Question
Use Direct method to calculate the net cash from
operations of the company given the following transactions? Sales in the year: ₹6,50,000 Cash received from customers for current year sales: ₹4,50,000 Cash received from customers for last year sales: ₹1,00,000 Cash paid to suppliers: ₹3,00,000 Cash paid for wages: ₹1,00,000 Cash paid for overheads: ₹50,000ÂSolution
The direct method for a cash flow statement details cash inflows and outflows from operating activities by listing actual cash receipts and payments, such as cash from customers and payments to suppliers. It considers actual cash, irrespective of the year it relates to. Net Cash = Total cash received from customers – Cash paid to suppliers, wages and overheads = ₹4,50,000 + ₹1,00,000 – (₹3,00,000 + ₹1,00,000 + ₹50,000) = ₹1,00,000Â
A firm reports the following data over two years:
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Based on the below information, calculate the net cash flow of the company from operating activities?Â
Net Profit = ₹1,80,000Â
Depreci...
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Match the following:
A) Herzberg P) Need Theory
B) McClelland Q) Expectancy Theory
C) McGregor R) Motivation Hygiene Theory
...
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The sale of an old vehicle for ₹2,00,000 (book value ₹2,50,000) will be reported in the cash flow statement as:
