Fund Flow Statement-FR FSA
Fund Flow Statement-FR FSA
Fund Flow Statement-FR FSA
Q.1 [1996]- The balance sheet of national plastics ltd. As on 31.12.94 and on
31.12.95 are given below:
3,200 1,600
8,92,000 9,81,800
TOTAL
The entire share capital of the company was issued for cash. Depreciation on plant &machinery written off
for the year 1995 amounted to RS. 56,000.
During the year, the company paid a dividend of Rs. 30,000Prepare for the
year 1995:
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 39
dLJƉĞŚĞƌĞ
--- --- ----
-
-- -- --- `
dLJƉĞŚĞƌĞ
-- -
` Guiding you today for a Better Tomorrow
Q.2 [1997]- from the following balance sheet of XYZ ltd. Make out [i] statementof changes in
working capital and [ii] a fund flow statement for the year 1991.
15,000 10,000
TOTAL 6,77,000 8,17,000
dLJƉĞŚĞƌĞ
40 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
(
dLJƉĞŚĞƌĞ
99035 03989
Additional information:
Ă a piece of land has been sold out in 1991 and the profit has been credited to capitalreserve
account .
ď a machine has been sold for Rs. 10,000 . the written down value of the machine was Rs.12,000.
Depreciation of Rs. 10,000 is charged on plant account in 1991.
38,00,000 36,00,000
TOTAL
ASSETS
Non- current assets
a. fixed assets
i. tangible assets
dLJƉĞŚĞƌĞ
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 41
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
42 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
99035 03989
dLJƉĞŚĞƌĞ
Ă during 1998 the company paid Rs. 20,000 dividend and Rs. 56,250 as preferencedividend.
ď the company redeemed the preference share at a premium of 5% after making a call ofRs. 50 per
share to make the shares fully paid .
Đ during the year 1998 one plant , whose book value was Rs. 1,00,000 was sold at a loss ofRs. 20,000 and
the company purchased a plant for Rs. 60,000.
Q.4. [2000] – the summarized balance sheet of X ltd. As on 31st march 1998 and 31stmarch 1999 are asfollows:-
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 43
dLJƉĞŚĞƌĞ
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
ŝ sold one machine for Rs. 50,000 the cost of the machine was Rs. 1,28,000 and thedepreciation
provided for it was Rs. 70,000.
ŝŝŝ sold some trade investment at a profit which was credited to capital reserve .
44 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
(
dLJƉĞŚĞƌĞ
99035 03989
ŝǀ paid income tax Rs. 1,65,000.
Prepare fund flow statement for the year ended 31st march 1999.
Q.4 [2000]-the balance sheet of hari ltd. As on 31st December 2003 and 2004 aregiven below :
ASSETS
II.
Non current assets
[1]
[a] fixed assets
16,00,000 19,00,000
[i] tangible assets Fixed
4,60,000 5,80,000
assets [at cost ]
Less: depreciation 11,40,000 13,20,000
ŝ sold one machine for 50,000 the cost of which was 1,00,000 and the depreciationprovided on
it was 40,000.
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 45
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
ŝǀ sold some trade investments at a profit of 20,000 which was credited to capital reserve .
ǀ decided to value stock at cost whereas previously the practice was to value stock at costless 10%. The
stock according to books on 31.12.2003 was Rs. 1,08,000. The stock on 31.12.2004 was correctly valued
at cost at 1,50,000 and
ǀŝ decided to write off fixed assets costing 28,000 on which depreciation amounting to20,000 has
been provided .
You are required to prepare the statement of sources and application of funds during 2004showing the
changes in the working capital .All working should form part of your answer .
Q.5 [2001] – the balance sheet of symphony ltd. As on 30thjune 1999 and 30thjune2000 are given below
–
46 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
99035 03989
dLJƉĞŚĞƌĞ
Other information:-
Ă during 1999-2000 fixed assets [ present book value 10,000 , depreciation written off30,000] was
sold for 8,000.
Đ during 1999-2000 investments costing 80,000 were sold and investments of the samecost were
purchased .
Ě preference shares were redeemed at 5 % premium by issuing new equity shares anddebentures
were redeemed at 10% premium .
On the basis of the above information prepare a fund flow statement of symphony ltd. Forthe year ended
30 June 2000.
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 47
dLJƉĞŚĞƌĞ
--- --- ----
-- --- --- ` ` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ-- -
Q.6 [2004]- from the summarized balance sheet of sonar bangle ltd. As on31.03.2002 and
31.3.2003
ŝ depreciation on land & building for the year 2002-2003 was Rs. 20,000.
dLJƉĞŚĞƌĞ
48 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
(
99035 03989
'ƵŝĚŝŶŐzŽƵdŽĚĂLJ&ŽƌĂĞƚƚĞƌdŽŵŽƌƌŽǁ ĂĚŝƚLJĂ'ƵƉƚĂůĂƐƐĞƐ
WŚŽŶĞ–ϵϵϬϯϱͲϬϯϵϴϵ
ŝŝ accumulated depreciation on plant & machinery on 31.03.02 was 1,50,000 and on
31.03.03 was 1,70,000.
ŝŝŝ machinery costing Rs. 50,000 [ written down value 10,000 ] was sold for 12,000.
ǀ bonus share were issued at the rate of one share for every four shares held on 31.03.02out of
general reserve .
Q.7 [2006] – the statement of changes in working capital of K Ltd. For the year ended 31st
December 2005 showed the following information :
Calculate the value of the aforesaid current assets and current liabilities on 31.12.2004.
Q.8 (2004) From the following information summarised balance sheet of a company as at 31st
March,2004. And 31st March,2004 and 31st March, 2004 respectively, you are required to
prepare
Ă͘ Statement of change in working capital
ď͘ Statement of sources and application of funds.
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 49
ϱϬͮWĂŐĞŶƌŽůůŶŽǁĨŽƌ͘KDͬͬ^ͬDĨŽƌĂůůƐƵďũĞĐƚƐĂŶĚŐĞƚƚŚĞŽƉƉŽƌƚƵŶŝƚLJƚŽůĞĂƌŶ
ĨƌŽŵƚŚĞďĞƐƚ͘ĞŶƚƌĞƐ–ŚĂǁĂŶŝƉƵƌ–'ŝƌŝƐŚWĂƌŬ–dŽůůLJŐƵŶũ–ĂŶŐƵƌ–,ŽǁƌĂŚ͘
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
Current assets
2.
Ă inventories
Stock 98,000 1,04,000
ď trade receivables
Debtors 88,000 85,000
Đ cash & cash equivalent
Cash
11,750 32,000
Additional information.
/͘ During the year additional equity capital was issued to the extent of ₹25,000 by way ofbonus shares
fully paid up
//͘ Final dividend on preference shares and an interim dividend of ₹4,000 on equity shareswere paid on
31st March,2005.
///͘ Proposed dividends for the year ended 31st March 2004 were paid in October 2004
/s͘ Movement in reserve for replacement of machinery account represents transfer to profitand loss
account
s͘ During the year, one item of plant was undervalued by ₹3,000 and credit for the wastaken in the
profit and loss account.
s/͘ ₹1700 being expenditure on fixed asses for the year ended 31st March 2004 wronglydebited to
sundry debtors then, was corrected in the next year.
s//͘ Fixed assets costing ₹6,000 (accumulated depreciation ₹4,800) were sold for ₹250. Loss
50
dLJƉĞŚĞƌĞ
ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
99035 03989
(dLJƉĞŚĞƌĞ
Q.10 2009) the following are the condensed balance sheet of B ltd. at the end of 2007 and
2008.
Additional information.
7000 15000
TOTAL 696,500 803,500
II. ASSETS
Non-current assets
1.
[a] fixed assets
[i] tangible assets Land 1,25,000 125,000
and building Plant and
machinery 2,40,000 360,000
dLJƉĞŚĞƌĞ
Opportunity
to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 51
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
2. Current assets
[a] inventories
Stock 1,90,000 193,000
[b] trade receivables
Debtors 60,000 90,000
Bills receivable 26,000 15,000
[c] cash & cash equivalent
Cash 30,500 5500
[d] other current assets
Debenture issue exp. 10,000 3,000
Preliminary exp 15,000 12,000
Q.11 [2008] Prepare the following fund flow statement of Y ltd. From the following
Balance sheet of Y ltd. As on 31st march 2006 and 31st march 2007
52 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
99035 03989
'ƵŝĚŝŶŐzŽƵdŽĚĂLJ&ŽƌĂĞƚƚĞƌdŽŵŽƌƌŽǁ ĂĚŝƚLJĂ'ƵƉƚĂůĂƐƐĞƐ
WŚŽŶĞ–ϵϵϬϯϱͲϬϯϵϴϵ
ĂͿ sold one machinery for 50,000 the cost of the machinery was 1,28,000 and thedepreciation
provided for it amounted to 70,000
ĞͿ decided to value stock at cost, whereas previously the practice was to value stock at costless 10%. The
stock according to books on 31st march was 108,000 the stock on 31st march 2007 was 1,50,000 was
correctly valued at cost
Q.12 [2007] Prepare fund flow statement of DG & sons from the following .
Balance sheet of DG & sons as on 31st
dec, 2005 & 31st dec, 2006
PARTICULARS 2004 .2005
I. EQUITY AND LIABILITIES
1. Shareholders fund
[a] share capital
Equity share capital 300 320
7% Preference share of 100 each 100 50
[b] reserve & surplus
Securities premium 20 17
Capital redemption reserve - 30
General reserve 80 60
Profit & loss a/c 60 75
2. Current liabilities 160 250
[a] short term provision
Proposed dividend 50 58
II. ASSETS
1. Non-current assets
[a] fixed assets
[i] tangible assets 600 680
Fixed assets [at cost ] (140) (180)
Less : depreciation 460 500
Additional information
Ϳ Furniture costing ₹16000 (full depreciated) was written off.
Ϳ Tax due on profit estimated to be ₹34000.
Ϳ Old machine costing ₹25,000 (30% depreciated) sold for ₹20,000.
Ϳ Preference dividend along with 12% dividend on equity were paid for 2008.
Ϳ 500 preference shares were redeemed at 10% premium,2000 equity shares were issuedat 10%
premium and general reserve was utilized for redemption purpose.
Q.13 (2010) find out the funds from operation from the following data.Opening
balance of profit and loss a/c ₹60,000.
Closing balance of profit and loss a/c ₹30,000.
Written down value of motor car ₹14,000 which was sold for ₹18000. Purchase ofmachinery
₹20,000. Interim dividend paid ₹20,000. Proposed dividend
₹30,000.Depreciation ₹50,000.Preliminary expenses written off ₹1000.Loss on sale of machinery
₹3000. Transfer to reserve ₹5,000. Sinking fund ₹10,000. Salaries paid
₹3000, Tax paid ₹5,000.
54 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
dLJƉĞŚĞƌĞ
(
99035 03989
Q.14 [2015] You are given the following particulars relating to the year ended31.03.2015
Q.15 [2006] From the following balance sheet of mother India ltd and additional
information prepare a statement of change in working capital andfund flow statement for the
year ended 31.12.05
Balance sheet of mother India ltd as on
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 55
dLJƉĞŚĞƌĞ
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
ASSETS
II. Non-current assets
1. [a] fixed assets
ŝ tangible assets
Land and building 200,000 170,000
Plant
80,000 200,000
ŝŝ intangible assets
Goodwill
1,00,000 80,000
[b] non current investments
Investment
20,000 30,000
2. Current assets
Ă inventories
Stock 77,000 109,000
ď trade receivables
Debtors 1,40,000 170,000
Receivables 20,000 30,000
Đ cash & cash equivalent
bank
15,000 10,000
Cash
10,000 8,000
Ě other current assets
Preliminary expenses
15,000 10,000
Additional information
a piece of land was sold in 2005 and the profit on sale was credited in capitalreserve account.
was charged to plant
account
c) The investments are trade investment ₹3,000. By way of dividend is received including
₹1000/- from pre-acquisition profit which was credited toinvestment account.
d) An interim dividend of ₹20,000 has been paid in 2005
56 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
(
dLJƉĞŚĞƌĞ
99035 03989
Q.16 [2015] the condensed balance sheet of Boom ltd. As 31st march 2013 and2014 are
given below.
TOTAL
11,70,000 12,30,000
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 57
dLJƉĞŚĞƌĞ
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
dLJƉĞŚĞƌĞ
Q.17 [2010] from the following figures information prepare a statement showing the application
and sources of funds during the year 2008-2009
balance sheet
TOTAL
790,000 10,80,000
ASSETS
II.
Non-current assets
1. 5,10,000 620,000
[a] fixed assets net
[b]Noncurrent investments
Investments 30,000 80,000
58 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
dLJƉĞŚĞƌĞ
99035 03989
IV) the Provision for depreciation stood at ₹150,000 on 31.03.2008 and at ₹1,90,000on 31.03.2009.
V) stock which was valued at ₹90,000 as on 31.03.2008 was written up to its cost
₹100,000 for preparing the profit and loss account for 2008-2009
Q.18 [2014] summarized are the balance sheet of popular ltd. As on 31st march 2011,and 2012.
BALANCE SHEET
TOTAL
II. 510,800
530,500
1. ASSETS
Non-current assets
[a] fixed assets net
Tangible assets
200,000 190,000
Land and building
150,000 1,69,000
Machinery
Intangible assets
- 5000
Goodwill
2. Current assets 1,00,000 74,000
[a]Inventories
Stock
[b] trade receivables 64,200
80,000
Sundry debtors
[c] cash and cash eq.
Cash 500 600
Bank 800
Q.19 [2017] following are the assets and liabilities of flow ltd. As on 31.3.15and 31.3.16
II. ASSETS
1. Non-current assets
[a] fixed assets
[i] tangible assets 500,000 580,000
Land 350,000 480,000
Other fixed assets
[b] non current investments
Investment 70,000 110,000
2. [a] Current assets
inventories 90,000 70,000
trade receivables 1,40,000 3,30,000
cash & cash equivalent 90,000 1,30,000
TOTAL 12,40,000 17,00,000
60 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
dLJƉĞŚĞƌĞ
99035 03989
Following further particulars for the year 2015-2016 are also given
(a) interim dividend on equity shares ₹50,000 and preference dividend ₹18,000 werepaid during the year.
Dividend distribution tax paid during the year ₹10,000
(b) debentures were redeemed at 10% premium, premium on redemption charges toprofit and loss for the
year. Debentures interest ₹12000 were also paid during the year.
(c) the company sold one fixed assets for ₹24,000 (WDV 35000) fixed assets
₹200,000 were acquired by issue of ₹8000 equity shares at 25% premium and balance by issue of
preference shares at par. Other equity shares were issued forcash during the year at a premium.
(d) interest on investment received ₹8000. Investment having book value ₹20,000were taken over by a
creditor against ₹20,000 due to him.
e) income tax paid during the year ₹68000
You are required to prepare fund flow statement for the year ended 31st March2016.
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 61
--- --- ----
dLJƉĞŚĞƌĞ -- --- --- `
-- -
` Guiding you today for a Better Tomorrow
Q.20 [2016] balance sheet of XY ltd as on 31st December 2014 and 2015are as under
TOTAL
874,000 11,24,000
II. ASSETS
1. Non-current assets
[a] fixed assets
[i] tangible assets
Land 200,000 150,000
Plant and machinery 180,000 382,000
Intangible
Goodwill 1,20,000 94,000
2. [b] non current investments
Investment 20000 70,000
[a] Current assets
inventories 170,000 1,56,000
trade receivables 150,000 2,16,000
cash & cash equivalent 34,000 56,000
TOTAL 12,40,000 17,00,000
[i] in 2015 36,000 depreciation has been written off plant & machinery and nodepreciation has
been charged on land & building
[ii] a piece of land has been sold out & profit on such sale has been transferred tocapital reserve.
62 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
dLJƉĞŚĞƌĞ
99035 03989
[iii] a plant was sold for 24,000 [ W.D.V 30,000]
[iv] dividend received amounted to 4,200 which included pre- acquisition dividend of1,200.
Q.21 [2018] Calculate Fund from Operation before tax from the information givenbelow:
Depreciation Rs 17,000
Opening Closing
Q.22 [2019] Calculate Fund from Operation from the information given below (figures in ₹):
Q.23 [2020] Given below is the summary of assets and liabilities of Speed Ltd. as at31.03.2019 and
31.03.2020 (in ₹):
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 63
dLJƉĞŚĞƌĞ
dLJƉĞŚĞƌĞ
--- --- ----
-- --- --- `
-- -
` Guiding you today for a Better Tomorrow
50,000 55,000
;ĂͿ Tangible asset costing₹ 1,00,000 (accumulated depreciation₹ 70,000) was soldfor ₹ 42,000 and the
profit or loss transferred to Profit and Loss A/c. Depreciation charged during the year on tangible
assets was 1,10,000.
;ďͿ Income tax and Dividend paid during the year were ₹ 58,000 and 66,000 respectively.
You are required to prepare the Fund Flow Statement of Speed Ltd. for the yearended 31.03.2020.
Q .24 [2021] Complete the following statement showing increase or decrease in working capital:
64 ENROLL NOW FOR B.COM ONLINE / OFFLINE / VIDEO FOR ALL SUBJECTS
dLJƉĞŚĞƌĞ
(
99035 03989
dLJƉĞŚĞƌĞ
Q.25 [2022] From the following information, calculate fund from operation of Exe Ltd.- Profit before
Tax (PBT) 2,40,000; Bad debt written off ₹12,000; Office expenses charged *37,000; Depreciation charged ₹32,000;
Provision for tax debited to Statement of Profit & Loss 44,000; Dividend paid $20,000; Profit on sale of asset credited
₹15,000 and Goodwill amortised ₹25,000.
Opportunity to learn from the best Centres Bhawanipur • Girish Park • Tollygunj • Bangur • Ruby • Dunlop • Howrah 65
dLJƉĞŚĞƌĞ