📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • ✖

      Question

      A company reports the following data for the year:

      • Net Profit before tax and extraordinary items: ₹12,00,000 • Depreciation: ₹2,00,000 • Loss on sale of machinery: ₹50,000 • Increase in Inventory: ₹3,00,000 • Increase in Trade Payables: ₹1,50,000 • Income Tax Paid: ₹2,00,000 Calculate Net Cash Flow from Operating Activities.
      A ₹10,00,000 Correct Answer Incorrect Answer
      B ₹9,00,000 Correct Answer Incorrect Answer
      C ₹8,00,000 Correct Answer Incorrect Answer
      D ₹7,50,000 Correct Answer Incorrect Answer
      E ₹11,00,000 Correct Answer Incorrect Answer

      Solution

      Net Profit before Tax = ₹12,00,000 Add: Depreciation = ₹2,00,000 Add: Loss on sale = ₹50,000 Less: Increase in Inventory = ₹3,00,000 Add: Increase in Payables = ₹1,50,000 Less: Income Tax Paid = ₹2,00,000 Net Cash from Operating = 12 + 2 + 0.5 – 3 + 1.5 – 2 = ₹11,00,000

      Practice Next
      More Accounts Questions
      ask-question