Following are the summarized Balance Sheets of Bibhu–Ribhu Enterprise Ltd, as on 31 March 2002 and 31 March 2003:

Liabilities

As on 31
March 2002
Rs.

Ason 31
March 2003
Rs.

Assets

As on 31
March 2002
Rs.

As on 31
March 2003
Rs.

Share Capital

2,00,000

2,50,000

Goodwill

5,000

General Reserve

50,000

60,000

Land & Building

2,00,000

1,90,000

Profit & Loss A/c

30,500

30,600

Machinery

1,50,000

1,69,000

Long-term Loan

70,000

inventory

1,00,000

74,000

Sundry Creditors

1,50,000

1,35,200

Sundry Debtors

80,000

64,200

Provision for Taxation

30,000

35,000

Bank

8,000

5,30,500

5,10,800

5,30,500

5,10,800

Additional information:

During the year that ended on 31 March 2003, the following transactions took place:

  1. Dividends of Rs. 23,000 were paid.
  2. An inventory of Rs. 20,000 and machinery of Rs. 25,000 of another company were purchased for a consideration of Rs. 45,000 payable in shares.
  3. Machinery was further purchased for cash at Rs. 8,000.
  4. Depreciation written off on machinery was Rs. 12,000.
  5. Income Tax provided during the year was Rs. 33,000.
  6. Sale of old machinery of Rs. 2,000 at a loss of Rs. 300, which was written off to general reserve.

Prepare a Cash Flow Statement for the year that ended on 31 March 2003 using modern method, as per the revised guidelines of AS-3.