Cash Flow Statement — Accountancy STD 12 Commerce — Question

From the following information prepare a Comparative Income Statement of Victor Ltd:

Debt to Equity Ratio of a company is 0.5 : 1. Which of the following suggestions would increase, decrease or not change it:

1. Issue of Equity Shares.
2. Cash received from debtors.
3. Redemption of debentures.
4. Purchased goods on credit?

Exe Ltd. purchased the assets of the book value ₹ 4,00,000 and took over the liabilities of ₹ 50,000 from Mohan Bros. It was agreed that the purchase consideration, settled at ₹ 3,80,000 be paid by issuing debentures of ₹ 100 each.
Pass journal entries if debenture are issued:

1. at par
2. at a discount of 10% and
3. at a premium of 10%.

It was agreed that any fraction of debentures be paid in cash.

From the following information, prepare a Cash-Flow Statement:

The Directors of M Ltd resolved on 1st May, 2015 that 2,000 Equity Shares of ₹ 10 each, ₹ 7.50 paid be forfeited for non-payment of final call of ₹ 2.50. On 10th June, 2015, 1,800 of these shares were reissued for ₹ 6 per share. Give necessary Journal entries.

Under which heads the following items are classified or shown on the Assets part of the Balance Sheet of a company:

1. Loose Tools.
2. Bills Receivable.
3. Sundry Debtors.
4. Advances Recoverable in Cash?

1. What is meant by activity Ratios'?
2. From the following information calculate inventory turnover ratio; Revenue from operations ₹ 16,00,000; Average Inventory ₹ 2,20,000; Gross Loss Ratio 5%.

Iron Products Ltd. issued 5,000; 9% Debentures of ₹ 100 each at a premium of ₹ 40 payable as follows;

1. ₹ 40, including premium of ₹ 10 on applications.
2. ₹ 45, including premium of ₹ 15 on allotment.
3. Balance as first and final call.

The issue was subscribed and allotment made. Calls were made and due amount was received.
Pass Journal entries.

Under what heads the following items are shown in the Balance Sheet of a company?

1. Patents and Trade Marks.
2. Income Received in Advance.
3. Debentures issued by the Company.
4. Stores and Spare-parts.
5. Motor Vehicles.
6. Forfeited Shares Account.
7. Government Securities.
8. Uncalled Liability on partly paid shares.

Calculate Cash flows from financing activities from the following particulars:

Additional Information:

1. Equity Shares were issued at a premium of 2%.
2. 8% Preference Shares were redeemed at a premium of 2%.
3. 9% Debentures were issued at a discount of 1% and 7% debentures were redeemed at a premium of 5%.
4. Underwriting commission on Equity Shares was paid @ 2.5% on issue price.
5. Interest paid on 7% debentures ₹ 7,000.
6. Dividend paid on preference shares ₹ 8,000.