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Cash flow statements

Accountancy

I cant understand the adjustment

Screenshot_2022-07-27-10-17-45-43_e2d5b3f32b79de1d45acd1fad96fbb0f.jpg

SAKTHI VIGNESH

SAKTHI VIGNESH

CA Inter

4K+

27-Jul-22 10:19

441

Answers (4)

Best Answer

,As said in the adjustment the inventory is valued at cost less 10% i.e ,14,76,000 is for 90%then for 100% how much ?=14,76,000*100/90 = 16,40,000 therefore as the inventory is valued less the difference amount is adjusted in the operating activities


buddy it's 10% instead of 105 , misprint in your question

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Abhishek Verma

Abhishek Verma

CA Inter

7K+

27-Jul-22 10:57

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