Cash Flow Statement – Q No 6 to 10

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6
		Balance in Surplus as on 31-Mar-2021		720000
	Less	Balance in Surplus as on 31-Mar-2020		400000

		Addition to Surplus in 2020-2021		320000
	Add	Proposed Equity Dividend for year ended 31-Mar-2020	160000
	Add	Interim Dividend				40000
	Add	Preference share dividend			60000	(2019-2020)

		Net Profit before tax and extra ordinary items	580000


	Note :
		Proposed dividend for the year ended 31-Mar-2020 is assumed to be paid this year
		It is added back here as it is deducted for arriving at the balance in Surplus as on 31-Mar-2021.
		Unpaid Dividend in balance sheet is a liability and does not impact Net Profits
		Since equity dividend is paid so the preference share dividend must have been paid


7		Balance in Surplus as on 31-Mar-2021		200000
	Less	Balance in Surplus as on 31-Mar-2020		145000

		Addition to Surplus in 2020-2021		55000
	Add	Proposed Equity Dividend for year ended 31-Mar-2020	50000
	Add	Interim Dividend				10000
	Add	Provision for Tax				50000		CY

		Net Profit before tax and extra ordinary items	165000


8		Closing Balance of Surplus			336000
	Less	Opening Balance of Surplus			100000		236000

		Addition to Surplus in 2020-2021		236000
	Add	Dividend paid in the current year		72000
	Add	Interim Dividend				90000
	Add	Transfer to Reserves				100000		(Appropriation of profits)
	Add	Provision for Tax				150000		(non cash item)
	Add	Loss due to earthquake			200000		(Extra Ordinary Loss)
							848000

	Less	Refund of Tax				3000
	Less	Insurance proceeds for loss due to earthquake	100000		(Extra Ordinary Income)

		Net Profit before tax and extra ordinary items	745000

	Note :
		Refund of tax is deducted as it is credited to Profit and Loss A/c and hence is included in balnace in Surplus



9		Closing Balance of Surplus			672000
	Less	Opening Balance of Surplus			-200000

		Addition to Surplus in Current Year		872000
	Add	Dividend paid in the current year		144000
	Add	Interim Dividend				180000
	Add	Transfer to Reserve				200000		(Appropriation of profits)
	Add	Provision for Tax				300000		(Profit before tax is required)
	Add	Loss due to earthquake			400000		(Extra Ordinary Loss)
							2096000

	Less	Refund of Tax				6000
	Less	Insurance proceeds for loss due to earthquake	200000		(Extra Ordinary Income)

		Net Profit before tax and extra ordinary items	1890000


10		Net Profit before tax and extra ordinary items	447000

	Add	Non Cash Expenses
		Depreciation on Machinery			84000
		Goodwill Amortised				18600

	Less	Non Cash Income

	Add	Non Operating Expenses and Losses
		Interest on Borrowings			16800
		Loss on sale of furniture			18000

	Less	Non Operating Income and Gains
		Gain on sale of investments			12000
		Interest and Dividend received on investments	27600

		Operating Profit Before working capital changes	544800

Cash Flow Statement – Q No 6 to 10

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