Tools of Financial Statement Analysis — Accountancy STD 12 Commerce — Question

Following are the Balance Sheets of X Ltd. Notes:

Additional Information:

1. A piece of machinery was sold for ₹ 8,000 during the year 2018. Its original cost was ₹ 20,000 and depreciation of ₹ 15,000 has been provided on it.
2. Non-Current Investments were sold at a loss of 40%.
3. Land was sold for ₹ 1,50,000
4. Interest paid on public deposits amounted to ₹ 6,000.

You are required to prepare Cash-Flow Statement.

Varanasi Silk Ltd. is a leading manufacturing Company. Encouraged by the spurt in its Profit, Company decided to give 15% interim dividend to the equity shareholders of the Company. Following is the Comparative Statement of Profit and Loss of the Company:
You are required to:

1. Fill in the missing figures in the Comparative Statement of Profit & Loss.
2. Compute the Gross Profit Ratio for both the years.
3. Identify the value involved in paying the interim divident.

GY Ltd. invited applications for issuing 85,000 equity shares of ₹ 10 each at a discount of 10%. The amount was payable as follows: Applications for 2,00,000 shares were received. Applications for 30,000 shares were rejected and money refunded. Shares were allotted on pro-rata basis to the remaining applicants. The first and final call was made. All money was received except on 1,700 shares applied by Hari. His shares were forfeited. The forfeited shares were re-issued at the maximum discount permissible under the law.
Pass necessary journal entries for the above transactions in the books of the company.

India Textiles Corporation Ltd. has outstanding ₹ 50,00,000; 9% Debentures of ₹ 100 each due for redemption on 31st July, 2017. Pass journal entries for redemption assuming that there is a balance of ₹ 3,00,000 in Debentures Redemption Reserve on the date of redemption.

Prepare Balance Sheet of VT Ltd. as at 31st March, 2018, from the following information as per Schedule III, Part I of the Companies Act, 2013:

Super Star Ltd. makes an issue of 10,000 Equity Shares of ₹ 100 each, payable as:

On application and allotment	₹ 50 per share,
On first call	₹ 25 per share,
On second and final call	₹ 25 per share.

Members holding 400 shares did not pay the second and final call and the shares are duly forfeited, 200 of which are reissued as fully paid-up @ ₹ 50 per share. Pass journal entries in the books of the company.

Calculate:

1. G.P. Ratio.
2. Operating Ratio.
3. Operating Profit Ratio.
4. Inventory Turnover Ratio.
5. Working Capital Turnover Ratio from the following figures.

X Limited offered to the public 10,000 equity shares of ₹ 10 each at a premium of ₹ 2 per share payable as follows:
On application ₹ 3; On allotment (including premium) ₹ 4; On first call ₹ 3 and on second and final call ₹ 2.
Applications were received for 15,000 shares.
All applications were placed under four categories and allotment was made as follows:

Category A	to applicants of 4,000 shares	in full
Category B	to applicants of 6,000 shares	4,000 shares
Category C	to applicants of 3,000 shares	2,000 shares
Category D	to applicants of 2,000 shares	Nil

Except in the cases where applications were wholly rejected, excess application money was not to be refunded but to be adjusted against moneys due on allotment and calls.
A, an applicant under category B to whom 400-shares were allotted failed to pay the allotment money and on his failure to pay the first call his shares were forfeited.
B, an applicant under category C to whom 300 shares were allotted failed to pay both the calls and his shares were also forfeited.
500 of the shares thus forfeited were re-issued to C as fullypaid for ₹ 8 per share.
Show Cash Book, Journal entries and prepare the Balance Sheet in the: books of the company; you are to assume that the whole of the A's shares were issued to C.

From the above Comparative Statment of Profit and loss for the year ended 31st March, 2017 and 31st March, 2018, compute Operating ratio.