The balance sheets of Narula Ltd. as at the end of March 2010 and 2011 were given below:
|
|
31.3.2010 |
31.3.2011 |
|
|
Rs |
Rs |
|
Share capital |
1,00,000 |
1,50,000 |
|
Share premium |
|
5,000 |
|
General reserve |
50,000 |
60,000 |
|
Profit & Loss A/c |
10,000 |
17,000 |
|
8% Debentures |
70,000 |
50,000 |
|
Depreciation reserve: |
|
|
|
Plant |
50,000 |
56,000 |
|
Furniture |
5,000 |
6,000 |
|
Provision of tax |
20,000 |
30,000 |
|
Sundry creditors |
86,000 |
95,000 |
|
Reserve for bad debts |
2,000 |
5,000 |
|
|
3,93,000 |
4,74,000 |
|
Assets |
|
|
|
Freehold land |
1,00,000 |
1,00,000 |
|
Plant at cost |
1,04,000 |
1,00,000 |
|
Furniture at cost |
7,000 |
9,000 |
|
Investment at cost |
60,000 |
80,000 |
|
Debtors |
32,000 |
75,000 |
|
Stock |
60,000 |
65,000 |
|
Cash |
30,000 |
45,000 |
|
|
3,93,000 |
4,74,000 |
A plant purchased for Rs.4,000 (Depreciation Rs.2,000) was sold for Rs.800 on 31st December, 2010. On October 2010 an item of furniture was purchased for Rs.2,000. Depreciation on plant was provided at 8 per cent on cost (excluding sold out item) and on furniture at 12.5 per cent on average cost. A dividend of 22.5 per cent on original shares was paid.
Prepare a cash flow statement for 2010 11.