Commerce Exam  >  Commerce Notes  >  Accountancy Class 12  >  NCERT Solution: Cash Flow Statement -2

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce PDF Download

Numerical Questions

Q1:  Anand Ltd., arrived at a net income of Rs. 5,00,000 for the year ended March 31, 2017. Depreciation for the year was Rs. 2,00,000. There was a profit of Rs. 50,000 on assets sold which was transferred to Statement of Profit and Loss account. Trade Receivables increased during the year Rs. 40,000 and Trade Payables also increased by Rs. 60,000. Compute the cash flow from operating activities by the indirect approach.
Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q2: From the information given below you are required to calculate the cash paid for the inventory:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceCash paid for Inventory amounts to Rs 1,59,500

Q3: For each of the following transactions, calculate the resulting cash flow and state the nature of cash flow viz., operating, investing and financing.
(a) Acquired machinery for Rs 2,50,000 paying 20% drawn and executing a bond for the balance payable.
(b) Paid Rs. 2,50,000 to acquire shares in Infor ma Tech. and received a dividend of Rs. 50,000 after acquisition.
(c) Sold machinery of original cost Rs. 2,00,000 with an accumulated depreciation of Rs. 1,60,000 for Rs. 60,000.
Ans:
(a) Amount paid for Machinery = 250000 x 20/100 = 50000 
Part payment Rs.50000 for acquiring machinery Rs.250000 is related with Investing Activities. 
(b) Amount paid for acquiring shares (250000) 
Dividend received 50000 
Net Cash used in Investing Activities (200000) 
Amount paid to acquire assets and dividend received is a part of Investing Activities. 
(c) Inflow of cash of Rs.60000 on sale of machinery is a part of Investing Activities.

Q4: The following is the Profit and Loss Account of Yamuna Limited:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Additional information:
(i) Trade receivables decrease by Rs. 30,000 during the year. 
(ii) Prepaid expenses increase by Rs. 5,000 during the year.

(iii) Trade payables increase by Rs. 15,000 during the year.
(iv) Outstanding expenses payable increased by Rs. 3,000 during the year. 
(v) Other expenses included depreciation of Rs. 25,000.
Compute net cash from operations for the year ended March 31, 2017 by the indirect method.
Answer: Cash Flow from Operating Activities of Yamuna Limited as on March 31, 2017 

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q5: Compute cash from operations from the following figures: 
(i) Profit for the year 2016-17 is a sum of Rs. 10,000 after providing for depreciation of Rs. 2,000. 
(ii) The current assets and current liabilities of the business for the year ended March 31, 2016 and 2015 are as follows:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceAns:

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q6: From the following particulars of Bharat Gas Limited, calculate Cash Flows from Investing Activities. Also show the workings clearly preparing the ledger accounts.
Balance Sheet of Bharat Gas Ltd., as on 31 March, 2016 and 31 March 2017
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce
Notes: 
Tangible assets = Machinery 
2 Intangible assets = Patents
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce
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 the year was Rs. 1,40,000. 
(c) On March 31, 2016, 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, 2017. 
(d) Amartax 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.

Ans: 

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q7: From the following Balance Sheet of Mohan Ltd., prepare cash flow Statement:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Notes to accounts:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceAdditional Information: 
Machine Costing Rs. 80,000 on which accumulated depreciation was Rs. 50,000 was sold for Rs. 20,000. 9% bank loan Rs. 20,000 was repaid on March 31, 2017. Proposed dividend for the year 2015-16 was Rs. 60,000.
Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce
Q8:  From the following Balance Sheets of Tiger Super Steel Ltd., prepare Cash Flow Statement:

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNotes to accounts:NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceAdditional Information: 
*Proposed dividend for 2016-17 is Rs. 15,600 and for 2015-16 is Rs. 11,200.
Depreciation Charged on Land & Building Rs. 20,000, and Plant Rs. 10,000 during the year. Proposed dividend for 2016-17 Rs. 15,600 and 2015-16 Rs. 11,200
Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceWorking Note: 1.
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce2. 
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q9: From the following information, prepare cash flow statement:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceAdditional Information: 
Depreciation Charged on Plant amounted to Rs. 80,000.
Ans: 
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Working Note:

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce
Q10. From the following Balance Sheet of Yogeta Ltd., prepare cash flow statement:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNotes to Accounts:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce
Additional Information: 
Net Profit for the year after charging Rs. 50,000 as Depreciation was Rs. 1,50,000. Dividend paid on Share was Rs. 50,000, Tax Provision created during the year amounted to Rs. 60,000. 8% loan was repaid on March 31, 2017 and an additional 9% loan of Rs. 1,30,000 was obtained from Rahul on April 01, 2016.
Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceWorking Note: 1
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceWorking Note: 2
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q11: Following is the Balance sheet of Garima Ltd., prepare cash flow statement.
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Notes to Accounts:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceAdditional Information:

1. Depreciation charged during the year Rs. 32,000
Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceWorking Note:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

Q12: From the following Balance Sheet of Computer India Ltd., prepare cash flow statement.
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNotes to Accounts:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceAdditional Information: 
Proposed dividend for the year 2015-16 is Rs. 2,50,00,000
Ans:
NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - CommerceNCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

The document NCERT Solution: Cash Flow Statement -2 | 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

Top Courses for Commerce

FAQs on NCERT Solution: Cash Flow Statement -2 - Accountancy Class 12 - Commerce

1. What is a cash flow statement and why is it important?
Ans. A cash flow statement is a financial document that provides a summary of the cash inflows and outflows of a business over a specific period. It is important because it helps stakeholders understand how well a company generates cash to pay its debts, fund its operating expenses, and invest in future growth.
2. What are the main components of a cash flow statement?
Ans. The main components of a cash flow statement are operating activities, investing activities, and financing activities. Operating activities include cash flows from the core business operations, investing activities involve cash used for investments in assets, and financing activities reflect cash flows from raising or repaying capital.
3. How do you calculate cash flow from operating activities?
Ans. Cash flow from operating activities can be calculated using the direct or indirect method. The direct method involves listing all cash receipts and payments, while the indirect method starts with net income and adjusts for non-cash items and changes in working capital to arrive at cash flow from operations.
4. What is the difference between cash flow and profit?
Ans. Cash flow refers to the actual cash that is moving in and out of a business, while profit is the difference between revenue and expenses, which can include non-cash items like depreciation. A company can be profitable on paper but still face cash flow issues if its cash inflows are not sufficient.
5. How can a cash flow statement help in financial analysis?
Ans. A cash flow statement helps in financial analysis by providing insights into a company’s liquidity, financial health, and operational efficiency. Analysts can assess how well a company manages its cash, ensuring it can meet obligations and invest in opportunities, which is crucial for long-term sustainability.
42 videos|168 docs|43 tests
Download as PDF
Explore Courses for Commerce exam

Top Courses for Commerce

Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev
Related Searches

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

,

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

,

pdf

,

practice quizzes

,

video lectures

,

study material

,

MCQs

,

mock tests for examination

,

ppt

,

Important questions

,

Objective type Questions

,

past year papers

,

Summary

,

Semester Notes

,

Previous Year Questions with Solutions

,

Viva Questions

,

Free

,

Sample Paper

,

Exam

,

shortcuts and tricks

,

Extra Questions

,

NCERT Solution: Cash Flow Statement -2 | Accountancy Class 12 - Commerce

;