89 924
Assignments Done
99.4%
Successfully Done
In September 2020

Answer to Question #45457 in Finance for Himanshu Shrivastava

Question #45457
Following is the balance sheet for the period ending 31st March 2011 and 2012. If the current year’s net loss is Rs.38,000, Calculate the cash flow from operating activities.
31st MARCH
2011
2012
Short-term loan to employees
15,000
18,000
Creditors
30,000
8,000
Provision for doubtful debts
1,200
-
1
2014-09-05T12:15:07-0400
An accounting item indicating the money a company brings in from ongoing, regular business activities, such as manufacturing and selling goods or providing a service. Cash flow from operating activities does not include long-term capital or investment costs. It does include earnings before interest and taxes plus depreciation minus taxes.
Cash Flow From Operating Activities = EBIT + Depreciation - Taxes
So, Cash Flow From Operating Activities = -38,000 - 18,000 + 8,000 - 1,200 = -49,200

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!