Read the following hypothetical text and answer the given questions on the basis of the same.
In 2011, two young Indian entrepreneurs, Vaishali Bhatia and Vivek Bhatia decided to start an online auto portal. At that time, there were no major players in the market and they saw an opportunity to fill the gap.
They used a user-friendly website and mobile app which made it easy for users to research and buy cars. It was converted into a company Car Easy Ltd in 2018
From the following Balance Sheet of the company as on 31st March, 2022, calculate Cash Flows From Operating Activities
Balance Sheet of Car Easy Ltd 31st March, 2022
| Particulars | Note No. | 31.03.2022 ₹ |
31.03.2021 ₹ |
|---|---|---|---|
| I Equity and Liabilities: | |||
| Shareholders’ Funds | |||
| (a) Share Capital | 9,00,000 | 3,00,000 | |
| (b) Reserves and Surplus | 1 | 75,000 | 3,60,000 |
| 2. Non-Current Liabilities | |||
| Long-term Borrowings | 2 | 2,40,000 | 1,80,000 |
| 3. Current Liabilities | |||
| (a) Trade Payables | 18,000 | 60,000 | |
| (b) Short-term provisions | 3 | 2,04,000 | 2,10,000 |
| Total | 14,37,000 | 11,10,000 | |
| II Assets : | |||
| 1. Non-Current Assets | |||
| Fixed Assets | 4 | 10,08,000 | 5,76,000 |
| 2. Current Assets | |||
| (a) Inventories | 3,54,000 | 3,87,000 | |
| (b) Cash and Cash Equivalents | 75,000 | 1,47,000 | |
| Total | 14,37,000 | 11,10,000 |
Note to Accounts :
| Note No. | Particulars | 31.03.2022 ₹ |
31.03.2021 ₹ |
|---|---|---|---|
| 1 | Reserves and Surplus (Surplus i.e., Balance in the Statement of Profit and Loss) | 75,000 | 3,60,000 |
| 2 | Long-term Borrowings | ||
| 10% Debentures | 2,40,000 | 1,80,000 | |
| 3 | Short-term Provisions | ||
| Provision for Tax | 2,04,000 | 2,10,000 | |
| 4 | Fixed Assets | ||
| Machinery | 11,52,000 | 6,45,000 | |
| Accumulated Depreciation | (1,44,000) | (69,000) | |
| Total | 10,08,000 | 5,76,000 |
Additional Information:
Additional Information:
(i) 10% Debentures were issued on 31st March, 2021.
(ii) Tax of ₹80,000 was paid during the year.
Marks-6, CBSE:2022-23/Zone-1/Set-1/Q-34
Answer :