Analysis) Commerce
The "Important Questions - Cash Flow Statement (Financial Statement Analysis) Commerce Questions" guide is a valuable resource for all aspiring students preparing for the
Commerce exam. It focuses on providing a wide range of practice questions to help students gauge
their understanding of the exam topics. These questions cover the entire syllabus, ensuring comprehensive preparation.
The guide includes previous years' question papers for students to familiarize themselves with the exam's format and difficulty level.
Additionally, it offers subject-specific question banks, allowing students to focus on weak areas and improve their performance.
Study Important Questions - Cash Flow Statement (Financial Statement Analysis) on the App
Students of Commerce can study Important Questions - Cash Flow Statement (Financial Statement Analysis) alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Important Questions - Cash Flow Statement (Financial Statement Analysis),
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Important Questions - Cash Flow Statement (Financial Statement Analysis) is prepared as per the latest Commerce syllabus.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup