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प्रश्न
Calculate Cash flows from financing activities from the following particulars:
| March 31, 2023 (₹) |
March 31, 2022 (₹) |
|
| Equity Share Capital | 12,00,000 | 7,00,000 |
| 8% Preference Share Capital | - | 1,00,000 |
| 9% Debentures | 2,00,000 | - |
| 7% Debentures | - | 1,00,000 |
Additional Information:
- Equity Shares were issued at a premium of 2%.
- 8% Preference Shares were redeemed at a premium of 2%.
- 9% Debentures were issued at a discount of 1% and 7% debentures were redeemed at a premium of 5%.
- Underwriting commission on Equity Shares was paid @ 2.5% on issue price.
- Interest paid on 7% debentures ₹ 7,000.
- Dividend paid on preference shares ₹ 8,000.
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उत्तर
| Cash Flows from Financing Activities | ||
| Particulars | Amount (₹) |
Amount (₹) |
| Proceeds from issue of Equity Shares (₹ 5,00,000 + 2% Premium) | 5,10,000 | |
| Add: Proceeds from issue of 9% Debentures (₹ 2,00,000 − 1% Discount) | 1,98,000 | |
| Less: |
||
| Underwriting Commission (2.5% of ₹ 5,10,000) | (12,750) | |
| Redemption of 8% Pref. Shares at 2% Premium (₹ 1,00,000 + ₹ 2,000) | (1,02,000) | |
| Redemption of 7% Debentures at 5% Premium (₹ 1,00,000 + ₹ 5,000) | (1,05,000) | |
| Interest paid on 7% Debentures | (7,000) | |
| Dividend paid on Preference Shares | (8,000) | (2,34,750) |
| Net Cash from Financing Activities | 4,73,250 | |
Working Note 1: Calculation of Equity Shares Issued:
Face value = ₹ 12,00,000 − ₹ 7,00,000
= ₹ 5,00,000
Premium @ 2% = ₹ 10,000
Total Proceeds = ₹ 5,00,000 + ₹ 10,000
= ₹ 5,10,000
Underwriting Commission @ 2.5% of ₹ 5,10,000 = ₹ 12,750
Net cash from Equity = ₹ 5,10,000 − ₹ 12,750
= ₹ 4,97,250
Working Note 2: Calculation of Preference Shares Redemption:
Face value = ₹ 1,00,000 (fully redeemed)
Premium = 2% of ₹ 1,00,000
= ₹ 2,000
Total Outflow = ₹ 1,00,000 + ₹ 2,000
= ₹ 1,02,000
Working Note 3: Calculation of 9% Debentures Issued:
Issue = ₹ 2,00,000
Discount @1% = ₹ 2,000
Cash Proceeds = ₹ 2,00,000 − ₹ 2,000
= ₹ 1,98,000
Working Note 4: Calculation of 7% Debentures Redeemed:
Face value = ₹ 1,00,000
Premium @ 5% = ₹ 5,000
Total Outflow = ₹ 1,00,000 + ₹ 5,000
= ₹ 1,05,000
