Cash flow

for 3rd adjustment total purchase is for 60 L in cash flow we take only cash purchase so out of 60 L 80% credit puchase mean remaining 20% only cash purchase (1200000)

Elavarasi B

CA Inter

★ 46K+

20-Aug-22 07:06

Opening creditors Rs. 20 Closing creditors Rs. 23 But in question it's given that 80% of rs 60 was credit sale. ie rs. 48 As the closing is different... There is some cash flow.. If payment made - cash outflow So opening 20 + credit sale 48 =68 - closing 23 = 45 (paid to supplier)

Aishwarya Kannan

CA Inter

★ 125

20-Aug-22 07:07

for 4th adjustment we want to prepare ledger account opening creditors 20L current year 60L *80%( because 20% we already paid in cash) less closing 23L

Elavarasi B

CA Inter

★ 46K+

20-Aug-22 07:09

For 3rd adjustment in question i) Administrative expenses paid in cash = 18 lakh ii) Salaries amounted =16lakhs (-) outstanding at end of year =(4 lakh) Salaries paid in cash =12lakh For 4th adjustment in the question i) debenture interest paid = 10 lakh *15% = 1.5 lakh ii)Debenture redeemed at premium of 10 % ( 10 lakh +10%)= 11lakh (-) for equity shares =(9 lakh) remaining paid in cash = 2 lakh

Mounika Satya sai Mullapudi

CA Inter

★ 3K+

20-Aug-22 09:34

I want 8 adjustment also

Thread Starter

A M K

CA Inter

★ 2K+

20-Aug-22 19:03

And provision for tax 2018 - 1 , 2019- 0.7

Thread Starter

A M K

CA Inter

★ 2K+

20-Aug-22 19:07

Refer to question no.3 in pg. no.4.118 in study material , you can find similar kind of adjustments in that question .

Mounika Satya sai Mullapudi

CA Inter

★ 3K+

22-Aug-22 09:36