Compute debt equity ratio and prepare a cash flow statement, Financial Accounting

Assignment Help:

1.From the following information you are required to prepare a cash Flow statement of XYZ Ltd for the year ended 31^st December 2009

LIABILITIES	2008	2009	ASSETS	2008	2009
Share Capital	100000	200000	Fixed Assets	100000	200000
Profit and loss account	50000	70000	Goodwill	50000	40000
General reserve	30000	40000	Inventories	50000	70000
6% Bonds	50000	60000	Debtors	50000	80000
Sundry Creditors	30000	50000	Bills Receivable	10000	30000
Outstanding Expenses	10000	15000	Bank	10000	15000
	270000	435000		270000	435000

2. The Balance Sheet as on 31^st December 2009 is as follows:

LIABILITIES	Amount(Rs)	ASSETS	Amount(Rs)
Equity Share Capital	2000000	Fixed Assets (Net)	1700000
General Reserves	200000
Secured Loans: Fixed 300000	600000	Current Assets: Stock	700000
Secured Loans: Fixed 300000		Debtors	300000
Cash Credit 300000		Loans and Advances	700000
Current Liabilities	600000
Current Liabilities	3400000		3400000

Compute:

i) Debt - Equity ratio

ii) Current Ratio

Related Discussions:- Compute debt equity ratio and prepare a cash flow statement

Assignment about inflation and unemployment in US, ????? # ..

????? # ..

What is the break-even point in sales and units, The Soft-Flow Ink Company'...

The Soft-Flow Ink Company's income statement for the preceding year is presented below. Except as noted, the costs revenue relationship for the coming year is expected to follow t

Presumption of survivorship, PRESUMPTION OF SURVIVORSHIP Where two or m...

PRESUMPTION OF SURVIVORSHIP Where two or more persons have died in circumstances rendering it uncertain which of them survived the other or others, the deaths shall, for all pu

Fund accounting, Fund Accounting - Method of ACCOUNTING and presentation wh...

Fund Accounting - Method of ACCOUNTING and presentation whereby LIABILITIES and ASSETS are grouped according to the purpose for that they are to be used. Normally used by governmen

Illustrate the new rules of sec, New Rules SEC i) Effective for years a...

New Rules SEC i) Effective for years after December 15, 2006 ii) New Disclosures mandated (1) Fair value of options on grant date (2) Value of grant per 123R (3) Cl

Mr agarwal, capital budgeting

capital budgeting

Receiving order, RECEIVING ORDER It includes five main important points...

RECEIVING ORDER It includes five main important points as follows: Effect of receiving order: The consequences of the making of the receiving order are:The debtor retain

Hat is the after-tax cash flow from the salvage value, 48 Morgado Inc. has ...

48 Morgado Inc. has provided the following data to be used in evaluating a proposed investment project: Initial investment $130,000 Annual cash receipts $78,000 Life of th

Financial managment, How is a company’s cost of capital affected by its tax...

How is a company’s cost of capital affected by its tax rate?

Acid-test ratio, What is Acid-test ratio A measurement of the capabilit...

What is Acid-test ratio A measurement of the capability of a business to meet its short-term commitments. It is considered by dividing excluding stock, current assets, by curre

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages