From the following information provided, prepare a Cash Flow Statement as per AS-3 and comment on the financial position of the company.
Balance Sheets as on
|
Liabilities |
31 March |
31 March |
Asses |
31 March |
31 March |
|
Equity Share Capital |
1,00,000 |
1,50,000 |
Freehold Property |
1,10,000 |
1,30,000 |
|
Securities Premium |
15,000 |
35,000 |
Plant & Machinery |
1,20,000 |
1,51 ,000 |
|
Profit & Loss A/c |
28,000 |
70,000 |
Furniture |
24,000 |
29,000 |
|
10% Debentures |
70,000 |
30,000 |
Stock |
37,000 |
51,000 |
|
Bank Overdraft |
14,030 |
Debtors |
43,000 |
44,000 |
|
|
Creditors |
34000 |
48,000 |
Bank |
16,000 |
|
|
Proposed Dividend |
15,000 |
20,000 |
Premium on Redemption |
||
|
of Debentures |
1,000 |
||||
|
Provision for Depreciation on: |
|||||
|
Plant 81Machinery |
45,000 |
54,000 |
|||
|
Furniture |
13,000 |
15,000 |
|||
|
3,34,000 |
4,22,000 |
3,34,000 |
4,22,000 |
Additional Information:
- There had been no disposal of freehold propery in the year.
- The machine, which had cost Rs. 8,000 and in respect of which Rs. 6,000 depreciation had been provided, was sold for Rs. 3,000, and furniture, which had cost Rs. 5,000 and in respect of which a depreciation of Rs. 2,000 had been provided, was sold for Rs. 1,000. The profits and losses on these transactions had been dealt with through Profit & Loss A/c.
- Actual premium on the redemption of debentures was Rs. 2,000, of which Rs. 1,000 had been written off to the Profit & Loss A/c.
- No interim dividend has been paid.